St. Paul daily globe., 1896-03-17
SECRETARY OF TREASURY WILL
BE THE ADMINISTRATION CAM
DIDATE
AS A SOUND MONEY" MAN.
HIS FRIENDS WILL URGE THE
KENTUCKY STATESMAN FOR
NOMINATION..
CLEVELAND WILL SAY NAY, NAY.
President VIII Soon Make Public
His Refusal to BE a Third-Term
Candidate.

WASHINGTON, March 16.-Secre-
tary Carlisle is a candidate for the
presidential nomination at Chicago,
and public announcement to that eff
rect will soon be made by one Of the
secretary's close friends in the senate.
This announcement, however, will not
be made until President Cleveland has
formally stated his purpose not to per
NIT his name to be used in the con-
Ventlon in connection with third
term. 1t is learned that the president
has fully decided upon this course,
and it is expected that he will make
known his determination within a
short time.
Although Secretary Olney's name
has been considered with favor by
Democratic leaders, It is known that
ne does not desire the nomination. 1t
is undoubtedly true that Mr.. Carlisle's
candidacy will have the support of
Mr.. Cleveland and the members Of
the cabinet. He will 60 before the
convention as the representative of the
Sound money views of the admin
istration. His friends, in conducting
the canvass for Mr.. Carlisle's nonlina-
ton, will urge that it be made upon
a sound money platform, and, If he
be successful at Chicago, will! then
make this issue prominent in the CAIN
paign leading up to the November
elections.
Representative Patterson, of Ten
nessee has received from Secretary
Carlisle the following letter in re
sponse to ex-Speaker Crisp's deciara-
ton that silver had received unfriend-
ly treatment at the secretary's hand:
Washington, D. c., March 16 1S96-Hon.
Josiah Patterson, House of Representative
My Dear Sir: Your favor of Feb IL was
duly received, and ought to have been an
swered at once, but the pressure of official
business has compelled me to delay a re-
sponse until now. You ask me to "state
fully how have dealt with the silver cur
secretary of the treasury, and whether I
have; in dealing with the subject dscredited
silyer?'
METALS TREATED ALIKE.
In answer to your question, 1 can only say
that in all the operations of the treasury de-
partment during my administration of its
a1alrs the legal tender gold and silver coins
or the United States have been treated pre-
cisely alike, except that greater efforts have
been made to keep silver coin in circulation
than nave been made to keep gold coin in
circulation. The amount paid out by the
department in silver coins and silver certif-
Gates greatly exceeds the amount paid out
IN gold coins and gold certificates, and in
no instance has the least discrimination been
made against silver or its paper representa-
tive. In no instance has silver or silver GER
tifcates been refused in payment of debt
or demand due the govern >raent, and in no in
stance has the government refused to pay sill
yer coins or silver certificates in discharge of
it's obligations when the holders of the obli-
cations demanded or requested such pay
ment.
When United States notes or treasury notes
are presented for redemption, gold is paid if
it is demanded. and if silver is demanded,
silver is paid. Thus, the coins of the two
metals are treated exactly alike in making
payments by the government as we'll as in
the discharge of debts due to the government.
1t has always been the policy of the treas
ury department to encourage the use of sill
yer to the largest possible extent and in or
der to accomplish this. standard silver dol
lars will be sent by express at the expense
OF the government to any one who will de-
posit an equivalent amount in silver certif-
Gates or in treasury notes of 1890, with the
United States treasurer or any assistant
and subsidiary silver coins will be sent by
express at the expense of the government to
any one who will deposit with such officers
or banks any kind of United States currency
or national bank notes: but gold is not sent
to anybody free of charge.
In August 1S93 there was a great and un-
usual demand in nearly every part of the
country for currency of small denominations,
and in its attempts to supply this demand,
the treasury department paid out, in defray
ing the expenses Of the government and 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
compelled to suspend payment in standard
silver dollars except in the redemption of
silver certificates and treasury notes of 1890.
The law authorizing the issue Of silver GER
tifcates upon deposits of silver provides that
'the coin deposited for or representing the
certificates shall be retained in the treasury
for the payment of the same demand
FACTS IN THE CASE.
1t is therefore plain that whenever the
not exceed the amount of silver certificates
outstanding, the secretary of the treasury
cannot, without violation of law, pay out
such silver except for the redemption of GER
tiftcates. At such times he has no more right
to exchange silver 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 a
different purpose. It consists of the bullion
and the standard silver dollars coined from
the bullion purchased under the act of July
Of silver bullion at the market price and the
issue of treasury notes in payment for it, and
it also declares that mo greater nor less
amount of such notes shall be outstanding at
any time than the cost of the silver bullion
and the standard silver dollars coined there
from, then held in the treasury purchased by
such notes."
Under this provision the secretary is re-
quired to keep in the treasury at all times,
an amount of silver bullion, at it's cost price
and in standard silver dollars, coined from
the purchased bullion, exactly equal to the
amount of treasury notes outstanding, and he
cannot therefore, lawfully use such standard
silver dollars except for the redemption and
cancellation of treasury notes.
My letter to the United States senate upon
which Mr.. Crisp's statement seems 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 standard silver dollars in the treasury eX-
cept such as the law required to be held for
the redemption of silver certificates and the
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, 1885, treasury notes to the amount Of
81 ,273 267 were redeemed In silver and cam
celed, and since the first day of August, 1893
the total amount Of such notes redeemed in
silver and cancelled Is $10.6SS72
Prior to my administration of the affairs of
the department none of these notes had been
redeemed in silver cancelled. Since the
beginning of this administration nearly $1f0,-
600 600 in gold has been procured in exchange
for other forms of currency OF this amount
IS, 915,812 has been procured in exchange for
silver coin and $40 S29 ,330 in exchange for sill
certificates. The department has never
refused to exchange silver for gold when It
had silver that could be lawfully used for that
purpose, and IL II had so refused am wholly
unable to see how IL could be considered a
discrimination against silver. Ia a refusal In