The Wallace miner. [volume] (Wallace, Idaho) 1907-current, 1921-01-27
SENATOR PITTMAN SAYS
CANNOT REPEAL THE ACT
WOULD BE MORALLY WRONG
THE WESTERNERS WOULD
DEFEAT 1T.

/ The Financial Review. New York
/ has the following letter from Senator
key Pittman. of Nevada, author OF
the silver purchasing act in which
he says that neither the bill nor the
purchasing clause will be repealed
The senator's letter follows;
Morally Wrong.
Il thank You for your letter of De-
cember 81. You state TO me that there
is considerable amount of talk in
circulation to the effect that an effort
will be made to repeal the Pittman
act. or at least the purchase clause
and you ask an opinion from me with
regard to the matter
Neither the bill nor the purchas-
ing clause will be repealed, because, in
the first place it would be morally
wrong and. in the second place there
are sufficient western senators to de-
feat any such attempt. In fact any
such attempt would be such viola
ton of the moral obligations of the
government to the silver producing
section of the country that the sena-
tors from such section would be JUS
titled i'm conducting an open flibuster.
No amendment and no bin can pass
the United states senate in the face
of such a serious and intense hhbus-
ter
But. as to the moral grounds; In
April 1917. Great Britain had to have
large quantity of silver to use in the
redemption of her silver notes in IN
dia II was frankly admitted by the
British representatives that unless
this silver was supplied for redemp
ton there would probably be a revolt
ution in India. A revolution in India
at that time might have changed the
result of the war in Europe and I'M
doubtedly would have at least long
delayed our victory.
Uncle Sam Had the Silver.
There was only one place to obtain
the silver and that was from the
coined silver dollars in the treasury
of the United States, which were held
there as security for the payment of
silver certificates issued against them
This silver could not be used except
by authority of congress The ad-
realized that the dump
ing of three or four hundreds of mill
lions of dollars worth of silver on the
market of the world would have a
tendency to long depress the price Of
silver. They We're aware that west
ern senators and western representa-
tives would oppose and justly oppose
the dumping of this silver on the mar
ket unless at the same time there was
provision made to protect the Ameri-
can producer against loss resulting
therefrom.
"The government therefore, entered
into a frank discussion of the matter
with the senators and representatives,
from the silver producing states. 1t
was evident that no bill could be pass
ed without their approval These
senators and representatives were pa
triotic, and were impressed by the
necessities of the case. They only
insisted upon the silver being sold to
Great Britain at a fair price, and that
with the money obtained from Great
Britain an equal amount of silver be
purchased from American producers
with which the silver dollars would be
replaced
Agreement Reached.
1T was finally agreed that our gov
eminent should sell not to exceed
three hundred and fifty millions of the
silver dollars at dollar an ounce net
to the government and that it should
purchase American produced silver
when rendered to It at q dollar an
ounce until an amount of silver had so
been purchased equal to that which
was sold.
THE government neither made nor
lost anything in the transaction. The
government is not paying any bonus
to silver producers. If any bonus is
being paid it is being paid by Great
britain. because our government is
the American silver at
dollar an uonce with British money.
"The whole matter was the result
of the solemn agreement between the
executives of the government and
the congress of the United States, and
the act received the unanimous vote
of the committee on banking and cur
rency of the senate and the commit
tee on banking and currency of the
house of representatives, and was
passed by both bodies with hardly
dissenting voice.
Entitled to Protection.
at matters not if the Pittman act
does guarantee that the price of sill
yer shall not fall below a dollar an
ounce for many years. This protec-
ton was well earned and the country
will not suffer by reason Of it. Any
further talk of the repeal of the Pitt
man act or the purchasing clause in
it must be either the result of ignor-
ance or a premeditated intention to
depress the price Of silver properties
and securities.
"England's effort to supply base sill