Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1895-12-04

permanent. Recent NltnildNdlS nav ~
duced the reserve from $io7.57l20 on the
sth day OF July 1895. to s7s,S5.e66. How
long it will remain large enough to render
it's increase unnecessary H. only a matter
of conjecture. though quite large with
drawaIs for shipment In the immediate
future are predicted In well-informed
quarters About Sie0o00)0 has been
Withdrawn during the month OF no
yember
The foregoing statement Of events ana
conditions develops the fact that atter
increasing our Understanding bonded IN
debtedness more than sls2,0oVo 70 save
our gold reserve. We are nearly "heie
we started. having now In such reserve
ca 2qq ess as against So. iSsSU IN Fob
ruary. 1884,, when the nrst ponos Nei'
issued. s
GOLD WITHDRAWALS.
Though the amount OF gold Withdrawn
from the Treasury appears to be very
large as gathered from the facts ana
fgures herein presented, 1t actually was
much larger, considerable sums haNins
been acquired by the Treasury Wl'hin
tho several periods stated without the
issue of bonds on the 18th Of January
1884, IL was reported by the secretary
of the Treasury that more than >i'Z,"VV"
in gold had been Withdrawn lot hoatu-
ing or shipment during the year Dr.
ceding. lie now reports that from 'an
uarv /. 1879. TO July H. lS"' pe,lDu
OF more than eleven years. only httle
,,,,o eos coo 600 was withdrawn, ana that
between July II. 1890, the date OF the
massage Of the law for an Increased pul-
chase Of silver. and the LIST day OF bef
cernber. 1895, or within less IMAM ~
and a half years, there was Wi'nula avn
nearly Ss75. 900. 900. making total OF mort
,ha, sl02 O00 900 drawn from the treasury
in gold since January l. 1872 the 1ate
fixed in 1875 for the retirement Vi '"o
United States notes. III.
Nearly 1921. 600 90 Of the gold thus WIN
drawn has been paid out on these Onltea
s,ates notes. and Yet every one Of the
S24s 600 600 Is stfll uncancelled and redoy
"a do service in future gold depletons'
More than COO i'm gold has since
their creation In 1890 been paid out from
the Treasury upon the notes gwen OH VI"
purchase of silver by the government, anu
vet the whole. amounting 10 hoo'VVv'VV'
evcent q little more than Sl600'Wo' which
have been retired by exchange Tot shN.i
at the request OF the holders, remains Vut
standing and prepared to- JON 'hen o,uea
and more experienced allies IN future
raids upon the Treasury gold reserve
In other words. the government has palu
In cold more than nine tenths or us
United states notes, and still owes them
ALI. II has paid In gold about one man
OF its notes given for silver purchases
without extinguishng by such PAYNE
one dollar Of the notes
When added 10 all this we are ieln'hu-
cd that to carry on this astounding man
cial scheme the government mas lhCu' ~
a bonded Indebtedness of so J'V'Vov III -
tablfshing A gold reserve. and OF No-'-
fnf al
annual interest charge on such bonded IN
dabtedness Is more than 81 100000 that
continuance i'm our present course may
result I'm further bond issues. and that We
have suffered or are threatened with an
this for the sake OF supplying gold LOT
foreign shipment, or facilitating its hoafn-
ing at home, a situation is eNhlpl.eu
which certainly ought 10 arrest attention.
and provoke immediate legislative rellei'
CANCELLATION OF L. 5. NOTES.
am convinced that the only thorough
and practicable remedy for our troubles Is
found in the retirement and cancellation
OF our United states notes, commonly cail-
ed greenbacks. and the outstanding Irea-
surv notes issued by the government IN
payment OF silver purchases under the ACT
OF 1890.
believe this could be quite readily ac-
complished by the exchange Of these NOTES
for United States bonds OF small as wen
as large denominations, bearing 10"
rate OF interest They should ne long
termed bonds. thus increasing their desi-
rability as investments, and because thelr
payment could be we'll postponed 10 pc
riod far removed from present hnahclal
burdens and perplexities, when with IN
creased prosperity and resources N's /
would be more easily met
BOND SALES ABROAD.
To further insure the cancellation Of
those notes and also provide a way by
which gold may be added 10 our currency
in lieu OF them a feature In the plan
should be an authority given 10 the Sec
rotary OF the Treasury TO dispose or the
bonds abroad for gold. II necessary 10
complete the contemplated redemption and
cancellation. permitting him 10 use the
proceeds OF such bonds TO take up and
cancel any OF the notes that may be IN
the Treasury. or that may be received py
the government on any account
The increase Of our bonded debt in'
volved in this plan would be amply COM
pensated by the renewed activity and
enterprise in all business circles, the re-
stored confidence at home. the reinstatet
faith in our monetary strength abroad.
and the stimulation OF every interest and
Industry that would follow the cancella-
ton OF the gold-demand obligations now
affecting us. In any event, the bonds
proposed would stand for the eXtlngush-
racnt Of troublesome Indebtedness, whili
in the path we now follow there lnrN
the menace OF amending bonds, with our
Indebtedness still existing, and Aggravated
in every feature. The obligations neces.
sary TO fund this Indebtedness would not
equal in amount those from which w
have been relieved since 1884. by arucipa-
ton and payment. beyond the require.
ments Of the sinking fund, ont Of our
surplus revenues.
NATIONAL-BANk CIRCULATION
The currency Withdrawn by the re-
tirement OF the United States notes ami
Treasury notes, amounting 10 prOpahls
less than $3.50. 0GO 600. might be supplied by
such gold as would be used on their re-
tlroment or by an increase in the circu.
lation Of our national banks Though The
aggregate capital OF those now Ia ex-
istence amounts 70 more than S5f009.oc0.
their outstanding circulation. based on
bond security. amounts TO only about
si9OO,O.O0O They are authorized 10 issue
notes amounting TO 80 per cent. OF the
bonds deposited 10 secure their circuia-
ton, but in no event beyond the amount
Of their capital stock, and they are
obliged 10 pay l per cent. tax on the
circulation they issue.
/ think they should be allowed 20 issue
circulation equal 10 the par value OF
the bonds they deposited TO secure h.,
and that the tax on their circulation
should be reduced TO one fourth Of
per cent. which would undoubtedly meet
all the expenses the government incurs
on their account. In addition. they should
be allowed to substitute or deposit In lieu
OF the bonds now required as security
for their circulation those which would
be issued for the purpose OF feurlns tnn
United States notes ana treasury notes.
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