The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1896-11-16
WAR ON THE
GREENBACKS.
Plan to Retire Government
Paper Money Through Bonds.
Greenbacks Paid Into Treasu-
~ to Be Cancelled.
CARLISLE SUGGESTS
A Banking Currency Proposed
to DispIace Greenbacks.
Abont S9O,OOO,OOO to Be Re-
tired First.

st. Louis. Nov 16.-The Globe Dem
Ocrat publishes the following special
from Washington:
There is no doubt that the admins
tration proposes to continue the war
upon the greenbacks and to recommend
the adoption of banking currency. Sec
retary Carlisle and Comptroller Eckels
will embody recommendations in their
reports to congress similar to those
which they have made during the past
three years. These recommendations
Will be, however. more complete, com
prehensive and harmonious than here
tofore. These officials believe that pub
lie opinion has been ripening upon this
subject and they find the evidence of
it in the declarations of many Repub-
lican papers since the election and in
the action of the commercial bodies of
Indianapolis and Baltimore. They are
hopeful that the plan outlined at In
dianapOlis for correspondence between
chambers OF commerce throughout the
country in favor of retiring the green
backs, will be carried out, and viii re-
suit in a movement which will inf1u-
ence many of the sound money mem
bers of the house.
Secretary Carlisle will make the same
recommendation in regard to the green
backs which he made last year-that
the secretary of the treasury be au-
thorized to issue bonds for the purpose
and that he be authorized to sell the
bonds from time to time. at his discre-
ton, for greenbacks or for gold to be
used in their redemption. The green
backs paid into the treasury for bonds
would be Cancelled, under this plan,
and their payment would have the
same effect as payments in gold Tor
the purpose of greenback redemption
1t has never been proposed by the ad-
ministration to throw the entire mass
of bonds upon the market at one time
or to attempt to withdraw all the
greenbacks within a short time, but 1t
is desired that the secretary of the
treasury have authority to gradually
reduce the volume of government pa
per outstanding. with due regard to
the condition Of the money market and
of the treasury.
Thus far President Cleveland was
ready to go last year. He has shown
himself more cautious in regard to the
adoption of a banking currency; but it
is believed by the supporters of that
system that the events of the past few
months have opened his eyes to the ne
ceSsity of new legislation. Secretary
Carlisle will probably recommend UhaI
some definite step be taken toward au
thOrizing the issue of bank notes upon
business assets, with provision for
safety fund and for national supervis-
ion of banks of issue He may not
propose so complete q revolution in ex-
isting methods as he proposed in his
annual report for 1894 but he viii prob
which will put the banking principle
on trial.
The most prominent supporters OF a.
banking currency have heretofore been
found in the Democratic ranks but re-
cent expressions in Republican papers
and among Republican business men
seem to indicate that many of them are
ready for a step in this direction. The
principal purpose of the Administration
is to keep the subject under discussion,
and pave the way for action. 1t is hard
ly expected that a bill can be passed
during the coming short session of con-
gress, but il is thought desirable to
continue the Campaign of education"
on the subject which was begun two
years ago.
one of the suggestions of Secretary
Carlisle, which there may be an effort
to put through the coming session
viii be the cancellation of such legal
tender notes as may be in the treasury
at the time of the passage of the bill.
The amount which would be affected
if such a bill were passed at the pres
ent time would be $50. 1000 900 in United
States notes and $40, ,OOO, 900 in Sherman
treasury notes. If these were cancelled
and retired, the treasury would still be
left with s13S, 900. 600 cash. including the
gold reserve