OCR Interpretation

The representative. [volume] (St. Paul, Minn.) 1893-1901, June 28, 1893, Image 2

Image and text provided by Minnesota Historical Society; Saint Paul, MN

Persistent link: https://chroniclingamerica.loc.gov/lccn/sn90059591/1893-06-28/ed-1/seq-2/

What is OCR?

Thumbnail for

A Correspondent Gives his Im
pression of the “True In
wardness” of the Guilful
Great Northerner.
By John H. Burke.
The present Great Northern sys
tem was originally started as the Min
nesota and Pacific having a grant of
lands from the Federal government,
but by reason of financial troubles it
failed and the grant passed to the
St. Paul and Pacific. Which com
pany in turn failed and went into
the hands of the court. A man
named Farley, of lowa, being appoint
ed Receiver. In May and June, 1879,
it was sold under decrees of foreclos
ure issued out of the United States
court and the 2nd District Court of
Ramsey county.- In relation to this
a daily paper of June, Bth, last says,
that in 1873, and ’74, James J. Hill
in connection with Donald A. Smith
and N. W,. Kittson commenced ac
quiring defaulted bonds of the St.
Paul and Pacific, and the same paper
says that in 1876, in connection with
Donald A. Smith and Gen. Stephen
of Montreal he began active negotia
tions with the Dutch committee in
Holland resulting in the purchase of
the bonds of the St. Paul and Pacific
We have heard a great many tough
yarns about this transaction but
this is the first time we have seen
any intimation that the Holland
holders of the bonds and stock of the
St. Paul & Pacific ever got tlievalue of
a Picayune for their interest therein
and in this connection it may be
well to state that the last report of
the Railroad Commissioner of this
state shows that at the time of the
foreclosure sale of the St. Paul and
Pacific its obligations were:
Bonds and interest $33,000,000
Capital Stock 6,500,000
Total. $39,500,000
This was all wiped out by the sale
to the Manatoba company which
immediately issued:
Ist Mortgage bonds $ 8,000,000
2nd “ “ 8,000,000
Fully paid stock 15.000,000
It may follow then as a natural
deduction from the above,
Ist that Holland and other
bond and stock holders
got for their $39,500,000
Not to exceed 8,000,000
2d. That the full legitimate cost of
the Manitoba road in this state was
not calculated to exceed and did not
exceed $8,000,000.
3rd. That the $8,000,000, 2nd mort
gage and $15,000,000, stock making
$23,000,000 in all represent wind, wa
ter, brass and cheek.
If we remember aright, a suit was
tried in the U. S. court brought by
Farley against James Hill and Kitt
son to compel them to divide the
profits, swag, or what not, on the deal
since it seems that Farley the then
Receiver claimed that he was to have
a rake-off from the profits of the
sale he was to make as an officer of
the court, and as a natural sequence
President Hill could not see his
' way clearly to countenance such an
immoral transaction—which refusal,
according to the complaint, left
Farley “in the soup.”
From the Minnesota House Journal
of 1891, at page'46l, it appears that
the state of Minnesota had conveyed
to the Manitoba under the congres
sional grant 3,202,081.43 acres of pub
lic land, and that the Eastern
Minnesota claimed, under the
swamp land grant, 426,664 acres or
3 628,745.43 acres in both.
From page 464 of the same book it
appears that the Manitoba company
put its grant at 1,747,440.51 acres in
stead of 3,202,081.43 acres apparently,
but as to this there may be some
error, hence we will take statements
that we know to be authentic.
The report of the commissioners of
the General Land Office for 1887 and
’BB, at page 13, gives the United
States grant to the road as follows:
Main line 1,310,508.74
\ St. Vincent Extension 1,799,311.81
Total 3,109,820.55
Then by what authority,—and for
what moving considerations have the
state officials conveyed to said com
pany 3,202,081.43 acres or nearly 100,-
000 acres in excess of the grant, and
why do not the governor and attor
ney general take steps to recover the
But this is not all. The hoggish ten
dencies of this great anaconda were
not satisfied, for by the report of the
General Land Office named above it
appears that the said company
had in addition to said 3,109,820.55
acres, secured in violation of law
from the United States the follow
— ing:
Mainline 46.201.60
St. Vincent line 174,822.72
And made additional se
, lection in violation of
Mainline 406,265.33
St. Vincent line 770,000. 1,206,265.33
Total alleged grab.. 1,427,292.65
And this, assuming that the road
had been built as required by law,—
Hffi 'v : ) L '> • .*■•
when as a fact the St. Vincent Ex
tension was not so completed.
