The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1900-01-11
GAGE MAKES REPLY
Secretary Of the Treasury Gives IBfor.
nation 10 Congress.
NEUTRALITY-SUSPICIOUS. REPLY.
He JuStifieS His Course in Every ri.
nancial Movement.
CLAIMS HE PREVENTED A PANIC.
e,
as,, 20 9ank Had Qualified for Dis
''0rsi RI, mi t5ss,esss Bond Deposits.
e, ~
SALE OF THE IT, JuSE PROPERTY
CLAIMS HE PREVENTED A PANIC
Keep Purchase Money ON Deposit.
The War Loan.

Washington. January TO- - Secretary
Gage today sent to congress his replies 10
resolutions recently introduced in the sen
ate by MIR Allen (Nehl aud in the house
by Mr.. Sulzer IN. " The text OF his re-
ply which is an exhaustive exposition of
the management OF that branch of the
treasury office under his administration
relating to National bank repositories,
contains about 5000 words. which is supple
mented by special reports from depart
ment officials relative TO special inquiries
into the resolutions, including copies of
over 1000 letters on the subject under con-
sideraton In summing UP his reply to
the inquiries, the secretary says
l. The reason for utilizing National
banks as repositories for public moheys
authorized by law when the receipts OF
the treasury We're exceeding its eXpendl-
lures was to avoid The disturbance 10
business which the withdrawal OF large
sums OF money FROM an active circulation
TO the treasury must inevitably cause. me
policy thus pursued by rue has been me
established policy OF the government Tor
many years, and departure from It under
similar conditions would certainly cause
destruction.
.. The reason for directing the External
,o,,aruos into Depository banks AL this
49, ts ,bat Tho revenues are nov largely
~ The disbursements from month 10
,,,,tn ina seem pkoly 10 be so for an in-
Ingntts ,tme This condition would be a
,reracs IN fhe business world II assurances
were not given that this surplus would DE
diverted from the treasury vaults 10 puo-
ir denositories where. while secure 10
~, gd,,ernment a would remain available
~. ,s,s;-os,, ne,
Va 1,te roaeo, Tor directing ali OF the
/ ,.t.,,ai ,o,,nn,,n receinte ia one depository
Nc ,hat II ts more convenient to first col
,oa, ~ rcceints of numerous Offices into
NC r'lace and "a make the desired distribu-
go, sror, Il ,han IN give new instructions
5a;i,, a. ~ Collectors The most cunve-
aGan, s,ency n effect such distribution
men .I ,,,icb ,e member of The New
w, "Iaarins bonss
rrts.,',s9,or To-, selecting the National
| rit, h,rL az such distributing agency was,
~ ,i,1c nc order was ISSUED il was
o. ~ h,,t event, hanks who had Of
Sered bonds emftiriont 10 cover the amount
! ", iii, danosite lite b,nd depost was
VI y ooo noo IA tbo, ~ mo Hanover Ma
| ,isa, ha,,l, 81 o50 oo0 Tho National city
| so,il tho,oro,.o tho ono most naturally
etnro, ~ ne sixtv-eieht hanks applying
tI haro &c tbe aenostts the National
| ~ ~. sna ~ 11ano,,er National hank and
| wy paih, '"e o,i.s,,, s,,. o,,a, sso0 n00
ny 49,, naty ones out NJ the sixty
49,, s,it,,,ino sronn No which have
~ 49, s,,nnlied The full amount for
,,,tah ,bo,, Ma offered security.
"n''u ~ ,,-s.,, bo,,se rronortv was sold
~ NJ tus GU bant as he highest
49, ~ sar ~ T,i, . 1909 Under the terms
es sW VI :, VA INC ontion of having in
" ,iu n'ie - - ~ ,,,,cbsse money at any
80. .asn a. ~ nsr, il nigh elect above
slnn ooo " III, cum II was absolutely
ou,;,o5 - nav II exerr,sed this option
'nhrosine ~ nav a. az mo leaving $50.
e5o ,,et due The navment received was
Wv ;n,o ,he traas1,rv nv denosft in the
Ne, bant II having heen the es
Na, ,,t -. ar,, ~ trnasurv ofAcials nm
Iap''sueo ai " ,beir ieeai advisera
w tuo Saatstone ~ tba eunreme
eupPoi t.u !atso. raa,a,s ar, denosit IN
eouil. ~ ~ ,roas,ro- ~ The limited
sue ~ desisnstea denositories as
a,.,,s -, no traaeurv mis- dennsit was
n,ode in a denository bank for the same
nlaue =" -. 1e,Sesit ba,,o besn made
reason ina o."ei poes',se 70 N,i,bdrgw The
IN lneui ~, ,'a,,,,s =, ~ ,rsssnry
t' - ot raedad ana could not he
"here ~ Ma1 ~. us .o-,,,roS ,,ithdravai
ut'li1eu "Guiu 10 a,as a,tended in con,.
VI Sleu'' t Ia 90 - tbat eytent a dis
lle, me, oiaI VI -, ANAL nr5er NJ business
turbanee 10 tne uaSu'S n osue. % ,,s
would nave 'I,l on WationaI r,ty bspt 10 an.
!, payment py me anne et. ~ oauN bayo
oVner aes,sna.eu ueP S1acpiy,,nay,on Win.
ueen an tfiii. Cbonging tbs fsrr FINAL
OUT su9slanlis,i3 . ,,,stra,Io,, ~ he ,ress
~ uhuer my INSTRUMENTATION in tavor
urE uepS h r'nl'n. al snather has been
81 one nanh as i'usl s ,.,t a., In.
made. Generally speaking, when an ,h W.,
crease OF deposi,o.y psuhs ., Ms
: have been lnyitea 70 gv'' IA have heen