The morning times., 1896-07-07

Business men and other citizens OF this
city who find it necessary to become bOr-
rowers OF money are already beginning
TO feel the present handicap Of the pros
pective free silver clause. This is evil
denced the fact that large proportion
OF the deeds Of trust now being filed for
record stipulate that both interest and
principal must be paid 10 gold.
Two years ago 1t was rarity to find
deed OF trust bearing this proviso, but
within the past twelve mouths the number
has steadily Increased until it became the
rule and not the exception. Every loan
made in this city by the representatives OF
the great outside corporations DOW con.
tains the gold clause.
The trust companies OF New York, Phil
adelphia and Baltimore, who make q reg
ular practice of advancing money on
Washington real estate, will refuse the most
satisfactory security unless the borrower
will obligate himself to make repayment
in gold.
FORCED TO FOLLOW SUIT.
While the local financial concerns have
not to any great extent folio wed, this ex-
ample, they are slowly swinging into line,
and some of the more recently filed trusts
specify liquidation in nothing but gold. The
adoption OF this practice can readily be
computed when attention is called to the
fact that more than twenty trusts are filed
each day. Fully one-third of the papers
passing through the hands of the recorder
OF deeds are trusts. During the past year
not less than 9 ,240 trusts have been filed,
which must of necessity represent large
sum OF money.
If only half OF these documents contained
the gold clause there remains 3 20 mort
cages to be lifted in gold as the result of
one years free silver agitation, and the
percentage OF increase is daily growing.
II the average amount of each OF these
81 20 trusts be but So, 900 there is already
piled up the enormous sum OF So, ,240, ,000
which the citizens OF Washington must
hereafter cancel with gold.
SHOULD SILVER TRIUMPH.
The fact must not be overlooked that some
of these trusts run for long period OF
years, and the partial or complete triumph
OF free silver would make the payment of
this rapidly growing Indebtedness in gold
coin a matter Of hardship, if not actual loss.
No action of Congress Can affect the
legality Of Il properly drawn private con-
tract stipulatiDg the ayment OF money in
gold. The constitution provides that such
contracts cannot be impaired by any acts
trust papers of the clause providing for
the payment OF both interest and principal
In gold coin is as effective us the clause
relating to the period of maturity.
Those making loIns, who thus fortify
themselves, feel little anxiety Us TO what
Congress may do in the way of financial
legislation. They cannot guard against all
the effects of the disaster which might
follow the free coinage OF silver, but by
insure some first class investments.
BANKS IN THE CAMPAIGN.
None of the Washington banks have as
yet decided TO follow the example of the
New York institutions and take a nom
partisan part in the campaign by sending
outat their own expense sound money litera-
ture. At the same time the good work in
this line being performed By the New
York banks is II matter of frequent COM
ment. The Fourth National Bank OF that
City is sending out 10O, COO copies of a
twenty-five page book entitled "Gold,
Silver and Paper Money" The preface
by j. Edward Simmons, the president, is
as follows:
THE currency question at this time in
vites the intelligent thought and dis
cussion OF every thinking individual in the
country. Allare interested in the integrity
change transactions are identified. The
influence of money reaches everywhere
and everybody. In this Country cur
rency system has Been established which is
complexin character and not clearly under
stood even by some who undertake to dis
cuss It.
'.The purpose of this little book is to
present clearly and accurately every i'm
portant and necessary fact connected with
the history of American currency from the
demise OF the old continental note to the
issue OF the United States Treasury
note Of 1890.
IN SUPPORT OF NO THEORY.
'No attempt is made to influence opinion
or to support a theory, and no labor has
been spared to secure accuracy in every
detail. We think that no question can be
raised concerning the issues Of coin or
paper money by the United States govern
ment since 1888 which will not find its
answer in this book
The postage for sending out this publica-
tion will cost $4,000, and to this must be
added the cost Of preparation. printing,
envelopes and extra clerical assistance.
Other New York banks are sending ont
enormous quantities of fina ncial docu-
ments. which have been carefully COM
piled according to their own views Har-
vey Fisk & Sons and many other leading
firms are pursuing similar course, and it
Is impossible to approximately estimate the
vast output Of educationa literature which
is being scattered broadcast through the
country by private corporations and per
SONS at their own expense. In addition
the chamber Of commerce is Maintaining
q wellequipped bureau which devotes it
self exclusively to the dissemination of