Rensselaer Republican, Volume 27, Number 44, Rensselaer, Jasper County, 9 July 1896 — “THE CRIME OF ’73." [ARTICLE]

“THE CRIME OF ’73."

IT EXISTS ONLY IN THE MINDS OF THOSE WHO DO NOT KNOW THE FACTS. Congressman McCleary Exposes the Absurd Fabrications About the Act of 1873. Bill Was Discussed For Three Years—No One Thought of Remonetizing Silver, Which Was Practically Demonetized In 1853—How the Act Went Through Congress “Like the Silent Tread of a Ca|.” - For the benefit of the thousands bf intelligent people who honestly believe that a crime , committed surreptitiously againsf silver in 187*!, Congressman J. T. McCleary of Minnesota devoted considerable .time, in his great speeqh of Feb. 12, to a presentation of the important facta connected with the passage of the coinage act of 1873. The facts stand out so clearly and tell such a straightforward story that it would seem impossible that any fair minded man should, after reading them, continue to believe that there was any “conspiracy” by anybody that caused the passage of this act. We can give but a few of the more salient points from Mr. McCleary’s speech on this, point: The original bill was prepared in the treasury department in the winter of 1869-70, by John Jay Knox, then deputy comptroller of the currency, under the/ direction of George S. Boutwell, theii secretary of the treasury. The laws re-' lating to tho mint had not been revised for‘more than a generation, arid much confusion existed. This bill was largely a codification of existing law, with such improvements as experience suggested.

The first draft of the bill was submitted to leading experts on coinage and currency in this country, and to some in Europe. In this way the views of more than 30 men were obtained. Their answers were transmitted to the house in June, 1-870, as a supplementary report qn the bilL The consensus of opinion of these experts, and of those who discussed the bill in congress, was that it was simply to recognize legally what had practically existed, since the act of 1853 made gold tho single standard of value and made silver subsidiary and legal tender only for sums not ex- ■ Mwliiig tA- ■ / ■- : ' ' ,j, ; ■' The bill as introduced distinctly discontinued the silver dollar. One of the eight headings to the divisions in the reports accompanying the bill was as follows: “ (5) DISCONTINUANCE OP SILVER DOLLAR. ” This was printed in capitals. The discontinuance of the silver dollar was specifically referred to in four places in this report. Contrary to the suppositions and statements of many leading free silverites, the old standard dollar of 412% grains was never in the coinage bill passed in 1873, and therefore it could not, as they allege, have been omitted surreptitiously. In May, 1892, a silver dollar containing 384 grains was introduced into the bill. Like the silver half dollars it did not have “free coinageor full tender. This was the dollar which was afterward dropped out of the bill and in place of which the trade dollar of 420 grains, with unlimited coinage, but limited tender, was substituted. From the contemporary records it is clear that the bill was before congress for about three years; that it was printed 11 times separately and twice in reports of the comptroller of the currency; that it was considered at length by the finance committee of the senate and by the coinage committee of the house during five different sessions; that it was carefully debated in both houses, the debates in the senate occupying 66 columns and those iu the house occupying 78 columns of The Congressional Globe, and it finally passed substantially as it was originally introduced. Every feature of the bill was thoroughly explained in the original report accompanying the bill, and repeatedly afterward in the debates on the bill itself.

There doubtless were persons in both houses who did not pay attention to either the report or the discussions, for at that time such subjects were regarded as of interest only to experts, but it certainly cannot be truthfully said that they did not have full opportunity to know all about it So far as concerns the coinage of gold and silver, there were just two important provisions in the act of 1873—namely, the unlimited coinage of gold and the limited coinage of silver. Both of these provisions have endured and will endure, because, as I have shown already, this is the only way in which we can have the use of both metals as money at the same time. And though some very excellent gentlemen in congress in 1878, when the wave of “free silver” threatened to overwhelm every one opposed to it, may have said some foolish things about the act of 1873, it is a significant fact that not a single Republican of those quoted as saying these things, unless he lives in a silver producing state, has ever voted to repeal the essential provisions of the act of 1873 above cited. Except as to the trade dollar (which was inserted as a special concession to the silver producers), the act of 1873, based upon the experience of centuries, framed by men pre-eminent for ability and integrity, discussed in all its phases during the three years when it was before congress, will be recorded in history as one of the wisest ail'd best pieces of legislation ever enacted by the congress pf the United States. Its Retails may be changed, but its fundamental principles will endure. Occasionally we hear a man ask, "Why didn’t the newspapers say more about the act at the time of its passage?” The answer is plain. It was because of their being newspapers, not ancient histories. There was nothing new in principle or practice in the bill It was largely a re-enactment of existing law, properly codified. Why did the bill give gold unlimited coinage and tender? Because all mint laws in existence did ’so. Why did it restrict the coinage of subsidiary silver and limit its tender to $5? Because these were the provisions of the act of Feb. 31, 1853. Why jlid it omit from coinage the old standard silver dollar? Because that had been the intent of the act of 1853. In 1858 the dollar was entirely out of circulation, and r no attempt was made to bring it back into circulation. Why did it make the gold dollar the unit of value? Because it had really been the metallic unit since 1834. And this was the avowed intention of the act of 1853. The truth was that in 1873 tho silver dollar was worth for bullion ci-nts more than the gold dollar and that silver dollars had not been in circulation

