New-York tribune., 1906-12-30
TREASURY DEFENDED.
NO AID TO GAMBLERS.
Secretary Sharc on Cause of Tight
Money and Market Relief.
from The Tribuns Bureau. ]


! Washington, Dec. 29.-Neither the bulls nor
the bears of Wall Street are under the protec-
ton of the United States Treasury: the money
I'm the Treasury vaults is to be devoted the
protection Of the countrys business; IL one
class or another of the money market specula-
tors gains or loses thereby 1t Is concern
whatever of the Secretary Of the Treasury.
These in brief. are the assurances given by
Secretary Shaw. who to-day made public the
letters that recently passed between himself and
business man of Nashville, Tenn. This
respondence, the Secretary believes is iilustra-
tive of the situation az it stands to-day. The
letter from the Nashville man expresses tho
sentiments of those persons who jump to
the conclusion that because the bulls prosper
when the Treasury comes to the relief OF the
market the Secretary must be in league with
the gamblers. and Mr.. Shavs letter is the plain
and logical explanation of the reason for the
"tghtness' of money at certain seasons of the
year. and why the Treasury is safeguarding the
pocketbooks of the public by alternately with
drawing cash when it is not needed and putting
II out again when without il money panics
might occur
The following is the letter written by secre-
tary Shaw's Nashville correspondent:
Pardon this letter. 1 hope IT will receive due
noticed the relief given the stock gamblers in New
a HSk Sg @ sa to do . DO nG oS see % at
viii Will the IreaSurE come to the relief Of gamblers
in New York? You Know it Is ike this The big
of sc a ds%G c os sts bs g 4S
m9ns nd sv b. a 1o5 mRy R nv eyeyaa F p
not See bv the naners theV are after Von assn sh
Some people hard 10 please.
To this the Secretary made the following re-
ply:
of ,har I. nd 7
note your :' senmsnts With respect to stock gam
accurately the view of many we'll intentoned peo
pie, that am constrained to answer it somewhat
You seem to proceed upon the Theory that, that the p,
ocR srang In ss ou Is are m Some
people gamble IN stocks. some in cotton. others In
Wien tines T are e0a good T people will speculate in
thing and everything that pss possesses market aS
pared with necSas35y and lsgtGate business is
Nax York cty than in an Nashve Tenn wheTe you
reside. In Denson. Iowa. where l live. The
SsS Ss nn ft n RsS York s g at
2 to per cent Of of the aggregae 5 70 N. rsre, o,
stock gamblers. and probably never will although
AIDS 9s fss Sos who Ga ganbe 6G on h b sd Of m
market. and the bull side Of the wheat market the
market bas # iee is eay harmful to those who
gamble on the bear side of these respective mar
tary OF the Treasury. but the nature OF the ADVICE
theY are operating Naturaiiy.. these comGunca- t'
tions have influence whatever The real busI-
situation is the sole consideration.
If you will stop to consider YOU Will realize that
more money is needed when the crops are being
marketed, when factories are filling their ware
houses with cotton aud wool hemp. Sisal, lumber
and every other material than during the summer
when the crops growing and when business men
enjoying their vacations. There are more tfan
fifteen thousand banks in the United states doing
a commercial business These independent the
dends. Few of them in midSImmer make ample
provision for the fall They time the loans they
make 10 meet their obligations ard take their
chances During the dull season Of 1896 the Secre-
tary of the Treasury Withdrew sixty millions OF the
peoples money and locked 1t up. This would have
when it is needed. BY appropriate use of the money
in the vaults of the Treasury have facilitated the
importation of a hundred millions Of gold within
the last nine months. and have relea sed, or ar
ranged for the release NJ. fifty millions more. / MS
done I for the purpose Of aiding legItt-
of the market much it has damaged the bear
side 7 little for either of those Considera
tions as do vou. but 7 intensely Interested In
the appropriate business interests az the country
AIoney is scarce. Some of the very best business
houses IN the United States with International
credit paving per cent interest Tor money
with which do their appropriate business If
money could he secured anywhere beneath the sky
for less they would know IL and borrow it IT Is Tor
the relief of business that the Treasury has
stored TO channels of trade the money which IL
withdrew when the people had no use for 1t except
for purposes of speculation. 1t was then wanted
for speculation and withdrew it, 1t is now need
600 deposit went almost exclusively 60 the cotton
producing states and the exceptions went to cot
''' '' '''e l.. NJ. SHAW.