The Caucasian. (Clinton, N.C.) 188?-1913, 1907-01-03
NO AID FOR GAMBLERS
Money Placed in Banks by Treasury
Is for the Relief Of Business Only
Secretary Replies At Length 20 Let
ter Prom Nashville. Tenn. Man
Who Insists That Relief Has Been
Given Gamblers and Money Sharks,
the Real Canse Of High Money in
New York" and Inquiries How
Long WIN the Practice Continns.

Washington, Special.-Iu a letter
to correspondent residing in Nash
vile, Tenn, Secretary Shaw repudi-
ates the suggestion that the United
States Treasury ever has come to the
relief Of stock gamblers. The cor
respondent in question, whose name
is withheld, insists that such relief
has been given gamblers and money
sharks, ''the real eause of high mon
ey in New York and inquiry how
long will the practice continue.
To which the Secretary made the
following reply:
"Your letter Of December 23d is
received, and l note your sentiments
with respect 10 stock gamblers. Your
letter is so courteous and voices 30
accurately the view of many well in
formed people that am constrained
to anwer it somewhat at length.
"1ou seem to proceed upon the
theory that the existing monetary
stringency is caused solely by stock
gambling. In this you are in error.
in cotton, others in wheat, corn, pork,
or lard, and some in land. When
times are good people will speculate
in anything and everything that pos
sesses a market value The proper
ton of speculation as compared with
necessary and legitimate business Is
very small, however, and is probably
no larger in New York City than in
| Nashville, Tenn, where you reside,
| or in Denison, Iowa, where / live.
The best estimates / can get place
the amount of speculative transac-
tions in New York City at from 2 IL
to 5 per cent of the aggregate.
"The Treasury has never come to
the relief of stock gamblers and prob
ably never will, though the relief,
which the Treasury grants frequently
aids those who gamble on the bull
side of the stock market, and the bull
side of the wheat, the cotton market,
the corn market and every other mar
ket, but it is equally harmful to those
who gamble on the bear side Of these
respective markets. Both bulls and
bears importune the Secretary of the
Treasury, but the nature of the ad-
vice usually dictates the side of the
market on which they are operating.
| Naturally these communications have
no influence whatever. The real bus
mess situation is the sole considera-
ton.
"During the dull season Of 1906
the Secretary Of the Treasury with
drew millions of the peoples money
and locked it up. This would have
| been a crime if he were not willing
| to release it now when it is needed.
By appropriate use of tn. money In
the vaults of the Treasury I have
facilitated the importation of hun
dred millions of gold within the last
nine months, and have released, or
arranged for the release of fifty mil
lions more. This was done, as / say,
for the purpose of aiding legitimate
! business, though it has helped the
bull side Of the market as much as
it has damaged the bear side. ] care
as little for either Of these considera-
tions as do you, but I am intensely
interested in the appropriate business
interests Of the country.
"It is for the relief of business
that the Treasury has returned to the
channels of trade the money which
it Withdrew when the people had nc
use for it except for purposes Of spec.
ulation. 1t was then wanted fol
speculation and I withdew it. 1t is
now needed for business and l restore
it. The last $10,O00,O0O deposit went
almost exclusively to the cotton pro
duceing statea and the exceptions
went to cotton buying cities.