Gilpin observer., 1920-08-05
MOVEMENT ON FOOT
TO REPEAL PITTMAN ACT
Mining Interests Should Be On
the Alert to Prevent Congress
Taking Such Action.

at the next session of congress a
strong effort will be made to re-
peal the Pittman silver act, espec-
tally should the price of silver or
the London market remain below
81 per ounce during the interim,
says the Denver Mineral Age.
Already some of the eastern
newspapers have inaugurated
movement for the repeal of the
act, and strange as it may seem,
one of the leading newspapers of
Colorado appears to have fallen
for the propaganda.
1t is claimed that the Pittman
act contained a Joker" whereby
the United States producer of sill
yer, in receiving 81 for his pro-
duct, is mulcting the government
out of the difference between this
figure and the London quotation,
or in other words, that this legis-
lation, like the Bland-Allison and
Sherman acts, serves to place a
fictitious value on the white metal.
The facts are the government
does not lose a cent in the trans
action. In replacing in the treas
ury the silver which the govern
ment furnished the allies for the
settlement of trade balance in the
far East, during the war, the
mints are actually buying back
the silver at trifle less than the
price for which it was sold.
To relieve alarming financial
conditions in India during the
war, this government, under the
Pittman act, sold to Great Brit
ain 100000 standard silver
dollars at a price of 81 per ounce,
plus cost of conversion into bull
ion. This act, during the war, be-
side averting disaster in India,
served to stabilize the silver mar
ket, but at the same time prevent
ed the silver miner from receiving
as much for his metal as he other
wise would.
AS compensation the act pro-
tects the silver producer from dis
astrous loss, and will serve to
stabilize the market until this sill
yer is replaced or the Pittman act
repealed.
The silly statement that there
is "joker" in the measure is
made without knowledge of the
facts or to deliberately deceive.
The measure was most carefully
drawn, and as a war measure was
prepared by treasury officials in
conference with Lord Reading,
representing the British govern
ment, and a committee of United
States silver producers of which
Governor Emmet D. Boyle of New
ada was the chairman.
At the annual meeting of the
Colorado Metal Mining associa-
tion and the Colorado Chapter of
the American Mining Congress,
which was held in Denver in Jan
uary, 1918, representative silver
producers from the principal sill
yer producing states met in pri-
vate conference to consider the
bill. Senator Pittman and Cover
nor Boyle came direct from
Washington to the meeting and
explained the provisions of the
bill to the silver producers. 1t
was also explained that the Brit
ish government had confessed
that unless silver could be pro-
cured at reasonable figure, there
was grave fear of revolt in In
dia as the result of German prop
Uganda that the British govern
ment could not redeem its issue of
paper money.
After several days conference
the general provisions of the Pitt
man bill, fixing price of 81 per
ounce, was approved, and a COM
mittee, of which Governor Boyle
was chairman and Bulkeley Wells
as the Colorado representative,
went to Washington and with Sem
ator Pittman and officials of the
Treasury Department, the final
details of the bill was, after many
conferences agreed upon.
The British representative had
contended that the price for silver
should be fixed at SO cents per
ounce, but when it was shown
that the silver could not be pro-
duced at that figure, the final
agreement was reached, fixing the
price at 81. The amount of silver