Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1916-11-20
TWO millions IN
PAPER MONEY IS
Being IMPORTED
To Meet Payments of Bonus to
LaborerS Great Sum is
Brought From States


Paper money may soon come into
almost as common use in Hawaii as
in the eastern states of the mainland
There is being imported currency TO
the value of approximately $2000.0 900
which may be expected TO soon APP
pear in common circulation. The i'm
portation is in connection with bonus
payments TO the plantation laborers by
the plantation companies this month
and next At the same time nearly
one million OF dollars in gold and
silver is being brought in.
Payment of a sum estimated at over
$4,000, 900 by the plantation companies
TO their laborers presented number
of serious problems TO companies and
to the banks of the territory. In or
der TO relieve the pressure that must
fall upon the banking houses as the
distributing agents in the payments
of the great sums that are TO be paid,
it was agreed that the payments
should not be made at one time and
different dates for the different is
lands were assigned during Noyem.
Der and December EYens this, how
ever, could not remove the need of
a larger supply Of circulating medium
to meet the demands which the banks
will have to face and imports of cash
were found necessary.
Freight Payments Saved
Speaking of the steps that have been
made necessary to pay out $4,000,0O0
in bonuses and which the banks of
the territory have taken prominent
banker this morning said that it had
been found necessary TO bring here
large sums to meet the bonus pay
ments, and that approximately 20 per
cent of the amount required would be
in paper, thus saving large payment
that would have been required for
freight had such a weight of gold
been shipped by steamer
Another banker confirmed the fig
ures OF the first banker saying that
the paper money imports would be
about 100000 and that this was be-
tween 20 and Is per cent of amount
that is. being brought here from the
states. He also commented on the
cost that would have been entailed had
the entire great sum been in gold and
silver.
DMarfs Former Shipments
While bills have been brought here
before to meet payments to labor,
mostly by the pineapple canning COM
panies, never before has there been
brought here paper money in guam
tity that will IN any way compare
with The shipments that are now COM
ing. In this correction banker said
that there had been for some time
past an inclination manifested by the
banks to introduce paper more as a
circulating medium. He cited the fact
that on the Pacific coast, especially in
California, the use of paper money is
becoming more and more prevalent,
and that this is apt to be more the
case III tie future under the workings
of the federal reserve law
Some Find Objection
Objection to the introduction of pa
per currency into general use in the
islands is voiced by some who advance
the argument that paper is less sani-
tary than gold and silver, is danger
Gus germ carrier and for those rea-
sons less DESTROYS.
Others object on the ground of CHM
attic conditions and say the dampness
of the atmosphere and continued
warmth make paper undesirable. that
the bills quickly become musty and
i'll smelling. They cite that paper as
a circulating medium has not been
successful in the Philippines.
The fact, however, remains that to
import S2,00O,O00 more in gold and
silver coinage would have put an ex-
pense upon the sugar companies which
they could not well be asked to bear.
News of the importation. of this
great sum of money which will so
heavily increase the amount of circu-
lating medium in the islands is Joyous
tidings TO the retail merchants who
can see great increases in business
for themselves and for the savings
banks with 80 much more ready me.
ney in the hands Of island people,
especially among the working classes.