From the report of the General
Land Office 1883-84 page 20 or 21 it ap
pears the grant was made, “On con
dition that if any part of the road
was not completed in the time re
quired no further sale shall be made
and the unsold lands shall fevert to
the United States,” and from House
Ex. Dec.*lßßl and ’B2, No. 144, it ap
pears the line from St. Cloud to St.
Vincent 314 miles,
Was located November 7tli, 1871,
should have been completed Dec. 3,
1873. Only 140 miles were completed
on that date, and 174 miles were not
completed as required. Area of the
full grant 2,000,000 acres. Area earn
ed by the completion fraud 896,000
So that it seems that on this one
branch the company has secured
1,000,000 acres in violation of law and
in addition to the illegal selections
named above, or an attempt to se
cure 2,427,292.65 acres in violation of
law and actually securing over 1,200,-
000 acres illegally.
Of course it is impossible to state
what may have been the means used
to so hypnotize our state and nation
al officials and we invite the governor
of this state, Knute Nelson, to do his
duty in accordance with law, on
this as well as all other subjects, if he
has either the courage or inclination.
The Great Northern as shown by a
former table practically controls over
3,000 miles of road, but the last an
nual report of the Board of Railroad
and Warehouse Commissioners of
this state and from the one next pre
ceding we gather the following facts:
The Great Northern has acquired
or holds by lease the following lines
of railroad:
St. Paul Minneapolis and Manitoba 2.807.61
Eastern Railway of Minn 60.78
Total 2,877.42
Common $20,000,000
Preferred 25,000,000
Total $45,000,000
One-half of the preferred is said to
have been paid for in cash but by
whom or how is not stated and there
may be those who will feel inclined
to discount the correctness of such
an allegation. The balance or the
other half is said to have been issued
in exchange for certain alleged as
sets transferred to the Great North
ern, viz.:
Table (A)
Pine lands in Mille Lac county. $ 53,503.56
Willmar & Sioux Falls
Railroad $2,625,000
Duluth Watertown &
Pac. Ry 1,375,000
Montana Central Ry. 500,000
St. P. M. & M. Ist
mortgage 100
St. P. M. & Mont. Ex.
mortgage 6.000
Minn. Transfer 109,000
Todd Co. Bonds 30,400
Town of Hutchinson. 12,000
“ “ Breckenridge. 4,300
Pipestone Co. bonds 30,000
Town Minn. Falls “ 2.000
Town of Sandness 2,000 $4,695,800.00
These bonds were
acquired from the
Monatoba road.
stocks viz.:
Eastern Ry of Minn. 5,000,000
Montana Central 5,000,000
Willmar & Sioux
Falls 1,500.000
Duluth Watertown
& Pacific 730,000
Northern S. S. C 0.... 1.500,000
Minn. Union Ry 500.000
“ Transfer Ry. 7.000
St. P. M. &M 5,000
St Paul Union Depot. 70,000
Sand CouleeCoalCo. 250,000
Climax Coal Co 149,000
St. Paul Foundry Co. 75,000
Ft Benton Bridge Co. 11,600
Lake Sup. Terminal
& Transfer Co 16,700
Total stock $14,814,900.00
Land Contracts $621,771.93
St. Anthony Eleva
tor 39,382.84
Hotel Lafayette 207,075.22
Minnetonka Beach
Lands 75.202.71
Devils L. Townsite.. 23,361.90
Other “ .. 5.000.00
St. P. M. & M. Cent.
Bond 750,000.00
Land Grant St Cloud,
to Hinckley 553,525.74 2,275,320
It will be noted from the last item
that the land grant from St. Cloud
to Hinckley has been sold to the
Great Northern, hence county audi
tors and assessors are requested to
make note thereof, since this land if
none other is surely taxable having
passed out of the possession of the
original grantor; but alas we fear
that some of the state and county of
ficials have been so hypnotized by
James J. Hill or his agents that none
of them will obey the law. Will Hon.
Knute Nelson, Governor of the state,
please take note hereof and demon
strate whether he has or has not
completely succumbed to the mag
netic influences of President Hill.
It should be born in mind that the
last annual report of the commis
sioner shows apparently that com
mon stock has not been issued
though it may be possible the recent
St. Paul blow out was gotten up to
enable President Hill and his co
horts to find a market for this $20,-
000,000 of common stock.
