Congressional Record-House. .February 14, ~

2176 ~ CONGRESSIONAL RECORD-HOUSE. .FEBRUARY 14, ~

Michigan, to be assistant naval constructors in the Navy from the The SPEAKER. This bill has been returned from the Senate 1st of July, 1891. with an amendment to its title. Thomas F. Ruhm, a citizen of Tennessee, and Lawrence Spear, Mr. MOSES. I .ask that the amendment of the Senate be con· a citizen of Ohio, to be ~assistant naval constructors in the Navy curred in. from the 1st of July, 1892. The amendment was read, as follows: Frank B. Zahm, a citizen of Pennsylvania; Horatio G. Gillmor, Add to the title the words ''and repealing the act of March 3, 1871. '' a citizen of Wisconsin; Henry G. Smith, a citizen of Ohio, and The amendment was concurred in. Richard M.. Watt, a citizen of Pennsylvania, to be assistant naval CIRCUIT COURTS OF APPEALS. constructors in the Navy from the 1st of July, 1893. John B. Bueret, a citizen of Michigan; Joseph E. McDonald, a The SPEAKER also laid before the House the bill (H. R. 5216) citizen of lllinois, and Homer L. Ferguson, a citizen of North to amend the act entitled "An act to establish circuit courts of appeals and to define and regulate in certain cases the jurisdic Carolina, to be assistant naval constructors in the Navy from the tion of the courts of the United States, and for other purposes," 1st of July, 1894. approved March 3, 1891. The SPEAKER. This bill has been returned from the Senate CONFIRMATIONS. with an amendment. Executive nominations confirmed by the Senate Februa1·y 14, 1895. :Mr. DRAPER. I ask that the amendment of the Senate be con· curred in. PROMOTION IN THE ARMY. The amendment was read, as follows: General officer. After the word "appeal " in line 23, page 2, insert the following: "And pro vided further, That the court of appeals may, in its discretion, require, as a Brig. Gen. Thomas Howard Ruger, to be major-general. condition of the appeal, an additional injunction bond." POSTMASTERS. The amendment was concurred in. George W. Harmon, to be postmaster at Auburn~ in the county On motion of Mr. DRAPER, a motion to reconsider the vote by of Nemaha and State of Nebraska. which the amendment was concurred in was laid on the table. August Kleine, to be postmaster at West Point, in the county of SAMUEL GOLDWATER. Cuming and State of Nebraska. . The SPEAKER also laid before the House the bill (S. 2371) grant Asa F. Hollebaugh, to be postmaster at Falls City, in the county ing a pension to Samuel Goldwater. of Richardson and State of Nebraska. Mr. DE ARMOND. I ask unanimous consent for the present Daniel E. Kean, to be postmaster at Cumberland, in the county consideration of this bill. of Allegany and State of Maryland. The bill was read. Thomas Regan, to be postmaster at Crawford, in the county of Mr. LIVINGSTON. Has this bill been before the Invalid Pen· Dawes and State of Nebraska. sions Committee of the House? James D. Leming, to be postmaster at Broken Bow, in the Y.LT. DE ARMOND. It'has not. I askthatthe Senate report be county of Custer and State of Nebraska. read. It is very short, . John B. Sweeney, to be postmaster at Hagerstown, in the county The report was read. of Washington and State of Maryland. Mr. DE ARMOND. I wish to say that I saw this man last fall. J. Miller Bloom, to-be postmaster at Clearfield, in the county of He is a poor old man and is almost, if not entirely, blind. The pen Clea.rfield and State of Pennsylvania. sion proposed is $15 per month. I hope there will be no objection Abram Claude, to be postmaster at Annapolis, in the county of to the present consideration of the bill. Anne Arundel and State of Maryland. Mr. _MOSES. I think the bill ought to go to a committee. I John W. Cox, to be postmaster at Ellis, in the county of Ellis object to its present consideration. and State of Kansas. The bill was referred to the Committee on Invalid Pensions. L.A. Saunders, to be postmaster at Mankato, in the county of Jewell and State of Kansas. MARIAN C. GURNEY. Harry Schiffer, to be postmaster at Durango, in the county of The SPEAKER also laid before the House the bill (S. 2539) La Plata and State of Colorado. granting a pension to Marian C. Gurney. James A. Jackson, to be postiJlaster at Howard, ih the county Mr. HAINER of Nebraska. I askunanimousconsent that this of Elk and State of Kansas. bill lie temporarily on the Speaker's table. Jefferson D. Adams, to be postmaster at Rico, in the county of. There was no objection. Dolores and State of Colorado. NANCY G. ALL.A.BACH. John Schlyer, to be postmaster at Hays, in the county of Ellis The SPEAKER also laid before the House the bill (S.1639) grant and State of Kansas. ing a pension to Nancy G. Allabach. Frank D. Jewell, to be postmaster at Cattaraugus, in the county Mr. BAYES. I ask that this. bill lie 'on the Speaker's table for of Cattaraugus and State of New York. the present. Lemuel Mathewson, to be postmaster at Avoca, in the county There was no objection. of Steuben and State of New York. Henry M. Fitzgerald, to be postmaster at Greenwich, in the SENATE BILLS REFERRED. county of Fairfi~ld and State of Connecticut. The SPEAKER also laid before the House Senate bills of the fol· lowing titles; which were respectively read twice, and refen-ed to the Committe on Invalid Pensions: A bill (S.2141) granting a pension to Joseph Porter; HOUSE OF REP.RESENT.A.TIVES. A bill (S. 2207) granting a pension to Robert Kiracofe; A bill (S. 2654) granting an increase of pension to James H. Os THURSDAY, Feb1·uary 14, 1895. good; The House met at 11 o'clock a.m., and was called to order by the A bill (S. 2671) granting an increase of pension to Florence W. Speaker. Prayer by the Chaplain, Rev. E. B. BAGBY. Buskirk; The Journal of yesterday's proceedings was read and approved. A bill (S.1238) granting a pension to Catherine Dillon; A bill (S. 2460) granting a pension to Catherine R. Jardine, MAIL-CARRYING CONTRACTS. widow of Brig. Gen. Edward Jardine; The SPEAKER laid before the House a letter from the Post A bill (S. 2148) granting a pension to Elizabeth A. Granger; master-General, transmitting, pursuant to section 413 of the Re A bill (S. 2491) granting a pension to Mary A. Hall; vised Statutes, a statement of all contracts for carrying the mails, A bill (S. 2696) granting a pension to William B. Matchett; and etc., made ·during the fiscal year ended June 30, 1894; which was A bill (S.1539) granting a pension to Josephine Foote F airfax. referred to the Committee on the Post-Office and Post-Roads, and The SPEAKER also laid before the House Senate bills of the ordered to be printed. following titles; which were respectively read twice, and referred EASTERN BAND OF CHEROKEE INDIANS. as stated: A bill (S.1530) for the relief of James Grace-to the Committee The SPEAKER also laid before the House a letter from the Act on Cla.ims. ing Secretary of the Treasury, transmitting an estimate of appro A bill (S.2372) to authorize and direct the Secretary of War to priation submitted by the Secretary of the Interior for incorpora place on file in the War Department the names of the officers and tion in the general deficiency bill for the removal of the members members of the Frontier Guards mustered into the volunteer of the Eastern Cherokee band who have removed to the Cherokee military service of the United States on the 18th day of April, Nation, Indian Territory; which was referred to the Committee 1861, and issue discharges to the same-to the Committee on Mili- on Appropriations and ordered to be printed. tary Affairs. · HIRAM R. RHEA. A bill (S. 2663) to provide for the erection of a public building The SPEAKER laid before the House the bill (H. R. 4658) grant in the cities of Winston-Salem, N. C.-to the Committee on Pub ing a pension to Hiram R. Rhea. lic Buildings and Grounds. 1895. CONGRESSIONkL RECORD- HOUSE. 2177

LEAVE OF ABSENCE. I Congress in the dedication of the Chickamauga and Chattanooga Mr. OuTHWAITE, by unanimous consent, obtained indefinite National Park, the Chair had appointed Senators PALMER, PAsco, leave of absence on account of sickness. MILLS, PROCTOR, SQUIRE, and PErFER. ENROLLED BILLS SIGNED. THREE PER CENT GOLD BONDS. Mr. PEARSON, from the Committee on Enrolled Bills, reported Mr. CATCHINGS. I present a report from the Committee on that they had examined and folmd truly enrolled joint resolutions Rules. and bills of the following titles; when the Speaker signed the The Clerk read as follows: same: R esolved, That immediately upon the adoption of this resolution the House shall proceed as in Committee of the Whole on the state of the Union to the Joint resolution (S. R.113) instructing the Secretary of War to consideration-of House resolution No. 275. That at the hour of 5 o'clock p .m. return to the State of Michigan the flags of certain regiments of this day the previous question shall be considered as ordered on said resolu Michigan Volunteer Infan.try; tion, and then without intervening motion votes shall be taken thereon until A bill (S.1667) to provide for coinage at the branch mint at the same shall have been fully disposed of. Denver, Colo.; - Mr. CATCHINGS. On this resolution I demand the previous A bill (S. 2699) for the encouragement of education in the State question. of Mississippi; · The question was taken; and on a division (demanded by Mr. Joint resolution (S. R.128) making an appropriation of $5,000 BRYAN) there were-ayes 56, noes 11. for clearing the Potomac River of ice; So the previous question was ordered. A bill (H. R. 6076) to repeal the special act granting a pension The question being taken on the adoption of the resolution, there to Louisa M. Sippell; were on a division (demanded by Mr. SIBLEY)-ayes 58 1 no~s 17. A bill (H. R. 6974) to pension Mrs. Mary L . Clark; Mr. SIMPSON. No quorum. A bill (H. R . 862) granting a pension to Pauline M. Pooler; Mr. BRYAN. Mr. Speaker, I rise to a parliamentary inquiry. A bill (H. R. 6433) granting an increase of pension· to Julia The SPEAKER. The gentleman will state it. Weeks; 1\Ir. BRYAN. Was the time for debate, fifteen minutes on a A bill (H. R. 6985) granting a pension to William Armstrong; side, waived in any way? A bill (H. R . 7602) to pension Mary R. Williams; The SPEAKER. The vote is being taken on the adoption of A bill (H. R. 6131) to grant a pension to Sarah E. Roebuck; the resolution. A bill (H. R. 5377) gTanting a pension to Richard R. Knight; Mr. BRYAN. Does not tlie rule require debate? A bill (H. R. 7359) to pension Samuel F. Tenant; The SPEAKER. Not unless the demand is made for it. A bill (H. R. 3988) granting a pension to Marilla Parsons, of De The gentleman from Kansas makes the point that no quorum troit, :Mich.; has voted, and the Chair will order tellers. A bill (H. R. 5642) granting a pension to Elizabeth Brower, a Mr. SIMPSON and Mr. CATCHINGS were appointed tellers. hospital nurse during the war of the rebellion; The Rouse again divided; and the tellers reported-ayes 152, A bill (H. R.116) for the erection of a public building at Brock noes 28. ton, Mass.; So the resolution was adopted. A bill (H. R . 6868) for the relief of Catharine Ott, widow of Jo LEAVE TO PRINT. seph. Ott; Mr. BRYAN. Mr. Speaker, before procBeding with the special A bill (H. R. 2051) to grant a pension to Eunice Putman; order for to-day I ask unanimous consent that all gentlemen desir Joint resolution (H. Res.140) to confirm the enlargement of the ing to do so may be permitted to print remarks in the RECORD Red Cliff Indian Reservation in the State of Wisconsin, made in upon the pending resolution. 1863, and for the allotment of same; and The SPEAKER. Is there objection to the request of the gen A bill (H. R. 8563) to adopt special rules for the navigation of tleman from Nebraska? harbors, rivers, and inland waters of the United States, except the There w.as no objection. Great Lakes and their connecting and tributary waters as far east as Montreal, supplementary to the act of August 19, 1890, entitled HOUR OF MEETING TO-MORROW. ''An act to adopt regulations for preventing collisions at sea." Mr. TALBOTT of Maryland. 1\fr. Speaker, I ask unanimous ?Onsent before proceeding that when the Rouse adjourns to-day :MESSAGE FROM THE PRESIDENT. 1t be to meet at 11 o'clock to-mmTow, the purpose being to take A message in writing from the President of the United States up the naval appropriation bill. was communicated to the Honse of Representatives by Mr. 0. L . The SPEAKER. Is there objection to the request of the gen PRUDEN, one of his secretaries, who also announced that the tleman from Maryland? President had approved and signed bills and a joint resolution of There was no objection, and it was so ordered. the following titles: LEAVE OF ABSENCE. On February 12, 1895: An act (H. R. 8226) making appropriations for the support of By unanimous consentl leave of absence was granted to Mr. the Army for the fiscal year ending June 30, 1896, and for other RAYNER indefinitely, on account of sickness. purposes; . REPRINT OF A BILL. An act (H. R. 6186) to pension Maria Davis; Mr. McRAE. Mr. Speaker, I ask unanimous consent that the An act (H. R . 7334) to sell certain lands in Montgomery County, bill (H . R. 34'76) to provide for the examination and classification Ark., to the Methodist Episcopal Church South; and of certain mineral lands in the States of Montana and Idaho, with An act (H. R . 8552) to authorize the appointment of cadets to reference to which an order was made on yesterday to nonconcur the Naval Academy. in the Senate amendments and agree to the conference asked by On February 13, 1895: the Senate, be printed with the Senate amendments. An act (H. R. 397) to provide for the erection of a Government The SP EAKER. In the absence of objection that order will be building at Chicago, ill.; and made. Joint resolution (H. Res. 269) authorizing the Secretary of War There was no objection. to make a survey of Kalamazoo River from Lake Michigan to Saugatuck. CONTESTED-ELECTION CASE-WILLIAMS VS . SETTLE. MESSAGE FROM THE SENATE. Mr. BROWN. Mr. Speaker, at the request of Mr. WOODARD A message from the Senate, by Mr. PLATT, one of its clerks, who is necessarily absent from the Rouse, I desire to give notic~ announced that the Senate had passed with amendments joint that the contested-election case of Williams vs. Settle will be resolution (H. R es. 273) extending from March 1, 1895, to the called on the 19th instant. 15th day of April, 1895, the time for making returns of income for PROPOSED BOND ISSUE. the year 1894, asked a conference with the Rouse on the bill and The SPEAKER. The Clerk will report the special order of amendments, and h ad appointed Mr. VEsT, Mr. WHITE, and Mr. business for to-day. ALLISON as the conferees on the part of the Senate. The special order was again read. The message also announced that the Senate had passed with The SPEAKER. The Clerk will now report the joint resolu amendments joint resolution (H. Res. 252) relative to the British tion. Venezuela-Guiana boundary dispute; in which the concurrence The Clerk read as follows: of the Rouse was requested. · A joint resolution (H. Res. 275) authorizing the issue of $65,116,275 of gold 3per The·message also announced that the Senate had passed with cent bonds. out amendment the bill (H. R . 27) to increase the limit of cost for R~ ol ved, t;tc. , That t~e Secretary of the Treasury be, and he is hereby, au the erection of a public building at Paterson, N.J. tho;nzed to ISsue .and d1Sp0Se. o.f at n9t ~ess than par in gold coin, bonds of the The message also announced that under the concurrent resolu Omted States, With the qual1t1es, privileges, and exemptions of bonds issued tion providing for the appointment of a committee on the part of unde~· the act app;roved July H, 1870, entitled "An act authorizing there ~unding of the national debt,." to an amount not exceedin~ $65,116,275, bearing the Senate to prepare and report a plan for the participation of mterest at a rate not exceeding 3 per cent per annum, principal and interest X X V IT-137 2178 CONGRESSIONAL RECORD-HOUSE. FEBRUARY 14, payable in gold coin of the present standard of weight and fineness, said an adequate coin reserve was a continuing power, to be exercised bonds to be made payable not more than thirty years after date: Provided, however, 'l'hat no part of the proceeds of the sale of such bonds nm· of the whenever the reserve required its exercise on the part of the notes redeemed with such proceeds shall be available for the payment of the Treasm·y. cmTent expenses of the Government. Secretary Sherman, from the sale of bonds, chiefly in London, The SPEAKER. The Chair will announce to the House in ref and through the setting apart, from time to time, of such portions erence to the pending measure that recognitions for the time of the customs revenues, then by law payable in gold, as he could allowed for debate will be divided as follows: The Chair will rec spare, accumulated what he declared to be a safe c.oin rese1·ye to ognize two members of the House on the Committee on Ways and maintain the resumption of specie payment of the notes of the Means, the gentleman from West VirO'inia [Mr. WILSON], the Government. gentleman from Maine [Mr. REED],in the a:ffiimativeof theprop Mr. BLAND. I should like to ask the gentleman by what au osition; and two members of the committee, the gentleman from thority in 1879 customs dues were payable in gold? Nebraska [Mr. BRYAN] and thegentlemanfromlllinois [Mr. HoP Mr. WILSON of West Virginia. Customs dueswerepayablein KINS], in the negative, which will consume four hours of the time, coin, I should have said, and gold was about the only coin in the and the other hour will be divided among gentlemen not on the country. Committee on Ways and Means. :Mr. BLAND. Not in 1879? Mr. WILSON of West Virginia. Mr. Speaker, it is important Mr. WILSON of West Virginia. By the 1st of January~ 1879, that in the beginning of this discussion the House should clearly there were how many thousand Bland dollars in the country? understand the single issue presented in the resolution reported About 20,000,000, or something like that amount. from the Committee on Ways and Means. Unless the debate can Mr. BLAND. That was enough to pay a good many customs be held sh·ictly to that issue and kept free from the larger and dues, and also bonds, when the bonds were sold by Mr. Sherman. perplexing questions that naturally beset every financial discus Mr. WILSON of West Vrrginia. The gentleman is correct in' sion in this House, it may be impossible for the members to vote saying that customs dues were payable in coin, but gold being intelligently on the issue presented. substantially the only coin in the country-for, on the 1st of Janu The que tion is simply this: An emergency has arisen which in ary, 1879, the Bland Act had been in operation but a few months the opinion of the Secretary of the Treasury, has made it incum customs duties were virtually payable in gold; and it was out of bent on him to exercise the authority conferred upon him by law this surplus gold, to~ether with the sale of $90,000,000 of bonds and to purchase gold in order to reenforce and maintain the tradi the Alabama awara., that we accumulated the amount of gold tional and legal gold re erve in the Treasury. He has exercised which the Secreta~y thought a proper and safe reserve for there that authority through a contract made with certain responsible sumption of specie payments. parties, under which he has purchased from them three and one In successive reports he gave it as his opinion that the Treasury half million ounces of gold of standard United States coin, for should always maintain at least 40 per cent in coin of its note cir which he is to issue to them 4 per cent thirty-year coin bonds of culation; and when the resumption of specie payment began, on the United States at such rate as to make the premium upon the the 1st day of January, 1879, there was something over8133,000,000 bonds about 4t per cent, and the right is reserved in the contract of gold in the Treasury for the redemption of the $346,000,000 that should Congress authorize him to do so he may substitute greenback notes then in circulation. That was the beginning of for the bonds of the contract 3 per cent bonds at par specifically the gold reserve. In 1882 Congress, in the national banking act, payable, principal and interest, in gold. The question is will the seemed to give instructions that $100,000,000 was the proper ,gold House give him the authority to substitute such bonds for those reserve to be kept in the 'l"'reasury by providing that whenever the he may issue under existing law. gold in the Treasury fell below $100,000,000 the issue of gold cer Now, Mr. Speaker, it is important, perhaps, that in laying the tificates should cease. foundation for this discussion I should call the attention of the In 1885 the Secretary of the Treasm·y, Mr. ::M:anmng, acting on House to the emergency in the Treasury which has compelled the what seemed thus to be the opinion of Congress, specifically set Secretary to make this contract. . aside 100,000,000 of gold as the special Treasury reserve for the Anyone who examines the Treasury statement this morning redemption of the legal-tender notes of the United States. And will find that so far as paying public expenditm·es is concerned if I mistake not the majority of the Judiciary Committee of this the Treasury is in a very easy condition. There is an available House in a report made during the Fifty-second Congress held cash balance of over $141,000,000, and there is in the hands of the that such action was obligatory. disbursing officers, which is really in the hands of the Treasury Now, the condition of the gold reserve or the amount of that for the money in the hands of the disbursing officers is but the ~old reserve has from time to time varied in the history of our till money of the Treasury-there is in the handB of disbursing 11.scal and banking operations. officers $.24,000,000 available for current payments. So that this So perfect was the confidence of the country when the Treasury morning's report shows an available cash balance of over 8165,- resumed specie payments in 1879 that between the 1st day of 000,000. Compare that condition with the condition of the Treas January, 1879,and the 1st day of November, there were presented ury time and again in recent years, when there was no excitement for redemption less than .12,000,000 of the notes of the Govern or apprehension in the public mind, and it will be found that so ment; and dming the entire twelve months that followed, from fat· as its assets are concerned it is in a very easy condition. the 1st of November, 1879, to the 1st of November, 1880, there I have here a statement of the condition of the Treasury· on the were presented for r edemption under the resumption law but a 31st day of May, 1892. I find on that day an available cash bal little over $700,000 of the notes of the United States; and dur ance, including the gold reserve, of only $126,000,000, whereas we ing all that time, instead of gold being drawn out of the Treas have to-day $141,428,000. There was then in the hands of disburs m·y, there was a steady flow of gold into the Treasm·y under the ing officers only $3,739,000, whereas we have to-day in their hands inevitable operation of that law of trade that where paper is known $24,094,000, making an available eash balance in the Treasm·y to to be as good as gold business men always insist on having the day of $165,000,000 as against 8129,000,000 on the 31st day of May, paper instead of the ~old. 1892. There have been times, as I have said, when this gold reserve I might refer to other dates in the past few years when the ran down. A very critical time came in the panic of 1890, when Treasm·y was in much greater stress. This is, however, sufficient according to Secretary Windom, in the speech which he made in to satisfy the House, and ought to be sufficient to satisfy any man the city of New York the night he died, there was during the pre in the country, that there is no emergency, so far as the Treasury vious November (November, 1890) a run on the gold reserve to itself is concerned. But when I come to examine this mornings the amount of 824,000,000. I may state also that he called atten statement of what is called the gold reserve in the Treasury, I find tion in his annua-l report of 1890 to the fact that dm·ing the crisis it to be only 842,217,000. The Treasury as a bank of issue is in of the panic of 1890 the Treasury was virtually reduced, so far as distress: the Treasury as a bank of issue has been for a year or available cash assets for the payment of its debts were concerned, more in distress, and because of its distress as a bank of issue it to the $54:,000,000 of the banking trust fund, which, under the has been compelled to do that which any other safe and sound operation of the Sherman law of the previous July, had been bank would do under like circumstances-that is, go out into the passed to the cash of the Treasury. market to replenish the reserve which it keeps for the purpose of It thus being by law, Mr. Speaker, and by the policy of the redeeming its current notes. Treasury Department ever since the resumption of specie pay L et me explain for a moment the history and origin of this gold ments began, the recognized safe a.nd sound practice to maintain reserve in the Treasury. In the law of 1875, which provided for in the Treasury of the United States at least 100,000,000 of gold, the resumption of specie payments, the Secretary of the Treas or a sufficient amount of gold to maintain the redemption of the ury was directed, by the sale of bonds and by the use of the surplus obligations of the Government that are redeemable in gold; it has revenue, to accumulate a sufficient coin reserve in the Treasm·y to tlu·ee times within the last thirteen months become necessary for redeem the outstanding legal-tender notes of the Government on the Treasury of the United States to go into the market and pur and after the 1st day of January, 1879, and it was expressly under chase gold, as any other banker would have to do, to maintain its stood at the time, both by the language of the law and by the reserve. Twice in twelve months it has issued and sold in this interpretation given to it by Mr. Sherman in his reports, that this country $50,000,000 of 5 per cent coin obligations of the Govern power to issue bonds or to use the surplus revenue to maintain ment, getting into the Treasm·y for them something over $117,- 1895. CONGRESSIONAL RECORD-HOUSE. 2179

