The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1896-03-17
1.-THE LARGEST CIRCULATION OFF AMY NORTH GAR0lLMA DAILY

ment in exchange for other forms of
currency, all the silver that could be
lawfully used for these purposes, so
that for a short period it was COM
PEELED to suspend payment in standard
silver dollars excepting the redemp
ton of silver certificates and Treasury
notes of 1890. The law authorizing
the issue of silver certificates upon de-
posits of silver provides that "the coin
deposited for or representing the GER
tificates shall be retained in the Treas
ury for the payment Of the same on
demand" It is therefore plain that
whenever the amount of silver dollars
in the Treasury does not exceed the a.
mount Of silver certificates outstand-
ing, the Secretary of the Treasury
cannot, without a violation of law, pay
out such silver except for the redemp-
tion of certificates. At such times
he has no more right to exchange sill
yer dollars for gold than he has to pay
them out in any other manner. But
there is also another fund in the
Treasury which is required by
law to be held for different pur-
pose. 1t consists of the bullion and the
standard silver dollars coined from the
bullion purchased under the act of Ju-
~ IA, 1890. That act provides for the
puchase Of silver bullion at the mar
ket prices and the issue of Treasury
notes i'm payment for it, and it also
declares that mo greater or less
amount of such notes shall be outstand-
ing at any time than the cost of the
silver bullion and the standard silver
dollars coined therefrom then held in
the Treasury purchased by such notes"
Under this provision the Secretary
is required to keep in the Treasury at
all times an amount Of silver bullion,
at its cost price, and in standard sill
yer dollars coined. from the purchased
bullion exactly equal to the Treasury
notes outstanding and he cannot,
therefore, lawfully use such standard
silver dollars except for the redemp-
tion and cancellation of Treasury
notes.
My letter to the United States Senate,
upon which Mr.. Crisp's statement
to have been based, was written on the
18th day of August, 1893, and at that
time there was no free silver in the
Treasury; that is, there were no stand
ard silver dollars in the Treasury, ex-
cept such as the law required to be held
for the redemption of silver certificates
and the Treasury notes of 1890, and
these redemptions were made at all
times during that month, and every
other month, when these forms Of cur
rency were presented. During the
month of August, 1898, Treasury notes
to the amount Of $1,279,267 were re-
deemed in silver, and cancelled, and
since the first day of August, 1898, the
total amount of such notes redeemed in
silver and cancelled is 1858, ,722.
Prior to my administration of the af-
fairs of the department, none of these
notes had been redeemed in silver, or
cancelled. Since the beginning of this
administration nearly 110,000,000 in
gold has been procured in exchange for
other forms of currency. OF this
amount, $8,915,812 has been procured
in exchange for silver coin, and $10,-
329,330 in exchange for silver certfi-
Gates. The department has never re-
fused TO exchange silver for gold when
it had silver that could be lawfully
used for that purpose, and if it had so
refused, / am wholly unable to see how
it could be considered a discrimination
against silver. Is a refusal to pay out
gold in exchange for silver discrimina-
ton against gold? If not, it of course
follows that refusal to pay out silver
for gold is not discrimination against
silver.
In response to your verbal inquiry,
concerning the coinage of standard sill
yer dollars during the present admin
istration, you are advised it only
amounts to the sum of $6,662,00 up to
the 18th day of this month, while the
whole amount of such dollars coined in
this country from the establishment of
the mint, in 179I, up to February, 1873,
a period of SO years, was $8,030,000
enclose herewith a copy of my let
ter to the United States Senate referred
to aboye.
Very truly yours,
j @ CARLISLE