AMERICAN SILVER

Northern Advocate, 18 May 1934, Page 7

AMERICAN SILVER

POLICY DEFINED PRESIDENT’S PROGRAMME NATIONALISING DOMESTIC STOCK PURCHASE CONDITIONS [United Press Association—By Electric Telegraph.—Copyright.) (Received 0 a.m.) WASHINGTON, May 3G. The introduction of silver legislation this session' was decided upon today after a two-hour conference between President Roosevelt and the Silver Block in the Senate. The President is prepared to send a special message to Congress within a day or two, recommending a two-point programme, which he has had in mind since the tentative understanding reached with the Silver Group a fortnight ago. . His plan provides for. the permissive of ■ the domestic, stock .of silver and a - mandatory declaration of the policy that silver shall be purchased till it constitutes do per cent of the . metallic monetarv basis.

The members of the Silver Group were .jubilant after today’s coiiferende. They stated that the proposed measure probably would bo a Government bill. The only question left for consideration, they said, was' whether there* shall bo a tax on the profits of those who hold the domestic stocks.

The majority of the Silver Group said they would like to see the tax proposal eliminated, but they indicated they would be willing to accept it if the Secretary of the ' Treasury, Mr Henry Morgcnthau, and the President insisted.

One senator said silver would be bought at the market price, but would be given a value of 1 foliar 29 cents an ounce by the Treasury, and silver certificates of a face value of 1 dollar would be issued on each ounce. The Treasury' would take the profit resulting. The declaration of the policy is to contain the following assertion:—

The Secretary of the Treasury is hereby authorised and .directed to make the necessary silver purchase. Should the world price of silver reach 1 dollar 29 cents before the reserve is acquired, the Treasury will be authorised to stop buying and sell if it sees fit untiD the price falls below 1 dollar 29 cents.