000 000. But that experiment, as everyone can now see, was only I ask him again-because it is an important matter- if it is not a ~akeshift, and a very brief and futile makeshift in itself. true that $109,000,000 of the $117,000,000 pu.rcha.sed by the sale of The gold acquired last J anua.ry was taken out of the Treasury be bonds has been used to meet the deficiency of revenue rather than fore November. The gold bought last November has been taken out to maintain the gold redemption fund in the TI·ea.sury? of the Treasury in two months, so that anyone can see that these Mr. WILSON of West Virginia. Undoubtedly a laa.·ge part of previous bond issues have simply re~ulted in exch~ging our gold it, or a sufficient part of it, has been used to meet the deficiency for our own bonds. Under these crrcumstances It became neces in the revenue. I have stated that in previous speeches. It has sary for the Secretary of the Treasury, in order to maintain the been so used, and therefore there is no call for any more money gold reserve at the sum required. by law, in order to maintai? a now to meet the revenue deficiency, because we have 865,000,000 ready and instantaneous redemption of the legal-tender note obliga in the Treasm·y over and above the $100,000,000 reserve. tions of the Government, in order to carry out the pledge con Mr. DINGLEY. Has not that surplus, so called, in the Treas tained in the Sherman law and in the law that repealed the Sher ury been put there by the sale of bonds? If the bonds had not man law, to maintain at a parity all the coin circulation of this bsen sold would there have been any surplus in the Treasury? country, I say it became necessary for the Secretary of the ~e3:s On the contrary, would there not have been a deficiency of $61,- m·y to seek some other suppl~ of gold than that he could o~tam m 000,000? ' this country. Under these Circumstances Secretary Carlisle has Mr. WIT..SON of West Virginia. If you are going to give this done just what Secretary Sherman did, time and again, when he a political turn, the difference between your 'l;'reasnry manage was refrmding the public debt; just what he did when he was ment and ours is that when we wanted money we went out into gathering the gold to make up this reserve in the Treasury; he the market and borrowed it, and when you wanted it you appro has sought to purchase gold from other markets than our own. priated a trust fund of $54,000,000 in the Treasury. [Applause on Now, Mr. Speaker, there is one p<;>int, p~rhaps, _which I can the Democratic side.l · state appropriately here, though not directly m the line of my re Mr. DINGLEY. Idonotdesireto bringinpartisanconsiderations marks. I have said that Secretary Sherman kept a gold reserve of at all, but, as a matter of fad, not a dollar of the bank redemption 40 per cent, and declared in successive reports that he believed 40 fund was used by any Republican Administration for the current per cent was the necessary and safe reserve. When that $100,- expenses of the Government; and when you speak of a Treasury 000,000 was set apart; when the $100,000,000, by what seemed to be balance of $41,000,000, $30,000,000 of that is the bank redemption the instruction of Congress in 1882 was set apart, it was a gold fund, leaving only $11,000,000 belonging to the Government out reserve fund for the redemption of the greenbacks outstanding, side of that. $346,000,000, and for the support of $200,000,000 or more of stand Mr. WILSON of West Virginia. If the gentleman from Maine ard silver dollars then in circulation. will only 1·ead the report of Secretary Windom for December, 1890, But to-day $100,000,000 gold in the Treasury would be a re he will find the fa-ct stated, as I have already stated it, that on the serve fund, first, for the redemption of $500,000,000 of outstand lOth day of September of that year- I read the Secretary's words- ing legal-tender notes of the Government; then, of $500,000,000 The amonnt of the bank redemption fund then in the Treasurv which had outstanding overvalued silver coins, and in addition to that, been transferred to the available fund by the act of July 4, 1890, was $54,000 000, under the operation of the present national banking law, of all being substantially the amount of the available surplus on September 10,1890. the notes of all the national banks of the country. If 40 per Mr. DINGLEY. Is it not true that not one dollar of the bank cent was a prope1· and sufficient banking reserve in 1879 and 1880, redemption fund was used prior to March 1, 1893, for the cmTent no man can complain that, with these added charges and these ad expenses of the Government, but was used for the pm·pose of re ditions to the redeemable notes of the Government, $100,000,000 ducing the interest-bearing debt? is now more than a very modest rese1·ve. · :Mr. WIT..SON of West Virginia. Why, it was passed to the Mr. DINGLEY. If the gentleman will pardon an inquiry, he available cash of the Government. Here is your own Secretary has spoken of the Treasury having purchased during the past year of tlle Treasury stating that on the 1oth of September the bank by the issue of bonds $117,000,000 of gold to maintain the redemp redemption fund was about the only available cash in the Treas tion fund. I would ask him how the Treasury has obtained the ui·y. money to meet the deficiency of nearly $109,000,000 in the revenues Mr. DINGLEY. That may be; and yet to-day $30,000,000 of in the last nineteen months? the $41,000,000 is simply the bank redemption fund; and there are Mr. WILSON of West Virginia. Stillharpihgonmydaughter! only eleven millions of free money in the Treasury to-day outside [Laughter.] Mr. Speaker, I have explained all that several of the one-hundred-million-dollar redemption fund and bank re times already. I have explained that under this endless-chain demption ftmd. system-- l\fr. WILSON of West Virginia. Mr. Speaker, I have already Mr. DINGLEY. lithe gentleman will pardon the interruption, admitted that the flush condition of the 'rreasury is partly the it seems to me that this is an exceedingly important point in this result of the issue of bonds, that the bonds which were issued for discussion, because it is true that the Secretary of the Treasm·y one purpose have by operation of law become available for an has obtained $117,000,000' of gold, ostensibly for the maintenance other. And no doubt a large piut of that surplus is the result of of the gold redemption fund, and yet during that same time there the sale of the bonds. But my argument is that the sale of those has been a deficiency in the revenues, up to last night, of almost bonds having added far more than is needed for the comfortable $109,000,000. Now, I ask the gentleman if the $117,000,000 of gold, running of the Government, the present sale is for an entirely dif purchased ostensibly for the maintenance of the redemption fund, fei·ent purpose. The present sale is for replenishing the reserve has not be<>v11 used to the extent of nearly $109,000,000 to meet the of the Treasury as a banker, not for adding to the assets of the deficiency in the revenue? Treasury for meeting running expenses. :Mr. WILSON of West Virginia. Well, :Mr. Speaker, I an Now, I believe I was saying when interrupted that Secretary swered that question, as I thought, in the debate on the sugar dif Carlisle has done rmder these circumstances just what other Sec ferential bill. Of course the gentleman is partly correct. The retaries of the Treasury have been obliged to do-what Mr. SHER $117,000,000 of gold bought for the purpose of maintaining the MAN, particularly, was obliged to do in 1878-in order to build up gold reserve was, under the operation of the '; endless-chain sys a gold reserve in the Treasury. He has made a contract for the tem," turned into other forms of money, which immediately sale of enough 4 per cent thirty-year coin bonds of the Govern swelled the cash in the Treasury and were available to pay the ment to b1·ing into the Treasury 3,500,000 ounces of gold of the expenses of the Government. standard weight and fineness of the United States coin of to-day. Mr. DINGLEY. But how could there have been an endless He has sold those bonds at 4t per cent premium with the dght to chain if the greenbacks that were redeemed had been held in the substitute for them at par 3 per cent bonds, provided they are Treasury instead of being immediately paid out for current ex specifically made payable in gold as to principal and interest. penses? If the Government maintains its traditional policy, if the Gov Mr. wn.SON of West Virginia. Does not the gentlemanknow ernment fulfills the pledges of the Sherman Act and of the act re that undm· the law of 1874 the national-bank notes can be used to pealing the Sherman Act, every bond that it issues to-day payable drain the Treasury as effectively as greenbacks? by its terms in coin is payable in gold, because the Government Mr. DINGLEY. By no means, to any such degree. has pledged itself to keep all its coin on a paa.·ity with gold. It be Mr. WIT..SON of West Virginia. Under the law of 1874 the ing certain, then, that unless a radical change is made in the policy Government has become the redeemer of the national-bank notes. of the Government-unless there is a repeal of existing laws, these The banks themselves need not redeem them, in the first place. 4 per cent bonds will be paid in gold when they fall due-it seemed Any man in. the city of New York can go to the bank of my to the Committee on Ways and Means that there ought to b9 no friend who sits before me rMr. HENDRIX] and get a million dol hesitation in accepting the option of specifically naming gold in l aa.·s of his bank notes, take them to the Treasury, have them the bonds, and thus securing the better rate, which will amount t o changed into greenbacks at one counter, and at another counter a saving of over half a million dollars in interest a year. demand gold for the greenbacks. Mr . BRECKINRIDGE. The gentleman seems to intimate that Mr. DINGLEY. But my friend has not answered the practical Congress has the right to accept an a]ternate proposiV.on. Is it question which I asked him with 1·eference to the disposition of not true that if Congress does not act, the bonds are sold at the the $117,000,000 of gold bought to maintain the redemption fund. rate of interest named in the contract; and if Congress does act, 2180 CONGRESSIONAL RECORD-HOUSE. FEBRUARY 14, the only effect is to make the bonds specifically payable in gold I had intended to speak on other points in connection with the and to save $16,000,000 in interest? matter, but am compelled to reserve the remainder of my time to l\1r. WILSON of West Virginia. That is it. · close the debate. [Applause.l 1\fr. VAN VOORHIS of New York. Now, will the gentleman The SPEAKER. The gentleman has eighteen minutes of his yield to me for a moment? time remaining. Mr. WILSON of West Virginia. I will if the gentleman will Mr. HOPKINS of illinois. Mr. Speaker, the gentleman from make his question short. I have but an hour, and I must save West Virginia who has just addressed the House in favor of this a part of my time for closin(J' the debate. proposition that is pending under the special rule adopted to-day Mr. VAN VOORHIS of New York. I will make the question devoted considerable time in justification of the Administration very short. I understand the gentleman to say the Secretary of in issuing bonds and replenishing the 1'l.'easury thereby. I shall the Treasury has sold a certain amount of bonds and bought a take no time in attempting to answer him on that proposition. certain amount of gold. Is there any contract on that subject ex That, as I understand it, is not the question presented to the House cept that which has been presented in the report of the committee? to pass upon. l\1r. WILSON of West Virginia. Of course not. We have been informed by the President of the United States, .Mr. VAN VOORIDS of New York. Now, in what part of that in a special message to Congress which was read here a few days contract does the gentleman find any covenant or agreement on ago, that a contract has been already made for the issuance of the part of the Government to take one dollar of gold? Is the con bonds; and -the question submitted to us is not whether a new tract anything more than a simple option-an agreement on the loan shall be negotiated and new bonds issued, but whether this part of the Rothschilds to furnish the gold, but no agreement on Congress will authorize the President to change the policy of the the part of this Government to take it? And is that a contract Government, and issue a gold bond. which is binding as a covenant upon the United States to buy I am opposed to this resolution because I am opposed to this these $65,000,000 of gold at the rate named? Government at this late day in our financial tranactions changing Mr. WILSON of West Virginia. Mr. Speaker, it does not seem its policy with reference to the issuance of bonds; and in view of to me that that is a question which I need·delaythe House upon. my opposition I desire the attention of the House for a brief pe The gentleman from Kentucky [Mr. BRECKINRIDGE] is right in riod only to give some of the reasons that impel me to hold that his suggestion. There is a contract made under which gold to position. day is being put into the subtreasuries, a contract under which During the long period the Republican party controlled this gold is to-day being loaded onshipboardtocome tothiscountry, a country, commencing, as it did, in the early days of secession, dur contract which is complete in itself and can not be set aside, be ing all the dark and stormy period of war and up to a few years cause made under ample authority of existing law. The only ago, it was enabled to enact laws and adopt measures to replenish question is whether we shall exercise our option to substitute for the Treasury and furnish the necessary means to pay the expenses a thirty-year 4 per cent coin bond a thirty-year, or less, 3 per cent of the Government without a resort to the extraordinary methods gold bond. And the effect of that is simply this: That as every that have been adopted by President Cleveland and his S3cretary coin contract, made in this country since the resumption of specie of the Treasury in the contract that is before us to-day. payments, is in truth a gold contract, we are saving half a million For more than thirty-five years the settled policy of this Govern dollars a year without any additional burden or liability on the ment has been to issue our Government bonds payable in coin. Government. The bonds that have been heretofore issued are not payable in Mr. Speaker, I repeat that this is simply a question 9f saving a gold, or silver, or greenbacks, but are payable in coin. Now, the half million of dollars a year in interest to the people of the United gentleman who has just addressed the House [Mr. WILSON of States. The gold dollar has been the standard of payment in this West Virginia] says that the established construction of those country by operation of law for twenty-five years. There is nota bonds is that "coin" means "gold," and that it is just as well to contract made by a member of Congress for the payment. of put the word "gold" in there as it is to put in the word "coin." money, there is not a contract in this country to-day, where the If that be true, and President Cleveland and his Secretary of the money is not actually specified, that is not a gold contract. Gold Treasury understood that when they were negotiatin(J' this loan is the standard-the legal ·standard-by which all contracts are of 565,000,000 with this syndicate, why did they not call the atten paid in this country, whether the payment be in gold or not, and tion of the syndicate to this fact and let them understand that the gentlemen constantly confuse in their discussions on this floor a Government would not deviate from its settled policy, but that very important distinction between the standard of payment and the bonds weuld be paid in gold, as the gentleman from West the currency of payment. Vh·.~nia rl\fr. WILSON] says. Mr. HOPKINS of illinois. Just there will the gentleman al It seems to me that the time to m·ge this argument is not here low me? upon the members of the House and Senate and the country, but Ur. WILSON of West Virginia. I hope the gentleman will not was with these foreign capitalists when the negotiation for the insist upon an interruption now. He will have his own time. bonds was pending. They should have been informed that the Now, there is another reason why it seems to me that there Government of the United States has a settled policy on this bond ought to be no objection to the issue of a bond by the Govern question, and that the people of this country have never repudi ment of the United States to be paid in gold at its maturity. We ated their obligations. [Applause on the Republican side.] receive gold from the purchaser of these bonds. We stipulate I desire, Mr. Speaker, to call the attention of members of this that we shall receive from them 3,500,000 ounces of gold in ex House to the fact that the Republican party in negotiating loans change for the bonds, and what objection is there in law or in reduced rates of interest year after year during the whole history equity to our agreeing to return to them 3,500,000 ounces in gold? of bond issues. When Judge Folger, of New York, was the Secre That is the contract. tary of the Treasury in 18 2 he extended $300,000,000 of our obli A word now as to what will doubtless be a matter of great dis gations for 3 per cent on a coin bond at a time when the condition cussion in the House. Why were the bonds sold at what seems to of our country was not as good as it is to-day, at a time when we be a lower rate than the market rate in this country? Simply be did not have as vast industries, as great wealth as we have stored cause two futile attempts had shown the Secretary that to market away in the vaults of private individuals and corporations and in the bonds here would give no permanent help to the gold reserve the great banks of the country. That vast sum of $300,000,000 in the Treasury, and consequently the Secretary has had to do was negotiated, not with a foreign syndicate, not by a private what Secretary Sherman had to do; that is, he has had to look out contract with the law partner of the President as legal adviser of for means of turning the tide of gold imports toward this coun the syndicate making the loan, but it was negotiated in the open try, and has had to take the rates at which the bonds could be sunlight, and with the American people, at a rate of only 3 per sold, and the only rates at which they could be sold, for the pur cent interest. fApplause on the Republican side.] pose of turning the tide of ~old imports toward this country. 1\fr. Speaker, 1 am opposed to this change in the condition of the Mr. Mcl\fiLLIN. If it will not interrupt the gentleman from bond because in my judgmentitwilldestroythecredit of the United West Virginia, I would like to ask him a question. States. The President, in his message to Congress, has said that Mr. WILSON of West Virginia. Certainly. by adopting this resolution and approving of this gold contract Mr. McMILLIN. I wish to ask whether the gentleman thinks more than $16,000,000 will be saved to the Government in thirty it will not be possible, even after this act, if it should pass, to raid years that the bonds are stipulated to run. I say, Mr. Speaker, in the gold reserve in the Treasury as originally, the only difference my humble judgment, instead of being a saving to the Govern being that it would simply take a little more time, but puts no ment of the United States, that in the years to come it would cost permanent stop to it? more than $100,000,000 to change the character of our Govern Mr. WILSON of West Virginia. I will say in response to the ment obligations. gentleman from Tennessee, it was possible from the first day that This country is in many respects like an individual engaged in specie payments were resumed to raid the gold reserve in the Treas business, young, energetic, and aggressive. Such a business man ury and take it all out in a week. But if we can restore confi must be a debtor, and must have any number of creditors. If dence in this country we will put the Treasury in such credit that he is a good business man he issues the same kind of an obligation it will be able to exchange its notes for gold and keep up the gold to all cf his creditors, and simply issues an evidence of indebted reserve without trouble. · ness to all the people from whom he borrows moneyorwith whom 1895. CONGRESSIONAL RECORD-HOUSE. 2181

- he deals or enters into obligations. But, sir, if this business man tween a banking concern in New York and one in London, not should happen on a fatal day to walk into a broker's shop and ask for a ten-year bond, not for a fifteen-year bond, but for a thirty for a loan and should agree to give a mortgage upon his property year bond, and one that may, under its terms, run for a hundl.'ed as security, that moment his credit would be destroyed. No other years; a bond, Mr. Speaker, that requires the Government of the creditor would allow him money or credit without his giving as United States to pay 32- per cent interest, and that interest is to be good security as the broker exacted, and the creditors that al paid quarterly. ready existed, instead of extending their obligations and giving On the very day that this contract was signed, on the very day him time, would insist upon the payment of their money, and the that the President of the United States sent his message to Congress, result would be that by the change of his policy the prosperous holding up this bribe of $16,000,000 to the House and the Senate business man would be made a bankrupt. for their approval, like bonds were selling in the open market, with Now, the same thing would occur to the Government of the only twelve years to run, at 11()t. This syndicate bought them United States. No new loan could be made in other than gold at 104-t, payable thirty years after their date. bonds, while the holders of the coin bonds now out would insist Mr. Carlisle admitted, when he was before the Committee on that their bonds must be changed to gold ones. Under the policy Ways and Means, that on the same basis, with thirty years to that we have adopted the holders of these coin bonds are directly run, the market value of these bonds at the time when he made interested in maintaining the integrity of our financial system. this contract with this foreign syndicate was 119!. In other They know that while the coin bonds have always been paid in words, the President and his Secretary sold these bonds for $9,500,- gold under Republican Administrations and under the present 000, in round numbers, less than they were selling for in the open Administration, yet that there is still a strong party in this coun market. Then he gave a rate of interest on the bonds higher try which believes that those obhgations could be paid in silver than any civilized country in the world is paying to-day for its and the letter of the bonds be kept. Hence, the holders of the new obligations. Even bankrupt Egypt has negotiated her loans Government coin bonds are interested in maintaining the parity for less than the figures that the President and his Secretary have of the two metals. They are interested in seeing that the money giv~n to this syndicate of brokers. The richest, the grandest, and of the Government-greenbacks, silver, and gold-shall be of like the proudest country in the world, under the rule of Democracy, value. has been reduced to this low estate. But, sir, if you should adopt the recommendations of the Presi They have given a higher rate of interest than little Norway, dent in this message, and give him the power of issuing a gold Belgium, France, or England RaY on their obligations. They have bond, you would destroy this principle that operates to control given a higher rate of interest fuan the British provinces are com the bondholder to-day and you would make him a bear upon the pelled to pay; and yet they come in here, after having negotiated market. The bondholder whose bond reads " payable in gold" this secret loan, and ask the American Congress to confirm them is directly interested in driving this Government upon a silver in this contract with these concessions to Belmont & Co., of New ba-sis. York, and Rothschild & Co., of London. When President Cleve Why do I say that? Because if he can drive gold to a premium land penned that message and sent it to Congress it was not for and drive this Government upon a silver basis he enhances the patriotic, but political purposes. value of the bond that is payable in gold. The moment that_this He wanted to throw the responsibility upon Congress of approv 862,000,000 mentioned in the President's message were issued in ing an indefensible contract with this syndicate that was repre gold bonds you would have August Belmont & Co. and J. S. Mor sented in the negotiations by his former law partner. [Applalise.] gan & Co. and the Rothschilds and their financial agents in Mr. SIMPSON. That is business, not politics. [Laughter.] London directly interested in looting the Treasury of the United Mr. HOPKINS of illinois. Now, let us see what this syndi States of its gold, in destroying the financial stability of our Gov cate will make by this contract, negotiated in the manner I have ernment, and in driving us upon a silver basis, because they indicated. They make $9,500,000, in round numbers, when the thereby could double the value of then· bonds. [Applause on the contract is signed. The President says they will make over Republican side.l $16,000,000 at the expiration of the period the bonds run. What a remarirable attitude the President and his Secretary of The gentleman from West Virginia, when he was addressing the Treasury are in! They are stating to the public that this loan the House, undertook to excuse the hard terms of this contract is to replenish the Treasury so as to maintain the parity of the for the Government by claiming that it was difficult to negotiate metals, gold and silver, and to do this are trying to induce Con this loan. I hold, Mr. Speaker, and I believe that the majority of gress to authorize them to issue a gold bond. the American people are with me, that had the President and his It seems to me, Mr. Speaker, that these considerations are suffi Secretary of the Treasury advertised this loan, as has been done on cient to show that the paltry sum of $16,000,000 that has been all previous occasions, the people would have responded at once, suggested in the President's message ought not to have any weight and I have evidence here which confirms me in my view and tends with the members of this House in determining their vote upon to show the enormous profits that will be made by this syndicate this question. Certainly it ought not to have any weight with of foreign capitalists. I find, in a financial article published in the Republican members of this House, when they know from the the Washington Post to-day, that Messrs. Alexander Brown & earliest history of the Republican party we have had but one Sons, bankers of Baltimore, had agreed with Messrs. August Bel policy upon this question, and that policy has carried this country mont & Co. to become members of this syndicate and to take $1,- on in a course of prosperity and financial and industrial success 120,000 of the bonds, but before these negotiations are fully con that has been the marvel of the world. [Applause on the Repub cluded with the United States the demand in om· own country for lican side.] this loan is so great that Belmont & Co. have informed Alexander Now, Mr. Speaker, I have suggested these few considerations Brown & Sons that instead of $1,125,000 they can have only $100,- in a general way for the reason of my opposition to this measure. 000 of the bonds. When we come to consider the character of the contract that has Mr. BOWERS of California. And that demand was in our own been entered into by the Secretary of the Treasury, we find rea country? sons that are too numerous to mention why we should not give it Mr. HOPKINS of illinois. Yes, Mr. Speaker, as the gentleman our sanction by an affirmative vote in this House. Why, Mr. from California suggests, that demand came from our own people. Speaker, it is one of the most remarkable contracts that was ever Mr. TRACEY. Where would it have been if gold had gone to entered into by this Government with any private corporation, a premium? either foreign or domestic. What is it? It is a contract, in the Mr. HOPKINS of illinois. Gold would not have gone to a first place, that has been made in private. Heretofore the obliga premium. That is impossible. That is one of the pretenses put tions of the Government had been entered into in the open market, forwarrd by the President to coerce the members of this House and with the entil·e American public taken into the confidence of the of the Senate of the· United States into the adoption of this con Administration. Even the loans that have been previously made tract, which will receive the condemnation of all honest citizens in by this Administration have been of that character. every section of our country. (Applause.] The gentleman from West Virginia [Mr. WILSON] has stated When the President sent that message to this House and under that $117,000,000 ha-s been placed in the Treasm·y of the United toolr to load this contract upon Congress he knew that a majority States by the two Loans that have been made within less than a of the Senate of the United States favored free and unlimited year by this Administration. Those loans were not made in se coinage of silver. He knew that never could a gold bond bill go cret with a foreign syndicate. They were made with the Ameri through that body, to say nothing of the sentiment in this House. can people in the light of day, with every American citizen having Then why did he send that message here? He sent it for the pur the privilege of sending his bid to the Treasury of the United pose of misleading the people of this country. [Applause.] States and adding his sum of money to replenish the Treasury of He had made a contract, Mr. Speaker, that he knew the Amer the United States. Mr. Speaker, what has been the result of this ican public would not approve of. He had made a contract with policy? The result is that loans have been made for less than 3 hie financial friends, giving them the enormous profits that I have per cent on ten-year bonds. indicated here, and he desu·ed by that message to mislead the public A MEMBER. Coin bonds. and get the approval of Congress on the idea that $16,000,000 of Mr. HOPKINS of lllinois. For less than a per cent on coin ten interest would be saved by giving such approval. Now, sir, I year bonds; and here we have a contract entered into secretly be- say for one-and I hope I speak for the entire Republican party 2182 CONGRESSIONAL RECORD-HOUSE. FEBRUARY 14, and the great mass of the Democrats, too-l say that I am _not ment by stating that I believe in preserving the national faith. I willing to become particeps criminis in any such transactwn. believe that every obligation of this Government, under well-set [Applause.] . tled law as conotrued for almost two decades by all Administra I am not willing to say by vote or voice that the President of the tions, and as it is to be enforced by virtue of an.honest sentiment United States can prostitute the ~ter~ts of our Government1 de of an honest people, is payable, at the option of the holder, in gold range our financial system, and brmg disgrace. upon the Amencan or its equivalent. Coin means gold in the Government obliga nation in the interest of either these bankers m New York or the tions, at the holder's option. The country has so understood it; foreign syndicate represented by Rothschild and company. [ Ap- and the world so understands it to-day. The country under plause.l ...... stood it when the bonds were negotiated last year on the basis of It is time for us, Mr. Speaker, to mdicate to thiS AdmmiStration 2.9 per cent interest, these bonds to mature in a short period. that we can be patriotic without adopting all of the financial her The very men who made the contract with the SecTetary of the esies and vao-aries that the President and hls Secretary of the Treasury on the 8th day of this month understand it; because, Treasury ha.;'e indulged in in this co?tract and in other transa? while they get a profit of 810,000,000 above the market if they tions. [Applause.] I have grown tired of the statement that IS had believed that these bonds were payable in silver at the ratio made here: "If you do not support this Administration you are of 16 to 1, you could not have persuaded them to purchase. [Ap not patriotic." plause.] I believe that, as a Representative of the people from the great Bear with me a minute while I state briefly my reasons for State of lllinois, I have the same right to an independent opinion voting against this bill. I am not going into ancient history; let upon these questions as the President or his Secretary of the us go into modern history-last month and this month. On the Treasury [applause], and I believe that the members of this 28th day of January the President sent his message to Congress House and of the Senate are as patriotic as he, and by not adopt that begot the so-called second Springer birth. [Laughter.] ing his policy we are not striking a blow at this Government, These births come pretty frequently. In that message for the either in its financial or industrial policy. first time came a suggestion-and it came from the Chief Execu If President Cleveland and his political associates had followed tive-that there was doubt as to whether coin in a Government the grand and patriotic course that was alway_s pursued by the obligation meant gold. There was no doubt in New York, there Republican party we never should have expenenced any of the was no doubt in London, there was no doubt in Paris, because at troubles that have beset this nation since the 4th of March, 181)3. those three points the bonds of the United States maturing in [Applause on the Republican side.] If, in the _reorganization of 1907 were valued on the basis -of 3 per cent interest and less. our legislation and the substitution of new tariff laws for those The Springer bill came before the House and was voted down that were on the statute book when the Republican party went by a large majonty. I undertake to say in the light of the stu out of power~ this Administration had enabled the G<;>ver~ent roundings that all the House knew that the President of the United to raise its revenues to an amount equal to or exceeding Its ex States knew when he sent that message to Collgi"ess that there penditures, we should never have had occasion to negotiate a loan could be no legislation alon~ that line. The country must under of this character, or a loan of the character of either of those stand that well. The PreSident knew that a free coinage 16 to 1 that have been negotiated by President Cleveland. Senate of the United States would not pass that bill or anything I ti·ust the Republican members at least of this House will re akin to it. member their party his~ry, will remember its grand record ~n all Why did he send this message casting this doubt? Proof that financial matters, and will stand by that on the _vote that Will be he knew it! Yes. The Springer bill went down on the 7th day of taken on the pending measure. [Loud applause.] February. On the 8th comes this contract. The President was Mr. PENCE. Before the gentleman closes I would like to ask swift in his negotiations. He was ready to negotiate. He went him a question for the information of the ~ouse. In the C?ntract right on as a practical man, knowing that there would be no leg as printed in the report between Mr. Carlisle on the one Side and islation. Still doubt in his mind? Still doubt in anybody s mind the London bankers on the other one of the witnesses is Francis as to whether coin meant gold in the Government obligations? L. Stetson who. we understand, is a fanner partner of President The gentleman from Nebraska [Mr. BRYAN] offered his amend Cleveland.' Now, I understand the gentleman's statement a:iwhile ment to the Reed substitute, reciting the fact that the bonds would ago to be that these bankers were represented by~- Stetson. If be payable in silver at the option of the Government. It went to in the investigations before the gentleman's committee there was the wall by 42 majority in a vote of about 300. Still the Presi anything throwing light upon that point, and if the gentleman dent seemed to be doubtful; still the syndicate seemed to be doubt will be good enough to inform the House of it, I know·we should ful, and the contract materialized inside of twelve hours after the like to hear it. time the Spiinger bill was defeated! And all know-it is an open Mr. HOPKINS of Illinois. My understanding is he rEpresented secret here-that the Reed substitute, the only one which had the the syndicate and attested the contra-ct as such representative. remotest chance to pass Congress, and which would have wrought Mr. COX. I should like to call the attention of the gentleman the necessary cure to the Treasury, went to its death at the com from lllinois to one point as he is a member of tJ:~ co:r;nmittee mand of the Secretary of the Treasury and the President, as evi reporting this joint resolution. Why ~as the pr~vision mserted denced by the vote of the "cuckoos." [Applause on the Repub in this contract that on any bonds which may be ISsued between lican side.] now and the 1st of October next this syndicate shall have the Mr. Speaker, the country will understand this. What next option? happened? The conti·act materialized on the 8th day of February. Mr. HOPKINS of lllinois. That is another part of the con- That same day comes this message from the President of the ti·act; and that is one of the reasons why I con?-emn it. . United States informing us that he had pla-ced tlle bonds at ten Mr. COX. I agree with the o-entleman pre~Isely. Ho~ does It millions below the rate of the market; ten millions below the happen that the United States Government g~ves an option upon market rate in New York, Paris, and London and in all the civi its credit from now until October 1? lized world. Why did he send the message? Did he expect to J Mr. HOPKINS of Illinois. Nobody but this syndicate and the secure this legislation? Oh, no; he knew it could•not pass. He Secretary of the Treasury and the President can answer that ques knew a free-coinage Senate would not pass it, whatever the House tion. f Applause on the Republicna side.] might see proper to do. Mr. :so-WERS of Califoi·nia. Let them answer. Mr. STRAUS. May I ask the gentleman a question? Mr. HOPKINS of Illinois. M.r. Speaker, how much time have Mr. CANNON of Illinois. Yes. I remaining? Mr. STRAUS. Is it not because we have a free-coinage Senate The SPEAKER. The gentleman has used thirty minutes. that we are obliged to sell bonds at this rate? [Cries of" No!" Mr. HOPKINS of illinois. I desire to yield ten minutes to my "No!" on the Republican side.] colleague from illinois [Mr. CANNON]; but before doin!i._ so I will Mr. WALKER. No. We have had a free-coinage Senate for yield one minute to the gentleman from Vermont [Mr . .t'OWERS], five years. who desires to offer an amendment. Mr. CANNON of illinois. Now, then, :1\fl·. Speaker,ifthe Presi . Mr. POWERS. I wish to offer an amendment to the pending dent in good faith put in this reserve, if in ten days gol9- bonds resolution. were authorized specifically by Congress-if it was done-It made The SPEAKER. General debate is proceeding. An amend them no better. Did he do it in good faith? No. Why, then, was ment is not in order. it put in? To muddy the waters and to deceive the country, .1\Ir. POWERS. Then I ask to have this proposition read at the while the favored syndicate go away with the 10,000,000 of diS Clerk's desk for information. honorable profit. [Applause on the Republican side.] The SPEAKER. It can be read. A MEMBER. The act of a cuttlefish. The Clerk read as follows: Mr. CANNON of illinois. The act of the cuttlefish, as the gen At the end of the proviso on page 2 add: "And provided further That nothing herein contained shall be held or con tleman suggests, that was to hide the transaction as much as pos \!trued as changing the avowed policy of the Government to pay all its out sible. And the legislation is not to be enacted. standing bonds in gold." But who gets the profits? Why, this band of favored c~m Mr. CANNON of illinois. Mr. Speaker, in the little time tractors, this syndicate. Now, why? I will say to you, measurmg allowed me I had, perhaps, best utilize a moment at the commence- my words- 1895. CONGRESSIONAL RECORD- HOUSE. 2.183

