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exceed 9% of the face value of the coins, up to a sum of
say $500,000 from the Reserve Funds of the Colony. Since
the operation must obviously be kept secret it will be
necessary to legalize the expenditure later (when the
transaction is completed) by vote of the Legislative
Council. The Treasurer recommends that the money required
should be obtained by an overdraft on the Crown Agents,
on the Railway Account. I anticipate that the expenditure
of this sum will temporarily at any rate rehabilitate the
Subsidiary Silver Coinage of the Colony and if it should
be necessary thereafter to spend a larger sum than can be
met from current Revenue, in order to maintain the local
currency at par value, e.g. by undertaking further
operations of the same nature when the discount had become
BO heavy as to minimise the loss to be incurred (as at
the present moment), I will again submit proposals for
meeting the cost either from further accumulations of the
Reserve,
or possibly by a small gold loan. I shall be glad
if possible to have Your Lordship's concurrence by tele-
unysesp
-gram in order to avail of the present very high rate of
discount, and set at rest as soon as may be the present
inconvenience.