Iron County register. [volume] (Ironton, Iron County, Mo.) 1867-1965, 1894-04-05
BLAND BILL VETOED.
Message From the President on
the Seigniorage Coinage Bill.
Inc Masure Returned to Congress Dis
aPprOved-The Grounds for the
Presidents Action Stated In
Comprehensive Form.

WASHINGTON, March 29.-The follow
ang is the full text of the presidents
message vetoing the Bland seigniorage
bill:
To THE HOUSE OF REPRESENTATIVES re-
turn without my approval house bill No. 1856
entitled An act directing the coinage of the
purposes"
Ny strong desire to avoid disagreement with
those In both houses of congress who have
supported this bill. would lead me to approve
1t II could believe that the public good would
ton on my part would be proper discharge of
official duty. Inasmuch. however, 1 am un
lation Is either wise or opportune. my concep-
tlon of the obligations ard responsible
ties attached to the great Office 1 hold
foroids the indulgence OF my personal desire.
and inexorably confines me to that course
wnlch IS dictated by my reason and judgment,
and pointed out by a sincere purpose to pro-
tect and promote the general interests of our
people
The financial disturbance which swept over
the country during the last year
paralieled in its severity aud disastrous con-
sequences There seemed to be almost an en-
tire displacement of faith in our financial
ability and loss of confidence in our fiscal
policy. Among those who attempted to assign
causes for our distress it was very generally
conceded that the operation of provision of
law then in force. which required the govern
ment to purchase monthly u large amount of
silver bullion and issue its notes IN payment
a large extent. responsible for our
condition CON lit This led to the repeal on the first
vision. We had however fallen so low in the
depths of depression, and timidity and appre
financial circles. that our rapid recuperation
could not be reasonably expected. Our recov-
cry has; nevertheless. steadily progressed. and
though less than five months have elapsed since
the repeal Of the mischievous silver purchase
requirement. wholesome improvement is I'M
mistakably apparent Confidence in our abso-
lutte solvency Is to such an extent reinstated.
and faith in our disposition to adhere
to sound financial methods is so far
restored as to produce the most encouraging
results both at home and abroad. The wheels
OF domestic industry have been slowly set in
again started in our direction. Our recovery
being so well under way, nothing should be
done to check our convalescence; nor should
we forget that q relapse at this time would al
most surely reduce us to lower stage of finan-
cial distress than that from which we just
emerging. 1 believe that if the bill under con-
sideration should become law it would be re-
garded as j retrOgreSSion from the financial
intentions indicated by our recent repeal
purchases that it would weaken, il it did not
destroy. returning faith and confidence in our
sound financial tendencies, and that con-
sequence our progress to renewed business
health would be unfortunately checked and a
return to our recent distressing plight Seri-
ously threatened. This proposed legislation
IS so related to the currency conditions grow
ing out of the law compelling the purchase of
silver by the government. that glance at
such conditions. and partial review of the
law referred to may not be Improbable.
Between the 18th day of August, 1890, when
the law became operative. and the LIST day of
November. 1893. when the clause it contained
directing the purchase of silver was repealed,
there were purchased by the secretary of the
treasury more than 16S.OOOOOO ounces of
silver bullion In payment for this
bullion the government issued 1t treasury notes
OF various denominations. amounting to nearly
&l56.000O00. which notes were immediately
added to the currency in circulation among our
people Such notes were by the law made
legal tender in payment of all debts. public and
private. except when otherwise expressly stip-
ulated. and were made receivable for customs
taxes and all public dues. and when so received
might be reissued. They were also permitted
to be held by banking associations as a part of
their lawful reserves On the demand of the
holders these treasury notes were to be
deemed in gold silver coin in the
ury; but it was declared as a part of
this redemption provision that it was
the established policy of the United States to
other upon the present legal ratio. or such
ratio as may be provided by law"
be standard silver dollars. and after directing
the immediate coinage of a little less than 2S.-
OOOOJO ounces the law provided that as much of
the remaining bullion should be thereafter
coined as might be necessary to provide for
the redemption Of the treasury notes issued on
arising from such coinage shall be accounted
for and paid into the treasury"
This gain or seigniorage evidently indicates
SO much of the bullion owned by the govern
ment as should remain, after using sufficient
amount to coin as many standard silver dol
lars as should equal in number the dollars rep
resented by the treasury notes issued in pay
ment OF the entire quantity OF bullion. These
ton amount to siS ss $50 and aithonr6 tbere
has been thus far but comparatively small
amount of this bullion coined, yet the so-called
would arise from the coinage of the entire
mass, has been easily asceriaiIed to be a
when coined. IS. I5s. ssi standard Silver dollars
Considering the present intrinsic relation be-
tween gold and silver the maintenance of the
parity between the two metals mentioned
in this law, can mean nothing less than the
maintenance of such parity in the estimation
aud confidence OF the people who use our
the maintenance of this parity can only be &C
complished so far Us it is affected by these
holders of the same. by giving to such holders,
on their redemption. the coin. whether 1T is
gold or silve si which they prefer 5 It fol
the choice of coin to- be paid on
such redemption to the discretion Of the
of this discretion. if opposed to the demands of
the holder, is entirely inconsistent with the
effective and beneficial maintenance of the
parity between the two metals
Ii both gold and silver are to serve US as
money, and if they together are to supply to
cessity of preserving this parity is obvious.
Such necessity has been repeatedly conceded
in the platforms OF both political parties anu
emphatically recognized than in the recent
law which repealed the provision under which
the bullion now on hand was purchased. This
law insists upon the maintenance of the parity
IL value of the coins OF the two metals and the
equal power OF every dollar at all times in the
markets and il the payment of debts"
The secretary of the treasury has therefore.
for the best of reasons, not only promptly COM
piled with every demand for the redemption of
these treasury notes in gold. but the present
situation as well as the letter and spirit of the
law appear plainly to justify. If they do not en-
join upon him. 4 continuation of such redemp-
tion. The conditions L have endeavored to
present may be thus summarized:
F'irst-The government has purchased. and
now has on hand, sufficient silver bullion to
permit the coinage of all the silver dollars
necessary to redeem, in such dollars the treas
ury notes issued for the purchase-of said silver
bullion and enough besides to coin. as gam
or Seigniorage, 50, 156 ,6Sl addltl0nal standard
silver dollars
Second-There are outstanding and now in
circulation treasury notes issued in payment of
the bullion purchased amounting to slo2ol..
2Su These notes are legal tender in payment
OF all debts. public and private, except when
otherwise expressly stipulated; they are re-
ceiveable for customs. taxes ana an p1 ib
NAV be counted as part of their lawful re-
serves and they are redeemed by the govern
ment in gold at the option OF tne noiaers.
ately attached to these notes at the time OF
their issue, they are fully understood by our
people to whom SUCH NOES nave Deen GUS
fidence in their safety and value, and have I'M
doubtedly thus induced their continued ana
contented use as money, instead OF anxiety FOR
Having referred to some incidents which 1
deem relevant to the subject, it remains for me
to submit a specific statement OF my oo]ections
to the bill now under consideration
This bill consists of two sections excIuolng
one which merely appropriates sum Sunclent
The first section provides for the immediate
coinage of the silver bullion In the treasury
which represents the so-calied gam OF seign,