The SPEAKER. The time yielded to the gentleman has ex 300,000 ounces per month, unless the parties of the second part shall consent thereto. pired. 2. All deliveries shall be made at any of the subtreasuries or at any other Mr. HOPKINS of illinois. I yield two minutes moretomycol- leaal depositor¥ of the United S tates. ~- All gold corns delivered shall be received on the basis of 25/cr grains of 'league. standard gold per dollar, if within limit of tolerance. · Mr. CANNON of illinois. Well, that is a very short time, but 4. Bonds delivered under this contract are to be delivered free of accrued I do not think my collea,gue can spare more than that. interest, which is to be assumed and paid by the parties of the second part at Now, with all of these facts standing around, I say it in sorrow the time of their delivery to them. Second. Should the Secretary of the Treasury desh·e to offer or sell any that I can not look with pride on the performance of the Execu bonds of the United States on or before the 1st day of October, 1895, he shall tive of the nation. I say further that if it was a Republican first offer the same to the Rarties of the second part; but ther eafter he ehall Secretary of the Treasury that had made this contract, that this b e free from every such obligation to the parties of the second part. Third. The Secretary of th~ Treasury hereby reserves the right, wit hin Democratic House, in my judgment, would have impeached him. ten days from the date h ereof, in case he shall receive a.uthority from Con [Prolonged applause on the Republican side.] gress ther efor , to substitute any bon ds of the United States, bearing 3 per :Mr. SNODGRASS. And ought to. cent inter est, of which the prinmpal and interest shall be specifically payable in U nit ed States gold coin of the present w eight and fineness for the bonds Mr. CANNON of illinois. Yet these gentlemen say our credit herein allu ded to; such 3 p er cent bonds to be accepted by the parties of the is gone. Why, right here I have a t elegram received this morn second p art at par, i. e., at $18.60165 per ounce of sta.ndard gold. ing that the 4 per cents, due in 1907, payable in coin, command in Fourth. No bonds shall be 'delivered to the parties of t he second part, or the markets of the world a premium of 10:! to-day-now-at this either of them, except in payment for coin from time to time received here underi whereupon the Secretary of the Treasury of the United States shall moment. [Applause on the Republican side.] and will deliver the bonds as h erein provided, at such places as shall be desig Another reason why I am opposed to this bill, outside of this nated by the parties of the second _pa1·t. Any expense of delivery out of the question of saving: Congress has its function; the executive has United States shall be assumed and paid by the parties of the second part. Fitth. In consideration of the purchase of such coin, the parties of the its function, which is to execute the law, not to maKe extortion second part, and their associates hereunder, assume and will bear all the ex ate contracts-ten millions of a loss to the Treasury-and say to the pense and inevitable loss of bringing gold from Europe hereunder; and, as people of this country, you shall lose this money unless you allow far as lies in their power, will exert all financial influence and will make all le~itimate efforts to protect the Treasury of the United States against the yourself to be bulldozed by the Executive. I will not submit to Withdrawals of gold pending the complete performance of this contract. the purchase of legislation at such a price, at such dictation un In witness whereof the parties h er eto have hereunto set their hands in five lawfully attempted by the President. [Prolonged applause on parts this Sth day of February, 1895. J. G. CARLISLE, the Republican side.] . Secretary of the Treasr.wy. ·The SPEAKER. The time of the gentleman from lllinois has . AUGUST BELMONT & CO., expired. On behalf of Mess1·s. N. M. Rothschild & Sons, London, and thetnselves. Mr. HOPKINS of Dlinois. I yield fifteen minutes to my col J. P . MORGAN & CO., On behalf of Messrs. J. S. Morgan &: Co., London, and themselves. league on the committee, General GROSVENOR. Attest: Mr. GROSVENOR. Mr. Speake1·, it has gone out to the people W. E. CURTIS. of this country that we who oppose the passage of this joint reso FRANCIS LYNDE STETSON. lution are doing something or failing to do something in which Here is the contract, complete, symmetrical, a.nd not very hard and by which the honor and credit and integrity of the United to understand. The President comes to Congress with his mes States of .America are involved. sage, and presents now, somewhat reluctantly, it appears, this In the few minutes which have been allotted to me I propose to written contract; and it will be seen that by that contract it is address myself to that question. What is involved in the adoption stipulated that we need not carry out the terms of that contract or nonadQption of the resolution under consideration? What is if we see fit to make another and different contra~t . A vote in imperiled here in this country? Apparently, judging from the the negative leaves the written contract in full force and effect. commotion which exists in the East and in some portions of the The Treasury of the United States, therefore, will be guarded and West, and the suggestions which we hear coming fi·om the East, protected with the same amount of gold coin in the one case as in and the occasional misdirected mutterings from theWest, it seems the other. If we decide by our vote to-day to change the terms to have been assumed that there is here in the air an unexecuted of that contract and maJre another contract by which we deliver contract of the Government, and that our action here to-day will gold bonds at 3 per cent interest we get no more gold, the Treas operate by either as a confirmation of that contract or a repudia ury is no stronger, and the faith of the Government is not, there tion of that contract; and that the latter course will be an act of fore, affected in the smallest degree; and he who sta,nds here cry bad faith on the part of the Government. ing out to-day that it is a question of upholding the honor of the Now, Mr. Speaker, there never was a greater fallacy than this. Government on the one hand and a question of dishonor on the Let us see what is the status of this affair at this particular time. other hand is a demagogue, pure and simple, whether he knows What is the condition independent of this outcry? What are the it or not. facts independent of the lack of knowledge so prevalent every If you vote in the negative here to-day, and the majority is where? The Government of the United States, through its Sec found that way, no obligation of the Government will be forfeited, retary of the Treasury, has made a contract with certain foreign and the only difference will be that in the one case ~e bonds of capitalists, to wit, Rothschild & Sons and J. S. Morgan & Co., of the Government under this new proposition will be put at a lower the city of London. It is an executed contract. That is to say, rate of interest, in consideration of which we stipulate to pay in there is nothing left undone in the matter of the contract. It is gold coin. That is all there is of it; and there is no question of completed in every respect, so far as to make it a binding con honor, there is no question of integrity, there is no question of tract upon the parties thereto-binding upon the Rothschilds, faith involved. It is a simple question of what we prefer to do. binding upon J. S. Morgan & Co., and binding upon the Govern Shall we stand by the long-established precedents of this Govern ment of the United States of America, because it was made by its ment, now groWII hoary and time honored with age, or shall we, Secreta1·y of the Treasury under ample power conferred by law. for a reason that does not amount to sufficient justification, change The contract is in the words and figures following: the entire policy of the Government, and in doing so reach one or CONTRACT. two results which I shall try to point out? This agreement entered into this 8th day of February, 1895, between the No man on this floor will go farther to uphold the honor and Sooreta.ry of the Treasury of the United States, of the first part, and Messrs. integrity and good faith of this Government than I will. No August Belmont & Co., of New York, on behalf of Messrs. N. M.. Rothschild & Sons, of London, England, and themselves, and Messrs. J.P. Morgan & partisan considerations shall ever induce me to vote here for party Co., of New York. on behalf of Messrs. J. S. Morgan & Co., of London, and gain in that way which will result in national injury. But it is themselves, parties of the second v.art: said that the credit of the Government is broken down; that we Witnesseth: Whereas it is proVIded by the Revised Statutes of the United States (section 3i00) that the Secretary of the Treasury may purchase coin are not able to borrow money at the same price that we did re with any of the bonds or notes of the United States authoriz·ed by law, at cently; and.it is a pertinent question to-day, who broke down our such rates and upon such terms as he may deem most advantageous to the credit? How happened it and who discovered it? Who first gave public interests; and the Secre~ of the Treasury now deems that an emergency exists in which the public interests require that, as hereinafter notice to the people of this country that the credit of this Govern provided, coin shall be purchased with the bonds of the United States, of ment was depreciated? the description hereinafter m entioned, authorized to be issued under the act The last loan of a Republican Administration was made at 2t entitled • • An act to provide for the resumption of specie payments," ap proved January U, 1875, b eing bonds of the United States described in an act per cent upon a '' coin" bond. We never issued any other than a of Congress approved July li, 1870, entitled" An act to authorize the refund ''coin" bond, with any considerable time to run. We did during ing of the national debt." the war issue demand notes, perhaps, payable in "gold.,, I do Now, therefm·e, the said parties of the second part hereby agree to sell and not stop to discuss the various forms of our obligations; and even deliver to the United States3,500,000ounces of standard gold coin of the United States, at the rate of $17.80-ID per ounce, parable in United States 4 per cent this Democratic Administration only a few months ago borrowed thirty-year coupon or registered bonds, sa1d bonds to be dated February 1, money at 2l per cent interest, the bonds payable in ''coin." But 1895, and oayable at the pleasuxe of the United States after thirty years from we borrowed money under a Republican Administration at 2! per date, issued under the acts of Congress of July 14,1870, January 20,1871, and January14, 1875, bearing interest at the rate of 4 per cent per annum, payable cent interest. It may be said that that was in those halcyon days quarterlB. of national prosperity incident to Republican Administration; dit_~~·: uch purchase and sale of gold coin being made on the following con- but if that be so, it is to the honor and credit of this nation that 1. At least one-half of all coin deliverable hereinunder shall be obtained in until recently it was even able to carry a Democratic Adminis and shipped from Europe, but the shipments shall not be required to exceed tration and float a 2t bond at the same time. 2184· CONGRESSIONAL RECORD-HOUSE. ]fEBRUARY 14,

We borrowed that money upon a time-honored bond~the bond profits of the transaction. It was known that Secretary Carlisle had sold thirty-year 4 per cent bonds at 104t when ten-year bonds of the same rate of that had had the sanction of every Secretary of the Treasury from interest are selling at 110}. By parity of value thirty-year bonds should sell the days of Lincoln down to this day. We borrowed that ~oney at at 119; . Here is a profit in the sure appreciation of these bonds of at least 2f per cent interest. What bas happened between that time and $9.200,000. The same bond, letter for letter, security for security, obligation this that has forced the interest demand against this Government for obligation, has been sold by a Republican Administration at 2-i per cent. By comparison with outstandin&" 4 per cents under the ~resent up to almost 1 per cent increase in rate? credit of the Government, the syndicate 1s booked to make in marketmg this Ask the honorable Secretary of the Treasury how he found out issue $9,200,000. In the increased rate of interest the Government loses in that the credit of this Government had gone down. Ask him how yearly interest taken directly $18,600,000; and if the space over which the loan rum~ be considered, the loss is nearer $25,000,000. he found out that he could not borrow as much money as he wanted This vast profit and these enormous losses are not all. The gold is to be at the same old 2i per cent interest, and he will be compelled to delivered over the next six: months, not over 300,000 ounces, about $5,000,000, tell you that he did not fi?~ out that fact _at all.. He never made to be called in any one month. This extends the transaction over the next six: mont hs. The last $10,000,000 can therefore, be imported in July and Au an inq·uiry that was a legitimate one. Is 1tposs1ble that the bank gust, when the current of gold sets m2 this direction. In other words;. in the ers of New York, interested in a foreign loan, sharers in the face of imminent and pressing necessities, so serious that Secretary (.;arlisle enormous profits thereof, came quietly and secretly to the Admin pays disgra.cefully exorbitant terms to meet them about $-32,500,000 in gold 1s bought in Europe and one-third of this gold is ieft to be brought over at istration and said, ''Your credit has gone down," and that the Ad the convenience of the bankers, who handle the loan in months when there ministration a~cepted that statement? Can that be true? And is in mo t years a. profit in importin~ gold. In other words instead of get the Administration responds to the Rothschilds and J. S. Morgan ting ~old on the nail by the present ISSue of bonds, a.s the Treasury has for past Issues, the bankers lucky enough to secure this golden contract are given & Co. and says, "Are you sure our credit has gone down? Are we a call on the bonds and six months in which to deliver the gold at pleasure. broken up, and are we a disgraced country?" And the bankers Practically they are given the credit of the United at 4percenttothe amount answer, ''Yes, you are." And thereupon says the Secretary of the of $65,000,000 for six: months to come with which to manipulate the gold mar ket of the world and secure for themselves all the profits of their manipula Treasury, "What will you do to help us out?" tion, as the United States agrees in advance as to the price at which it will Then comes the sta1·tling proposition involved in this contract. take the gold. "We will do one of two things; we will lend you money at 3! per It has been for years notorious that one advantage in gold exports from over gold imports to this country lay in the fact that while the Federal cent interest-a startling and disgraceful proposition-or if you Treasury gold consists of newly-minted eagles, little of which has been in will enter into a contract with us to sell us all the bonds that you circulation and which is above the mint "tolerance," 0r allowance or wear, are going to negotiate until next October we will ~romise that we the coin to be had a broad is older, more worn, and therefore intrinsically less valuable. "Dollars " means new coin here. "Dollars" stands for old coin will quit using our influel?-ce to force the eXJ?or~tion of gold out abroad. By a clause in this secret contra-ct this _Profit is transferred to the of this country, and we will use our' finanCial mfluence' to keep bankers, and the United States, instead of insisting on coin of the standard it in this country; and we will lend you money at 3 per cent upon it has been paying out for export, agrees to take in this import of coin gold in worn to the limit of tolerance. 'gold' bonds, principal and interest payable '_gold;' a_nd we Not satisfied with these successive profits, first in premium, next in inter bankers of Lornbard street demand that the whole policy of this Gov est, next in gold shipments in import months, next in the easy acceptance of ernment shall be revolutionized. You shall change your policy. "tolerance," the syndicate receives a monopoly of all issues for seven months is to come. Having absorbed in a year nearly $100,000,000 of gold. and with every Your policy not i"ight. The policy upon which this Government probability that the proceeds of the ]>resent issue will be gone long before has run its enormous expenditures during the last thirty years is exchange in July and August gives the syndicate its profit on its last ship all wrong. We tell you that the interest of our money-making ments, Secretary Carlisle binds the Government to offer its bonds to no other schemes upon the other side of the water is involved in the change of customers before giving the syndicate an opportunity to take them. What ever improvement there may be in Government credit due to the exist your policy, and you must change it now. Make a' gold' bond, and ence, whether in session or not, of a Republican Congress is skillfully se we will give you the difference between 3 per cent interest and 3! cured to these foreign bankers, who step between the United States and its per cent interest, but we want all the bonds that you are going to own bankers and investora. • When Secretary Carlisle wanted to keep his contract secret everyone knew sell between this and the 1st of next October." [Laughter and that it must be a. poor one; but no one imagined it was a.s bad as the truth. applause.] "In consideration of all this we will cease depleting A rate 50 per cent higher than when Government credit was guarded by Re the Treasury. We will use our 'financial influence' that the Ick publican policy and administration. A "call" over seven months for any part of $65,000,000 of bonds. A "put" limited to 300,000 ounces a month in re elheimers and Lazard li'reres, et id omne, and all those other fel turn for the bonds asked for. All the advantage of "tolerance" secured to lows shall cease getting the gold out of the Treasury, and we will the syndicate. An option on all Government issues for seven months and a. use our ' financial influence,' whatever that may be, to stop the half. And this bargain is negotiated by the financial officer of the richest country exportation of gold. And now," say these gentlemen, "in con in the world, which has within a short time borrowed cheaper than Great sideration that you will repudiate your past.career, that you will Britain itself! go back upon your entire financial record, we make you a propo Our answer, Mr. Speaker, to all this ought to be that we will sition in the nature of a bonus of $16,500,000 of difference in the not do it. For the first time in the history of this country we are rate of interest upon this issue of bonds, provided they run for the to put the word "gold" into our long-time bonds, and we do it whole thirty years. That is to say, assuming that 'coin' in one for the purpose, with the stipulation, that there is a difference of instance means 'gold,' and that ' gold' in the other instance three-fourths of 1 per cent between" gold" and "coin." That means 'gold,' the difference between these two propositions of means something. This syndicate does not offer $16,500,000 for fered will be $16,500,000 in favor of the Government in reduction nothing. This syndicate does not tmderstand that one bond is as of the rate of interest." -good as another. It means more than that they will make a dif And now, says the Administration to us, "We have made an ference of sixteen and a half millions of dollars in the cost to the improVident contract; we have made a contract without waiting · Government of these two loans. to ascertain whether we could make a better contract somewhere The Rothschilds, who have held empires and kingdoms and re else. We did not ask the people of the United States to take this publics of the Old World by the throat, come here and say to you, loan; never gave them an opportunity. We never appealed to ''Your system is obnoxious to us, and we want a different system. the people of the United States as the Government of France ap We are taking great interest in you these days, you Republic of pealed to its people in its extremity-never appealed to the patriot America, something rather unusual for us, but we have concluded ism of , the people of this country, which had never failed us to do it, and we want you to change yom· system to conform to our hitherto, to see whether we had it in our power to raise this money notions. Tear up this old pod-auger, effete way you have of doing from the people-whether the people of the United States had as business. Get rid of this popular idea that a nation can be r1m on much patriotism as had the people of France; and therefore we the patriotism and integrity of its people. Abolish this whole no come now and say to you that you can save $16,500,000 by giving tion of yours that bimetallism can ultimately be upheld in this this contract to a foreign syndicate, on the terms and conditions country. Strike it all out; and if you will, so deeply interested are which that syndicate demands of us." we in your future happiness and yom· future prosperity that we And now it is said that here is a "saving" to the Government will actually give you sixteen and a half millions of dollars in pay of sixteen and a half millions of dollars. The President comes ments of a little over $500,000 a year. We will put you on our and asks us to save him and to save the Treasury from the dis pension roll; we will pension you for thirty years at $500,000 a grace incident to the enormous price he has paid for money. year, if you will just fix the terms of your financial system to suit The patriotism, the disinterested patriotism of these bankers is us. It is disinterestedness on om· part, of course, and everybody well stated in an editorial artice which I hold in my hand, pub understands that. We want to put down these terrible Ickelheim lished in this day's issue of the Philadelphia Press. It shows the ers. We want to get rid of the Ickelheimer business; and we will character of this contract. It shows to the people of the United give you sixteen and a half millions of dollars to get into a posi States how their interests are being protected by this Adminis tion where we can use our influence to crush the Ickelheimers." tration: What a fraud! What a scheme! What a bait! What an out SECRETARY CARLISLE'S CONTRACT. rage! Go ask the Secretary of the Treasury if, in his judgment, A single day'<> criticism has forced Secretary Carli!>le to abandon his absurd in the event that we ratify and confirm this gold bond transaction, and indefem;ible policy of keeping secret the financial transactions of the Gov ernment. He has published the contract he made without competition or there will ever be any ''coin" loans by this Government in the consultation with the banking firms to whom he has given a lucrative monop future. rApplause and cries of " No! "] And he will tell you oly in handling the increase of the Government debt for which the Demo frankly "No." He will admit, as every man .of common sense cratic Administration is responsible. understands, it is a complete revolution, organic and complete The terms and particulars of this contract prove to be worse for the Gov ernment than was known or expected. Secretary Carlisle has capped his a complete change of our economic system. It is not worth while sarrender of the credit of the Government by the surrender of all the lesser for any gentleman to attempt to uphold his attitude here by talk· 1895~ CONGRESSIONAL RECORD-HOUSE. 2185 ing about a" single transaction." Lombard street does not pay silver, and in the other case your bond would be payable in gold, sixteen and a half millions of dollars to boot between a transa<:tion and you got sixteen and a half millions of dollars of om· money . like this for the mere question of the money involved in the single for the purpose of compensating you for the difference between transaction. It is a blow at our whole system. It reflects ba<:k gold and silver. Take your silver; it is your own construction ward, and it projects forward. Do this, and tell me what is to of your own contract. And for the first time, Mr. Speaker, the become of the hundreds of millions of dollars of our securities now Government of_ the United States would be placed in the awkward in the hands of our people, negotiated, many of them, by our Sec position of paying more and higher by sixteen and a half million retaries of the Treasm·y upon the faith of that great history of dollars than the c-onstruction put upon their own contract by the this nation that it has always paid its obligations in gold. parties thereto. One of the main stipulations is that it is to be paid in" gold," 1\{r. Speaker, it was not the Republican party that proclaimed becauseitisbetter than'' coin." Why bett-er than'' coin?" Why to the world the depreciation of American credit. It was the is this loan in this form worth sixteen and a half millions of dol proclamation of a Democratic Admjnistration. The credit of the lars more than in the ordinary form? What is the alternative to Government when it was turned over to the Democrats by Mr. the " coin" security? A future loan of any kind must be made Harrison was higher than it had ever been before; and, Mr. with reference to our financial history, and at once there will be Speaker, in my judgment, even with a Democratic Administra a marked depreciation between the one and the other. Carry this tion, there was no need that the credit of the Government should scheme into execution, bow to these people, and give them this ever have been thus destroyed. When the election of 1894 pro bond, and to-morrow I ventm·e to say, Mr. Speaker, that the claimed to the Democratic party, proclaimed to the world, pro bonds now outstanding, behind which the highest faith of this claimed to all mankind that the sober second thought of the peo Government is pledged, will be depreciated in the market in one ple of the United States had reestablished the principle in the day more than $16,500,000. [Applause.] I venture to say that public heart of a protective-tariff system, as against free-trade whereas on the one hand it is held out to us as a bribe to pay for and revenue-tariff efforts, the Democratic Administration found it our dishonorable action [loud applause] if we shall ratify this gold self driven to offer some apology or explanation to the people of the contract we will not have to wait for thirty years to run to make country, and in an evil hour the Administration assailed the pub the difference of sixteen and a half millions of dollars in the value lic credit. It was Grover Cleveland who assailed the public credit of our secm·ities. [Loud applause.] To-morrow when Wall by his messages. We were going along as well as could. be ex street opens discount would strike every obligation of the Govern pected with a Democratic Administration. We could borrow ment; and it ought to. No man can borrow money and maintain money at 2-l per cent. It was a wonderful, it was a gloriou,s situ his credit giving two kinds of obligations. [Renewed applause.] ation for the Democratic party to be in. Unexpectedly strong' No man can give security for a loan of one nature and borrow were they, so far as my judgment was concerned, when they weN money thereon and then borrow upon a different security another able to borrow money at that price, and I for one was extremely sum. fLoud applause.] And when you have steered away from delighted. But when the Administration cried out against its the landmarks of the Republican party, and the Democratic party, own credit and proclaimed to the world that American credit was too, since the war, you have started in to begin the destruction of gone, and began to tinker and tamper with the finances of the bimetallism as perfectly as if every silver dollar upon the earth country, our credit began to go down. were destroyed. [Loud applause.] This Administration has done more to depreciate our credit at We stand here as Republicans, pledged in our national resolu home and humiliate us abroad than all the other Administrations tions to maintain the parity between these two metals. f Applause.] this country ever saw; and it appears to thinking and intelligent We come here and are asked by a bribe of sixteen and a half mil men as though it were done to create a new issue in American lion dollars, payable in thirty years, to make a discrimination be politics, to supplement the fatal issue that the Democratic party tween the'' gold" bond and the'' coin" bond. Fellow-Republicans, has hitherto made upon the subject of the tariff. let me read to you our platforms, the declarations of our princi Local considerations may influence a few votes in favor of this ples, upon which we have marched both to victory and defeat. In monstrous proposition; but the great mass of the Republican party 1888we said: in this House and everywhere else will go steadily forward along The Republican party is in favor of the use of both gold and silver as money, the lines and beneath the banner which has shed luster upon that and condemns the policy of the Democratic Administration in its efforts to great party organization and prosperity to the people of this great demonetize silver. country. It will stand by the pledged faith of this nation, no In 1892_we said: matter to whom pledged nor by whom pledged. It will"redeem The American people, from tradition and interest, favor bimetallism, and the pledges of a Republican Administration no quicker nor with the Republican party demands the use of both gold and_silver as standard any greater integrity than it will redeem the pledges of a Demo money, with such restrictions and under such provisions, to be determined by legislation, as will secure the maintenance of the parity of values of the cratic Administration. It will protect the obligations of the Gov two m etals, so that the purchasing and debt-paying power of the dollar, ernment to the soldier and to the bondholder, to the laborer and whether of silver, gold, or paper, shall be at all times equal. * * * to the manufacturer. It will stand by all and singular alike. But Those are the declarations of our party, and those are the prin it will not create in this country two forms of obligation and ciples of the Republicans of the United States. And, Mr. Speaker, thereby create two forms of money. It will not permit that in for one, faithful to these platform declarations, I will not vote for this country the bondholder shall receive one form of money and this measure. [LQud applause.] I believe thatitis fraught with the laborer in the coal mine, the pensioner at the counter, shall dishonor and not with honor. I believe that the people of the receive another form of money. This is the fhst overt attempt. United States, when they look beyond the mere temporary expres It will be defeated. "And whoso falleth upon this rock shall be sions of this Presidential message, will stand by the men who in broken; but he upon whom this rock shall fall it will grind to this storm have stood by the people and against this combina powder." tion of European financiers. They will stand by the men who There is a spirit of Americanism abroad in this country that have stood faithful to the principles and the landmarks of their will denounce this scheme. There is a spirit of pride in the in party. [Renewed applause.] No man will stand longer or fight stitutions of this country that will resent this attempt upon the harder for the honor of the Government than !will; but I will not integrity and the credit of this Government. There is a spirit in permit the prostitution of the powers of this Government to the this country of approbation of the great history of the Republican building up of one interest in this country or in any other country party that will call it back to power; and when it_ comes back it to the destruction and overthrow of all the interests of the people will come back not with any new ideas, not with any disposition of this country. [Loud applause on the Republican side.] to tinker and tamper with the finances, but it will come back full I criticise this contract in its details. What right has the Sec panoplied with the· high spirit of Republican integrity, Repub retary of the Treasury to bind this Government to give to the lican honor, Republican intelligence, Republican patriotism, and moneyed men of Europe the first lien, the first option, upon all recommissioned by the people of this country, it will disregard our money transactions for almost a year? It is a thing utterly the futile efforts to disgrace its record and go forward to renewed unheard of-a thing unknown in our history; and! make this triumphs. [Loud applause.] proposition, 1\ir. Speaker: If we vote down this resolution, if we Mr. HOPKINS of illinois. I reserve the balance of my time. refuse to permit this Government' to be thus ruined, as it were, The SPEAKER. The gentJeman has two minutes remaining. by this systematic manipulation, the holders of these bonds now Mr. HOPKINS of illinois. I reserve the balance of my time. issued under this contract will be put in a position unenviable in The SPEAKER. The Chair will recognize the gentleman from the extreme. Suppose one of these gentlemen, at the recun-ing 1\Iaine. of the first quarterly payment of interest, comes to the American Mr. REED. I will occupy my time later, Mr. Speaker. people with a coupon and demands gold. What would be an un The SPEAKER. The Chair will recognize the gentleman from answerable answer? It would be this: You presented an alterna New York [1\Ir. DANIEI.S] for five minutes, if he is ready to pro tive proposition to the people of the United States. You said, ceed. '' Give us a ' coin' bond and we will let you have the money at 3! Mr. DANIELS. Mr. Speaker, in the very limited time that is per cent. Give us a 'gold ' bond and we will charge you only 3 at my command, I shall approach the consideration of the subject per cent. We make a difference of sixteen and a half million that is now before the House immediately, without devoting any dollars in a period of thirty years." Why did you do it? We say attention to what has transpired in the past or to the causes which · you did i1; because in the one case your bond would be payable in have brought these difficulties upon us. They have been so graph- 2186 CONGRESSIONAL RECORD-HOUSE. FEBRUARY 14,

