CO129-446 - Others & Individuals - 1917 — Page 258

You will notice that the friss

on Blue

world

be deposited with the Gost as

5 mithion dollars of.

hart of the

Banks security

and

woh mit be issued to the public. there

wit be

as fecial reaso

to anticipati

a shrinkage in the Bank's with sitnes

next 5 millions we iscere our best 5 wil

until we issers

aust hid

to the public. I think we the white of the silver rech for

these next 5 millions to form a backing

both for the notes issued to the public and for those issued

& The Bank of coin

though the 10 million still

hi the Bauthe

N

―

remaining

reserve deposited to

Got world provide

for shrinkage.

I think we

a

large margin

1stat issue pastes i million

could

safely begin the

half & half arrangement - cc. holding half

254

& Sendung half to India, and our experience

ly then lathe more coin from the

them and show whether we cal

reserve

safely

excess with offere

of the Bank, and replace it

with our atto

I think the best flan word is for

Aut

to see Sir Charles Addis of

The An

& Sh. Bank & put the matter before hir

let me Kurz

confidentially. Will

if Abrahams

Will you

agrees

to this

and if

he generally approves the forgoing?

we propose to leave it to

to get the concurrence

You

of the heamery

of Sudia

at a later stage. It is the need

Barch

to originates this scheme and which from

boy for the most important considuation

in deciding whether to adopt it.

yours sincerely ARC