The Eureka sentinel. [volume] (Eureka, Nev.) 1902-current, 1922-03-04
TREASURY PROTECTED FROM
BUYING FOREIGN SILVER

CClAntOA my
cognizance of reports to the effect
that shelters we're deducting 5 per
cent from the value of the silver con-
tent of ores without authority for the
action by referring various statements
to the Director of the Mint, who re-
| plied with the following letter:
Treasury Department,
washington,
February IA. 1922.
Hon. Key Pittman,
United States Senate.
my dear Senator:
Concerning the subject matter of
! your letter of February Sth, wish to
state that the form of miners attn
davit was revised December 2, 1921.
with the purpose in view of providing
| for a declaration of the actual sill
yer content (100%) of materials
| sold by the miners to the shelters.
in order that the accounting basis
upon which the smelters and refiners
must report to this Office might be an
actual one instead of approximate as
was the ease when the afidavits were
being furnished as covering 95 per
| cent of the silver content.
THE vendors of mixed silver to the
Government are required to furnish
to the Director of the Mint, no less
frequently than quarterly. sworn abb
stracts from their books showing the
receipts supported by information as
to where each item originated and
carrying reference to the settlement
sheets, and each item classified as
either foreign or domestic. Such alb
stracts must also show the amount of
silver that has been refined, and the
amount sold with the anne of pur-
chasers, the amounts of opening and
closing stocks. Under the new ar
rangement they must also show the
| amount lost in treatment. These alb
stracts form a continuous record for
the entire period during which pur-
chases under the Pittman Act have
been made. Vendors cannot sell to
the Government the full amount for
which miners affidavits are obtain
able, but each amount less operating
losses and certain other items as pro-
vided by the regulations, copy of
which please find enclosed, to para
graph 5 approved December q,
1920 of which attention is particu-
larly invited. Should occasion seem
to warrant it the department would
be in position to satisfy itself from
personal inspection of books and rec
ords as to the accuracy of the alb
stracts furnished by vendors.
1T will thus be see that we have
a complete check upon the operations
of the smelters and reiners as to
both source and disposition of their
silver and that it will not be possible
for them to substitute foreign silver
for the amount of domestic silver
which may be lost in treatment.
at is naturally to be presumed that
If the miners are paid for 100 per
cent instead of SO per cent of the sill
yer content of their materials there
will be some increase in the charges;
and if such increase is equivalent of
the 5 per cent of silver for which, un-
der the former method, they were
not paid, 1t is not clear that either
the miners or the shelters benefit by
the change, except for such portion
of the 5 per cen as is not lost in
treatment. This silver is domestic
product, entitled under the terms of
the Act to the benefits of the $1.00
price, and since the Government is
not in position to regulate the treat
ment charges imposed by reduction
works the question as to whether the
miner or reducer receives this bone
fit does not appear to be n which
come within the purview of the Gov
eminent.
1.-The smelling and refining inter-
ests claim that insofar as their GUS
tom business is concerned they are
merely agents through whom the
Governmet passes OF to the miners
the benefits of the $500 price for sill
YER that they are thereby put to
considerable trouble and expense by
reason of the extra accounting and
record work.
I'm my opinion the mining inter-
ests are as fully protected in the OPP
erations of the Pittman Act as 1t is
practical for them to be.
Sincerely,
(Signed) "R. T. BAKER,
Director of the Mint"