ically described by the o-entleman from illinois [Mr. HoPKINS], account the fad that the conditions surrounding this question in in whose remarks as to the misconduct and the deplorable effects those times were very different from those of the present day. of the cour e of this Administration I fully concur, that nothing During the intervening years the contest between the two metals further is required upon that subject from me. has been growing in intensity. It is true that on account of the But we are now involved in a position where we are substan compromise effected by the Sherman silver-purchasing act it was tially deprived of our free agency. It is simply a question of gain stayed for a while, but it has come upon us again with a g1·eater or loss to the country that we are now required to vote upon and intensity than before. The people at home and the nations abroad to settle in the disposition which we shall make of the resolution are watching the battle. They have come to believe that there that is pending before the House. A contract has been entered sult is doubtful. That belief has been strengthened by the de into by the Treasury Department of the United States, under the creasing gold reserve. authority of the President, for a loan of this money from the per They begin to doubt the ability of the Executive, with the power sons who have signed this agreement, or their representatives, and now placed in his hands, to perform the task intrusted to him to it is now simply a question as to whether we shall charge the peo maintain the parity of the two metals. ple with, or make them subject to, the loss of three-fourths of 1 They have witnessed the repeated rebuffs that he has experi per cent upon this loan or shall adopt the pending resolution. enced at the hands of Congress. They have found this body time We have no other alternative. The contract ha.s bean signed and again turning a cold shoulder to his pleadings for legislative and it has been made under the authority of the law of 1876, by assistance. Can you wonder that under the circum tances capi which the re erve in gold is to be maintained to the extent of tal has become timid and requires new guaranties or an aug $100,000,000 for the protection and redemption of the greenback mented profit? cunency of the United States. The contract, therefore, has been By your a-ction you have driven the Administration from its made under the authority of law, and however we may condemn legitimate source of help into the hands of the capitalists and it-and I join with members of this House in condemnation of the forced it to accept from them such terms as he could secure. This terms embodied in this contract-we have no power at the present is a humiliating position for a great nation ·to occupy, but you time to change it or to rectify it in any respect whatever. It is and you only are to blame for it. The President has repeatedly therefore, I repeat, simply a question with us whether we shall warned you, but you have not taken heed. He has told you that subject the people of the United States for a period of thirty if you would authorize the sale of bonds payable in gold, and so years to the payment of three-fourths of 1 per cent, amounting expressed upon their fa-ce, that he could go into the markets of to nearly half a million a year, upon this loan more than they the world and w).th them secure the gold to replenish our reserve. should pay, or whether we shall adopt the 1·esolution which is He told you, what you already should have known from your own now before the House. · observation, that the two experiments made in selling bonds at - It ha.s been the practice of the Government of the United States home afforded no permanent relief. at all times to borrow money payable in gold, and inasmuch as I will now turn to the question of the emergency that con gold is to be received upon this loan the obligation of the Gov fronted the Treasury, and in treating this point I find some as ernment would without being expressed be acknowledged and sistance from my experience as a merchant. The foreign credit carried out to respond to the obligation to pay it in gold. It was ors of our importing merchants, not caring to take the risk of this therefore entirely Un.necessary for the Administration to stipulate country going to a silver basis, have been for months marking for the contingent additional sum of three-fourths of 1 per cent their invoices "payable in gold." My house has always pursued interest upon these bonds. The money could have been obtained that course in doing business with silver countries. The i.n;;lport without the addition of that burden. But that has been done, ers, as the time for payment approached, fearing that gold would the terms have been arranged, the obligation has been assumed to go to a premium, began to hoard it. This is shown by the fact take this money from the persons who have agreed to supply it to that the exports of it are far short of the withdrawals from the the Treasury Department for the purpose of restoring the redemp subtreasury. The withdrawals of gold from the Treasury, as tion ftmd to maintain the gold reserve. The Administration has published in the daily .statements issued by the Treasury Depart blundered in the exercise of its powers under the law of 1876. ment under the head of "Redemption of notes," gives us the fol But we must now support this resolution or subject the people to lowing startling figures: the payment of nearly fifteen millions of additional interest in case it is defeated. It is now a choice of alte1-natives. We must sup port the r€solution or impose this loss of fifteen millions of im proper interest on the country. And in this dilemma, while I un qualifiedly condemn the conduct of this Administration which has brought so many disasters on the country, I find myself obliged to vote for the resolution and protect the country from this inex cusable loss. ill~llliillll~rl~~~~!:!ill!l1!!!~!lili~~~~:::::ill ill (Here the hammer fell.] I am informed that upon this last date it was ascertained that Mr. SICKLES. Mr. Speaker·, I trust that my colleague will be the amount of eoined gold (free) available in the subtreasury at given some additional time. New York was only $8,700,334, and that all that could be spared ~!r. HOOKER of Mississippi. Mr. Speaker, I move that the from all other sources would not increase that amount to more time of the gentleman from New York [Mr. DANIELS] be extended than $20:000,000. for five minutes. If the drain had been continued at the same rate Saturday en The SPEAKER. The Chair has promised all of the time to suing would have found the Government with no gold in store to other gentlemen. meet the demands upon it. Mr. DANIELS. I desire only two minutes more, although, On that day it was announced that arrangements had been made under the circumstances, I do not feel that I should ask for any for securing gold from abroad through the mediation of a foreign extension of time. syndicate in case of failure of action by Congress, and the effect Mr. SICKLES. I a.sk unanimous consent that the time of my immediately showed itself in decreased withdrawals, as follows: colleague be extended for five minutes. The SPEAKER. Of course the House can change its 01·der. Unanimous consent is asked that the gentleman fi·om New York ~~iiS~~;~::~~:::;:~:::;~~==:~~;::::~;:::;:;:::::::::::: ~!i ~.DANIELsl be allowed to continue for five minutes longer. Saturday, February 9------··------____ ------·-----·--- 745,309 Mr. BOWERS of Calif01-nia. I shall object unless it is under On this day the message of the President announced the com stood that the extension is to be taken out of the time on that side. pletion of the arrangements for the loan. Since then the with The SPEAKER. Objection is made, and the gentleman from drawals have been as follows: New York r:Mr. Coo:orns] is recognized. Mr. COO:M:BS. Mr. Speaker, two days ago I had an opportu Monday, February 11---·------··--··------·------·------···· 613,19 nity to express my views in relation t<> the financial conditions We~!la!;.~¥!~a~y-i3~=~==::=~=~~:=~==~~=~==~~=~======~==== ~:~ that confront us. It will be my effort to-day to avoid going over You can not fail to notice the quieting effect of the assurance any of the ground that I then covered, as the few moments at my given to the people by the completion of the contract. It re disposal will not permit it. The plain proposition before the sponded as readily as the mro.·cury in the thermometer to the vali House is that the new issue of bonds, amounting to a sum slightly ations of the temperature. in excess of $65,000,000, shall plainly express upon their face the The sudden decline in the price of exchange which helped won fact that we will pay them in gold and in that way save three derfully was doubtless due to the action of the syndicate, and had fourths of 1 per cent per annum in interest. an immediate effect. The gentleman from illinois [Mr. HOPKINS], who opposes the The figures that I have given you are correct and c.an easily be bill, lays great stress upon the fact that in years past Republican verified by any of you. Will you not candidly admit that the Administrations had not been forced to make any declaration of emergency was a startling one, and that there wa no opportunity their intention to pay our bonds in gold. He fails to take into for delay? That it was necessary for some one to take the responsi- 1895. CONGRESSIONAL RECORD-HOUSE. 2187 bility of prompt action? Will you not try for a moment to dis- The executive, however, has proved itself equal to the emer miss partisanship and do credit to the men who saved us from the gency, and will, with such powers as were given it in other times, effect of the blunders of Congress? Or do you prefer to continue sustain the Government, whatever cost may be involved, and the to indulge in cheap criticism and attempts to blacken the charac- people, regardless of party, will stand back of him and hold up ters of men who have saved us from financial disgrace·? Any criti- his hands. - cism that you may make will come with bad grace from you who The SPEAKER. The gentleman's time has expired. did not heed the timely warnings that were given you. Any bar- Mr. !3RYAN. I yield fifteen minutes to my colleague on the gain that saved our credit was a good bargain. comm1ttee, the gentleman from Tennessee [Mr. Mc1.fiLLIN]. I do not know the particulars of the negotia~ion of the loan and ~ [Ml·. McMILLIN withholds his remarks for revision. See Ap can not tell whether other ways out of the difficulty could have pendix ] been found, but have no doubt that the Secretary secured the very · best_possible terms, cramped as he was into so short a time in Mr. BRYAN. I yield two minutes to the gentleman from which to secure relief. He left a way open to save a very large Georgia rMr. LIVINGSTON]. portion of the sum that he was obliged to sacrifice and has placed The SPEAKER. One moment. The Chair has promised to upon you the responsibility of deciding whether it shall be saved recognize the gentleman from New York [~_r. HENDRIX] for five or not. If you refuse to pass this resolution and save the 816,- minutes. 000,000 you will take the responsibility for that sacrifice upon your- 1\ir. HENDRIX. Mr. Speaker, if there is anything bad about selves and clear his skirts of it. If the emergency made it neces- the contra.ct which the Secretary of the Treasury has made with sary for him to disregard your prejudices I am glad that he had the New York and foreign bankers, the gentlemen who oppose the nerve to do it. At all events he has given the country an ob- this bm will become responsible for it. (Derisive laughter.] If ject lesson that it will not be slow to comprehend. The people it goes into effect on the alternate proposition that the Govern will be able to estimate to some extent how expensive it is to ment of the United States can get its gold at 3 per cent for thirty send to the National Legislature theorists instead of men of good years, there is not a man on this floor, or anywhere in the mar- business judgment. kets of the world, who will not see that the contract is a good one. You say that it entails a sacrifice of rates not pleasant to con- It is necessary for you to go into the markets of the world, not template. That is doubtless the case, but the loss is nothing when to get your currency, not to get your ovm obligations, not to get compared with the enormous depreciation of values that would silver; but it is necessary to go into the markets to get so many have resulted from the failure of the Treasury to meet its obliga- ounces of pure gold, and you must go there with an obligation tions, or with the expense that would have been brought upon the which will get what you want, and not something which you do nation in efforts to creep up again from a silver to a gold basis. not want. You have in the Treasury plenty of your promises Those of us who areengagedinlargemercantileoperationsoften which you do not want and which you can not use. What you find it necessary in cases of eme1·gency to act promptly and make are after is simply the yellow metal itself. Now you have an op large sa.crifices in ord'er to maintain credit or avoid larger los es. portunity of getting it on a 3 per cent basis. The world is not We measure one another's qualities as merchants by our ability ready to deliver it to you upon any better basis than 3! per cent to do these things. I want you to understand that the action of at this time, unless you will promise to deliver it back payable the members of this Administration in this business emergency specifically in the kind of metal that you get. The increa ed rate will not only secure our confidence, but excites our admiration. is the estimate of the risk which your creditors feel that they take. We begin to feel that if it became necessary, with such men at Now, if this is a contract that is bad, you gentlemen who reject the head of affairs we could very well get along without Congress. it make it bad for -the Government. Pass this resolution, and The public credit will, therefore, not suffer on account _of this you change it. You make a good contract out of it. You can emergency operation. not quarrel with a 3 per cent rate for gold. It is a low rate. I notice that while the letter of the contract simply calls for the Now it is open to you to make this as good a contract as any withdrawal of half of the amount of the gold from abroad, the Government on the face of the earth can make. A contract such other provisions make it necessary for the syndicate to really pro- as you have it in your power now to sign, seal, and deliver, made teet the gold reserve from sudden drafts. in a country so remote from the great deposits of gold as this The "option" that has been so violently attacked simply pro- country is, where the coupons on the bonds are made payable at vides that the buyers shall have the first opportunity to take our own Treasury, where foreign holders of those bonds have to future offerings of bonds at the price at which the Government pay a commission for the collection of those coupons, is not a bad proposes to sell them before they are offered to others. This contract, and no business man can condemn it as a bad contract. should not be CQmplained of, as it is a measure of business pre- Now it is with you to improve the bargain. Will you do it? caution and does not bind the Government injuriously. Now, you stick at the word" gold." Yet you say you expect to Gentlemen have made much of the fact that since this bargain pay your obligations in gold. Then write it in the bond. The was made our bonds have been sold in England at 114. They gentleman from Tennessee says he is going to take care of the fail to see any connection between this rise and the arrangements credit of the countJ.·y and will see that every obligation is paid in at home to sustain our credit. In the same breath they claim gold. How? Tell us how. You can not pay your obligations in that this a..ction of the Administration has lowered the value of gold until you have got the gold, and it is simply because you have our bonds. I shall not attempt to reply to such contradictory not got the gold that you have got to go into the markets and get statements. the gold. It is a question of m·essing your goods for the market Very extravagant estimates have been made of the amount of to which you expect to take them. Can you ask for gold andre profit that will be realized by the purchasers. I have no doubt serve the right to choose another metal for repayment? that as shrewd business men they have provided for a good mar- The opportunity to stop all this business has been given to this gin of profit, but I also know that befme the bonds are finally sold House time and time again. So long as you maintain your de that profit will not be realized, and that in the meantime there are mand obligations in the currency you must keep a reserve tore innumerable drawbacks in the way of manipulation of exchange deem them or fail to keep faith. and operations to sustain the prices of the bonds. They have to Mr. McMILLIN. Will my friend permit me right there-- a certain extent become guarantors of the price of our bonds. Mr. HENDRIX. I have only five minutes. Now, while f am reconciled to all this, I must frankly say that Mr. McMILLIN. I beg the gentleman's pardon. I do not enjoy it. Mr. HENDRIX. The opportunity was given in the Springer I would rather that out' Government, which is so rich and pow- bill. You have got either to put the Gover:nment further into the erful, and which has within thirty years paid six billions of its banking business or you have got to take it out, as every other war debt at the same time that it has paid another six billions for civilized Government on the fa.ce of the earth has been taken out, its running expenses, improvement of rivers and harbors, and de- in every particular. You must make of your Treasury a full fenses, should now, with a comparatively small indebtedness, not fledged bank or shelter it behind a big bank, as the Government be :put to the mortification of calling upon any individuals or as- of Germany, the Government of Austria-Hungary, the Govern somation of capitalists to sustain it or even remotely to guaran- ment of Belgium, the Government of Bulgaria, the Government tee it. of Denmark, the Government of Spain, the Government of Fin- As a citizen of this proud Republic I protest against the unnec- land, the Government of France, the Government of Greece, the e£sary humiliation. Government of Italy, of Naples, of Sicily, of Norway, of Turkey; Some one is to blame and we do not have to go far to find the of the Netherlands, of Roumania, of England, of Russia, of Ser culprit. It is not the Executive of the nation; the people will via, and even Sweden and the Swiss Government are sheltered to give him the credit of having done his whole duty. It is not the day. Secretary of the Treasury acting under his inspiration. The Mr. COX. Let me say to the gentleman-- fingers of the nation point to the culprit, the legislative branch of Mr. HENDRIX. I have only got five minutes and must decline the Government, and they hold it responsible. This branch of to be interrupted. You have got to get behind some great bank. Governmenthasvirtually,forthe time being, broken down. Con- :Mr. COX. Let me say that the Government is bigger than any fused ~i n a maze of theories, it has groped, stumbled, and fallen bank. helpless. • Mr. HENDRIX. If the Government is going to be a banker, let 2188 CONGRESSIONAL RECORD-HOUSE. FEBRUARY 14,

