The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1902-06-13
OF IMMEDIATE MOMENT
MONEY QUESTION IN THE PHILIP
PINES NEEDS ATTENTION AT ONCE.
Indiana Educator mt Manila Says 1t
Is of More Importance Than the
"Wnter Cure" or the Cholera.
pecial to the Indianapolis Journal.

Special to the Indianapolis Journal.
BLOOMINGTON. Ind. June 12.-Interest-
ing information comes from the Indiana col
ony al Manila in reference to the financial
condition growing out of the exchange OF
money because of the silver basis in that
country and is one of the evidences of how
the free silver would result if in practice
in the United States. Among the leading
members of the Indiana colony at Manila
is Dudley o. McGovney, a well-known
graduate of Indiana University. who re-
Gently married Miss Lura Wodburn, of
this city. In letter dated May he writes
to W. Z. Wodburn. cashier OF the First Ma
tional Bank, Of the difficulties arising from
the use OF silver and the expense to teach
ers and other government employees in ex-
changing their money for gold.
Mr.. McGovney in his own way best ex-
plains the situation as follows: "One of our
dailies said last night that if our financial
disorders were cured we would gladly put
UP with the cholera. If Congress would get
tired discussing the water cure" and let
some of the water out of our currency it
would be the best thing it could do for
the islands, and that opinion is shared by
all the Americans in the islands Gold is
money of the islands is on a silver basis.
the Mexican dollar being the basis of value
Nine months ago Mexican dollars ex-
changed two for one American. a Mexi-
can dollar was a 50-cent piece, and no in
convenience was felt Gold appreciated
gradually. Civil employees paid in Mexican
currency were losing money on salaries con-
tracted in American money. The commits
sion made "A government rate OF $2lO for
the first quarter ending March 81. This was
fair in January, but toward the end of the
quarter gold was worth Sis 10 $225 and
S2.3O, and constantly going up. The COM
mission raised the rate to s2.27 for the sec
ond quarter. Gold still went up, reaching
$40 by the last OF April. When we drew
our April salaries we lost 13c Mexican
about &c gold on the dollar. The aggravat-
ing part of 1t is handling the money after
we draw it. At the present rate of exchsnge
an employe on a salary of 800 American
money is given a check on the 'Hong-Kong
Shanghai Banking Corporation of Manila
where the government funds are deposited
for S227 Mexican. The bank has no paper
currency any more. The cashier counts out
227 Mexican dollars. The victim fills his
bag and limps away. Whenever he goes to
buy anything he Tugs his bag of pesos
Il went 10 buy razor yesterday 1t was
marked 81 l thought that very reasona bic
The dealer explained however, that that
was the price when Mexican was to /
but now he must charge me 81 gold L null
tiplied 81 by $2.27. the government rate and
got out A.d TO pay for the razor He fur
Their explained that he would not sell at the
government rate, but must have the bank
rate. which was about s2.35, and | got il for
$40 | don't know whether 1 was robbed
or not Besides, when a fellow is robbed
here he feels as If favor was conferred
upon him. His burden is lightened. To
pay a debt outside of the islands we have
10 buy gold. costing us now $40 for So p
paid US by the governmental discount of s
per cent. The postoffice will not receive
Mexican money at any rate for money
orders. You have 10 first buy gold from the
banks.
THE money problem is more serious than
the cholera; more serious than the vanish
ing insurrection: il is the root of more evil
and evil practices than anything else in
the islands. IL is also the most difficult
problem now before Congress in connection
with the Philippine islands"