The Topeka state journal., 1897-10-23
For the Failure of BimetalIic
Negotiations.
FRANCE WAS READY
Willing to Open Her Mints at
ID I-2 to 1.
Official Report of the Confer
ence is Made Public.

of the United States monetary commits
sion has been issued by the British for
eign office. The following account of
the negotiations is taken from the Of
fcial publication: At the conference
held at the foreign office on July II, the
premier, the Marquis of Salisbury;
the secretary of state for India, Lord
George Hamilton; the chancellor of the
exchequer, Sir Michael Hicks-B Beach;
the first lord of the treasury, Mr.. A. J.
Balfour; the United States ambassa-
dor, Col John Hay, and the United
states monetary commissioners, Sena-
tor Edward o. WOlcOtt, of Colorado,
Vice President Adlai E. Stevenson of
Illinois, and General Chas. Jackson
Paine, of Massachusetts, were present
On the invitation of the British pre-
mier, Senator WOlcott explained that
the object of the mission was to aScer-
tain in advance of an international
conference the views of the government
and the ENJOYS had determined to as
certain the views of the French, Brit
lsh and German governments on the
subject of holding a conference. They
had been to France, where they reach
ed a complete and satisfactory under
standing with the French government
and the ENJOYS would have the Coop
GRAFTON in this matter of the French
ambassador in London.
The senator then explained that the
success of the mission depended upon
the attitude Great Britain would take
and he requested Great Britain to
agree 10 open the EnS1Sn InlnIS, as us
contribution to the attempt to restore
international bimetallism, with France
and the United States, cooperating to-
gether in an attempt to that end.
The Marquis of Salisbury asked if
France was ready to open her mints to
free coinage and Senator Wolcott re-
piled Yes
The premier thereupon inquired at
what ratio France would open her
mints. Senator Wolcott said at 155R
adding that the American ENJOYS had
accepted this ratio
Then the senator presented the fol-
lowing list of contributions which
among others he suggested that Great
Britain might make;
"First-The opening of the Indian
mints and the repeal of the order max
ing the sovereign legal tender in India.
Seeond-PIacing 0ne-fifth of the
bullion in the issue department of the
Bank of England in silver.
''Third-Raising the legal tender linn
it of silver to 10 pounds and issuing 20
shilling notes based on silver, which
shall be legal tender, and the retire
ment, in graduation or otherwise of the
10 shilling gold pieces and the substi-
tuition of paper based on silver.
tFOurth-An agreement to coin an
nually so much silver, the amount to
be left open.
"Fifth-The opening of the English
mintS to the coinage of rupees and the
be full tender in the Straits settlements
and other silver standard colonies and
IeIQeT IN the Ou1lSu AlnSuOEl Ln6
limit of silver legal tender.
''SiXth-COlOnial action and the coin
age of silver in Egypt.
notwithstanding having the gen
eral scope of the Huskisson plan.'
The meeting then closed, and it was
understood by the parties that owing
to the absence of the French ambassa-
dor from the proceedings they should
be regarded as informal and a second
conference was held on the 18th, at
which, in addition to those already
mentioned, the French ambassador and
H. COffrey, the councillor of the French
embassy, were present.
The French ambassador was invited
to declare the position of the French
government and he said France was
ready to reopen her mints to the coin
age of silver if the commercial nations
adopted the same course and he adVO-
Gated at great length the ratio of 1515.
But he explained France would not
regard the Teopening of the mints of
India alone as being sufficient guaran-
tee to permit the French government
to reopen the French mints to the free
coinage of silver.
Sir Michael Hicks-Beach then an
nounced definitely that Great Britain
would not agree to open the English
mints to the unlimited coinage of silver
and that whatever views he and his
colleagues might hold regarding bimet-
allism, he could say that they were
united on this point.
The reply of the government of India
on which Lord Salisbury based his de-
CiSiOn is long document, giving an
emphatic negative to the proposal to
reopen the Indian mints. 1t says:
THE first result of the suggested
measures, if they were to succeed even
temporarily in their object would be
an intense disturbance of Indian trade
and industry. There would be a sud
den rise in exchange, which, if the ratio
of 151z to l We're adopted would be to
about three pence the rupee.
1.-The paralysis of trade and in
dustry would be prolonged and would
be accompanied by acute individual
suffering. None of the advantages ex-
pected would be attained, and the coun-
try would pass through critical pc
riod which would retard its progress
for years. The position would be dis
astrous alike to the state, to individ-
uals and to the trade generally. The
exchange value of the rupee, having
risen suddenly, would fall equally
suddenly to point far lower
than the present level, probably to
nine pence, and even lower Such a
fall apart from other disastrous re
suits, would necessitate additional tax
alton to the amount of many crores."
The report then proceeded to point out
that the proposed agreement would be
a much more serious question for In
dia than for the United States or
France, as the whole risk of disaster
from failure would fall upon India If
the agreement broke down. the United
States and France could take precau-
tions against a displacement of their
gold reserves but in India the rupee
when collapse came would fall head
long and the government would have
no remedy against the falling of India's
standard of value.
For continues the reply eff the In
dian mints are re-opened to silver now
it would be practically impossible for
the government ever to close them and
if it were possible it would only be
possible after large additions had been
made to the amount of silver in circu-
latiOn.'
After noting that ''the effect of the
adoption of the scheme would probably