Hutchinson gazette. [volume] (Hutchinson, Kan.) 1895-1902, 1895-03-07
The News Bureau, Sun Building.

The treasury department yesterday
astonished the country and signallS
demonstrated it's convictions that nj
financial legislation could be expected
from the present congress, by aband'
Oning Its policy of exchanging gold
for greenbacks and treasury notes al
the demand of their holders, and exer-
cising its right to redeem them IN
silver at its discretion. 1t is learned
from reliable authority that Secretary
Carlisle has for some time past been
In favor Of the adoption Of such a
policy and has urged upon the Presi-
dent the necessity, as well as the ad-
vantage Of 1t, but to no purpose until
the exporters of gold last Saturday an
nouced their intention to make heavier
drains upon the reserve during the
present week than ever before, and to
continue the process indefinitely. This
means It's utter depletion and its re-
Punishment by an additional issue OF
bonds only to be again depleted by
the same process, proceeding already
distasteful to the administration, and
thoroughly repugnant to the wishes
Of a vast majority Of the people.
Coupled with the announcement OF the
exporters was the apparent authentic
rumor that the banks and trust COM
panies would decline to subscribe for
another bond issue except on terms
formulated by themselves.
Confronted at last by such cOndi-
lions, Secretary Carlisle finally pre-
vailed on the president to abandon
temporarily at least, all theories and
utilize the unequivocal right conferred
by positive enactment, to pay the pub
lie creditor in gold or silver coin as
the government might desire. Mr..
Cleveland finally yielded to Mr.. Car
isles urgent entreaties, but with great
reluctance and only because immediate
relief by new Legislation seems hope
less, while the policy of paying all OBJ
legations in gold has only served to ag-
gravate, instead Of ameliorate the en-
barrassments Of the treasury.
The sub-treasury officials at New
York were at once secretly, but posi-
lively instructed to pay all public OBJ
legations, gold certificates only ex-
cepted, in silver coin until otherwise
ordered, and the solicitor of the treas
ury was sent on that his counsel might
be available If desired by the SUBJ
treasurer. All Of Sunday was devoted
to the removal of silver coin from the,
vaults to the counting room. When
the treasury opened yesterday morning
the tellers were flanked by great guam
titles Of coin and were ready for bust
ness.
Precisely at 10 o'clock, a representa-
tive Of Heidelbach, Ikelheimer & Co.
presented himself at the paying tel
lers' windows with treasury certifi-
Gates issued under the act of 1890, to
the amount of $1,OOO,OOO together with
S155,0O0 in greenbacks and demanded
gold for them. He was politely in
formed the treasury department would
pay for them in silver dollars, and
then bag after bag was passed out of
the window before the astonished indi-
vidual had time to utter word. When
he found his voice he began to pro-
test with all his might, demanding
either gold or the return of his certi-
ficates. The teller in obedience to his
instructions refused either, but told
his customer to remove his silver coin
as soon as possible and to go to the
with any complaints he
had to make.
A member Of the firm of Lazard
Freres stood behind the Heidelbach
Ikelheimer exporter during the COLO
guy. He fed with blanched face and
limbs to spread the news
that the government was redeeming
its obligations in silver. As a result a
great crowd almost Immediately gath
cred before the sub-treasury building,
while a deputation of bankers, with
Ahasuerus Heidelbach at their head
waited on the sub-treasurer and indig-
nantly demanded to know why the
government had repudiated its prom
ises to pay in gold. The solicitor asked
whether any gold certificates had been
presented for redemption to which the
reply was made that all government
certificates called for gold. The soli-
citor demanded authority for the state
ment, but it is needless to say that none
was given.
He then reminded his audience that
with the exception Of gold certificates,
payable in gold, and silver certificates,
payable in silver, all demands upon the
treasury were payable in coin, a term
Of definite meaning, easily understood.
MI Simmons Of the Fourth Ma
tional bank, angrily inquired If dol
lar in specie meant 6O-cent silver dol
lar and whether such payment did not
mean reputation. The solicitor de-
MED the existence now or at any time
in the past Of such a thing as a 60
cent metallic dollar within the limits
of the union and challenged his inter
rogator to name an instance in which
any such dollar had been detected. He
added, nevertheless, that no one could
be charged with reputation who per-
formed his contract in precise accord
ance with its terms and even though
a silver dollar had deprecated in
value. which he fatty denied. the gov