it be a fully equipped bank. If you are going to have the Secre to this pass we are in to-day-a gold basis; and the Republicans tary of the Treasury run a bank, give him the power to run a bank are entirely responsible for that legislation. We are to-day, as I as he ought to do. If you are going to make him a one-legged said before, reaping the harvest that has been sown by the Repub banker, how do you expect him to do any better than he is doing? lican party. Grover Cleveland comes out for the same policy with You men of the South here, why do not you come to the relief of a little more straightforwardness. He comes up with a proposi the Secretary, from your own section of the countrY? Why do tion to name in the bonds that they shall be paid in gold, when not you give him the power it is necessary for him to have? He the Republican pa.rty said that by interpretation they shall be stands upon the parapet trying to defend the credit of the country. paid in gold. I want both sides to be put on record as to how He has been using the best weapons he can. He asks now for a they stand. Gatling gun, and you want to hand him a toy pistol. [Applause.] Now, the Populists believe that they are redeemable in coin, and Mr. COX. No; I would hand him a Gatling gun. that coin means gold and silver, and that we should avail our Mr. HENDRIX. If you mean that the Government is to pay selves of silver to pay these obligations. How are we ever going these bonds in gold, why not say so? to satisfy the insatiable maw of this clamor for gold? Step by step, fHere the hammer fell.] by legislation, for thirty years, you have led up to the present con :Mr. BRYAN. I yield two minutes to the gentleman from ditions, and you find yourselves with these gold bond speculators Georgia fMr. LIVINGSTONl. with their hands on the throat of the people. Mr. LIVINGSTON. Mr. Speaker, I send to the Clerk's desk How are you going to remedy the evil? Yon are never going certain extracts from the poems of Thomas Hood. I ask that to remedy it until you restore silver to its proper place in the cur they be read in my time. I only have two minutes of time granted rency of the country. Youarenever going torestoreit until your me, and perhaps these extracts will better illustrate the situation Secretary of the Treasury obeys the law and redeems the outstand than anything I might say in so short a time. ing obligations in silver as well as in gold. By doing so you will The Clerk read as follows: establish a parity between the two metals and relieve yourself That the Golden Ass, or Golden Bull, from the grasp of these shylocks that have now got the country Was English John, with his pockets full, by the throat. Will you do it? We have no hope that you will Then at war by land and water: do it. Both sides are playing for position-both the Republicans While beef. and mutton, and other meat, Were almost as dear as money_ to eat, and Democrats are now playing for position, each one trying to And Farmers reaped Golden Harvests of wheat put the other in the hole, and between you you have succeeded At the Lord knows what per quarter. in putting the country in the hole; and there is no hope of it ever * * ~ * * getting out of the hole until all decent, patrioti.c men in this coun 'Twas the Golden Leg! "she knew its gleam!" try unite themselves with a party that will stand by the people. And up she started and tried to scream,- Disguise it however you may, the contest is between the man But ev'n in the moment she started Down came the limb with a frightful smash, and the dollar, and you must range yourselves on one side or the And, lost in the universal :Hash other. Why, our forefathers marched through the snow and That her eyeballs made at so mortal a crash, camped on the bloody fields of battle in this country defending us The Spark, ca.ll'd Vital, departed! against taxes imposed by Great Britain; yet under this process of * * * * * legislation, for the past thirty years, you are subjecting the coun Gold, still gold! hard, yellow, and cold, For gold she had lived, and she died for gold- · tJ.·y to a greater taxation to Great Britain and more effectual than By a golden weapon-not oaken; though our forefathers had failed in their struggle for liberty. In the morning they found her all alone And may God grant us a good Samaritan in 1896 to rescue us Stiff, and bloody, and cold as stone- fi·om the hands of the thieves. B~~e{h~~?G~~~e~0j3l;~h~fs J;:-;k~~~~· Mr. HULICK. Mr. Speaker, I shall vote against this resolution. * * * * In the short time allotted to me I will call the attention of the HER MORAL. House to some of the reasons expressed in the message of the Pr~sident of the United States why he entered into the contract Gold! Gold! Gold! Gold! Bright and yellow, hard and cold, with the Rothschilds and Morgans, of London, for the sale of our Molten, graven, ha.mmer'd and roll'd; bonds. And the very rea.sons he assigns for the transa-ction, -in Heavy to get, and light to hold; my humble judgment, are abundantly sufficient why such a con Hoarded, barter'd, bought and sold, Stolen, borrowed, squander'd, doled! tract ought not to have been made. Spurn'd by the young, but hugg'd by the old The arguments of gentlemen who have preceded me in this dis To the very verge of the churchyard mould; cussion, who favorthe adoption of this resolution and thereby de Price of many a crime untold; Gold I Gold! Gold I Gold I clare in favor of indorsing the action of the President and his Sec Good or bad a thousand fold! retary of the Treasury, have emphasized but one argument in its [Great laughter and applause.] favor, and that is that in issuing gold bonds the Government will The SPEAKER. The Chair will now recognize the gentleman save three-quarters of 1 per cent annual interest, which for thirty fi·om Kansas for five minutes. years will amount to over $16,000,000. Mr. SIMPSON. Mr. Speaker, I want to view this mea.sure from In his message, which bears even date with the contract, the the standpoint of a Populist for five minutes. fLaughter.] I President says: The privilege is especially reserved to the Government to substitute at par, have listened very patiently to gentlemen on both sides of this within ten days from this date in lieu of the 4 per cent coin bonds, other House upon this measure. I listened a few days ago to my Repub bonds in terms payable in gold and bearing only 3 per cent interest, if the lican friend from Pennsylvania [Mr. BROSIUS], and he said that issue of the same should in the meantime be authorized by the Congress. he thought that Congress ought to act the part of the "Good This is the only privilege claimed for the Government under Samaritan" toward the people. I have been looking that matter .~his contract. The gentleman from West Virginia [Mr. WILSON], up, and I find tha.t a certain gentleman in his journey from Jeri the honored chairman of the committee, says it is only a question cho to Jerusalem fell among thieves; and so, I think, this na of gain or loss to the Government, a business question simply. I tion, in its journey from Lincoln to Cleveland, has also fallen deny the proposition. It is doubtless true that the Government among thieves. I listened to the gentleman from illinois [Mr. will be compelled to pay a half million dollars a year for thirty HoPKINS] to-day in his eloquent address upon this measure, and years by the terms of this unwise, unholy contract, which has one would think that they were the friends of silver coinage in been secured by foreign capitalists. Yet we must remember this country. that the holders of other Government securities have vested rights But, Mr. Speaker, we are to-day but reaping the harvest sown that must be respected by our Government. by our Republican friends. Many of them to-day admit that we The last one hundred million of bonds issued by Mr. Carlisle a.re on a gold basis. The gentleman from Maine [Mr. REEDl him provided for the payment ofprincipal and interest in coin. These self says that is the settled policy of the country. The gentleman bonds were put upon the markets of the world openly, not se from illinois [Mr. CAN ~oN] says that all our outstanding obliga cretly, as in this case, and are held by American capitalists, who tions are redeemable in gold. Then, if they are, why not accept have faith in the honesty and integrity of our Government and the situation, and make them all payable in gold by adopting this its ability to pay its ''coin" bonds in gold. And yet here is a con resolution? One of the greatest evils that ever has come to this tract entered into with Em·opean capitalists on the 8th day of Feb countJ.·y, I think, is that which makeS' it possible for the Repub ruary last, in secret, known only to the President, his Secretary, licans to stand here to-day masqueramng as the friends of the free the Presidents former law partner, and August Belmont & Co., coinage of silver, pretending that they want these obligations pay who represent the Rothschilds and Morgans, of Europe, foreign able in coin, so that you can avail yourselves of silver. capitalists, who will not tJ.·ust our Government on a coin bond, They do not mean it. They do not wish that these obligations unless they are paid three-fourths of 1 per cent premium as inter shall be redeemable in anything but gold; and one of the greatest est. calamities tha.t is upon us is that it gives the Republican party a Our own American holders of coin bonds must be protected. chance to return to power and continue the same policy that has Because the moment our Government issues gold bonds to fmeign brought us to the present evil. It was by the law of 1873, when capitalists, that moment those bonds go up to a premium or the you substituted a gold dollar for a silver dollar, that brought us coin bonds go down with a discount. The premium of the gold 1895. CONGRESSIONAL RECORD-HOUSE. bonds would far exceed the three-fourths of 1 per cent and thereby moments since on this resolution, the gentleman from Tennessee insure to the foreign bondholders interest far in excess of the [Mr. McMILLIN] asked him a very pertinent question. "What amount the Government will have to pay on the coin bond, while assurance," said he, "have we that withdrawals of gold will· the holders of coin bonds will be injurously affected many, many not continue in the future as in the past?" The gentleman. times more than the Government will have to lose by reason of a from West' Virginia did not answer the question. I wish he had. higher rate of interest on the coin bond. This House and the country would like to have heard it. Let me Another reason the President assigns in favor of his contract: read the very last clause of the contra-ct, which shows that the At least one-half of the gold to be obtained Secretary of the Treasury, the President, and his law partner· He says-· were not entirely neglectful of the interests of our country, for · will be supplied from abroad, which is a. very important and favorable fea they provided against this very contingency (?) in the contract. . ture of this transaction. He1·e it is: Has it come to this, Mr. Speaker and gentlemen of the House, Fifth. In consideration of the purchase of such coin, the parties of the sec that it is a favorable consideration that the gold will be supplied ond part, and their associates hereunder, assume and will bear all the ex from abroad to fill our depleted Treasury; that we have to bor p ense and inevitable loss of bringing gold from Europe hereunder; and, as row from foreign capitalists and pay them a higher rate ?f inte~ far as lies in their power, will exert all financial influence and will make all le~ timate efforts to protect the Treasury of the United States against the est than we pay our own people? Why does he say thiS? Is 1t Withdrawals of gold pending the complete performance of this contract. true that we have no gold in this country to supply our Treas If the chairman of the Committee on Ways and Means had read ury? Why, Mr. Speaker, we have plenty of idle capital tO-day in this he would have answered the question of the gentleman from every city of our _land o~ly waiting investments .like this. O!u Tennessee without hesitation. factories closed, mdustnes paralyzed, every busmess enterpriSe I am reminded of an old lady in my district whose husband died stagnant, anxiety and apprehension existing everywhere, confi very suddenly. Her neighbors and friends gathered in to sympa dence in the party in power gone, our gold lying in the va~lts thize and weep with her in her great bereavement and to praise idle and yet the President tells us that the" gold to be supplied the many virtues of her husband. In the very midst of her sobs fro~ abroad is one of the favorable and important features of and tears she exclaimed, "Well, I have one consolation in the this transaction." May the good Lord ever deliver us from such death of the old man-the loss is fully covered by insurance." favors. [Applause.] [Laughter and applause.] The gentleman from "V'[ est Virgin~ [M-e. WI~SON] _asks tJ;le ques In this great financial embarrassment, in consideration of get tion and says,'' What difference will1t make if we msertm these ting foreign gold to supply the Treasm·y, in consideration of giv bonds the word' gold,' principal and interest payable in gold, ing them the option on all bonds to be issued by our Government when our coin bonds are all paid in gold?" for the next eight months, in consideration of the great loss sus Why, my dear sir, the President in his message answered your tained by our own American capitalists who are holding the question before you asked it. Let me read what he says: "coin" bonds of the Government, in consideration of giving these The arrangement thus completed * * * develops sucp. a ~e rence in .parties bonds that were worth at the very moment they were deliv the estimation of investors between bonds made payable m com and those specifically made payable in gold in favor of the latter as is represented by ered at least 112 and before thirty days doubtless will be worth 120 three-fourths of a cent in annual interest. premium in the markets of the world, realizing a net profit to their In this transaction the mere inserting the word "gold" in the purchasers of at least $10,000,000, the people of the United States bond, Mr. Speaker, makes a difference in favor of the foreign bond are assured that our Treasm·y will be protected against any fur holder of $539,159 of annual interest, amounting in thirty years, ther withdrawals of gold by these foreign guardians. [Applause.] or at the maturity of the coin bonds, to$16,174,170. In otherwords, Mr. Speaker, just think of it for a moment. If the other terms in order to borrow gold of European capitalists, who will not trust of the contract to which I have called the attention of the House us when we say we will pay our coin bonds in gold, we must were humiliating, this is degrading to our people. The Govern either expressly promise to pay in gold or pay them over a half mil ment of the United States, this great nation of ours, entering lion dollars in annual interest to accept a "coin bond." In this into a written contract with the Rothschilds of Europe, "party case we, for their want of faith in our coin bonds, pay them a bonus of the second part, to protect the Treasury of the United States of over $16,000,00!). And now, Mr. Speaker, comes the. most hu against the withdrawals of gold from our Treasury," is enough to miliating acknowledgment made by the President in this remark bring the blush to the cheek of every patriotic citizen of our able message. He says: country, and cause him to bow his head in SOl'rOW for the disgrace It is hardly necessary to suggest that, whatever may be our views on the that is brought upon om· nation. [Applause.] subject, the sentiments or preferences of those with whom w~ m~st nego The tariff legislation of this Congress has brought our country tiate in disposing of our bonds in gold are not subject to our diCtatiOn. to this deplorable condition. In consequence of the insufficiency Has it come to this, Mr. Speaker, that to pay the running ex of the revenues to meet the expenditures, the Treasury has been penses of our Government, to replenish the gold reserve, and to drained of its available resources, and that, combined with with maintain the credit of our nation that we can not borrow money drawals of gold for export, has required the Government within at home in an open market, but are compelled to negotiate our the last year to borrow and issue bonds to the amount of over bonds in secret with foreign capitalists, who alone dictate the $165,000,000J realizing thereon, including premiums, the vast sum terms? What humiliation! What will the natiollil of the world of $182,496,557.74. think of u,.s? Aye, what will qur own people think of ourselves? The Secretary of the Treasury, in answer to a resolution of the But I must hasten. Let me call the attention of the House and Senate on yesterday, says that "the original gold reserve, aug the country to some things quite a-s humiliating contained in the mented by the gold proceeds of the sale of bonds, was diminished contract itself. during the period of the last twenty-five months to the extent of After specifying the amount of gold to be delivered to the United $172,674,315.47, of which $105,002,143.25 was directly or indirectly States Government, the time, place, and other matters pertain devoted to current expenses of the Government." This is one of ing thereto, it is stipulated that- the blessings that resulted from placing the Democratic party in Should the Secretary of the Treasury desire to offer or sell any bonds of the United States on or before the 1st day of October, 1895, he shall first offer power (?). This is tariff reform, a step toward free trade, reducing the same to the parties of the second part; but thereafter he shall be free the tariff on wool and other imports and borrowing money of for from every such obligation to the parties of the second part. eigners to pay the running expenses of the Government. [Ap Not content, Mr. Speaker, to secure the valuable benefits this plause.] transaction gives them, they bind the Secretary of the Treasury But, say the advocates of this measure, "We are into it, the so that he can not even offer, much less sell any bonds of the contract is made, and unless we authorize the issue of gold bonds United States Government, until after the 1st day of October next, we will have to pay a higher rate of interest." That may be true, nine months from the date of the contract, unless he shall "first but the Congress is not responsible for this. Let the responsibil offer the same to the parties of the second part." Look at this ity rest where it belongs. The President made this contrad with spectadel Already the contractis signed, sealed, and delivered out consulting Congress or anybody else; now let him enjoy the signed by J. G. Carlisle, Secretary of the Treasury (on behalf of glory or bear the ignominy that may attach to this transaction. the United States); by .August Belmont & Co., for N. M. Roths I will not sha,re either with him. [Applause.) child & Sons, London; by J.P. Morgan & Co., for J. S. Morgan Vote for this resolution? Never, never, never! & Co., of London; witnessed by Francis Lynde Stetson, a former fHere the hammer fell.] law partner of President Cleveland, and no doubt written by him Mr. WHEELER of Alabama. Mr. Speaker, after careful in Look at it! Our Government" bound hand and foot," and for quiry and investigation I have been unable to learn that either nine months can not offer or sell a bond without first consulting England, Germany, Austria, France, Russia, or any other coun with these foreign capitalists. What think yo1;1, capitalists of try has ever issued a bond stating upon its face that the interest this country? What think you, Representatives of a country we and principal would be paid in gold coin. If this information is are proud to boast of as the best the sun shines on to-day? Are you correct, I desire to ask if such action on the part of the greatest willing by your vote to-day on this resolution directly or indi silver-producing country on the earth is advisable. rectly to approve of such an unjust, unwise, unbnsinesslike, un In the calendar year 1892 we produced 42 per cent·of the silver patriotic proposition? No; never, never! [Loud applause.] of the world, and in 1893, notwithstanding our adverse legislation But this is not aU. While the distinguished gentleman from on the subject, we produced 37 per cent of the silver of_the world; West Virginia [Mr. WILSON] was addressing the House a few and the production of silver in the Unite~ States, as compared 2190 CONGRESSIONAL RECORD-HOUSE. FEBRUARY 14, with the gold-standard countries, shows that during the last three we gained a total of gold in the Treasury of $193,152,221, and an 1 years our silver production has been more than double the com increase in the net gold of 586,669,872; and we see that during the bined production of all the gold-standard countries of the earth. operation of the Sherman law the total loss of gold in the Treas To substantiate this statement I have prepared the following ury was $158,338,253 and the net loss during the operation of the table: Sherman Act was 8103,84 ,543. Table sh(YU)-ing a c01npa1·ison of the amount of silver produced i1~ the United GOLD EXPORT ACCELERATED AFTER REPEAL BILL OF NOVE.'dBER 1, 18!13. j States, with the amount produced by the gold-standa1·d countries of the wo1·Zd in 1891, 1892, and 189!J. We are told that the repaal of the purchasing clause of the Sherman Act would stop the flow of Production of IProduction of IPro duction of Country. silver in 1S91. silver in l 92. silver in 1893. gold from the Treasury. We have seen that on I November 1,1893, when that law was enacted, the United States (bimetallic) ...... $75, 416, 500 $82,101,000 $77,575,700 net gold in the Treasury was______$84, 384, 862. 26 Australasia (gold standard) --- 12,929,300 17, 3'i'5, 700 2S,507,GOO Gold received by the sale of $100,000,000 bonds Germany (gold standard)_ ..... 7, 756,600 8,815,600 8,240,100 about------117,380,288.74 A ustria-Hungary (gold stand- Shipment of gold from banks ______. __ _ _ _ 5, 829,223.04 ard)------2,161, 900 2,289,200 2, 289,200 Sweden (gold standard) ______2,200 185,800 Norway (gold standard) ...... ~~~ 186,800 188, soo 207,594,374.04 Great Britain (gold standard) .. 25.5:600 219,000 3:?7, 'iOO Amount of net gold in Treasury t-o-day______41, 34D, 181. 00 Canada (gold standard) ------406,200 4:46,700 a-n,400 This table shows very forcibly that the gold-standard countries 166,254, 193.04 of the world have very little interest in silver, and it is plainly to These facts show that the repeal of the Sherman Act has not be seen that to demonetize silver would be of very little injury to stopped the flow of gold from this country to Europe, but we see them while it would be of very great injury to the United States. that since that period we have lost $166,254,193.04; and if we ex I regret exceedingly that some gentlemen in discussing this amine the following table we shall find that a few banks in Europe measure have been so unjust as to impugn the judgment and even have, since November, 1893, gained $214,954,651 in deposits of the motives of the President and the Secretary of the Treasury. gold. No one who k--nows these two very eminent men can for a moment Table showing amount of gold in eight principal banks of EU1·ope at the date question their absolute integrity upon everything that pertains to of the repeal oj the Sherman Act and the date of latest reports. public affairs. Because a man diffe1·s from me in a matter of judgment, it does not lessen the esteem and regard which I enter Bank. I Nov1~~~r, IJa.nuary,18!)5. tain for him. In a matter so important as the one now before us I ------·------think all will agree that we should all use our best endeavors t-o Bank of England.------126, 416,000 $161,037,736 advocate that legislation which will most redound to the pros- Bank of France.------330,620,200 402,795,~ pro:ity·and happ~ess of t~e pe_opl~ and th~ glory of ~ur coun~·y, f"X:~J'Jcentury. It bank cuiTencyin ei~her greenbacks or gold or standard silver dol seems to me its effect will be either to discredit and depreciate all lars, but practically they would redeem them in either green obligations which are not payable in gold, or result in exactions backs or gold, because there are only $55,873,630 standard silver from creditors that all renewals of mortgages and loans shall state dollars in circulation, and nearly all of these are in the hands of upon their face that they are payable in gold. the people and not in possession of the banks. OUR STOCK OF GOLD INCREASED WHEN SILVER WAS COINED. THE THRE.E SHOCKS TO OUR FINANCIAL SYSTEM. The report of the Secretary of the Treasury dated December 2, The first shock to our financial system was the surreptitious de 1878, tells us that at the close of the yea1· 1877 the coin reserve in monetization of silver in 1873. This obnoxious law was in part the Treasury in excess of coin liabilities amounted to $63,016,050; 1·epealed by the silver-coinage act of February 28, 1878, and while and he also informs us that this was increased by the sale of bonds, that law remained upon the statute books gold flowed into the etc., so that on the 23d of November, 1878, the amount of coin Treasury and our country was blessed with prosperity. This con held by the Treasury in excess of coin held to pay all accrued liar tinued until July 14, 1890, when the Sherman law was enacted, bilities was 141,8 8,100. On February 28, 1878, Congress enacted which stopped all coinage after July 1, 1891. This caused the the Bland-Allison Act, requiring the purchase of silver by the Gov piling up in the Treasury of 160,000,000 ounces of unused silver, ernment and its coinage to an amount of not less than 2,000,000 which has done more than all else combined to depreciate its value. ounces a month into standard silver dollars. At the end of the The next blow was the act of November 1, 1893, which wiped f1·om fiscal year, June 30, 1878, the Secretary of the Treasury reported the statute books every line and word which provided for .an in $128,460,203 as the total gold in the Treasury, the net :gold being crease in the money of the United States. The effect of these laws 3103,562,523. upon the gold in our country and the Treasury is shown in tho Under the operation of the Bland-Allison Act the gold in the brief table which I will :r·ead: Treasury had so increased that in March, 1889, when Mr. Cleve Table showing the gain of gold to the Treasu1·y during the silt•er coina.ge pe1·iod, land surrendered the Government to President Harrison, the total and the loss of gold since the enactment of the law of July 14, 1890, 1·epealing gold in the Treasury was 8326,700,939, and the net gold was $197,- the silver-coinage law. 874,422, an increase of total gold in the Treasury of 8198,240,736, and an increase of the net gold in the Treasury of $94,311,899. Total gold. Net gold. STOCK OF GOLD DECREASED UNDER THE Sll:ERMAJ.'q" LAW. Soon after ].fr. Harrison was inaugurated the gold in the Treas Gain of gold to the Treasury from June 30, 18i8, to ury commenced to fall off, and at the end of June, 1890, the total date of coinage repeal, July 14, 1890 ...... $193,15~,221 $86,669,872 Loss of gold to the Treasury during operation of gold amounted to 8321,612,424, and the net gold to $190,232,405. Sherman law,fromJuly 14,1890, to Novemberl, The Sherman law was then enacted and continued in force until 1893 ------· ------...... 158,338,253 105, S47,M3 November 1,1893. At that date the total gold in the Tl·easury Loss of gold to Treasury from November 1, 1893, had fallen to 8163,27 4,171 and the net gold had fallen to $84,384,862. to February 12, 1895 ______...... 192,410,891 166, 25!, 193 Loss of gold to Treasury since the ad of July 14, These facts show that from July 1, 1878, to July 14., 1890, the 1890, which repealed the silver-coinage law...... 350,748,144 272, 101, 733 Bland-Allison silver-coinage act being in force during that time, 1895. CONGRESSIONAL RECORD- HOUSE. 2191

Should this not admonish us that some new policy should be seeds of civilization, and almost like magic create new and pros given at least fair consideration? We see here that the Treasury perous States. made a clear gain of $86,669,872 net gold during the twelve years It is the debtor class that organize together, build railroads, that we coined some 3,000,000 staniL'trd silver dollars every month; erect factories, inauguTate enterprises, and maintain schools and and we also see that we have lost $272,101,736 net gold during the churches, and spread the g-reat cause of religion and Christianity. four years and a half which have elapsed since we repealed the Enact laws adverse to the debt.or class and we strike a blow at coinage laws. progress, civilization, and ChTistianity. A F.AIR REMEDY. Mr. Speaker, I insist that anything that makes it more difficult It seems to me that after we have replenished the gold in the to pay the $25,000,000 ,000 owed by the American p eople, just in Treasury, as h as been done by the contract of February 8, it would in that measure throws obstacles in the way of material advance be no injustice to anyone to provide that from that time the re- ment. demption of greenbacks and Treasury notes shall be in proportion In considering the proposed legislation we must always keep in to the gold and silver in the Treasm·y on the day such greenbacks mind that the United States is the debtor nation of the earth, and and Treasury notes are presented for redemption. If we do not that our debts a.re largely owed to people of the nations who inake do this it is clear beyond question that the endless chain will con- I this gold proposition to the Secretary of the Treasury. Thepropo tinue to run and contint~et~ drain our gold in 1:he Treal?'ll'Y· That sition s come directly from thB great Rothschilds, bankers, who some such remedy as this IS absolutely essential I believe ~o o~e would be m01·e benefited than any other people on earth by having will deny. I have therefore prepared an amendment ~hlch, 1t the gold standard fastened upon the United States; and just in seems to me, ought to meet the approval of the conservative mem- the measure that it would be a benefit to them it would be a bers of Congress. It is as follows: hardship and bm·den to their debtors of this country. ' Ame:ndment of Mr. WHEELER of Alabama.. One Teason why the Treasm·y has lost gold since we have That afte1· the$65,000,000in gold secured by this cont1·acthas been received stopped coining silver, may be that the piling up of unused silver by the Treasury the payment of all obligations which are payable in gold or in the Treasury, together with oth-er legislation ad-verse to that silver at the discret ion of the Sec1·etary of the Treasury shall be paid partly metal, has widen-ed the ma-r!Zin of values between ~:old and silver. in gold and partly in silver, in the propffi'tion in which the two met als are held ~ ~ by the Treasury on the day the payments are made. This has caused a scramble for gold, and it seems that w-e have been worsted in this contest. This is substantially what is done by the Bank of France and other European banks, and it has never disturbed the parity be D.EMO!o.'XTIZ.A.TION OF "SILVER DESTROYS VALUES. tween the two metals. In the speech-to whichihavereferred I readthefollowingtable, SECRETARY CARLISLE'S OPThJ:O:Y. which utterly refutes the ~ertion that silver fell in value from On the 21st of January, 1895, Secretary Carlisle stated in a 1873 to 1892, as compared to the staple products of the wmld. On printed report that- the contrary., it shows that in 1892 silver was 67 per cent of its value in 18"73, while the average value of the staple productions If the policy of reserving to the Government, at the beginning of the re was only about 44 per cent of their value in 1873. The table also sumption, the option of redeeming in gold or silve:r- all its paper presented; I believe it would have worked beneficially and there would have been no shows that the increase in the production of silvBr from 1873 to trouble growing out of it. 1892 was less than the increase of production of the great staples If it was right to do it then it is right to do it now, .and a great produced by the American people. This shows that gold has in Government like this ought to do what is right to all the people, creased in value and that silver has not fallen in value. Theta whethe1· they belong to the industrial debtor class or to the privi ble is .as follows: leged creditor class. I believe that Mr. Carlisle might have added Ta1Jle showing inc1·ease in prodttction of silver and 'L"a!'ious othe-r staple Ameri that no serious trouble could arise from such action now, and if can p roducu fmnt 1.813 to 18~ , their v alue i n 1S7!J and 1892, aLso thei r valu-e i1"1- it were done I am convinced that no trouble could come from it 1892 cmnp and with that of 1873. to be compared with the serious trouble and distress which is in In- evitable if the present system is continued. At least we might crease Value t1·y an experiment. The legislation of the last thirty years has of pro- Value in 1892 Articles. Prod.udion P roduction due- in Value com- been too largely in the interest of the creditor class. Let us make inl873. in 1892. tion, lB73. in 1892. paz-ed at least one effort in behalf of the people. 1873 to with ln a speech which I had the honor to make on this floor on 1892. 1873. August 25, 1893, I read a table showing the amotmt of indebted - - --- r--- ness of the people and corporations in the United States our census Times. Perot. Silver ___ _ounces._ Z'/,550,000 58, (XX), 000 67 year, 1890. l .t is as follows: Cotton ______bales__ 2,974,351 9,035,379 ~ 100.70 ~.85 35 Table showing some of the debts of peop le and corporaticm.s in 'the United States Pigiron ______tons..._ 2,5fi0, 983 9,157,000 42.~ - 'i5~r~M 15. 75 37 . durin g the yea~~· 1890. St eel r ails . . ..do ____ 115,19'2 1 ,551,844 1~ 120.50 30.00 25 Coal.---- - __ _. do __ __ 50,512,000 150, 505,745 3 4.8± 2.50 52 Railway debts of 163,420 IDues of railroad as stated in Poor's Manual for Wheat __ bushels. _ 281 ,254, 700 ~' 611, 780, 000 2! ·1.12 .62 55 1891, Introduction, page 1: Corn ______do __ 932, 27'4,000 * 2 112 892 GOO 2i .59 . 39 65 Wool ___ __pounds __ 15!, 000, ()()() 'm; 162, rm,1 0., 148, ooo;@ 2.50 2.20 91 adverse to the interests of the debtor classes. Wheat . bush_ _ *611, 780,000 395, 1.31, 7':~5 4i:i0, 237, 416 .62 . 53 S5 Corn ______do __ Mr. Speaker, who are the debtor classes of the people of the *2, 112, 892, 000 1, 619, 4W, 13111,212, 770, (k)2 .39 .41 105 United States? They are the people to whom we owe all our pros Wool _____lbs .. 296, 000,000 303,000, 000 298,057, 334 . 30 .14: !6 perity, all our progress, all our development, all of our growth, and everything which has made this great and glorious country the * 1891. pride and admiration of the whole world. It is the debtor class Onel'eason why money has beenhoardoo and prices have declined who make the homes in the virgin forests, in the vast prairies since the repeal of the purchasing clause of the ShBrman Act, may and plains of the gigantic West, and with their labor plant the be that evm·y step taken by this Goverment, which h elps to fast en 2192 CONGRESSIONAL RECORD-HOUSE. FEBRUARY 14,