for toany years. Ab Congreaaman Hooper said on April 9,i 1873, when discuss* ing the silver dollar: “It does not circulate now in commercial transactions with any country, and the convenience of "these manufacturers in this respect can better be met by supplying small (tamped bars of the same standard, avoiding the useless expense of coining the dollar for that purpose. ” And Mr. Kelley, "who is reported as having said afterward that he “did not know that the bill onlitted the standard silver dollar,” said on this same day: “It is impossible to'retain the double standard. The values of gold and silver continually fluctuate. You cannot determine this year what will be the relative values of gold and silver next year. They were 15 to 1 a short time ago. They are 16 to 1 now. “Hence all experience has shown that you must have one standard coin which shalb be a legal teiyler for all others, and then you may promote your domestic convenience by having a subsidiary coinage of silver, which shall circulate in all parts of-your country as legal tender for a limited amount and be redeemable at its face value by your gov-’ ernment ”

In another place in the same speech Mr. Kelley said, “Every coin that is not gold is subsidiary, ” Even Mr. Stewart, then as now a senator from Nevada, said on Feb. 20, 1874: “By this process we shall come to specie basis, and when the laboring man receives a dollar it will have the purchasing power of a dollar and he will not be called upon to do what is impossible for him or the producing classes to do, figure upon the exchanges, figure upon the fluctuations, figure upon . the gambling in New York. But he will know what his money is worth. Gold is the universal standard of the world. Everybody knows what a dollar . in gold is worth. ” The remarks of Mr. _Kelley in the house in 1872, and those of Senator Stewart in 1874 show that at that time, before the tremendous output of silver turned men’s heads, there was practically undivided opinion on the subject The bill had been before congress three years, it Had been repeatedly discussed, there was nothing new or startling In it and hence there was no call for any extended notice of its passage. - But the facts are seen to be that the bill was passed openly and honestly. It embodies the principles of sound mintage, and it undoubtedly saved us from goiiig to a silver basis on the resumption of specie payments. And, therefore, the men who framed it and those who passed it deserve and yvill receive the grateful thanks of ourselves and our posterity. After becoming acquainted with the facts how ridiculous seems the following statement from Coin’s Financial School: “In the language of Senator Daniel of Virginia, it (the act of 1878) seems to have gone through congress ‘like the silent tread of a cat ’ ” Yet this is but a sample of .the false statements made by most of the leading silverites. The following summary of procedure indicates how “like the silent tread of a cat” the act of 1878 stole through congress:

Senate, House. Submitted by secretary of the treasury . Apr. 25,1870 Referred to senate finance committee .............—..Apr. 28, 1870 ■ ■ Five hundred coplee ordered printed .' .May 2,1870 Submitted to house, with supplementary report June 25, 1870 Reported, amended and ordered printed Dec. 19,1870 Debated Jan. 9,1871 Passed the senate by a vote of 30 to 14 Jan. 10,1871 Senate bill ordered printed Jan. 13,1871 Bill reported with substitute and recommitted Feb. 25.1871 Original bill reintroduced and printed. Mar. 9,1871 Reported and debated. Jan. 9,1872 Recommitted.. , Jan. 10,1872 Reported from coinage committee, printed and recommitted. Feb. 9,1872 Reported back, amended and printed Feb. 13,1872 Debated Apr. 9,1872 Amended and passed by vote of 110 to 13. May 27,1872 Printed in 5enate........ V..;.— ...May 29,1872 Reported with amendments and printed Dec. 16,1873 ■ Reported with additional amendments and printed... Jan. 7,1873 —: Passed senate Jan. 17, 1873 Printed with amendments Jan. 21, 1873 Conference committee appointed Jan. 27,1873 Jan. 25,1873 Report of conference committee presented and concurred in. Feb. 6,1873 Feb. 7,1873 Became a law February 12,1873-