While $10,000,000 of the preferred
stock was issued to the Manitoba in
exchange for the $21,839,523.90 of as
sets named above there was an in
debtedness against the same of $9,-
The alleged balance sheet on June
30, 1891, was as follows:
Cost of road as represented.
by table (a) herein: $19,250,000.00
Equipment 65,350.92
Eastern Ry $ 387,000
Minn. Transfer 1,000
Montana Central 1,000,000
St. P. M. & M 148.000
Value of same $1,362,700.00
Improvements St. Paul 608.802.95
•Other Investment 277.676.78
Material and Supplies.. 457,925.77
Cash and current assets 13.233.423.61
Capital 5t0ck....... $20,000,000
Profit and loss 1,402,850 $21,402,805.00
Current liabilities 12.416,610.00
Rentals 402,046.67
Taxes 54.011.26 12,876,667.94
Proceeds of prop
erty sold 98,750.61
Proceeds of securi
ties sold 931,250.00
Fund for renewals. 207,060.00 1,039.060.61
Ihe alleged cost and equip
ment to June 30, 1891 was $79,233,593.00
Cost per mile 28.221.42
Great Northern issued $20,000,000.00
St. P. M. & M. stock. $20,000,000
Funded debt 53.129,000
Total $93,129,000,00
Total per mile $32,578.52
The company owned no lines but
by a lease acquired from the St. Paul,
Minneapolis and Manitoba.certain
lines for 999 years, agreeing to pay a
rental of 6 per cent on $20,000,000
stock or $1,200,000 and the interest on
all debts, bonds, etc.
The city of St. Paul has contri
buted SIO,OOO to pay the expense of
the late blow out, which is certainly
magnanimous, in view of the fact
that the Manitoba owes a large sum
to the county in back taxes, and we
are unable to state that there is any
truth in the rumor that the auditor
is about to assess said company un
der the law of 1881, as follows:
For’9l Bonds $5,434,225.00
Stocks 4.168,167.44
Other securi
ties 1,237.731.04
Cash and cash
assets 2.294,070.32
For 1891, rental 4.084,672.33
“ 1892. " 4.084,672.33
“ 1893. •• 4,084,672.33
John H. Burke.
Discussed by a Pacific Coast Man,
Formerly from Stevens Co.
Hamilton, Wash., Dec. 30, ’92.
I am just through reading the
Golden Bottle and I find it very in
teresting. I wish every farmer and
laboring man could have it and read
it. The peoples party here is grow
ing. Industrial unions are being or
ganized in every voting precinct.
Free coinage of silver is discussed at
all the debating clubs throughout
the state and the sub-treasury plan
and bonded warehouse scheme.
What is the difference between the
bonded-whiskey warehouse scheme
and the. system advocated by the
alliance? Does not the government
really advance 90c. on every gallon of
whiskey put into this warehouse, and
is not the government revenue stamp
put on each and every barrel before
it is put into bond. If so, it is just the
same as an advancement of so much
cash. Is not also tobacco shipped in
large quantities from foreign coun
ties held at our custom houses and
the consigners allowed to take it out
in small quantities as they sell or
manufacture it, and thus favored by
the government? These are ques
tions which have been discussed pro
and con. I remain yours, etc.
K. O. Walders.
Lower Prices for Produce.
Editor Representative:
From expressions of readers of the
“Representative” the paper appears
to be giving almost universal satis
faction. Keep it up with the times
and no one will need to ask if it is “in
the middle of the road.”
For my part I can see no possible
chance to make any suggestions for
its improvement, so can give it my
cordial support.
The farmers have “cast their
bread” in the mud, and probably the
railroad and elevator combine will
find it “after many days.”
I read in the New York World that
“Industrial stocks have shrunk over
$500,000,000. This is a ‘dead loss.”’
As a farmer I am curious to know
what effect the conditions that have
produced the above shrinkage in so
short a time will have upon the price
of farm products next fall. I believe
we cannot hope for very high prices.
If prices rule as low as last fall, or as
they now are, the condition of the
farmers, in this immediate vicinity
at least, will be deplorable. The lo
cal dealers will most of them be
forced to the wall.
