The Hawaiian star. [volume] (Honolulu [Oahu]) 1893-1912, 1901-02-23
LOCAL BANKS INTERESTED
THE COINAGE LAW BEFORE
CONGRESS.
BEFORE
One Explanation of the Blunder Dele
gate r. w. Wilcox Made on the h loor
of the House.

Local bankers are much disappointed
at the failure of the Hawaiian coinage
bin in Congress and anything but pleas
ed at the strange error by which Dele
gate Wilcox contributed to such "a re-
suit. Wilcox, when questioned by
members on the floor of the house made
the statement that Hawaiian silver was
at discount of SO per hundred here AS
matter of fact it is at par and has
been for a long time. Every bank in
the territory receives the Hawaiian
silver dollar at par with the American
gold dollar. Members of Congress
hearing that the coins were at a dis
count, naturally hestated to vote for
taking them up at par.
1t is thought that Wilcox made this
mistake by confusing exchange with
discount
THE delegate not only showed gross
ignorance" said a local banker this
morning, but he showed dishonesty in
pretending to be informed and to in
form Congress on something he knew
nothing about"
1t is estimated that there are only
about $750,000 left in Hawaiian silver
here. A million dollars worth were
made in 1888, in dollars, halves, quar-
ters and dimes. The dimes have all
gone. The other three coins remain in
circulation here and are even making
their way to some extent Unto cash
drawers at San Francisco
But there have been two large China
town fires since the coins were put
into circulation, and there is no doubt
that considerable boards of silver
money were destroyed both times.
Jumps of melted silver have since been
found on the scene of the conhagrat-
ions. Tourists have carried away hun
dredS of Hawaiian coins and are still
carrying them off, for souvenirs, and
there is natural, steady loss, as Is the
case with all coins
The bill which Delegate Wilcox help
ed to defeat by his bungling efforts to
support it was very satisfactory to To-
cal financiers, and they eXepct it to
pass at the next session of Congress, if
1T is not brought up again this session.
A contributing cause to the defeat of
the bill is said to have been a letter
from Honolulu asking for redemption"
of the Hawaiian money. This confused
the issue, as the desire is not for re-
demptiOn but for recoinage into Ameri-
can money so that the silver will re-
main in circulation.
The proposed law gives three years
for the calling in of the silver. 1t pro-
vides that the custom house and other
government offices where money is re-
ceived in large quantities shall accept
the Hawaiian coins but shall not pay
out any of them. The coins are to be
shipped to San Francisco for recoinage
This plan would effectually dispose of
the present complication.
One odd fact in connection with the
Kalakaua coins is that though all are
IA years old, some of them have not
seen the light of day even yet. They
are held in waits. They are in circula-
ton, being used as money, but never
having passed about, they still retain
the brightness of new coins. These are
all halves and quarters. 1t is probable
that some of them will never be circu-
lated publicly but after lying IA years
in vaults will be sent to San Francisco
bright as on the day they left that city
where they We're coined, to be melted
down and made into American money
The present situation in Hawaii is a
unique one. Though the territory is a
part of the United States and under the
coinage laws of that country it has a
money of it's own, in general circula-
ton and everywhere accepted as legal
tender at par. No bank ever charges
any discount in accepting it as stated
by Wilcox.
The passage of the coinage law will
be the signal for a boom in the souve-
nir-collecting business. When the
movement withdrawing the Kalakaua
money from circulation fairly begins
tourists and collectors will all scramble
for specimen coins, and the amount to
be recoined may ultimately be found to
be even less than $3.50, 900.