upon this country the gold standard, has a tendency to reduce a violent discussion had arisen in our midst relative to the re the amount of money of ultimate redemption, which must lower demption of those bonds and our other obligations. On the one prices; and when this tendency exists, all those who have money hand it was contended that the Government had the right tore see that its purchasing power will increase, and therefore their deeiD: all such bonds in other paper promises, called money, and inte~est is best served by holding and hoarding, instead of in that 1t was the duty of the Government to so redeem them, while vesting. on the other hand it was-contended that the Government had no There is another element in this great question which should be right to redeem one promise by substituting for it another. considered. During the last forty-five years the production of General Grant was elected President in November, 1868, and gold in the United States has very materially decreased, while was inaugurated on the 4th of March, 1869, and one of the first the property of the United States has increased fully tenfold. acts passed by Congress and approved by the President was what To illustrate this great disparity I have prepared the following was known as" the public-credit act," which in no unequivocal table. manner declared that good faith on the part of the Government Table showin g gold an d silve r production i n the United Sta tes f?·om 1850 to 1894 demanded that all Government indebtedness, unless otherwise and the rati o of gold p1·oduction to the property of the United States, and also expressly provided for, should be redeemed in coin. There was the 1·atio of combined gold and silver p1·oducti on to p r operty. no expression given as to what that coin should be, but thereafter all Administrations down to the present one and including the Ratio of Ratio of combined present one have interpreted said act to mean the best money that gold we could command, which has been found to be gold. Year. Gold pro- Silver pro· Property in produc- ~old and duction. dnction. United States. silver pro- Since then all of our obligations have been made payable in tion to ductionto property. property. coin. We haye refunded such of our indebtedness as we could not pay, on long time and at greatly reduced rates of interest, but we have never in any of those obligations named the coin in 1850 .. ------$55,000,000 $5,000 f/,135, 780, 288 1to 129 1 to 129 1853 ...•.• ------65, 000, 000 50, 000 7, 500.000,000 1to 115 1 to 115 which they would be redeemed. No person or class of persons 1860 ....•• ------46, 000,000 150, 000 16,159, 616, 068 1to 351 1 to 35a since then until the present time ever questioned the good faith 1870.------1880 ______50,000, 000 16,000,000 30, 068, 518, flY/ 1 to 601 1 to 455 36,000,000 39,200, 000 43, 642, 000, 000 1 to 1212 1 to 607 of the Government, or its intention or ability, to 1·edeem all such 1890.------32, 845, 000 70, 485, 714, 65, 037, W1 , 000 1 to 1980 1 to 629 promises in the best money of the world. No one before this 1892.------33,000,000 82,101,000 75, 000, 000, 000 1 to 2272 1 to652 time has ever asked that the word "gold " should be inserted in 1893.------1894 ______35, 955, 000 77,576,000 75,000, 000, 000 1 to 2085 1 to 669 any bond. There are many hundred millions of such bonds now 41,390,~ 58,792, 417 75, 000,000, 000 1 to 1812 1 to 757 outstanding, providing by their very terms that they shall be 1·edeemed in coin. We see by this table that since 1850 the property of the United Congress has never, by act or resolution, named the kind of States has increased more than five times as fast as gold and silver coin in which they should be redeemed, nor has it ever before the combined, and we see that property has increased fifteen times as present time been asked to do so. Congress has ever sought to fast as the production of gold. As all admit that money should maintain, so far as it could, on an absolute equality, both in their bear a proper relation to the property of a country we are doubly purchasing and debt-paying power, the gold and silver coina of admonished against upholding legislation which will confine the our country. At the extra session of Congress in 1893, when we money of our country to one metal. repealed the silver-purchase clause, we enacted as a part of With all these facts before me I feel that it is my duty to the such repeal that the Government, by all of its power, would, so people I represent to oppose the resolution. I believe, Mr. Speaker, far as it was possible to do so, maintain at a parity the gold and that the passage of this resolution would forever close the door silver in our Treasm·y. So two things are perfectly apparent. to international bimetallism. I believe it would place us irre One is that Congress has never named any one of the various kinds trievably upon the gold standard. I believe that from the moment of our money as being the money of ultimate redemption for our this resolution becomes a law all obligations will be discredited paper promises, and the other is that the various Administrations, unless they bear upon the face the stipulation that they are pay while possessing the power to pay all such obligations in coin, have able in gold coin. always construed that power to mean gold, because it was recog I believe that many of the mortgages which now exist can not nized among all civilized nations as being preferred because of its be paid when they fall due. I believe that when mortgages are general use. renewed creditors will exact a stipulation that the principal and interest shall be paid in gold. In later years in making our loans or refunding them no ques I believe that every debt now owing by the industrious people tion has been raised by any person as to the terms of the bond. of our country will become almost twice as difficult to pay. I be No one has ever suggested that there was the least danger in the lieve that mortgages upon farm homes will be foreclosed. And world that such bonds would be paid in inferior money. Presi I believe that a most disastrous blow will be struck at the indus dent Cleveland bas made two loans of $50,000,000 each by dispos trial people of our land. ing of bonds payable in coin, and no one has questioned what Now, Mr. Speaker, I ask, has a single one of the 12,000,000 farm such bonds meant. His last loan, made in January past, payable ers of our country petitioned this body for this legislation? Has in coin, was negotiated at such rates as to make the interest about a petition come from any organization, except from banks and 2f per cent per annum. No one up to that time had suggested from chambers of commerce and boards of trade, composed al the least doubt as to how such bonds would be redeemed. most entirely of moneyed men or people who are interested in banks Now comes the most disgraceful episode in the financial history or other moneyed institutions? of our country. At a time when our people had a right to expect [Here the hammer fell.] t.hat our Administration would stand like a wall of adamant in The SPEAKER. The gentleman from Ohio [Mr. NORTHWAY] defense of the nation's credit, and especially of that part which is recognized for five minutes. had already been refunded, President Cleveland sends his special Mr. NORTHWAY. Mr. Speaker, I can not, of course, within message to Congress casting a doubt upon his ability to negotiate the space of time allotted to me, discuss all the questions involved any further loans payable in coin and asks Congress to authorize here; and I rise only for the purpose of giving one or two reasons him to negotiate a fifty-year loan for $500,000,000, payable in gold. for my opposition to this resolution. I have not taken the time At this time of general business depression, when labor was un of this House in discussing financial matters at all, and I shall employed, and when the millions of agricultm·ists of our country desire no more than a short time in order to give the reasons why felf that bankruptcy was staring them in the face, comes the sug I shall vote against this proposition. In giving such reasons I gestion of the President that we must pass at once to a gold basis, wish it distinctly understood that I do not oppose the passage of and so discredit to some extent at least the money used in busi the resolution because I favor the free coinage of silver, or because ness, to pay labor, and to measure the price of farm products. I desire that any obligation of this Government shall not be paid No wonder Congress took alarm and refused to confer upon him in the best money that the Government can command, but I op such power. Immediately succeeding that comes the astounding pose it because in my humble opinion it is a distinction against all intelligence that the Administration, through a f01·mer law partner past action of this Government on subjects of this kind. of President Cleveland, has entered into a contract with a syndi And in order to show the full force of my argument it will be cate of foreign bankers to borrow sixty-two and a half millions of necessary to devote a little time to the past history both of legis money upon conditions which clearly recognize that gold is the only lation and the construction placed upon that legislation by the money which can be used in the payment of our debts, and which various Administrations during the last thu·ty years. Prior to 1869 as clearly recognizes the fact that all other kinds of money are in we had contracted an indebtedness reaching into the billions. ferior in debt-paying power, and which also recognizes a higher W .e had borrowed vast sums of money upon sale of our bonds, rate of interest than was necessary to pay in either of our prior the purchasers trusting to the credit of our Government for their loans. redemption. When those bonds could be redeemed we little knew. Look at the contract. On a long-time thirty-year bond such Yet the people of our country, as well as of other countries, felt terms of sale are provided for as that interest is to be paid at 3 that the faith of our Government was pledged for their redemp per cent if the bond and interest are payable in gold, and 31 per tion in the best money which we could c.ommand. Prior to 1869 cent if they are payable in coin. Such a bond is to bring $1.04 1895. CONGRESSIONAL RECORD-HOUSE .. 2193 only. Remember, this contract is made and signed, sealed and rendering to the dictates of foreign bankers, that they may grow delivered before Congress is notified of jt, and we have no power rich on the hard-gotten gains of a hard-working and patriotic to undo it or repudiate it. Think of an Administration, for the people? For one, I will not surrender. The friends of the Ad first time in the history of o~ country, contracting with refer ministration threaten with' retirement to private life all those ence to the difference in the value of our various kinds of money, who refuse to support the Administration. Such retirement has and providing, by contract, that one. kind is much more valuable no terrors for me, for I infinitely prefer it to a craven submission than any other kind. to foreigners who would dictate our financial policy to the ruin Think of the stupendous blunder of negotiating such a bond at of our people. $1.04, when an examination of the report of the sale of stocks and But we are told that it is our duty to put aside all political dif bonds in any of our markets would reveal the fact that Govern ferences and to support the recommendation of the President ment bonds, with no more than twelve years to run and payable because there is a financial exigency which demands immediate in coin, were selling at such a rate that if such rate should be ap aciiion and instant r elief, and I am frank to admit that this is the plied to these new gold-bearing bonds they should net the Gov only argument which has the least weight with me bearing upon ernment $1.19t. Then, with no power on the part of Congress to thi~ important question. But it must be remembered that it will affect such contract in the least except to authorize the sale of a hardly be expected of an individual ever-y time some financial gold-bearing bond which would make the interest at 3 per cent, strait arises in the history of the country that that individual the President calls upon us to authorize him, in order to save a shall lay aside all political preferences and well-established con little interest, to change the whole policy of our country for the victions of law to meet that exigency simply because it may be last thirty-three years, under which policy our credit has grown said that the times and occasion demand it. so strong as to place us among the first nations of the globe. Such an argument would wipe out all party lines and party But this is not all. By the contract which has been entered into principles every time the party in power shall see fit, rightfully or this syndicate of foreign bankers has a mortgage upon the future wrongfully, as it chooses, to force such a condition of affairs as de loans of our country up to the 1st day of October, 1895, and no mands immediate relief. It would hardly be expected of the Re loan can be negotiated by our Government during that time With publican members of this House to vote in favor of any system out offering it first to these foreign bankers. Was ever degreda for raising revenues which may be suggested by the President on tion more complete? Shall we supinely vote that our credit is the ground that we are sorely in need of revenue, for that would now at a discount? How did the President know that a loan be to enable the Administration to force the opposite party to fa could not be negotiated payable in coin? How did he ascertain vor by legislative enactment any scheme which such Administra such a fact? Has he ev.er attempted to negotiate a loan with our tion might see fit to advocate. own people at any rate of interest and been refused? Has he ever If a member of Congress has well-settled convictions of how an attempted to negotiate such a loan to be paid in coin among for exigency has been forced upon the country, and what will relieve eign bankers and been refused? Has he ever attempted to ask against that exigency, such member can hardly be consistently the patTiotic American people to subscribe to a populaT coin loan asked to forego his fu·m convictions simply because there is an at 3 per cent interest and been refused? exigency. In order to determine our duties at this time, we, as How can he answer any of these questions in the affirmative? Republicans, must take into consideration all surrounding circum If he can not so answer them, what right has he to assume that stances bearing upon the question. Two years ago this coming he can negotiate no loan except one payable in gold at 3 per cent 4th of March a Republican Administration was superseded bythe interest, or in coin at 3t per cent? But the supporters of the Ad present Democratic Administration. During that Republican Ad ministration claim that distrust ha.s arisen in money circles fear ministration our revenues were ample to meet all requirements ing that a coin bond may be paid by the Treasury in silver, and made upon the Treasury. that silver is now a depreciated money. But look at the contract In addition to meeting all legitimate demands made upon that that ha.s been entered into. A difference of only three-fourths of Treasury, we had revenues sufficient to enable us to go into the 1 per cent interest is supposed to be the entire measure of this market and buy our indebtedness not yet due, and to cancel the doubt. Does anybody suppose the Rothschilds will buy a bond same to the extent of near $300,000,000. When that Republican about which there is no doubt and charge 3 per cent interest, or if Administration S"t;rrrendered its power, all of the laws under which our Government prefers~ take a bond about which thereis a doubt that ample revenue had been provided were in full force, and and charge only 3i per cent interest? were po-werful enough, if left intact or not threatened by repeal, Who does not see these great moneyed men are simply forcing a to continue to fill otrr Treasury with money sufficient to meet all weak and vacillating Administration to pay them a bonus of three demands upon the Government. fourths of 1 per cent interest for just such a bond as for thirty The Democratic Administration succeeds to power, controlling years has been sought after by just such millionaires as among not alone the executive but also the legislative department of our the safest and most stable investments of the world. And the Government. It assumed power accompanied by a threat, which Administration, yielding to their blandishments and wickedness, it was fully able to execute, that it would change, modify, or re involves the American people in the contract which ha.s just been peal all of those revenue-producing laws. It entered upon its made, and then fearing the deep damnation of that people when work of destruction. It modified our 1·evenue laws to such an they learn of its weakness and perfidy, seeks to throw upon Con extent that the legitimate expenditm·es are daily_on an average of gress, as servants of that people, the burden of ratifying its wrong many htmdreds of thousands of · dollars in excess of receipts. and weakness. And the argument to support this monstrous claim Through its weakness and vacillation it has now aroused the finan is found alone in the fact that without the advice or knowledge of cial world as to the stability of om· credit. Congress a conditional contJ.·act has been entered into which, if Our Treasury, running behind all of the time, is now open to Congress confers upon the AdministJ.·ation suc4 power, will save attack on the part of those who hold Government obligations pay to the people three-fom·ths of 1 per cent interest on the loan. able in coin. They present those obligations, have them redeemed To save a little money which the Administration has wickedly in gold, the Government then treats that obligation so redeemed filched from the people, we are called upon to con,done and ratify as being currency in the Treasury to be paid out to meet the or a giant wrong. It is supposed that the people are such idiots as dinary expenditures of the Government, only to have that same that to save the payment of a little money in the form of interest obligation returned in a few days for redemption over again. The they will demand of Congress that it shall go back upon the history, Republican party is not responsible in the lea.st for this condition laws, and traditions of our country for thirty-three years past, and of affairs. It believes that if the Treasury was supplied with am do that which for all time to come will bind us in the grasp of those ple revenue to more than meet all demands upon that Treasury who own and hoard the gold of the world. But it is said by the sup the drainage of gold would soon cease, for the world would see porters of the Administration that this contemplated loan, and that we are able to pay our debts as fast as they fall due. the action of Congress in ratifying it, will not be regarded as a In view of all of these circumstances is it right to expect of us precedent to affect any future loans or the business interests of that we will n9w vote to reverse the traditions and history of the our country. past third of a centm·y, which tradition and history we were re Can they be sincere in such a claim? Does anyone believe that sponsible for, and vote at the dictation of the despoiler of our rev if this loan and contract are ratified by Congress any future loan enues, and by so doing establish a pri;cedent which, if adhered to, can ever be made except by its terms it is made payable in gold? will destroy the very foundations of our party? For one, I . am Secretary Carlisle, in his hearing before the Ways and Means not so ready to vote. I stand here and affirm my willingness to Committee, frankly admitted that this loan meant a change to aid by my vote and influence, whatever that may be, the passage the gold basis, and that all future loans must, by their express of all such measures which, being consistent with our past tradi terms, be made payable in gold. Does this House contemplate tion, history, and interpretation, will help to maintain the credit the stupendous nature of this change? What the Government of our Government to stand in the very forefront of all nations' must do individuals, municipalities, counties, and States must credits, so that our obligations can be redeemed in that kind of also do, and all loans must her8after be made or old ones refunded money whieh will most surely maintain the highest credit which into gold-paying obligations. Are we ready for such a change? it is possible for us to reach. I will go thus far, but I will not ac How can we excuse om·selves to our constituents for weakly sur- cede to the demands of the present AdministJ.·ation and vote for :XXVII-138 2194 CONGRESSIONAL RECORD-HOUSE. - FEBRUARY 14; this resolution now under consideration. I have no further criti Mr: BLAND. Then, why do you want to isuue gold bonds? cisms to pass upon those who vote for it. Let it alone and under free coinage you will have the patity of I accord to them that which I demand, the right to vote accord the metals. ing to the highest convictions of duty, and should the House this Mr. SPRINGER. If it maintains the parity, as the Govern day adopt this resolution, its action shall be beyondmy criticism, ment has pledged itself to do, then practically there is no differ but shall be left to be criticised as they see fit: in such response as ence in value between silver and gold., and there is no pecuniary they may hereafter make, by the nameless, patient, and patriotic difference to the Government in paying either metal in its trans millions of our countrymen. actions. If one is as good as the other, and the Government will fliere the hammer fell.] make them so, why does the gentleman say this bill will depre Mr. BLAND. Mr. Speaker, one of the most important points ciate the one metal or deprive the Government of a right to coin connected with this matter has not been touched upon during the silver, which is inherent in. the Constitution? It is simply begging discussion up to this time. We are called upon as one of the great the question altogether. The Government of the United States nations of the world to degrade ourselves, to humiliate our people, will never pay in depreciated coin or depreciated paper any of the and yield •one of the rights which we claim under our Constitu obligations of the Government. tion by ignoring, in the, Constitution of the country, the sovereign It has declared that it will maintain the parity of all these obli power given under it to coin money. If all of the contracts of gations, and if it means to keep that promise here is a good place the Govenmtent are to be made payable in gold, and not in coin for the Government to declare that fact to the world, so that thero as heretofore, and that step be taken not at the pleasure of om· may be no doubt hereafter upon the subject. own people, but by the coercion of foreign powei"s, it means that The gentleman from Illinois, my colleague [1\Ir. HoPKINS], said a sovereign people are to surrender their rights upon a question that if we promised to pay these $62,000,000 in gold it involved an embodied in theil" Constitution to coin money and to I"egulate the obligation to pay $100,000,000 in gold at some other time. I do not value thereof. see that that question is involved here. I do not see how we can We have always as a people reserved the right to pay any and increase our obligations an iota by the passage of this bill, either all of our obligations in coin; and why? Because under the Con as to our bonded debt or as to the individual indebtedness in this stitution we have the sovereign right to coin money and r&gulate country. the value, whether it be gold or silver. Now, we are asked to If the Govei"nment of the United States intends to maintain abandon that right to coin one of the moneys of the Constitution faith with its creditors, and to pay them in coin which is equiva in the interest of shylocks from foreign countries and to sun·en lent to gold, worth as much as gold in the markets and in the pay der a great constitutional principle, namely, the right to coin both ment of debts, as the Democratic party has pledged that it would metals if we see proper, because we are told that otherwise the do and as the Government has declared, there can be no pecuniary bonds can not be negotiated. loss whatever to the Government in promising to pay these obli If we are to surrender to the demands of this resolution which gations in gold. The only question presented here, Mr. Speaker, comes to us under the dictates of foreign bankers, it means, as a. is whether, upon an existing contract made in pursuance of law, matter of course, hereaftei", in hannony with the resolution of and which we will carry out to the letter, we can reduce that ob fered a moment ago by the gentleman from Vermont [Mr. Pow ligation over $300,000 a year, and in the thirty years during which· ERS] as an amendment to it, that all bonds issued prior to the these bonds run save to the Treasury of the United States over proposed issue of bonds covered by this resolution shall be payable $16,000,000; whether we shall give the Rothschilds $16,000,000 in gold, and therefore all of the obligations b~ing not coin but as a bonus, or whether we should save this amount to the people gold obligations, we signify our abandonment of the right of the of the United States. people to coin either money, gold or silver; and I repeat, we do it That is the only issue involved here, and that issue must not be at the demand of foreign people who will not fm"llish gold, they distorted or evaded by calling it a question of free coinage, or of say. on any other condition. . the demonetization of silver, or the abandonment of the right of Mr. Speaker, the Democratic party in a history of rule in this the Government to coin silver. That is not in issue, and it can country of eighty years never was so cowardly as to submit the not be pleaded here to prevent the Government from saving what American people to the indignity of being compelled to enact it can save by changing this contract, by passing this law within legislation at the dictates of Great Britain or ·any other nation the time specified in this contract. Therefore I hope this side of with reference to money matters or any other great question of the House, which believes in economy in public expenditures, will government. pass this bill and show to our constituents and this country that It is an indignity, it is an insult to om·people, itisun-American, we mean to save this amount of money in this transaction and and no man who votes for it can justify the vote. He must ad that we mean, in addition to that, that our bonds are payable in mit that he has humiliated himself not only in the eyes of his gold or in its equivalent. people, but in the eyes of the world by absolutely abandoning at That is all that is involved, and no other issues ought to be the behest of foreigners the sovereign right this country enjoys raised by the gentleman fTom Missouri [Mr. BLAND J or anyone of coining money and regulating its value. else. He believes in free coinage, because he claims it will raise There never was such a proceeding in the past history of our the value of the silver dollar to the value of the gold dollat·, com country as is sought to be enacted here to-day. Never has there mercially as well as in law, and if he intends to do that, who is been an obligation of the Government issued at any time that injured by promising to pay in gold, if the gold dollar is no better was not made payable in coin, and this is the first that ever was than the silver dollar in the markets and in the payment of debts? issued, if Congress is so humiliated and so contemptibly cowardly I hope gentlemen will not allow theil" minds to be diverted from the as to pass into law this resolution- this is the first that ever was true inwardness of this question. issued which was specifically declared to be payable in gold. [Ap The SPEAKER. The time of the gentleman has expired. plause.] Mr. BL~"'"D. How are you going to bring silveT to par if you With the day that resumption of specie payments began we are going to make everything payable in gold, and nothing pay started on a bimetallic standard to a certain extent. It is true able in silver? that silver was dropped from the coinage in 1873. But before the Mr. SPRINGER. My time has exph'ed, and I have no time, day of . resumption we had coined some twenty-eight million therefore, to answer that. But the way to maintain the paTity of silver dollars, which were equal to gold in value in the payment of the coins is to give our creditors the option as to which he will re all obligations; and :Mr. SHERMAN himself, Secretary of the Treas ceive. ury at the time of the resumption of specie payments, said that Mr. KEM. I send to the Clerk's desk and ask to have read a the coinage of silver made the resumption easier, as it gave him communication relating to this subject. the right to redeem the legal-tender notes in gold or silver coin. The Clerk read as follows: If he had carried out this policy we would not now be in trouble. To the members of the People's Pa1·ty, greeting: If it had been put in force and maintained no bond would be As early as 18!)5....66 a conspiracy was entered into b etween the gold gam· called for now and no new issue demanded. [Applause.] blers of Europe and America to accomplish the following purposes: To fasten rHere the hammer fell.] upon the people of the United States the burdens of perpetual debt; to de stroy the greenbacks which had brought us safely through the perils of war; Mr. SPRINGER. 1\lr. Speaker, the gentleman from Missouri to strike down silver as a money metal; to deny to the p eoJ)le the use of Fed [Mr. BLAND] has stated that if this bill passes the Government of eral paper and silver-the two independent sources of money supply guaran the'United States abandons the right to coin silver under the teed by the Constitution; to fasten upon the country the single gold standard of Britain; and to delegate to thousands of banking corporations, organized Constitution of the United States. How he can say that that for private gain, the sovereign control, for all time, over the issue and volume issue is involved in the passage or the defeat of this bill is a of all supplemental paper currency. Thus they doubled the demands for mystery to me. Silver has been demonetized for more than gold; forced upon the country an appreciating money standard, entailing an indefinite period of falling prices ; robbed enterpriSe of its just profits, twenty years, and the question of its remonetization is not in condemnedlabor to idleness, and confiscated the property of debtors. volved at this time in any way, nor can it be affected one way or For nearly thirty years these conspirators have kept the people quarreling the other by the passage or the failm·e to pass this bill. ove1· less important matters, while they have pursued with unrelenting zeal their one central purpose. At the present moment every device of trea.ch· The Government of the United States has declared in several ery, eve1·y resource of statecraft, and every artifice known to the secret enactments that it will maintain the parity of all coins of the cabals of the :i,nternational gold rmg are being made use of to deal a final United States. death blow to the prosperity of the people and the financial and co~erc:ial 1895. CONGRESSIONAL RECORD- HOUSE. 2195 independence of this country. They seek to accomplish their fell purposes for its bonds shall be gold. Nobody has dared to suggest that the before the blow can be averted by an awakened public through the ballot. Their plans have been long matured and their line of action is fully chosen. Treasury should go into the market and sell its bonds for silver. They address themselves to the one subject-the money question-in all ~f My friend from lllinois [Mr. CANNON] affirmed in the outset of its breadth and m~$nitude. This brings the counry face to face with a peril his remarks that the word "coin" in our obligations and in our ous issue which caus for immediate and united actwn onthe part of the peo ple. Every behest of patriotism requires that we shall at once meet the issue fiscal statutes means "gold." and accept the challenge so defiantly offered. . . . It may be fmrly assumed that it is the law and also the concur We must meet the issue as it is presented to-day. To falter now IS to IDVIOO rent opinion of all parties that it is the duty of this Government disastrous failure. We ea-rnestly urge the Populists throughout tne coun~ry to provide gold in order to redeem its notes and to maintain the to concentrate their entire force and energy upon the tremendouscontentwn presented and thus meet the enemy npon his chosen line of battle. ~vite parity of all its currencies. the aid and cooperation of all persons who favor the immediate free comage Now, in all fairness, when om· Government, in order to sustain of silver at the ratio of 16 to 1, the issue of all pa:per money by the G~neral the tottering fabric of our credit, goes into the market to procure Government without the intervention of banks of Issue, and who are opposed to the issue of interest-bearin"' Government bonds in time of peace. In a the most precious of the metals, should it reserve the right to pay word, to extend the hand of fe"howship to all who agree with you upon the for it in any other? money question, which is certainly the mightiest and most fundamental con If we have to bon-ow gold, why should we not be willing to pay troversy evolved during the present century. H. E. TAUBENECK, gold? And as a matter of fact, when we give "coin" bonds for Chairman National Association. gold everybody knows that our creditor has a right to expect gold .J. H. TURNER, Secretary. in return. Why, then, should we stickle for a reservation which 'J. B. WEAVER. LAFE PENCE. it would disgTace us to enforce? O.M.KEM. Those gentlemen who object to the use of the word "gold" know T . .J. HUDSON. that the bonds which have been issued within the last few WM.BAKER. W. A. McKEIGHAN. months-- WM. V. ALLEN. Mr. TERRY. Will the gentleman permit a question just there? •TORN DAVIS. :Mr. TURNER of Georgia. I have but a few minutes. W. A. HARRIS. .JERRY SIMPSON. Mr. TERRY. lf coin means gold, why did the syndicate charge .JN 0. C. BELL. us a higher rate of interest upon a coin bond than upon a gold .JAMES H. KYLE. bond? HALDOR E. BOEN. Mr. TURNER of Georgia. My friend, if he will reflect but a :Mr. KEM. Mr. Speaker, for thirty years both political parties moment, will understand the nature of the storm under which the of this country-when I say political parties I mean the dominant Trea-sury of the United States has been struggling. He can not pa.l'ties-have been masquerading with the financial question and be indifferent to the events of the day. There has existed in this deceiving the masses as to their real purpose. The few people country for many months past a feeling of distrust, a want of who have be~n opposed to the legislation that .is now proposed, confidence, which has paralyzed all our tusiness and almost sus and to all legislation kindred to that, have had to fight a concealed pendedoux fiscal operations. ThiB distrustrelatesto the question enemy all these years. But I am thankful for one thing, and that of the ability of the Government to maintain its plighted faith. It is that at last the enemy is uncovered, that the mask is thrown is not so much a fear as to what om· obligations may be held to aside, and we are confronted with the plain proposition from the mean, but it is an apprehension as to whether we can maintain executive department of this Government of bonds payable in our top-heavy system. gold. I am heartily glad of this, for it is much easier to fight an :My friend from illinois [Mr. C.A..NNONl said the other day that open enemy than one in ambush, and I take it, Mr. Speaker, th'\t they knew in New York and that they knew in London that this from this on the fight along these lines will be easier than it has Government would pay all its cbligations in gold. When the been in times past. President of the United States in his message to this body said I heartily coincide with the severe anaingnment of the Execu that some doubt or suspicion had been cast on the ability of the tive made by my fTiend from Illinois [:Mr. HoPKINS], and I say Government to redeem its obligations in gold, he knew that within that in my opinion the English language is not adequate to ex the past few months two or tlu:ee hundred millions of our paper press the severity with which he ought to be arraigned for thiB money had been presented at the Treasury and redeemed because bond transaction a-s presented to this body for ratification. om· own people, as well as those abroad, had begun to fear that But I want to say in that connection, Mr. Speaker-and I have we would not be able to redeem this currency. In case a collapse endeavored at all times to hold these facts before the people-that should come a bond payable specifically in gold might be more the President is not wholly and only responsible for thiB state of marketable. affairs, but it is because of past Republican legislation that this But, sir, it makes no difference what may be our fiscal policy thing was made possible. . on thiB subject; it makes no difference about the requirements of rBere the hammer fell.] the 1·esumption act; it makes no difference how we regard the 'l'he SPEAKER. The Chair will ask the affirmative of the contract the Secretary of the Treasury has made. These are proposition to use a portion of their time. The negatives have things that are settled and fixed. Nobody proposes to invalidate used two hours and five minutes and the a.ffi.rmatives have used the contract whiah the Secretary of the Treasury has made ·with one hour and seven minutes. the gentlemen who have purehased our bonds. Mr. REED. Has the gentleman from Georgia [:Mr. TURNER] The question now is whether we will stand by and see that con spoken? tract go into effect, under which the Treasury will receive sixty The SPEAKER. He has not. five millions of gold coin and pay as interest on it 3! per cent per Mr. REED. I yield fifteen minutes to the gentleman from annum, or whether we will avail om·self of the option offered to Georgia fl\{r. TURNER] . nominate "gold" in the bond and pay a rate of interest less by 1\Ir. TURNER of Georgia. Mr. Speaker, I defer very much to three-quarters of 1 per cent. By this business view of it, as to the the better judgment of my associates on this floor on all ques particular transaction reported to Congress by the President, we tions, and especially those involving our financial system. I can save to the people of these overtaxed.States half a million dol have no great pride of opinion on those subjects. I do not wish lars a year, about $16;000,000 in all, if these bonds should run for to speak to-day in any oracular way, nor do I hope, sir, in the the period of thirty years. [Applause.] brief time allotted to me to successfully contendagainstthepreju fHere the hammer fell] . dices engendered by the tendencies of recent politics. I shall en Mr. HATCH was recognized for five minutes. deavor to-day to maintain that view to which I think all political Mr. HATCH. :Mr. Speaker, in that brief time I can hardly state parties will assent, and that is that the burden is on this Govern any thing like my full reasons for appearing as a pallbearer at this ment to maintain the equality of all its currencies. financial funeral [l.aughter], but I want to state very briefly why Such has been the traditional policy of the American people from I am so unalterably opposed to the passage of this resolution. If the foundation of om· institutions; and since the resumption act the distinguished gentleman from Georgia who has just taken his passed we have had tG maintain a gold reserve for the redemption seat [Mr. TUR]'Io"'ER] would reflect for a moment and appreciate of our Treasury notes. No one who resists this measure has said that the resolution he is voting for to-day and supporting on this one word against the policy of that system. It is obvious to all fl.oor by his logical reasoning, from his standpoint, and his elo thatwehaveapapercurrencyissuedbytheGovernmentamounting quent voice was setting an· example and prescribing the kind of in round numbers to $500,000,000; we have as much more of silver money in which every debtor in the United States-State, munic money, in round numbers, the parity of which with gold, under ipal, and personal- must pay his collective or individual bond, existing law, is also to be maintained; and to keep this vast sum he would understand something of the interest the people take in of a thousand millions on an equality with gold we have in the this question aside from the bankers, the money lenders, and the Treasury $40,000,000 of gold. No candid man can dispute the money shavers of the United States. necessity of increasing this gold reserve. ThiB House has been flooded with petitions from national hanks · Our revenues are now all paid in silver and silver certificates. and boa1·ds of trade asking members to vote for this bill. As an It follows as an inevitable conclusion that in order to reenforce answer to this money demand I have had placed in my hands the redemption fund under the law it is necessary to resort to within the last thirty minutes a personal letter written by one of loans, and also to stipulate that the money it receives in exchange the most distinguished citizens of Kentucky, an ex-governor of 2196 CONGRESSIONAL RECORD-HOUSE. FEBRUARY; 14,