Is the plodding farmer, carrying
ten-pound “gobs” of mud on his feet
while doing his spring plowing, the
cause of such exhibitions? Surely
not. The N. Y. World states that
the most humble farmer knows just
as much about the causes of shrink
age of stocks as the most successful
operator in Wall street. It then re
ports interviews with Russell Sage,
W. E. Conner, and E. C. Benedict,
“the latter the bosom friend of the
president of this republic” who says:
“Any man who pays a premium on
gold during Cleveland’s administra
tion, or who waits for such a premi
um, will get left.” “When he talks
about silver he slaps his desk with
wonderful force and tosses his head
with fiery enthusiasm. He keeps
both fists clenched until his remarks
are ended” I quote the above so
readers may know the head of Cleve
land’s financial policy.
H. Y. Poore.
The Cost of Producing Coal does
not Exceed One Dollar
per Ton !
A Dreadful Story of Wrongs and
You have often read the accounts
of horrible calamities occurring in
the mines. A few days ago in Hazle
ton water burst into the mine from
an old working and several men were
drowned. The number killed in
1891 was 427; injured 997; wives made
widows, 186; number of orphants left
592. You can form an idea of the
large families the miners are blessed
with from the foregoing. The cause
of many accidents can be attributed
to the carelessness of the miners and
employes themselves; but a great
many come from negligence on the
part of the operators. Such as the
affairs at Hazelton, Jeansville and
several others. If the survey was
properly made the accidents would
not have happened. When a Hun
garian or Pole meets with an acci
dent his friends will not keep him.
He is sent to the hospital: If one
meets with death even his wife will
not recognize him. “Dead Hungari
an no good,” they exclaim. I know
a case where one was killed, brought
home and buried the same day and
his wife married the next. The wife
of a Hungarian or Pole is an abject
slave to him. The mine law says
that all dangerous machinery shall
be railed in. That is so no one will
fall in and be killed, yet a great
many are killed this way. It is the
most horrible death one could die.
I quote from this morning’s papers:
“Stephen Ballo, a married man, 48
years *of age met with a horrible
death at Hazlebrook, a few miles
from Freeland, last Thursday morn
ing, at about 11:45. While at work
he became over balanced and fell in
to the chute and was caught in the
rollers and ground to death before
the machinery could be stopped.
His body was so terribly mangled
that it was deemed necessarry to
bury his remains immediately. The
interment will take place in the
South Heberton cemetery. Deceas
ed is survived by a wife and four
small children.”
You can form an idea of that kind
of death. A great many boys are
mangled owing to their insufficient
strength to stand an ordeal. A
short time ago when I was working
in a shaft 1 was called to help lift
a loaded car off a young boy. The
car had run over his arm at the
shoulder and was resting on his
back. He was a little fellow, very
child-like and stood the torture like
an old soldier. After we lifted the
car I put him on my back and car
ried him about a mile where we put
him on a car and took him home.
For weeks it was a fight against
death but finally he recovered. His
arm, however was amputated near
the shoulder. This is only one of
many. There is a system which
caues a considerable number of acci
dents without a comment, it is care
lessness in repairing the roads. The
use of wooden rails with strap iron is
now in vogue. It seems to me that
rails should be of iron. Wood is
cheaper. Steel rails are dear owing
to the tariff, I suppose, and so the
wood is used. The strap iron is sim
ilar to an iron band, which is spiked
to the wood rail. The spikes wear
out and the strap springs up. When
the car comes it goes back to its
place under the pressure. When
the mule is pulling the car it be
comes very dangerous. A stretcher
connects the car and the mule to
gether. A stretcher is composed of
twp chains with a hook on them and
a stick to keep the chains from rub
bing the mule’s legs. When a car
is descending a grade it is not please
ant to think: “What if the stretcher
should catch in the strap iron.” I
have thought of it many a time.
The thought of it makes me shudder
now. Here is a report of an accident
that occured a short time ago:
“A most horrifying accident oc
cured in Jones & Simpson’s mine at
the Ridge, on Tuesday afternoon, in
which Griffith, the thirteen year-old
son of Richard Reese, was fatally
injured. He was driving a loaded
car in the mines, to which the mule
was hitched? The mule trod on a
loose end of a long piece of srap iron,
about an inch wide, part of tiie
track, and raised the other disen
gaged end to such a height as to
reach the boy’s thight near the hip.
The rough and rusty iron penetrated
the fleshy part of the leg and taking
an upward turn came out at the
back just below the ribs. The poor
boy shrieked with the agony of de
spair but the mule did not stop un
til the iron had gone through the
lad and nearly clinched itself on the
outside of the car upon which he
stood. A miner on his way home
saw the accident and was horrified
at the situation. He tried to extri
cate the boy from his agonizing pre
dicament, but the iron had gone
through the two inch plank of the
car and pinned him so tight that it
was impossible to relieve the now
unconcious victim, without tools.
