Morning journal and courier. [volume] (New Haven [Conn.]) 1848-1894, 1894-03-30

RtaUkM SMg S
If the same character - silver certificates
n circulation under existing laws they
would ct least be receivable only for Gus
toms, taxes and all public dues, and under
the Language of this section 1t II, to say
the least, extremely doubtful whether the /
certificates Il contsmplats. would be law
fully received evsn for such purposes.
s.Having referred to some incidents |
which deem relevant to the subject, IL re-
mains for me to submit . specific statement |
of my objection to the bill now under con-
alteration. This bill consists of two sec-
lions, excluding ono which merely appro- |
pirates sum sufficient to carry the sct |
into effect. The first teetion provides for
the immediate coinage Of the silver bullion
in the treasury, which represents the So
called gain or seigniossge this section De.
the money 30 coined, or the certificates
issued thereon, shall be used in the pay
msnt of public expenditures, and provides
that If the needs of the treasury demand 1t
the secretary of the treasury may, In his
discretion, issue silver certificates In e1oess
of such coinage, not exceeding the amount
of ssigniorage In said aection authorized to
be coined.
'The second section directs that a. soon
"a possible after the coinage of this seign-
forage the remainder Of the bullion held
by the governments shall be coined into
legal tender standard silver dollars and
that they shall be held in the treasury for
the redemption of the treasury notes
issued in the purchase of said bullion. It
provides that % fast % the bullion shall be
coined for the redemption Of said notes
they shall not be reissued, but shall be
csncelled and destroyed in amounts equal
to the coin held ct sny time in the treasury
derived from the coinage provided for, and
that silver certificates shall be issued on
such coin in the manner provided by law.
section that the act shall not be construed
to change existing laws relating to the
legal character or mode of redemption of
the treasury notes issued for the purchase
of the silver bullion to be coined
, "The entire bill is unfortunately con-
structed. Nearly every sentence presents
uncertainty and invites controversy as to
it's meaning and intent. The first section
Ia especially faulty in this respect and It is
extremely doubtful whether its Language
will permit the contamination of its sup
posed purposes. am led to believe that
the promoters of the bill intended IN this
section to provide for the coinage of the
bullion constituting tho gain or asigniorage
ss 1t is called, into standard silver dollars;
and yet there is positively nothing in this
soription Of silver coins now authorized
under any existing law. I suppose this
section was also intended, in case the needs
of the treasury called for money faster
than the seigniorsge could actually be
COINED to permit the issue of oliver csrtifi-
Gates, but Its language would seem to per-
NIT the issuance of such certificates to
double the amount of seigniorsge as stated.
Debate upon this section in the congress
developed an earnest and positive differ
ence of opinion a. to its object and mean
ing. In any event I am clear that the
present perplexities and embarrassment of
the secretary of the treasury ought not to
be augmented by devolving upon him the
execution of law 80 uncertain and con.
fused.
II am not willing. however, to rest my
objection to this section solely on these
| grounds; in my judgment, sound finance
does not commend q further infusion OF
silver into our currency at this time I'M.
accompanied by further adequate pro.
visions for the maintenance in our treas
ury of safe gold reserve.
doubts also arise as to the meaning
and construction of the second section Of
the bill. If the silver dollars therein de-
clared to be coined are. as the section pro
vides, to be held in the treasury for the
redemption of treasury notes, it 10 sug
gssted that, strictly speaking, certificates
cannot be issued on such coin in the man
ner now provided by law, besides thas,
dollars are money held in the treasury fol
the express purpose of redeeming treasur,
notes, on demand, which would ordinarily
mean that they were set apart for the pur
pose of substituting them for those treas
ury notes. They are not, therefore, helt
in such q way az to furnish q basis fo
certificates according to the provision O
existing law.
"whatever else may be said of the I'M
certainties of expression in this bill, the,
certainly ought not to bs found In leeisla
ton 30 important and far reaching as on
finances and currency. In stating thes
and more important reasons for my dissp
prevail of this section, I shall, however, a.
sumo that under its provisions the treasur,
notes issued in payment for sill
yer bullion. will continue to b
redeemed as heretofore in silver O
gold at the option of the holders
and that If they are presented for redemp
ton or reach the treasury in any othe
manner there are In the treasury coinet
| SliteH uO1ioE6 e9uuk III uOuluAl value u
such treasury note, then and in that case
notes will be destroyed and silver eertifi
Gates to an equal amount be substituted.
Il II am convinced that this scheme n Ill
advised and dangerous. A. an ultimat
result of its operation treasury note
which are legal tender for all debts publi
and private and which are redsemable II
gold or silver, at the option of the holder
will be replaced by silver certificates
which, whatever may be their characte
and description, will have none of theu
qualities. In anticipation of this result
and as an immediate effect the treasur,
and desirability. The fact that gold ca,
be realized upon them and the furthe
fact that their destruction has been de
creed when they reach the treasury mus
tend to their withdrawal from genera
circulation to be Immediately presented
for gold redemption or to be boarded TO
presentation at q more convenient sea
son. The sequel of both operations vii
be large addition to the silver currenc,
and corresponding reduction of gold Ii
the treasury. The argument has been mad
that these things will not occur at once
because long time must elspse before tn,
coinage of anything but the ssigniorag
can be entered upon. If the physical Of
|
of this bill are not to be realized until ia
in the future, this may furnish stronJ
reason why It should not be passed q
much in advance; but the postponemen
of Its actual operation cannot prevent tn
fear and loss of confidence and nervou
precaution which would Immediately fol
low its passage and bring about the wors
consequences
81 regard this section of the bill as EN-
bodying plan by which the government
will be obliged to pay out Its bounty stor
of gold for no other purpose than to forc
an unnatural addition of oliver none,
into the hands of our people. This is 81
exact reversal of the policy which SAT
finance dictates If we are to preserve gar
ity between gold and silver and maintai,
sensible bi-metallism.
"We have now outstanding more thai
1888 ,000, 900 dollars of silver certificates
issued under existing laws. They ar
serving the purpose of money usefully ani
without question. Our gold reserve O
$100, COG, 600 Ia directly charged with tn,
redemption of some $34e ,000, 900 of United
States notes. When 1t IL proposed to In
fate our silver currency It In time 70,
strengthening our gold reserve instead O
depicting 1t. cannot conceive of longel