that State, for y~rs an honored member of this House, and a sound This the Secretary has a right to do under the law. He can do politic31 philosopher, who is now professor of political economy in it and preserve the integrity of the position he now occupies, and the college in which you rMr. BRECKINRIDGE] graduated; an ex not one man out of a million in the United States or the world governor of your State ana. to-day one of the most influential and who believes in fair play will ever question his right or criticise honored citizens of Kentucky-- his discretion in thus stopping this dishonest drain upon the Treas Mr. ELLIS of Kentucky. You refer to my friend Proctor Knott? ury which exists because of an imperfection in the law. Let him [Applause.l do this, and the '' endless chain " will become a myth and the '' re Mr. HATCH. Yes; Hon. J. Proctor Knott, of Kentu<;ky. It is volving wheel" will be broken in the interest of honest govern as follows: ment and of all the people of the United States. If the Secretary I do not know when my Democracy has been more completely outraged will do this the financial cloud now hovering over us will be dis than by the last insolent demand of the goldites that the Government shall pelled, the prices of farm products will advance, prosperity will issue $500,000,000 in gold bonds and retire the Treasury-note circulation with the proceeds. 'l'hey do not Eeem to want to leave us even a hereafter. again bless the land, and a Democratic Admini tration will be re stored to the confidence and love of a majority of the people of [Laughter.] the United States. Amen! r Applause.] You know, as everybody else must who has half as much sense as a sucking The SPEAKER. The gent1eman from lllinois [Mr. HOPKINS] guinea pig, that whenever this Government agrees to pay that amount or a tithe of it in gold, silver is doomed, so far as we are concerned, to all eternity. has two minutes of his time remaining. (A pause.] Five min As old Judge Forbish said to Johnny Moore, it had" jest as well say good utes of the hour which the Chair has been d1sposing of remain for bye, world, and how d 'ye, hell." the affirmative. The Chair will recognize some gentleman who [Laughter.] desires to speak on that side. Great God! how rapidly thislong-sufferin~ people are being driven to the Mr. CooPER of Florida rose. dreadful alternative of slavery or internecme strife, to determine whether The SPEAKER. Does the gentleman desire to speak on the af- they will tamely hold out their hands and have the shackles of a remorseless firmative side? plutocracy riveted upon their wrists or fight. Now mark what! say, if the inexorable law of cause and effect has not been l\fr. COOPER of Florida. Yes, sir. expunged from the statute book of the Almighty, unless a halt is called p. d. q. The SPEAKER. The gentleman will proceed. you may expect to see the horrors of the French Revolution ~mt on the Mr. COOPER of Florida. Mr. Speaker, I have sat here to-day American stage With all the modern improvements, and that within the next decade. · and listened to some remarkable contributions to a discussion I remember I was suspected by some of my friends of political lunacy in 1860 supposed to involve business matters and practical government. because I predicted that in the event of Mr. Lincoln's election there would The contribution which the gentleman from Missouri rMr. HATCH) be a war between the States. They could not see why it ought to be so. Neither could I, but I knew the causes which were at work, and which would has just inserted in the RECORD, coming from a distinguished in the long run produce that result, and I regarded his election simply as the gentleman from Kentucky and written to a Senator from that spark which would explode the mine. So, when the fiery cloud appeared in State, is one which I think the gentleman from Missouri, when he less than one short year which deluged the country in blood for nearly a lustrum some of those who had thought me a croaker, a mere dyspeptic pes reads it in cold print, will wish for his own sake and for the sake simist, began to regard me as Byron did Jeffreys-as "ad--d, discerning of the man who wrote it, and for the sake of the State of Ken- fellow." I tell you, Senator, in all seriousness, I see far more reason to appre tucky, had been kept a private document. rApplause.] . hend the speedy approach of a terrible revolution in this country than Lord Chesterfield saw in France when he wrote his historic prediction from Paris. Now, what is the proposition before us to-nay? It is a business Nor am I alone. That gentleman, Astor who went to England some time proposition. We are not asked to discuss a loan; we are not asked ago, bought him a place on the island, and became a British subject, saw what to discuss the sale of bonds; we are asked simply to discuss and is coming as plainly as I do, so he took time by the forelock and skipped out when there was not such a rush for staterooms as there will be after a. while. vote upon a proposition that, a loan having been already made He knew very well that if things should keep on as you and I have seen them which every one of us here knows is to be paid in gold, whether we for some ¥ears past, the time was not far off when there would be such a shall simply say that we will do what we are going to do anyhow, crowd of his class of p eople hurrying aboard every outgoing steamer he might and thereby save the American people $16,000,000, or whether we be shoved off the stage plank. are going to throw this money into the coffers of those who fur [Laughter.] nish this loan, orwherever else you please, for the sake of indulg Our good friend, Mr. SIBLEY, sent me a copy of his magnificent speech ing our personal prejudices or pride of opinion. anent the Carlisle abortion the other day. I was sick in bea when it came, lonesome and low-spirited, my wife in Louisville under treatment for her Sir, I speak to the Democrat.s here. The most discouraging throat trouble, and not a God-blessed friend near me to cheer me up. I read thing on this side of the House is the fact that so many men who it over, in some places two or three times, and it stirred my old blood like are Democrats, and supposed to be a part of a dominant party the call of the trumpet stirs that of the war horse, or perhaps you will un derstand me better when I say it acted on me like good wine--King Solomon's conducting the Government, seem to have no sense or apprehen favorite prescription to "those that be of heavy hearts." (As the average sion of the responsibilities and duties belonging to the conduct ot United States Senator is not presumed to be familiar with the writings of responsible government. We are in charge of a great govern that eminent a.uthor,seeProverbs xxxi, 6, 7.) SrnLEYandfreesilverforever. mental machine, and our first duty is to run it. It seems to me Applause.] · that a great many men on this side of the House do not realize f will not ask to detain the House, Mr. Speaker, but will avail that that is any part of what they a,re here for. They seem to myself of the privilege under the rule to say a few words more in enjoy the pastime of helping to scuttle the ship that they are em regard to the pending measure under the general leave to print. barked on. I for one propose to vote in this matter just as I The strongest point made in the statement of the gentleman would in private business. The town in which I live voted a few from West Virginia ('Mr. WILSON], who has presented this ques months ago a million dollars of bonds for municipal improve tion to the House with his personal indorsement and approval, is ments. When they went out to ne!$otiate them they found that embodied in the proposition that the $500,000,000 of currency they could make far better terms if they stipulated payment in known as greenbacks, legal tenders, and Sherman notes are not gold; so they redrafted their ordinance and made the bonds paya only redeemable, under the interpretation of the law and the dis ble in that way. That is a precise illustration of what the Gov cretion of the Secretary of the Treasury, in gold, but that, under ernment is asked to do to-day. the terms of the law, when :redeemed they can not be retired, but I believe there is a great future for the Democratic party. Gen must be reissued. That is mandatory. tlemen who think this party is dead forget the past. They for This provision of the law has been denominated on the floor a get all that we have survived and overcome. I say to you that "revolving wheel" or an "endless chain," and these $500,000,000 the party of Thomas Jefferson, of Andrew Jackson, of Samuel J. become multiplied as often as the avarice and the interest of the Tilden, and of Grover Cleveland [applause] will never die. For gold shavers and gold exporters of the country deml:\nd their re days gentlemen here have carped at and criticized the President. demption by the Secretary of the Treasury. It is the settled policy Whether he has made the best bargain or not in this matter, I do of this Administration, inherited from a Republican Administra- not know; but it does not lie in our mouths to utter those criti . tion and the action of a "Republican Secretary of the Treasury, cisms. We have left him to struggle with a desperate situation that these notes, one and all, must be redeemed in gold to pTe as best he could. We have left him to negotiate a bargain with serve the credit of the Government and the parity of the metals. money lenders, with inadequate means and inadequate laws. He Let me suggest to the Secretary of the Treasury how this '' re has done the best he could. volving wheel" may be destroyed and this" endless chain" may FuTther than that, he stands to-day higher in the confidence and be broken in the interest of the people. Every one of these notes affections of the American people, and he has more following to bears upon its face a statement of the act under which it was day in the United States than either the Democratic or the Re issued, and the notes are all lettered and numbered. Let the Sec publican party. [Applause.] The people of this country, its busi r etary of the Treasury, under his interpretation of the law, re ness men, a great majority of its population, are sustaining the deem them in good faith, according to his discretion, in gold, but President. [Applause.] when so redeemed, and before they are reissued, let him make an rHere the hammer fell.] . exact identification by letter and number of each note so redeemed, 'l'he SPEAKER. The gentleman from New York [Mr. VAN and notify the shylocks and exporters of gold, who, under the VooRHIS] has informed the Chair that the gentleman from lllinois present system, present these notes again and again in order to [Mr. HOPKINS] has yielded him the two minutes of his time re make a profit out of the exportation of the gold, that when these maining. notes are presented a second time they will be redeemed in silver Mr. VAN VOORIDS of New York. Mr. Chairman, the pend dollars. ing resolution changes the character of United States bonds. 1895. CONGRESSIONAL RECORD-HOUSE. 2197

Heretofore those bonds have been payable in coin. This resolu years to run, at the same rate of interest, were selling on the market tion requires these bonds to be payable in gold. It is a move in at 11()t. Here are bonds, having thirty years to run, sold a~ 104! to the direction of sending gold to a premium. The plain inference this syndicate! According to the figures of our experts, the value is that gold is better than coin. And yet the chairman of the of the bonds and the added value arising from the length of time Committee on Ways and Means informs us that coin means gold. in which the bonds are to nm, these bonds were worth that day If it does, why not say coin, and have all our bonds uniform? in the open market of this country 119!. Here was a direct sac The effect of this proviso is to take this class of money out of rifice of $9,200,000 to these bankers who had their hands on the circulation and put nothing in its place. If money is what the throat of the Treasury and were squeezing out the last cent from Administration wants, it can get a thousand million dollars of that institution and the last drop of blood from the taxpayers of our own people on a simple 3 per cent bond, as proposed the other this country. [Applause.] · day by the gentleman from Maine. Such bonds could be sold to the But, Mr. Speaker, that is not all of the contract. It goes further people. But the banks are opposed to that. The people would take than that. The Treasm·y is tied up absolutely until the 1st day their money from the banks and lend it to the Government. Then, of October next in any issue of bonds it may desire to make or find again, no lawyers or- middlemen could get rich out of this loan. necessary to make in that time. It seems as though there was not The resolution ruscriminates against existing bonds. If it passes anything that could be suggested to make the contract any worse one of two things must happen, existing bonds must be paid in for the country and for the taxpayers that was not suggested and gold or they will be depreciated-they will without doubt be de written into the contract. preciated, because coin does not necessarily mean gold. It may Here, then, is a body of men getting away with $9,200,000 of the mean silver, for coin includes both. The liability to depreciate property of the taxpayers of the United States, money that must Government bonds now outstanding is a good reason why this reso be eArned by the common people of the country in the sweat of lution ought not to pass. their brow and the toil of their hands; these men are getting away This~esolution has the effect to retire sixty-five millions of Treas with it, and my friend from Illinois [Mr. HOPKINS] asks, Do you ury notes and greenbacks and thus contract the currency to that propose to make yourselves particeps criminis? extent- I answer no, Mr. Speaker, not if I understand myself I do not. PJ·ovided, however, That no part of the proceeds of the sale of such bonds f Applause.] I wash my hands of the entire transaction; and yet nor of the notes r edeemed with such proceeds shall be available for the pay 1 see this condition existing: I see these men getting away with ment of the current expenses of the Government. the hard-earned money of the people and making out of our tax This is the language of the resolution. payers this $9,200,000. If I ransom my goods in the hands of a The reason given for the passage of this resolution is that we thief, do I become particeps criminis? Do I consent to a contract have made a bad bargain, that the Secretary of the Treasury has by simply saving what I can from the avails of it, after my agent made a contract which binds us to pay $16,000,000" shave" to some has made it doubly binding, acting within the limits of his au body in order to bon-ow $62,000,000. That in order to get rid of that thority? contract we must pass this resolution. Now, my proposition is that What is the alternative? The Government has an option. It he has made no such contract. He has no power to make a contract has an option by nominating in the bond the word " gold," that and bind the Government with covenants. He has power only to by that means we may save this $9,200,000 to the common people sell bonds or to buy gold. He has no power to make an executory of the country. What, then, under the circumstances, is my duty contract. This' contract is entirely executory, and therefore void. as a representative of the people? He has not in this contract even agreed to buy gold; he has not The agents of the people, selected by the majority of the people, agreed to sell bonds. selected, thank God! without any help from me [laughter] and We are not compelled to pass this resolution by .the stress of a against my best endeavors to defeat, and yet the constituted au bad contract. thorities of the people, having the legal right to make this con The great argument is that we can save a sixteen million shave tract, have entered into it with foreign as well as domestic bank which we are compelled to pay under that contract by passing ers composing the syndicate. We find this syndicate getting away this resolution. A careful examination of the contract shows with the money to the extent that I have stated. Their hand is that the Government has made no covenant whatever. It has already in the Treasury. This $9,200,000 is in their clutches, so to neither agreed to sell a bond nor to take an ounce of gold. The speak. Now, do I sacrifice anything as a r epresentative of the contract itself is wholly executory. It is to be performed in the people by aiding, as far as I can, in rescuing that vast sum of indefinite future. The Government assumes no obligation. If it money for the good of the taxpayers of the countJ:y? accepts gold it is at a certain price-but it need not take any Mr. Speaker, our bonds are already payable in gold. It has that is all. The Secretary of the Treasury can not bind the Gov been the settled policy of this country for more than thirty years ernment by an executory contract. He may sell bonds and he to redeem every bonded obligation, where the word "coin" is may buy gold; that is all the authority the law gives him. mentioned, in the best metal that any bond or the obligation of By this contract the Government does not bind itself to sell bonds any country on the fa~e of God's earth is redeemable in. or buy gold. The agreement is practically unilateral, and with- . Mr. COOMBS. Then why not say so? out doubt was intended to be so. Covenants can not be implied Mr. PAYNE. We simply have to put it in the bonds. "Why in such a contract. not say so?" my friend asks. I only say so because I want to ran No court would imply a promise on the part of the Government som this money that these men are getting away with. It was not to sell sixty-five millionB of bonds where no promise is expressed. necessary to say it on the 28th of January, until that unfortunate No coUrt would imply a promise on the part of the Government message of the President came here demanding a gold bond. W ~ to take sixty-five millions of gold where no promise is expressed had been getting money at 2t per cent only in the markets of the to take that amount or any other. world. Our credit was not injured. Our credit was good, and Before it can be said that this is a contract which binds the Gov we could borrow all we needed on a coin bond and on the faith of ernment to sell this large amount of bonds and take this large the people in all parts of the world in the honesty, fair dealing, · amount of goldtheremust be interpolated into the contract terms and good falth of the people of the United States. But that very which are not expressed. message discredited our bonds here, and discredited them abroad; The Rothschilds syndicate can only ask for a legal construction and yet, notwithstanding this fact, our bonds were selling in the of the contract as written. If such a congtruction is given the market on the 8th day of February at a rate of interest less than Secretary of the Treasury can refuse to pay a shave of the $16,000,- 3 per cent. Then this infamous contra~t was made, and still they 000 on a loan of $62,000,000. He can avert the great scandal by can not wreck the credit of the country, because this day in the giving a legal interpretation of this contract. markets of the worl_d om· bonds, with twelve years to run, are sell The argument, therefore, based on the stress of the contract, ing at a rate of 1101-. falls .to the ground. · So we come back to the only question, the vital question here, I asked, as politely as I could, the chairman of the Committee shall we save this $9,200,000 to the Treasm·y of the country and on Ways and Means to point out in this contract any promise the to the people of the country and to the taxpayers? · Government had made to either buy these millions of gold or sell Mr. Speaker, for myself-others can do as their duty seems to these millions of bonds. He intimated in a lordly way that it is lead them-but as for myself I can see no other way than to ran a matter not worth considering. It was the reply of a man who som this money from the men who are getting away with it~ could not successfully answer the question. [Applause.] Mr. REED. I yield to the gentleman from New York [Mr. Mr. REED. I yield five minutes to the gentleman fi·om Penn PAYNEl as much time as he desires. sylvania fMr. WILLIAM A. STONEl. Mr. PAYNE. Mr. Speaker, language is inadequate to express Mr. WtLLIAM A. STONE. Mr. Speaker, from a Republican my condemnation of the folly of this contract which has been en standpoint I can see no reason why we, as Republicans, should tered into on the part of the President of the United States and the not support this resolution. We are in an unfortunate predica Secretary of the Treasury with these bankers representing both ment, brought about by bad management on the part of this Dem' domestic and foreign syndicates. I believe that there was no ex ocratic Administration. We are in a condition where, like a per cuse for sacrificing our bonds at the rate proposed in that contract. son who pawns our clothes or our property, by failing to redeem On the day it was·done bonds of the United States, having twelve the pawn, we may lose by it. We shall do nothing but spite 2198 CONGRESSIONAL RECORD-HOUSE. FEBRUARY 14-, ourselves by the failure. This proposition will enable the Gov the language of the gentleman who stood a few moments ago ernment to save at least half a million dollars a year. The Presi where I stand now and said that our indebtedness was payable in dent of the United States has appealed to us as Republicans, in the gold alone-I say, not so. [Loud applause.l There is not an ob name of patriotism, and no one ever made that appeal to the Re ligation of the United States sav~ the gold' certificate that may publican party in vain. We have stood by him on two different not honestly be paid in silver dollars [applause], and every Cl'ed occasions, and in my judgment we should stand by him now, for itor of the. United States knew that fact when he permitted him in so doing we stand by the country. self to become a creditor of the Gove1·nment. Mr. HARTMAN. Did he make that contract in the name of Gentlemen draw distinctions between moral and legal obliga patriotism? tions. I say thel'e are no such distinctions in governments-that 1\Ir. WILLIAM A. STONE. I condemn that contract as se there is no morCIJ obligation that rests upon the Government out verely as you do, but we can only undo that contract by passing side the limitations of law; and he who will stop to think will this resolution, and it is because I am oppos~d to that contr::>.ct agree with me. When you consider that we have human agencies that I shall vote for this resolution, and thereby obtain a better in the administration of governmental affairs-the officer-who contract. dares not go beyond the plain written authority of the law, what An issue is raised here as to whether these bonds shall be paid right has the gentleman to ta.lk about moral obligations? A gen in gold or in coin. By refusing to pay them in gold we practi tleman illustrated the same thought here the other day when we cally say that we did not intend to pay in gold the ones we have were discussing the moral obligations that might be involved in already issued; and I say, Mr. Speak~r, that good faith toward the pleading the statute of limitations. He said, ''What attorney of a bonds we have already issued calls upon us to stand here and not corporation would refuse to plead the statu~ where he had the quibble upon this issue. Let us pass this resolution, whether it opportunity and duty called?" becomes a law or not. Let us do our duty to the country regard All agreed with him; and we can quite well see that a failure to less of the question from which side of the House this resolution perform a duty of that kind would result, or might result, in his emanates. disbarment. He was bound to plead the statute; he was bound to fHere the hammer fell.] . insist upon the legal obligation. Why? Because he acts in a fidu , ~r. REED. How much time have I remaining? ciary relation. And so it is with an officer of the Government; The SPEAKER. The gentleman has thirty-two minutes. and I insist that when action is thus dependent and when action Mr. REED. I yield ten minutes to the gentleman from Iowa is thus limited by law it is unnecessary to talk about moral obli (Mr. HEPBURN]. · gation, even if such existed in the case, where the alternative is at Mr. HEPBURN. Mr. Speaker, the gentleman from New York all times preserved on the part of the Government to pay in coin [Mr. PAYNE], after graphically describing the situation to be that gold or silver. fLoud applause on the Republican side.] of a thief bearing away more than $9,000,000 of the people's money, Mr. REED. f reserve the remainder of my time. asks the question.~,. Do we sacrifice anything in trying to rescue this The SPEAKER. The gentleman has twenty-two minutes re ill-gotten gain? .1 answer him that we may; and I want to call his maining. The gentleman from Nebraska is recognized. attention to the fact that he proposes in his rescue, or attempt at rescue, to change the whole policy of his party, to go back upon [Mr. BRYAN addressed the House. See Appendix,] all of the declarations of his party, and to institute a new method, Mr. REED. Mr. Speaker, that doctrine ·of the union of the· a new policy, and call for new following. South and West has been prea~hed before, and by·prophetswhose, There has never been a day since this party of his has been in inspiration lasted longer than that of the gentleman from N e existence that it has not contended for the equal status of gold braska [Mr. BRYAN~. [Laughter.] But it has beenafailure. It and silver in the United States. JApplause.] If there is one always will ~ a failure. We of the East not only send our prop proposition mol'S certainly impress upon the minds of Repub erty West, but we send our children·there, and no man who crosses licans than another, it is that we will as a party, by all means from East to West can fail to be struck by the fact that there is within our power, see to it that these two metals have equal after all a unity of sentiment between the two sections of the potency in this land. country that no language will ever blot out or destroy. [Applause Here is a new departure. I am told that the Secretary of the on the Republican side.] Treasury yesterday, in his interview with a committee of this The Southern and Northern Democrats may not be able to live House, admitted that if this bond was issued, if this country now together. I am glad they are not able to live together. [Laugh started out upon the policy of gold bonds, no other kind of bonds ter.] But I say to you that the Republicans of the East and of would probably ever be known in its entire history. Are we the West, of the North and of the South, have thus far found ready for that? [Cries of "No!" "No!"] some method of livin~ together and they will in the future. [Ap I call attention not only to what the Republican party have said, plause on the Repubhcan side.] but also to the declarations made by the party of the Speaker. Now let me address myself to the comparatively small matter We have been accustomed to fiery rhetoric in the platforms of that at hand. fLaughter.] party. I can recall an instance where I heard the gentleman from It very often happens in the history of this House-for I have illinois IJ'ir. SPRINGER], who a few moments ago spoke in favor been here a long period of time and I have seen the rise and fall of this bill, quote from this platform. Ah, how resonantly the of many patriots [laughter]-! have witnessed periods of great sentences rolled from his tongue. Let me call his attention to the emotion and I have noticed that it very often happens in the platform that he then quoted from. I read from a Democratic history of this House and of this country that events often have platform: some phases which seem to be very stirring and striking and to One currency for the Government a.nd the people, the laborer and the office portend a tremendous future, but which are not thought of much holder, the pensioner and the soldier, the producer and the bondholder. a fortnight after the occurrence. [Applause.] I admit, however, the importance in many ways of the resolu Ah, Mr. Speaker, I can imagine that your own heart~ been tion before -us, but not of the proceedings of this House at this time. warmed many times by that ringing sentence. [Laughter.] I wish the result were nota foregone conclusion. I wish that there But again, in a later day, these same gentlemen said in their were something more than language left to us to-day. But that national platform: being all that there really is in doubt as the matter will tw-n out, We hold to the use of both gold a.nd silver as the standard money of the as gentlemen who hear me well know, it seems to me very impor country, and to the coinage of both gold and silver without discr.iminating tant that whateve1· we say here will have a tendency to strengthen against eit her metal or cha.r~e foi" mmtage; but the dollar unit of coinage of the credit of the Government. both metals must be equal m intrinsic and exch angeable value, to be ad justed through international agreement, or by such safeguards of legislation We are not through with our difficulty. We have long months as shall insure the maintenance of the parity of the two metals and the equal in front of us before the period of recuperation sets in. We ou~ht power of the dollar at all times in the markets and in the payment of debts. not to say anything or do anything which will make that penod Now you gentlemen propose to say in this authoritative way, of revival longer in coming than it ought to be. I therefore feel with the authority of a statute, that the silver to which you are called upon, for my part, to reenforce the remarks so ably made pledged, the silver that you are bound as honest men to maintain, by my friend., the gentleman from Illinois [Mr. CANNoNl, as to to maintain the debt-paying power of-you now say that in the what the Government has done in the past with its bondS. Its ma.rkets it is not to have the same debt-paying power as your gold. bonds to-day ought to stand in the front rank of national bonds, But the Republican party has been equally explicit in its utter if honesty of effort in payment of the same could count for any ances. It says: thing in the history of this world. The American people~ from tradition and interest, favor bimetallism; and Gentlemen say that we are at liberty to pay these bonds in some the Republican party aemand the use of both gold and silver as standard thing else besides the equivalent of gold. Whether we are or not, money, with such restrictions and under such provisions, to be determined by legislation, as will secnre the maintenance of the p!.l.rity of the two metals, the fact remains that, urged on by an inexorable law, we have and the purchasing and debt-paying power of the dollar, whether silver, gold, .thus far paid in gold or its equivalent, and every man in this or paper, shall at all times be equal. House believes that we shall do so in the future. f Applause.] Equal! And here we are called upon now to declare that this This does not in any way militate against anyboay's belief as to dollar of ours, this silver dollar of ours, has not the same debt bimetallism, whether international or national For men who are vaying power that a gold dollar has. I affirm, notwithstanding in favor of the free coinage of silver are so because they believe 1895. CONGRESSIONAL RECORD-HOUSE. 2i99 that free coinage of silver would bring silver to a parity with the way in which men get to be willing to pay Government gold. Therefore all sides of this House, in parties which are bonds in the best money. You .see the Government can not be recognized in the government of the country [laughter], are sued. It can not be brought under the hands of the sheriff. A agreed as to the result. .And it iB a great pity that we should be nation stands by itself and upon its honor, and it acts just as a in a condition so that anybody could make any other charge. But gentleman does who stands upon hls honor. He fulfills the obli diseases lurk, ready to attack a system which haB been ~eakened gation as the other man understood it, if it is a straightforward by other disease, or by cold or exposure. A man may have in his and honorable understanding; and such is the effect of being in body the germs of consumption, and it may never strike him, be- power, that the most radical opponents of the policy of paying cause his system may never be reduced to the point where it is the best come at once to the front as the defenders of it. possible that such a thing should happen. Now,let me illustrate this. I can rememberthatthegentleman Now, the trouble of our situation is that our body politio, our from llfuiois (Mr. SPRINGER] not long ago stood up in his place Government, has been so reduced by two years of party rule of and with collSlderable rapidity of J.an.:,auage declared that we must snch a character that our expenses a1·e not paid by our income, have the free .COinage of silver. Nothing less would do him. and that the Government of the United States is for the time be- Perhaps it would not be improper for me to name some other~; ing running behind. but I will just read one -or two names, whose votes will be found Whatever severity of criticism is bestowoo upon the present recorded in the year 1890, on the 25th day of June, as in favor of situation, a ~eater severity of criticism is to be bestowed upon the th-e free coinage of ~ver. past, and this 3t,OTeement presented here for the inBpection of the Mr. Wrr...soN, a member from West Virginia [laughter]; Mr. Honse is of a piece, it seems to me, with the Government of this SPRINGER, a member from lllinois: Mr. BYNUM, a member from country for the last two years. Indiana [l:3,ughter]; Mr. 'TuRNER., a member from Georgia. It may be that I judge harshly. It may be that this agreement [Laughte . ] is the result of the unfortunate condition in which the Govern- I beg to say that! am not presenting this with any idea or de ment was found. It may be that no guilt attaches to this, except sire of raising a laugh, because all of us here can be laughed at so far as it is the result of causes which never ought to hav-e been for having changed our minds. [Renewed laughter.] I am not set in motion. However that may be, that contract is not l?representing these names with any such purpose, nor for the pur sented to us for approval or disapproval; that is a responsibility pose of reproaching any of these gentlemen. And the list in the Adlninistration must bear. It can not thrust it on Congress. eludes Mr~ MO.NTGO.MERY of Kentucky and Mr. T.ARSNEY of Mis It is a contract made by the legitimate agent of the Government, somi. as my friend fi·om New York says. I repeat that the agent- I repeat, I am not using these names for any purpf that sort, but let us face House and Senate in the future. I do not believe, after the ex- the situation as it stands. [Applause.] pression of the American people upon that subject, that he will do it Mr. Speaker, l yield the remainder of my time to the gentleman again. I admit that it is an unpleasant argument; but I deny that from West Virginla, Mr. WILSON. it is the establishment of any principle whatever. I should say Mr. WILSON of West Virginia. I yield eight minntes to the that the gentlemen who are in favor of silver or of greenbacks or gentleman from Indiana. [Mr. BYNUM]. of any other form of our currency would make a sounder and MrJ BYNUM. Mr. Speaker, I do not know that anything I .can wiser objection if they objected to any of thes$3 bonds being sold say will throw further light on this question or give any additional for gold when silver was presented. But this is a peculiar kind information to the members of th-e House. To my mind this con of transa-ction. tract is a very simple one, and although it has been severely In a Democratic Administration, following what has been the criticised by some gentlemen on both sides of the Chamber, for custom of the country for many years, ever since the resumption my own part I see nothing wrong in any of its provisions. The of specie payment, we have provided that we will furnish gold for objection raised by the gentleman from Tennessee [Mr. Me greenbacks; and therefore we issue bonds to obtain gold. Does MILLIN] and the gentleman from Nebraska [Mr. BRYAN] that it any man believe-is there any member of this House who would will retire$65,000,000of greenbacks is without foundation. Under insist-that the money which was specifically demanded in gold . its operation not a single dollar of the greenback currency will should be refused a gold payment when the time came? Mr. Sec- be retired. It simply prevents the Secretary of the Treasury retary Sherman announced, on such a question being raised, that from paying out, upon the cun-ent expenses of the Government, these bonds, being issued for gold, for the express purpose of ob- the coin that may be obtained by the sale of bonds or the currency taining gold to carry out the operations of the Government, that may be redeemed with sueh proceeds. It does not modify would necessarily be redeemable in gold. or repeal the law which requires the Secretary. of the Treasm-y Now, that is the situation. Where the blame ought to be to reissue the greenbaclr currency. thrown is here-that this Administration has not made the people That currency must still be used for the redemption of the understand from the beginning that these bonds are just what national-bank notes, and may under certain circumstances be ex they are, just what the custom of payment on the part of the Gov- changed for gold coin, and in this manner would still be kept in ernment has made them to be. It establishes no new policy even circulation. There is not the least excuse for the assertion that if these bonds were made specifically payable in gold, all of them. the enactment of this resolution will result in the contraction of And I say to men who are on the other side of the question that the currency. · · they are not treating this matter fairly when they speak of it as Again., Mr. Speaker, the President and the Secretary have been determining the policy of monometallism or bimetallism. Gen- criticised, whether from sincere motives or not I do not pretend tlemen who are interested in national bimetallism, if their views to say, because it is alleged that the pm·chasers have been given are coiTect, will find that at the proper time the consensus of an option on any future issues that may be ma-de. The clause opinion of the world will sweep us by any little affair like this criticised is not an option, it is simply a requirement that if addi without its counting for an instant, and if they are international tional bonds are issued before the 1st day of October that these bimetallists everybody in the world will hold it as a triumph to parties shall be glVen the first offer; and, in my judgment, this secnTe both metals on equal terms, and then it will be of no ao- provision is a.s much a protection to the Government as to these count how bonds read. individua.ls. The only reason I apprehend why the purchasers of Let me give you one example, and I trust the House may not these bonds insisted npou, or at least desired, the insertion of such misund.erstand my motives. Let me give you just one example of a right was that they might have an opportunity to prevent th~ 2200 CONGRESSIONAL RECORD-HOUSE. FEBRUARY 14, sale of a future issue at a price lower than they had paid, thereby Mr. WILSON of West Virginia. I am glad, Mr. Speaker, that depreciating the value of the securities held by them. the later discussion of this resolution has cleared the atmosphere The Government is not required to accept from these parties of a great deal of fog which was thrown around it earlier in the any offer they may make, but they are simply accorded the first debate, and has presented to the House the single issue which I right of making a bid. tried tq present when I opened this discussion. That issue is· It is said that the Secretary committed an error in negotiating a simply this: A contract has been made which, in the judgment of sale without first advertising for bids, as if itwasaneasymatterto the Secretary of the Treasury, had to be made; it has been made secure $65,000,000 of gold by going into the open markets. The on terms which he, on whom rested the responsibility, declares to critical condition of the Treasury was such that, in my judgment, have been the very best terms possible to secure under existing no other course was open. To hawk about financial ce:ttters and conditions. The terms are undoub.tedly hard terms, but we can advertise in the columns of the press the dire necessities of the not dictate them. Government and the intentions and plans of the Administration It is within the knowledge) certainly, of every member of the for restoring the revenue and maintaining the public credit would Committee on Ways and Means that the Secretary of the Treasury have proven disastrous and probably have defeated all negotia- made efforts in many directions to secm·e better terms before en tions. This was not a sale of bonds; it was a purchase of gold, tering into the agreement. But conceding, as we all must, that a and there was nothing left for the Secretary to do but contract new loan in this country for the purpose of getting gold would with the parties able to furnish the required amount upon the have been futile, would have been taken up with our own gold, best terms, he could secure. the only way to prevent such a thing and to keep gold in the Gentlemen well know that the last issue of bonds put upon the Treasm·y-to prevent the continuance of the drain of gold from market was almost wholly paid for with gold drawn out of the the Treasury and the export of gold from the country-was the Treasm·y by those who desired to secure them. Had the Secre- step which has been taken by the Secretary, a step which he was tary advertised openly for bids and accepted an offer without any obliged to take, just as Mr. SHERMAN was obliged to do in prepar guaranty that the Treasury gold should not be raided, the 841,- ing for the resumption of specie payments prior to 1879; that is to 000,000 now there would have been drawn out before the contract say, he had to negotiate for gold in the countries which are now had been concluded. The stipula,tions which he secured for the drawing gold from us by exportatior;t. defense of the Treasury are wise and wholesome. Half of the gold The proposition before the House is, as the gentleman from is to come from abroad, and the part furnished at home is to be se- Maine [Mr. REED] says, exactly what Secretary Sherman had cm·ed without drafts upon the amount held in Treasury, and, in confronting him. If I had time I could read the language of Sec addition, the purchasers agree to use their influence and efforts in Iretary Shermans report, in which he says, pending the subscrip protecting the Treasury from future drains and the country from tions for the bonds, that he had officially addressed a letter to the exportations. How they may do this is not a matter of detail or contracting parties in which he said that as the Government ex investigation, but certainly no one will gainsay that they can in l acted gold from them it was not probable that the Government, times of stress render valuable aid. either by legislation or by administration, would ever attempt to pay Mr. Speaker, I am not surprised-! say it frankly-that Gov- them in anything else than what it got; and he said, and truly, ernment bonds can not be sold at the price they brought a few that such an agreement was the only one consistent with the honor months ago. If the present banking system of the Treasury be and integrity of the Government. not reformed and the gold reserve continues to be raided in the Now, we have already purchased, under a contract which is future as it has been in the recent past, it. will be difficult to perhaps a hard contract, but the very best that could be made, negotiate future sales upon as favorable terms as have been secured in the markets where we were obliged to make it, three and one in this last agreement. half million ounces of gold. The con tract has been signed by the Gentlemen say that the passage of this resolution authorizing Secretary. The question, then, for the House to determine is, will the Secretary of the Treasury to sell a bond payable in gold coin you give authority to the Secretary of the Treasury to exercise the will require every private contract thereafter made to be paid in opti<>n which the contract allows and bring that down to a con the same medium. Mr. Speaker, it is for the purpose of protect- t:ra.ctwhich will save the taxpayers a half million of dollars a year? ing the credit of the Government, the credit of. our States, the How may this be done? Simply by writing into that obligation credit of our municipalities, and of individuals that I desire to that we are going to do just what has always been done and what see this stipulation inserted in our bonds. It is because of the every man here knows we will do, and that is, pay in gold. fear that this Government is not going to adhere to the policy of Now, Mr. Speaker, it is objected by some gentlemen that the pro making its payments in the best money that these stipulations are viso to the joint resolution is going to contract the currency; and being required from domestic borrowers. members· have come to me on the floor of the House and stated If it goes out to-morrow morning that the House of Represent- that they were unable to vote for the resolution because of the atives of th~ United States, the Representatives of the people, proviso. But what is it? Simply this, that no part of the pro have declared their intention and purpose to adhere at all hazards ceeds of the sale of such bonds nor of the notes redeemed with to the policy which we have maintained ever since the close of the such proceeds shall be available for the payment of the current war there will be no desire on the part of anyone to require that expenses of the Government. all obligations shall stipulate for payments in gold coin. Cred- That is to say, that no part of the notes that are redeemed by itors will say, " The policy of the Government of the United the proceeds ofthese bonds shall be again used. For what? Why, States is unalterable; and so long as the Government maintains for the current expenses of the Government. We want it to be dis that policy every dollar of paper and every dollar of silver will be tinctly understood that we are not borrowing money to run the worth as much as a gold dollar, and payments in either will be Government; we have abundant money to run the Government. the equivalent of the other." This is why I believe this measure Does anybody want the gold to be taken from the Treasury for tl:P.s to be for the benefit of the people; this is why I believe it to be purpose when we get it? And as the greenback goes in and takes for the benefit of every borrower in the markets of this or foreign out gold is there any contraction of the currency? Every dollar :x>untries. of greenbacks that goes into the Treasury takes a dollar of gold Mr. Speaker, if there has been any one principle cardinal with out. the Democratic party, it has been the maintenance of the credit Mr. BLAND. But is not the gold already out? of the Government and the payment of its obligations in the best Mr. WILSON of West Virginia. We want to get the gold in ')lharacter of money on the face of the earth. Why, sir, the so that it will not go out. But suppose the greenback takes the tharges, the insinuations, the denunciations that· are now hurled place of the gold. The only difference will be that the gold is cir- \t the President have been hurled at former Democratic Adminis- cnlating in the country, and there is not the contraction of a dol- "'{-· Jrations for maintaining Democratic principles in the midst of lar, because, I repeat, for every dollar that goes in a dollar goes -- adversity. out. When Jackson issued the specie circular, and when his succeEtsor, But there are other purposes than running the Government for Mr. VanBuren, adhered to it in spite of the numerous assaults that which the greenbacks could be used if exchanged for gold. They were p:lade upon him by the representatives of the banks and the can be exchanged under the existing law for national-bank notes, politicians, he stood as firm as the rock-boundcoast against which and gotten into channels of circulation in that way. But if the the waves may dash but rebound to be broken asunder upon the credit of the Government is restored, as we hope it will be re ocean's bosom, and reestablished the finances of the Government stored, then there is no danger of the greenbacks going into the upon a sound basis, and restored confidence among the people. Treasury for gold. Gold is money to be hoarded; the greenback In. my judgment the present Administration will not be deterred is money to be used; and if there is a demand for currency in the by the brutal assaults that have been made upon its policy from country, people will take gold to the Treasury and get the work adhering to this cardinal principle of the Democratic faith and able money out with it. preserving the credit of the nation free from suspicion. For this Mr. BLAND. But if you redeem the national-bank notes with patriotic effort it will receive the commendation of all patriotic the gre~nbacks do not youretirethenational-banknotes and to that citizens and the support of the great body of the American people. extent 1·etire from circulation or contract the circulation just that The SPEAKER. ThegentlemanfromWestVirginia[Mr. WIL- much? soN] now has ten minutes remaining. Mr. WILSON of West Virginia. Not at all; because for every