Help was immediately sent for in
various directions, and in a few
minutes a large number of willing
and sympathetic hands hurried to
the spot. It was found that the boy
was impaled on the middle of a six
foot piece of iron. It could not be
drawn through him either way. It
was therefore decided to break the
bar, which was accomplished, the
boy in the meantime suffering ex
cruciating anguish, the rod broke
of in the boy’s back and both pieces
were pulled out in opposite direc
tions. A doctor was promptly oa
the ground and did all that was pos
sible to relieve the lad’s intense suf
fering. He is so badly hurt that it
is hardly possible that he can re
cover. Old miners say they never
witnessed an accident so horrible as
Much has been said about carrying
companies. The law forbids carri
ers to operate mines. The constitu
tion reads as follows:
“No incorporated company doing
the business of a common carrier
shall, directly or indirectly, prose
cute or engage in mining or manu
facturing articles for transportation
over its works; nor shall such com
pany, directly or indirectly, engage
in any other business than that of
common carriers, or hold or acquire
lands, free-hold or lease-hold, di
rectly or indirectly, except such as
shall be necessary for carrying on
its business; but any mining or man
ufacturing company may carry the
products of its mines and manufac
tories on its railroad or canal not ex
ceeding fifty miles in length.”—Art.
17, Sec. 5.
This is a part of our constitution
which the companies laugh at. The
companies do not pay any attention
and the officials of the state are
dumb. Section 10 of the same article
“No railroad, canal or other trans
portation company, in existence at
the time of the adoption of this
article, shall have the benefit of any
future legislation by general or
spcial laws, except on condition of
complete acceptance of all the pro
visions of this article.”
The companies have not accepted
the “provisions of this article” there
fore they do not have to comply with
the law. We voted on the question
of holding a constitutional conven
tion, but lost. The machinery of the
democratic and repuplican parties
was against us, and our hopes and
energies were snowed in by corporate
[Mr. J. A. Lennon’s letter will be
continued through several numbers
of the Representative. It is the
most valuable contribution that has
been made to the literature of the
coal investigation, and should be pre
served.—The Editor.]
Faribault, June 8, ’93.
Editor Representative:
I send you subscription for one
year. I like the paper and will get
others to subscribe, also. I see our
old and tried friend Jgnatius Don
nelly is to furnish something each
week. Good! I like that! I wish
there was a thousand or more Igna
tius Donnelly’s instead of one. Long
may he live. Well do I remember
his plea for the down-trodden slaves,
his warning us against railroad en
croachments, against the burning of
the greenbacks and putting of the
money power into the hands of soul
less corporations who could loan
their notes and draw interest on
what they owed; his plea for the
preservation of the forests, the tree
culture; his plea for the farmer, and
his exposure of the coal thieves and
hosts of other things, and all for the
best interest of the many who knew
but little what he was doing for the
masses. And yet he has often had to
say, as one of the old, forgive them
for they know not what they do.
And I said, verily, there is no
change. I think, Mr. Editor, he
must have great faith that
“Truth, crushed to earth, will rise again.
The eternal of God are hers.
Whilst error writhes in chains and
Dies amidst its worshippers.” .
M. N. Pond.
Mr. T. Costello writes us a letter of
enouragement from Fargo, North
Dakota. He says, “As nearly all the
papers are at the side of the monop
olists, I am glad to see the Repre
sentative at the side of the people.”
Mr. Costello’s sentiments toward the
people and the monopolists are very
happily expressed in the following
lines which were written by him for
the Fargo Forum, edited by Major
All hail to The Forum, and long may its
Plainly prove to the people ’tis called its
right name;
For its pages when opened, will show in
clear light.
The traitor or knave who would fail to
act right.
It stands for the people “and not for the
What is good for the people ‘twill bring
to their view.
With the good hearted major its pilot
and guide,
May it long be to Fargo a pleasure and
Some papers with slander and villainy
While their motto is ever “the public be
Are managed by Shylocks, who think ’tis
their meed
On the vitals of toilers like vultures to
We see the vile slanders at Donnelly
By rascals more base than some rogues
that are hung.—
Because he would muzzle and keep within
The Shylocks, and jackals who act as their
But The Forum will show them that men
with the hod
Or the plough, or the spade, are much
nearer to God—
And ’twill show no regard for the plunder
or pelf
Of a Dives who cares for no one but him
So I wish the good major and Forum suc
I’d grieve if in Fargo his shadow grew
May The Forum all over the country be
For ’twill stand for the rights of the peo
ple alone. •
An Interesting Article, that Every
I one Should Read.
