Evening star. [volume] (Washington, D.C.) 1854-1972, 1895-11-25
Two Unusual Steps Taken by Score
tary Carlisle.
TO PAY EXPRESS CHARGES BOTH WAYS
Will Receive Light Weight Coins.
at Their Face Value.
TEM ORARY EXPEDIENTS

In order to increase the gold reserve of the
government. without resort to an issue of
bonds, the Secretary of the Treasury has
announced that the Treasury Department
will pay express charges both ways to cor
porations and persons forwarding gold coin
in exchange for other government currency.
Instructions have been sent to the various
subtreasuries to receive gold coin in sums
of $500 and mulsiples thereof and Il pay ex-
press charges on the gold. and also on the
currency returned in exchange. 1t Is said
that the government has never before as
sumed the entire expense of transportation
OF money for exchange, except In few in
stances in 1898, when, as now, 1t was in spe-
cial need of gold
Temporary Expedient.
The new departure Is looked upon merely
as temporary expedient to secure gold, and
is not expected to be permanent. The ex-
pense to bankers and others has always been
large in securing new currency in cases of
redemption, and In paying express charges
on the returned currency when gold was
deposited for 1t. Under this new temporary
arrangement the treasury pays the charges
heretofore borne by the bankers. The rate
paid by the government under its contract
with the express companies, however. Is less
than the rate charged individual shippers
The government rate in all territory east of
the Pacific slope Is fifty cents per 1000 for
gold and twenty cents per $1,000 for paper.
To Receive Lightweight Gold.
Another step taken by Secretary Carlisle
TO recoup the gold balance was to instruct
the treasurer and the assistant treasurers
to accept all lightweight gold coins at their
lace value less cents for each troy grain
below the standard weight. In his instruc-
ton to the subtreasurers on this subject the
Secretary says:
"An lightweight pieces received by you
are to be held in the cash of your office sep
arate from full-we!ght coins, and each bag
OF such coins to be plainly marked with the
amount of the face and actual value Of con-
tents. If the depostor should prefer to have
the pieces that are found to be below the
least current weight returned TO him, you
Will before returning them stamp each piece
with the regulation distinguishing mark
An Unusual Procedure.
This Is most unusual procedure, and will
undoubtedly result in the presentation to the
treasury of many gold coin that have been
withheld from it from the fear that they
would be branded light" and rejected This
branding interferes with the circulation of
lightweight coin almost as much as the
stamp bad" destroys the usefulness of
counterfeit paper money.
To Tide Over the Situation.
These expedents are confidently expected
come. 1t is admitted at the Treasury De-
partment, however. that unless Congress
comes promptly to the relief 1t probably
will be necessary to make another issue Of
bonds to repleniSh the gold reserve before
the winter is over. Treasury officials are
somewhat sensitive on the subject of bond
issues and do not like to talk about them
They are naturally disinclined to predict
that another loan will have to be made,
but at the same time they find it difficult
TO show how 1t can be avoided under exist
ing conditions.
The near approach of Congress renders 1t
almost absolutely certain that no more
bonds will be issued until that body shall
have had full opportunity to consider the
situation. The expectation of nearly $5,-
O0O,o0O In gold on Saturday has reduced the
government reserve to point dangerously
near the $I5,00O,OOO limit, below which Sec
rotary Carlisle thinks it cannot go without
serious detriment to the financial credit of
the government. The decision to issue
bonds when the reserve drops to sI5,0U.GOO
was made by Secretary Carlisle during the
heavy drains of last summer and is based
on the theory that a loan. can be more sue
cessfully negotiated when the reserve Is
above that point than is possible when 1t
reaches a much lower figure.
The Drnin to Soon Cease.
Although there Is no certainty as to the
future, there are many financiers who
think that the foreign drain upon our gold
stock will not continue much longer. 1t Is
asserted that the present heavy shipments
of gold are in wise due to European
distrust Of the currency of the United
States, nor because of an unusually large
return movement of securities According
to one authority imports of foreign mer-
chandise have been extraordinarily large
for many months past, while the outward
movement Of staple products. particularly
cotton has been sluggish. 1t IS possible
that the outward movement of grain and
cotton may become most active when, az
cording to precedent, 1t should be lightest.
In other words, an abnormal or unseason-
able condition of affairs may be followed
later on by unusual conditions that will
correct those that now exist.
Imports and Exports for the Year.
The imports and exports of gold by
months for the present year are shown in
the following table: