The citizen-Republican. (Scotland, Bon Homme County, S.D.) 1???-19??, 1907-11-21

s5o nco 400 will be issued had III
immediate effect on the markets
= here today and prices promptly
\ moved up. II Is thought PROD
\ ably this will stop the drain OF
i gold from his market and OBJ
waite the necessity of further IN
crease In the Bank Of England's
discount rate.
washington, Nov. 1S-Secretary Cor
telyou makes announcement that as d
means of affording relief TO the man
cial situation the treasury will issue
in addition to the $50, 900, 900 of Panama
canal bonds. announced in the evening
papers of Saturday. 100000 900 certlh-
Gates Of Indebtedness, or so much there
OF as may be necessary. The certlil,
Gates viii run for n year ana VIII
bear 5 per cent. interest.
The law comforting upon the gee
retary OF the treasury the right to Is
sue treasury certificates is found IN
section 80 OF the Spanish wal revenue
act, approved June Is. 1898. The au-
thority was not made use of during the
war, but it's legality III the present SIT
uation is not questioned by officers OF
the government. The Pananla canal
bonds are now in the treasury vaults,
and win be ready for distribution i'm
mediately upon the acceptance Oh the
bids after November SO. The treasury
certificates will not be printed and the
ink sufficiently dried to admit of their
being handled for some time, but tenn
porary certificates will be ready Tor
distribution within a day or so. h
issue at par of treasury certificates
bearing 8 per cent. interest is expected
TO bring 10 light practically all the cur
rercy tina has been withdrawn from
the banks by small depositors during
the last three weeks. Its issue, 1t IS
believed. will prove exceptionally at
tractive to the small as we'll as the
large investors and treasury officials
are confident the demand for them wlll
be unprecedented.
TIL Secretarys action meets WITH
President Roosevelt's hearty approval,
and the plan is the outcome of the sew
have been held within the past few
days, when the ~nanc!a situation was
under consideration.
Secretary Cortelyou says that the
Panama bonds will afford most sub
stantial relief, as the law provides that
the may be used as a basis for addi-
tiona1 national bank circulation. He
also states that the proceeds from the
sale of certificates can be made directly
available at points where the need is
most urgent, end especially for the
movement Of crops. which, he says, "if
properly accelerated will give tie great
est relief d result in the most inan-
cial returns" The secretary calls at,
tention to the attractiv aness Of the
bonds and certificates as absolutely
safe Investments.
A Currency Measure.
Ccrtelyou says these relief measures
VIII enable him to meet the public eN.
penditures without withdrawing fol-
that purpose any appreciable amount
of public moneys now deposited in ma,
n banks throughout the country
Two treasury circulars, one inviting
proposals for the issue Of bonds anC
the other asking for the certificates
will be sent out under date Of today
In his letter to Cortelyou. approving
the treasury plans. President Roosevelt
states that he has been assured tina
the leaders in congress ave under con
sideraJlon n currency measure (which
will meet in permanent fashion the
needs of the situation. and which,
believe, Will be repaired at an earlN
date after congress ccnvenes two week.
hence"
The president also calls attention t,
what is needed most at thist time, say
ing that the people should realize how
fundamentally sound business condi
lions in this country are and how alb
surd it is to permit themselves to ge
into q panic and create u ~stringency b,
boarding their money instead of trust
Ing perfectly sound banks
The presidents letter to Secretar-
C%ortelyou follows:
The White House. Washington. D.. G
Nov. 10, l9p7;-Ny Dear Mlr. cortelyou:
prov" the issue of the S5o,Gpo.o0o Of Pal
anna bonds, which will he Immediate!
available, as the basis for additional cur
reucy. / also approve the issue of slO0
100000, or so much as YOU may find neces
sa"y. of $50 3 per cent. interest bearin
government notes, the proceeds of tn
sale Of which can he at once deposite
by you where the greatest need exists. an
especially in the west and south, wher
the crops have 10 be moved. l have as
GNTlnrp fltat thn lenders of 90, "A -,
considering a currency bin which wi
NEE, in q PERMANENT fashion the need
OF the situation, which | believe will b
passed at an early date after congres
CpHreaGs Two weeks hence.
Panic ar A~bsurdity.
What il most needed Just at preser
Is that nar citizens should realize no
in this country are. and how absurd it
10 permit themselves to get into a pan
and create Il str;ngency by boarding the
savings instead of trusting perfectly SCUM
banks. There is no particle of risk il
yclved IN letting business take its natur.
and the country most by putting back I'M
active circulation money they are hoar,
ing. The banks and trust companies a,
country today than there was . mont
ago. when the supply was ample FIT,
five million dollars in gold has been in
ported and the government has deposite
already So, 100000. These are facts. and
appeal to the public to cooperate with
+ III restoring Hotllldi business condition
The government will sec that the Poop
do not suffer. II only the people themselv,
Will act in normal way. Crops are 90,
and conditions art sound. and we shod
put the money We have INTO circulation
order TO meet the needs of our aboundir
prosperity. There is no analogy at 6
with the way things were in 1892. On N
vemper % OF that year there was in Il
treasury. but sla..,0op,0" Of gold. On n
vernber IA of this year there was in Il
treasury $50, 09.0o of gold. Ten years a!
the circulation per capita was SO. %. Nc
IL Is S3S. y. The steps you now take, t
ability OF the government to back the
up. and the fact that not a particle of ri
= involved therein give the fu.!esr qua