Iowa state bystander. [volume] (Des Moines, Iowa) 1894-1916, 1914-06-12
Commission Falls to Solve Nv.
terry Of Hoarded Gold.
What 0seomss o. The Precious Metz,
Poured Into India Rsmalns a ps, \
Extraordinarily Flowing Into
That County. FL

sSSSAs ~ LAG o1AtASn royal CON
mission on Indian finance and cun
rency, which has just been issusA
settles some controversies and sta,,s
others. but 1t does not clear m n.
mystery Of the boarded gold Of Indi,
From time immemorial India h.,
absorbed gold as . sponge absorb.
water. The dow OF gold to India h,.
always continued. In the last 70 ye,,,
abe has received R136. 1000, 900 In rold
partly In sovereigns and partly in bul
lion. in addition to enormous ou.nn.
ties OF silver. It all goes into the
country, but very little ever come.
out Lord Rothschild observed som.
years ago, that he had noticed thai
none Of the smooth gold bars sent n
India from this country ever cam.
back. What happens to this great
stream of precious metal, which con.
tinuously disappears like those river,
in desert lands which lose themselve.
underground? 's
The testimony Of experts Is most
conflicting. Some say it is hoarded (
while a few are ready to prove BY,
formidable array of statistics that Il
cannot be extensively boarded Thosa
who believe that India possesses 4
vast store Of boarded treasure make 1
the widest guesses at its probable to.
tai. The most popular estimate q
the boarded wealth Of India puts tho
total at e300. 100000, which would
amout to FL per head Of the popula.
ton; but some credible estimates arr
far higher. The experts quarrel,
again. about the probable effect Of
midas absorption of gold upon the
worlds money markets and the price,
Of commodities. Some say that alp
gold-using countries benefit thereby,
while others, such as Sir Edward Hol.
den. appear to hold that "the drain
Of gold to India Is a potential men.
ace. The commission, while declining 1
to indorse either Of these mutually de-
structive contentious, has declared IN
effect that an increased use Of gold ii
India should not in future be encouf
aged by the government, but India
already seems disposed to resent this
recommendation. s&f
Whether gold is boarded In india Il
really q question of terms. All M
tons hoard gold upon occasion. II
England were threatened with great
war tomorrow we may depend upon II I
that there would be q rush for gold
on the part Of those people who POI.
sessed both foresight and balance It
the bank: It is estimated that during
the Balkan crisis the peoples Of cen.
trail Europe obtained and boarded
100000 In gold. India has been
subjected to repeated invasions and
innumerable internal wan, and her
people have never lost their heredi.
tary sense Of insecurity. Banking H.
cilities are still sparse, and It would
be surprising IL Indians did not hoard
But boarding does not necessarily
mean burying in the ground or con.
cealment in the roofs Of houses,
though those practises are doubtless I
extensive. Mr.. J. NJ. Keynes, 4 mem
Der Of the commission, tells . story
of a Brahman In eastern Bengal who
even boards currency notes In h
roof. Once q week he retires privay
and spreads them out IN the sun 70 u
remove the damp. A very large pro /
portion Of the boarded wealth Of n I
dia is, however, in the form Of gold
and silver ornaments. It Is into hess
ornaments that the bulk Of the bulHm Y
and sovereigns. as well as much a
the silver, disappears. NJ