BY G. W. G.
I was struck some time ago on
reading in the Lou Jon Mail an ac
count of the remarks of Mr. Chaplin,
a member of the English Parliament,
made in a discussion upon bi-metal
lism, by their similarity to the line of
argument made by Senator Donnelly
upon several occasions recently. If
your space will permit, I propose to
lay before your readers some of the
points made by the English advocate
of the bi-metallic theory as whole
some food for thought. Mr. Chap
lin’s contentions are: “ (1) That up
till the year 1873, all the business of
the world was carried on under the
full effects of the system which is
known as bi-metallism; (2) that the
abandonment of that system and the
attempt to carry on that business (
with no connecting link between the
metals is a new experiment in the
history of the world; (3) that this ex
periment has been followed by conse
quences which have led to very gen
eral and wide depression in com
merce, trade and agriculture in gold
using countries; and (4) that it is de
sireable to revert to the system
which prevailed prior to 1873, and >
under the effects of which the com
mercial and industrial pre-eminence
of this country (England) was at
On the first proposition he argues:
be-metallism is almost as old as the
history of the world. It is not a new
idea, but the abandonment of the
bi-metal system and the attempt by
western nations to carry on the busi- 1
ness of the world on a gold basis is
the novelty. It does seem that there
can be no denial of this. Biblical
history tells us that “400 shekels of
silver, current money with the mer- ,
chant,” were paid for the cane of
Machpelah.” This was nearly 1900
years before Christ. Then we have
the testimony of Professor Max Mul
ler who tells us:
“It has been shown that the ratio
between silver and gold in the Egyp
tian coins”-—and the history of
Egypt is pretty nearly as old as the
world’s—“was always maintained at
1 to 12*, while in Babylonia and all
the countries which adopted the
Babylonian standard it was 1 to 13*
where, with slight fluctuations, it
was maintained for a great length of
time.” He further tells us that
from the 16th century before Christ,
or if the statement is restricted to
coined money, frqm the seventh cen
tury, B. C., to nearly our own time the
appreciation was not more than if,
that is, it was limited to variations
between 13* and 15; and that, too, in
spite of the sudden influx at various
times of one or the other of the
precious metals. The readers of the
Represenative can see how small
a figure the extent and cost of pro
duction of either of these metals cuts
when they are jointly upheld by the
commercial nations of earth. At no
time has the purchasing power of <
gold or silver fallen in anything like
the ratio of increase in their produc
tion. An English writer on political
economy tells us: “We have seen
three hundred million pounds (1500
million dollars) added to the general
currency within fifteen years, with
so little effect that it is still doubted
by many authorities whether there
has been any depreciation at all.”
But, I am getting away from the
member of Parliament’s first conten
tion, that bi-metallism was the
world’s rule till the momentous year
1873. In England, he says, for 540
years, from 1257 to 1797, gold and sil
ver formed the legal tender money..
The British mint was open to free
and unrestricted coinage of both
metals, and when coined at a given
weight and fineness the silver coins
as well as the gold coins were avail
able for the discharge of debts of any
amount. For 54 years of the period
above named, 1663 to 1717, silver was
the standard money and gold was
rated to it. Up to the year 1816, ex
cept during the great wars, when the
currency was paper money, things re
mained like this. But in 1816 the
single gold standard was adopted,
and silver was legal tender only to
the extent of 40 shillings. This was
the first link in the chain of events
which leads up to the present situa
tion. The effects were not instan
taneous, because outside influences
were working. France, 13 years be
fore her neighbor’s adoption of the
gold standard, opened her mints to
gold and silver.free coinage, at a
fixed ratio. Here was support for
silver. In 1865, France was joined by
Italy, Belgium, Switzerland and (
Greece, known as the Latin Union.
Here was more support and counten
ance for silver. The Latin Union
ratio was 15* to 1, that is 15* bits of
silver of* certain weight were held to
be equal to 1 bit of gold of the same
weight, and vice versa; and all the sil
ver thus converted into coin became
legal tender for the discharge of
debts in the several states of the <
Continued on page 4.

xml | txt