CO882-(1-2) — Page 291

To Tz Te

سلسليا

PUBLIC RECORD OFFICE

Reference :-

C.O. 882

1

PUBLIC RECORD OFFICE, LONDON

ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT PHOTOGRAPH-NOT TO

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of pure silver, and its intrinsic value to the pound is, therefore, as is to 21-982 (or nearly 22).

28. (3.) The Company's rupee contains 165 grains of pure silver, and is, therefore, as 10-751, or 1 to 10.

The pound sterling contains..

1774 gr. pure silver,

and is equal to 21-982 (nearly 22) shillings of 807 gr. each

1774

and to 10751 or 10 rupees of 165 gr. each..

1774

And a rupee is equal to 2-044 of British shillings, ¿e.,

2 shillings British contain

1 rupee contains

161-4 gr. pure silver. 165

As these are the only coins practically in circu- lation, it is unnecessary to refer to the intrinsic value of many others which occasionally circulate, such as the franc, the Spanish dollar, &c. The only other denomination of value in use is the dollar of account, in which all the accounts in the island are kept, except those of the Government, who have adopted the British denomination of pounds, shillings, and

pence.

29. Nothing seems to be known as to the origin of this ordinary denomination of money. The only coin that ever corresponded with it was the dollar coined by General Decaen, in 1810, when, however, he did not pretend to create a standard, but to follow, as nearly as possible, the existing value of the dollar

in account; this dollar was 344:3 grains of pure

silver. But it was a very small coinage. During the time of the French it seems to have settled down at 10 livres to the dollar currency, or 5 francs; at this rate the value of a dollar in account in sterling noney would be 31. 101 d., or 8. 10fd. nearly, which makes it equal to 344-9 grains of pure silver; and it is probable that Decaen tried to follow that valuation. This seems to have been regarded as the value up to 1825, when the proclamation was issued from the British Treasury for rating foreign coins; and in that rating a 5-franc piece was put at 48., and a dollar at the same. But the ratings ander this proclamation were most carelessly and imperfectly prepared. In the first place, although the professed object was to cata- blish the British gold standard, the rate at which silver coins were valued was in place of the real

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intrinsic relation of the two metals, viz., as 157

is to 1, taken at 5s. 2d. the ounce, or at the rate of 15-072 to 1. But besides this general error, which pervaded the whole of the table of the ratings, there were some most inexcusable blunders in the calcu- lations, which deranged the whole plan still further. For example, a 5-franc piece was rated at 48., while the 2-franc piece was rated at 1s. 8d., and the frauc at 10d., although all those coins possessed exactly the same relative quantity of silver; so that while a 5-franc piece was rated at 48., two 2-franc pieces and a 1-franc piece, or five 1-franc pieces, were legal tender for 4s. 2d. So imperfect was that rating, that a dollar in account might be paid under the proclamation in question, with 315-2 grains of silver in a Sicilian coin, or at the rate of 3s. 6d.

of British sterling money; or it might have been paid in 1 and 2-franc pieces at the rate of 333-1 grains of pure e silver, which represented 3. 919d. of British sterling; or it might have been paid in Madras rupees of 165 grains each, being exactly the same as the Company's rupee, which is now the only one in circulation, at the rate of 344-3 grains of pure silver, or at 3s. 10 VA¶d. of sterling money. So that while this proclamation declared the dollar in account to be 4s, of sterling money, or 354.8 graine of silver, it provided also that it should be paid in a Sicilian coin (20 grain picces) by 315-2 grains; in 1 and 2-franc pieces, by 333′1 grains;

in 5-franc pieces, by 344-9 grains; and in Madras rupees, by 844-3 grains. The Sicilian coin was never used; but as French money circulated freely in the island, the consequence was, as it was certain to be, that the currency consisted thereafter very largely of 1-franc and 2-franc pieces; at which the dollar in account represented, in place of 48. sterling,

as was intended, only 3. 9d. and a very small fraction, of sterling money.

It is highly necessary to examine this part of the question, as "Meeting the consideration now of the adjustment of old contracts. The error arose, as I have said, partly from adopting the ancient standard price of silver (5«. 2d. an ounce) in place of the real intrinsic rulative value of 15·7 to 1 as between gold and silver, which gives a price for silver of 46. 11ju, and yiy of a jd., in place of 3s. 2d.—and partly from sheer blunders. This state of things