Phillipsburg herald. [volume] (Phillipsburg, Kan.) 1882-1905, 1899-07-27
Indian Currency Report.

committee on Indian currency, Just
issued in book form in London, is adj
visory in its nature. It contains
nothing new. and does not, as the
press report headlines would lead the
public to suppose, establish gold
standard for India" It will take
more than q parliamentary blue book
to accomplish that purpose, and as
the Bank of England but recently
paid premium upon gold in New
York for the purpose of recruiting its
weakened reserves, it is probably In
no condition to send large sums of
the yellow metal to India to establish
gold basis for the benefit of an
army of Auglo-Ind tax-eaters, the
only class in the empire who would
gain by the change.
Let Us see precisely what the Lon
don parliamentary committee-made
up from ofice-holding material
recommends to parliament, to the
body which must drop theory if it
acCs on the report and base new legis-
lation upon the available supply of
gold, the bulk of which rests in anoth-
or jurisdiction than tina Bank of Eng
land. Indeed, the gold supremacy.
together with the balance of trade,
belongs at presnt to double stand
ard country, the United States of
America, in which the treasury de-
partment at Washington, and the
associated banks of New York city,
both outrank the great British depos-
tory as custodians of gold, coined
and in bullion.
AS reported in the brief dispatches
of the Associated Press, the financial
blue book approves the decision Of
the government not to revert to a
silver standard. It argues that 1t
would be impossible to MAINTAIN the
status quo permanently, therefore
recommends that measures be taken
to introduce gold standard, with
the British sovereign as legal tender,
and advises that the Indian mints be
allowed to coin gold without restric-
tions on the same terms as the Aus
tralian minis. Finally, by a majority
of votes, the committee recommends
fixing the rupee rate at Is pence"
The expression mot to revert to q
silver standard" is not well taken, for
British India either rests on silver
standard or has no standard at all.
The director of the United States
minis, who can hardly be accused of
leaning toward silver, IN his official
reports give the following expert de-
scription of the monetary system of
British India:
The standard of this country is
silver, and the monetary unit, the
rupee, of the legal weight of $50 troy
grains, fneness 916.66, and containing
165 grains of pure silver.
There has been no change in the
weight, fneness or legal tender power
of the silver coins of India during the
last twenty years, or, indeed, since
the law of August z, 1885, which went
into effect on September 1, 1885, es-
tablishing the present monetary sys-
tenn of that country, with the single
silver standard. That law provided
that the company rupee, the name
which it introduced, should weigh a
new East Indisn thsler, or $50 grains,
916.66 fne-that Is. it should contain
165 grains of pure silver.
"The act of the governor general
in council, June 26, 1893, did not
change the weight, fneness, or legal
tender power of the rupee, although
it closed the Indian mlnts to the free
coinage of silver from and after the
date of passage. Silver. however,
will still be coined in India on gov
eminent account. and the government
holds itself ready to furnish new ru-
pees to individuals, in exchange for
gold, at the rate of silver rupee for
16 pence in gold. or Is rupees for
pound sterling. Ninty-three and one
| half rupees are manufactured out of
one kllogrsm of pure silver"
The status quo Is just thus: Silver
is coined at Bombay and Calcutta
upon government account. This sill
YER is purchased in London on par
ity of so cents per ounce, and dealt
out in India, to those who need it for
currency, at the rate of Is silver
rupees for FL in gold. But the gov
eminent does not work both ways It