The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1898-01-03
IT'S BASIC FOUNDATION
EXISTING GOLD STANDARD TO
BE MAINTAINED.
No Silver Dollars Shall Hereafter Be
Coined-Coinage and Redemption
of Subsidiary and Minor Coins AS
Now-Banking System-Goldbug
Plan of Reform"

and other information, has been sent out
by the executive committee of the IN
dianapolis convention. Under the head of
silver currency the report says:
We have 1854 355, 031 of notes of IS and
under, and $780, ,7SS of silver dollars IN
actual circulation, making a total OF $4l4-
55l,Sl9 OF current money IN use, exclusive
of gold, IN denominations of 81, & and 90
Our total stock of silver dollars is $751;
7l3, 1872. This is an excessive quantity to
have at the existing discrepancy between
their legal and actual value. But with
further coinage of them discontinued, and
their parity assured by the exchange of
gold for them on demand, it IS better TO
retain them as they are than TO attempt
a final solution at this time of the prob
lem which they present. By Withdrawing
all silver certificates over s., and all other
notes under SO place will be made
for nearly all the silver dollars in way
which viii give the country the full bene-
fit Of them for current use without I'M
posing upon the treasury any serious
burden in their maintenance
BANKING SYSTEM.
Concerning the banking system, the re-
port points out that the chief difference
of the proposed from the existing system
of bank notes is that it gradually does
away with the requirement that there
shah be q deposit of bonds with the gov
eminent as q condition for the issuance
thereof. AS now, the notes are to be first
lien upon all the resources of the banks,
including the stockholders liabilities. This
change is necessary because of the scare
itv of United States bonds and the at
tempt TO substitute other bonds would
lead to many evils.
But the chief interest in the report CEN
tiers in the plan of currency reform, pre-
ssnted as follows:
CURRENCY REFORM.
F'irst-The existing gold standard shall
be maintained: and to this end the stand
ard unit of value shall continue, as now
to consist of 25.S grains OF gold nine
tenths fine, or 1922 grains of pure gold
as now represented by the one-tenth part
of the eagle. All obligations for the pay
ment Of money shall be performed IN con-
fornity TO the standard aforesaid; but
this provision shall not be deemed to af-
feet the present legal tender quality of
the silver coinage of the United States or
of their paper currency having the quality.
of legal tender All obligations of the
United States for the payment of money
now existing, or hereafter entered into
shall, unless otherwise expressly provided,
be deemed and held, TO be payable in
gold coin of the United States, as defined
in The standard aforesaid.
Second-(In substance). Gold coinage as
now
Fourth. Fifth and Sixth nclusive)
Coinage and redemption of subsidiary and
minor coins now.
Seventh-There shall be created separ-
ate division in the treasury department,
to be known as the division OF issue and
redemption, under the charge of an as
sistant treasurer of the United States
who shall be appointed by the president
by and with the advice and consent Of
the senate.
Eighth-To this division shall be COM
mitted all functions of the treasury de-
partment pertaining to the issue and re-
demptiOn of notes or certificates, and TO
the exchange of coins; and this division
shall have the custody of the guaranty
and redemption funds of the national
banks, and shall conduct all the operations
OF redeeming national bank notes, as pre-
Scribed by law; and TO this division shall
be transferred all gold coin held against
outstanding gold certificates. all silver
dollars held against outstanding silver
certificates. and all silver dollars and sill
Yer bullion held against outstanding
treasury notes of 1890. and all subsidiary
and minor COMES needed for the ISSUE and
exchange of such coins, and the funds
deposited with the treasurer for the liQui-
dalton of national bank notes. All ac-
counts relating to the business OF this
division shall be kept entirely apart and
distinct from those of the fiscal depart
ments of the treasury; and the accounts
relating to the national banks shall he
separate and apart from all other ac-
counts.
THE RESERVE.
.Ninth-A reserve shall be established in
this division by the transfer to it by the
treasurer Of the United States from the
general funds of the treasury of an
amount of gold in coin, and bullion equal
TO % per cent of the aggregate amount
OF both the United States notes and treas
ury notes issued under the act of July
i. $780, outstanding, and further sum
in gold equal to per cent Of the aggre-
gaze amount OF the coinage OF silver DOL
lars. This reserve shall be held as
common fund, and used solely for the re-
demption of such notes and in exchange
for such notes; and for silver, and sub
Sidiary and minor coins
Tenth-It shall be the duty of the sec
rotary of the treasury TO maintain the
gold reserve in the division of issue and
redemption at such sum as shall secure
the certain and Immediate redemption of
all notes and silver dollars presented, and
the preservation of public confidence; and
for this purpose he shall from time to
time as needed. transfer from the general
fund of the treasury to the division of
issue and redemption any surplus revenue
not otherwise appropriated; and in ad-
dition thereto he shall be authorized to
issue and sell whenever it is in his judg-
1nent necessary for that purpose, bonds
of the United States bearing interest not
exceeding per cent. running 70 years,
but redeemable in gold coin, at the option
of the United States, after one year; and
the proceeds of all such sales shall be
paid into the division of issue and re-
demption for the purposes aforesaid.
TEMPORARY DEFICIENCY.
Eleventh-To provide for any temporary
deficiency which NAV at any time exist
in The fiscal department of the treasury of
the United States the secretary of the
treasury shall be authorized at his dis
erection, to issue certificates of indebted
ness of the United States, payable in
from ore TO five years after their date,
to the bearer of the denominations of $50
Of multiples thereof, with interest at
rate rot TO exceed per centum per an
num- and TO sell and dispose of the same
for lawful money at the treasury depart
ment and a the subtreasuries and desig-
mated repositories Of the United States,
and at such pOstoffices as he may select
And such certificates shall have the like
o leges and exemptions provided
in Inc act to authorize the refunding of
the national debt, approved July H. 1878.
LOANS.
Tvelfth-Wheneveg money is to be Dor
rowed on the credit of the United States,
the secretary of the treasury shall be
authorized instead of issuing the usual
forms of engraved bonds upon receiving
lawful money of the United States in
sums of not less than fifty dollars CS50)
in any single payment, to cause a record
of ali such payments TO be made in books
to be kept for that purpose in Washing
ton, and thereafter, from time to time 10
pay to those so registered on such books
interest not exceeding 8 per cent per an
mum in gold coin, on the amount with
which they shall severally stand credited
on such hooks in the same manner and at
the same dates as if they were the hold
ers ana owners of registered bonds of
the United States: and he shall also nav
TO those 50 registered the principal sum
originally deposited. in gold coin. at the
date of maturity of such inscribed loans
Suitable arrangements shall be made at
each and every money order postofice in
the United States for receiving such pay