. ~ 1895. CONGRESSIONAL RECORD-HOUSE. 2201

dollar of national-bank notes that is redeemed or retired another Goodnight, Izlar, McNagny, Smith, Grady, Johnson, N. Da.k. McRae Snodgrass, dollar takes its place. Griffin, Wis. Kem, MeikleJohn,1 Stallings, Mr. BLAND. Then you are not expanding the currency? Grosvenor, Kiefer, Mercer, Stephenson, Mr. WILSON of West Virginia. The national-bank notes can Grow, Kyle, Meredith, Stockdale, Hager, Lacey, Money, Strait, ·be used for any purposes the Government chooses tousethem for. Hainer, Lane, Moore, . Strong, Mr. Speaker, this is a point I want to impress on members of Hall, Mo. Latimer, Morgan, Swanson, this House, that for the greenbacks in the Treasury there will Hare, Lawson, Moses, Talbert, S. C. Harris, Layton, Neill, Tate, always be a demand whenever more money is needed in the coun Hartman, Lester, Northway, Tawney try. That was the experience under the resumption law. Men Hatch, Linton, Ogden, Taylor, fud. brought gold to the Treasury and exchanged it for greenbacks. Haugen, Little, Pence, Terry, Heard, Livingston, P endleton, Tex. Thomas, Men brought gold to the Treasury and exchanged it for silver Henderson, ill. Loud, Perkins, Tyler, certificates. Why? Because in the form of paper currency it Henderson, Iowa Loudenslager, Pickler, Van Voorhis, N.Y. was the more convenient circulating medium; and nobody wants Hepburn, Lucas, Randall, Van Voorhis, Ohio much gold for circulating medium. Hermann, Maddox, Richardson, 1rlich. Walker, Hitt, Maguire, Richardson,·Tenn. Waugh, Establish the fact, as we hope it will be established, that the Hooker, Miss. Mahon, Ritchie, Weadock, Treasury is going to be as solvent for purposes of redemption as Hopkins, ill. Mallory, Robbins, Wheeler, Ala. it ever was and you will find men bringing gold voluntarily to Hopkins, Pa. Marsh, Robertson, La. Wheeler, ill. Hudson, McCleary, Minn. Russell, Ga. Whiting, get the better business currency in the place of it, and the green Hulick, McCulloch, Sayers, Williams, ill. backs in the Treasury, if they get there, can be used for the pur Hull · McDearmon, Settle, Williams, Miss. chase of gold. Hunter, McKeighan, Shell, Wilson, Ohio Hutcheson, McLaurin, Sibley, Wilson, Wash. Mr. HARRISON. As a matter of fact, will notthe currencybe Ikirt, McMillin, Simpson, increased to the extent of the gold brought from abroad? Mr. WILSON of West Virginia. Certainly; and as a matter of ANSWERED "PRESENT "-2. fact, as my friend says, for every dollar of gold brought from Henderson, N.C. Kilgore. abroad there will be an increase in the currency of the country. NOT VOTING-60. Mr. ELLIS of Kentucky. Will the gentleman explain how that Abbott, Culberson, Johnson, Ind. Phillips, will be? Bartlett, Dalzell, Johnson, Ohio Rayner, Mr. WILSON of West Virginia. Because it will bring gold Belden, Dunphy Jones, Rusk, Bingham, English, N.J. Magner, Scranton, from outside the country. Boutelle Fithian Marshall, Sherman, Now, Mr. Speaker, I wish to say, in conclusion, the Secretary of Bowers, N.C .. Gardne~, McAleer, Sipe, the Treasury needs no defense as to his integrity from any man Branch, Gear, McCall, Somers, who ever served in this House with him. However men may dif Burnes, Harmer, McDannold, Sweet, Cabaniss, Harter, McDowell, Talbott, Md. fer with Mr. Carlisle as a financier-and I believe he has con Childs, Heiner, McEttrick, Taylor, Tenn. fronted the most difficult conditions that any financier ever had to Cockran Hicks, Milliken, Tucker, confront in Department-no man will so degrade himself as to Cogswell, Hines, Moon, Turner, Va. pis Conn, Holman, Murray, Wever, intimate anything derogatory to the inte~ty of John G. Carlisle. Cooper, Tex. Hooker,N. Y. Newlands, White, [Applause.] · · Cousins, Honk, Outhwaite, Woodard. The SPEAKER. The time of the gentleman has expired. Un der the order adopted by the House, the previous question is now Mr. TAYLOR of Indiana. Mr. Speaker, I ask to have my col ordered upon the resolution to its final passage, and the question league, Mr. HOLMAN, excused on account of the severe illness of first is upon the engrossment and third reading of the joint reso a member of his family. If present he would vote "nay." lution. There was no objection, and it was so ordered. Mr. BLAND. Upon that I demand the yeas and nays. Mr. TALBOTT of Maryland. Mr. Speaker, I am paired with The yeas and nays were ordered. the gentleman from North Carolina, Mr. BRANCH. If he were The SPEAKER appointed as tellers Mr. TRACEY and Mr. HART present he would vote "nay;" I would vote "yea." MAN. _Mr. JONES. Mr. Speaker, I desire to state that I am paired The SPEAKER. As many as favor the engrossment and third with the gentleman from Massachusetts, Mr. McCALL. If he reading of the joint resolution will, when their names are called, were present I would vote "nay." say '' aye," those opposed '' no;" and the Clerk will call the roll. Mr. PENCE. IaskthatthegentlemanfromNevada [Mr. NEw The question was taken; and there were-yeas 120, nays 167, LANDS] be excused on account of sickness. If present he would answered "present" 2, not voting 60; as follows: vote "nay." YEAS-120. Mr. MILLIKEN. Mr. Speaker, I desire to say that my colleague, Adams,Pa. Curtis, N.Y. Kribbs, Richards, Mr. BOUTELLE, is detained at home by sickness. Aldrich, Daniels, Lapham, Robinson, Pa. Mr. COOPER of Indiana. Mr. Speaker, I ask tha.t my colleague, Apsleyk Davey, Lefever, Russell, Conn.. Mr. HoLMAN, be excused on account of sickness of a member of Babcoc , De Forest, Lockwood, Ryan, Baldwin, Dingley, :Lynch, Schermerhorn, his family. If present he would vote "nay." Barnes Draper, Martin, Ind. Sickles, The SPEAKER. The gentleman has already been excused. Barthoidt; DU.llD, Marvin, N.Y. Sorg, Mr. BAILEY. Mr. Speaker, the gentleman from New York; Earwig, Durborow,· McCreary, Ky. Sperry, Beckner, English, Cal. McGann, Springer, Mr. CocKRAN, is detained from the House'by the illness of his Beltzhoover, Erdman, McKaig, Stevens, wife, and I am paired with him. I therefore desire to withdraw Berry1 Everett, Meyer, Stone, C. W. my vote. I also desire to ask that my colleague, Mr. CULBERSoN; Breckinridge, Fielder, Montgomery, Stone, W.A. Brickner, Forman, Morse, Stone, Ky. be excused from attendance on the House on account of sickness Brosius, Geary, Mutchler, Storer, of his wife. Bynum, Geissenhainer, O'NegtMass. Straus, There was no objection, and it was so ordered. Cadmus Gillet,N. Y. O'Neill,Mo. Tarsney, Campbei.J., Gillett, Mass. Page, Tracey, Mr. KILGORE. Mr. Speaker, I would like to know whether Caruth, Goldzier, Paschal, Turner, Ga. the gentleman from Ohio, Mr. HARTER, has answered to his Catchings, Gorman, Patterson, Turpin, name? Causey, Graham, Payne, Updegraff, Chickering, Gresham, Pearson, Wadsworth, The SPEAKER. He has not. Clancy, Griffin, Mich. Pendleton, W.Va. Wanger, Mr. KILGORE. I am paired with him. Clarke, Ala. Grout, Pigott, Warner, Several MEMBERS. How would you vote? Cobb, Mo. Haines, Powers, Washington, Mr. KILGORE. I never hide my light under a blue button. Coombs~.,.., Hall, Minn. Price, Wells, Cooper, J!'la. Hammond, Quigg, Wilson, W. Va. [Laughter.] Cooper, Ind. Harrison, !lay Wise, :Mr. STORER. Mr. Speaker, I ask that my colleague, Mr. Cornish, Hayes, Reed, Wolverton., Covert, Hendrix, Reilly, Woomer, OuTHWAITE, be excused on account of sickness. Crain, Henry, Reyburn, Wright. There was no objection, and it was so ordered. NAYS-167. Mr. NORTHWAY. Mr. Speaker, I desire to ask that my col Adams, Ky. Blair, Cannon, Cal. Denson, league, Mr. WHITE, be excused on account of sickness. If. he Aitken, Bland, C.Jannon,lli. Dinsmore, were present he would vote against the bill. Alderson, Boatner, Capehart, Dockery, Alexander, Boen, Clark, Mo. Dolliver, There was no objection, and it was so ordered. Allen, Bowers, Cal. Cobb, Ala. Donovan, Mr. TURNER of Georgia. Mr. Speaker, my colleague, Mr. Arnold, Bretz, Cockrell Doolittle, CABANISS, is necessarily absent. He is paired with the gentleman Avery, Broderick, Coffeen, Wyo. Edmunds, from Michigan, Mr. MooN. He desired me to say that if he were Bailey, Bromwell, Coffin, Md. Ellis, Ky. Baker, Kans. Brookshire, Cooper, Wis. Ellis, Oreg. present he would vote for this resolution; Mr. MooN would vote Baker,N.H. Brown, Cox, Enloe, against it. Bankhead, Bryan, Crawford, Epes Mr. CRAWFORD. Mr. Speaker, I desire to state that my col Bell, Colo. Bundy, Curtis, Kans. Fletcher, Bell, Tex. Bunn, Davis, Funk, league, Mr. BowER, is necessarily absent. If present he would Black, Caminetti, DeArmond, Fyan, vote "nay." •, 2202 CONGRESBIONAL .RECORD-HOUSE. FEBRUARY 14,

The following pairs were announced: ·CHANGE OF REFERENG~. Until fu.rlher notice: Under clause 2 of Rn1e XXII, the Committee l(:>n Invalid Pen· Mr. ABBOTT with Mr. WEVER. sions wasdifd:l.arged from the .consideration of the bill (H..R. 8861) :Mr. CAB.ANISS with Mr. .Moo::s-. f-or the relief of Dobson .Johnson~ of Dekalb County Tenn., and Mr. WooDARD with Mr. T.A.YLOR of Tennessee. the arne was ref€1Ted to the Committee on :Military Affairs. Mr. CoCKRAN with Mr. BAILEY, on financial matters. For this Qa.y: Mr. BoWER of North Carol.ina with Mr. WHITE. PUBLIC BILLS. Mr. S1BE with Mr. SHEIDIAN. Under clause 3 of Rule XXll, bills of the following titles were Mr. MAGNER with Mr. HICKS. . introduced and .severally rBferred as follow-s~ Mr. McDANNOLD with Mr. BOUTELLE. ' By Mr'. McDEARMON: A bill (H. R. 8873) authorizing the ~. McALEER with Mr. GEAR. .Dyersburg and Mississippi River Railway and Im:provem~nt Com 11r. So:mms with Mr. Houx. pany to bridge the Obion Ri-v£1' in the State of Tennessee-to the Mr. J O])."'ES with Mr. McCALL. Committee on Interstate and Foreign Co.ID:Illflrce. Mr. ENGUSH of N-e Jer ey-with Mr. SCRANTON. . .By Mr. DUNPHY: A bill (H. R. "8874) to provide free alcohol Mr. CULBERSON with Mr. ffA.:RMER. for use in arts and manufactures-to the Committee on Ways and Mr. Ru.sx: with Mr. CoUSINS. .Means. Mr. RAYNER with 1\Ir. SwEET. By "Mr. SICKLES: A bill (H.. R~ 8878) for the recognition of the Mr. CooPER of Texas with Mr.. D.A.LZELL. military se:rvioo of tbe Qfficers and enlisted men of rertain Penn· Mr . .McETTm:cx with Mr. JoHNSON of Indiana. , sylvania military organizations-to the Committee .on J\filitary Mr. MARsHALL with Mr. OOOSWELL. Affair£. Mr. BURNS with Mr. BELDlm. On this question: PRIVATE BILLS, ETC. Mr. DuNPHY with Mr. HENDERSON of N.orth Ca.rolina. Unilerclanse 1 {)f RuleXXII priv.ate bill.sof the filTiowing titles Mr. OuTHWAITE with Mr. NEWLA.NDS. were nresented and referred as follows: Mr. KILGORE with Mr . .HAETER. 'By :Mr.. REILLY: .A bill (H. R. 8875) to place the name of Mary Mr. TALBOTT c0f Maryland with Mr. BRANi:lH. V. Hennessy, widow of Col. John A. Hennessy, Fifty-second Penn- Mr. TuCKER with Mr. MlLI:E:EN. sylvania Voltmteers, on the pension roll-to the Committee on Mr. SIMPSON. I ask for a. .recapitulation of the vote. · Invalid Pensions. Mr. BARTLETT. Mr. Speak-er, I desire to state that my train By Mr. THOMAS; A bill (H. R. 8876) oorrecting too mil.i.t:n-y was late. If present I should .have voted .u yea. , record of Daniel Leclear-to the ColD.Jllittee on .Military .Affairs.. The vote w recapitnlatea.. Alro" a bill (H. R. B877) grantinga.pensi{)ntoMartin. V. Sbear.s- Mr. CRAWFORD. Mr. Speaker, I understood that my col- to theCmmnitteecOn Invalid Pensions. . league, "Mr. ·wooDARD, was recorded as voting in the affirmative~ HE! is absent and paired against the measure.. ;as 1 understand. The SPEAKER. He is .recorded in the affi:rma.tive. PETITIONS, ETC~ lv!r. CRAWFORD. He is .away and paired ag~inst the resoln· . U n.der clause 1 of Rule XXII, the foTIDwing petitions and p~ tion, as I understand. : were laid on the Clerk'S desk and referred as follows: The .SPEAKER. His nam.e -will be stricken off the list of those By Mr. .ALDRICH: Petition of Keen & De Long and 1'5 otbe.r voting~ On this questi.re.sident, of Rutland, Vt. , in behalf of Louisi-ana su- U nder clause 2 -Of Rnle XIII, Mr. LACEY, fr-Om ·fue Committee gar planters-to the Committee {)n Ways and Mea,ns. on Invalid Pensions, reported adversely the bill (.R 2591) -to pen- By Mr.. lKIRT: Resolution of 41 residents of St. Clair Ohio, b'ion Martha Allen; which, with the accompanying report .(No. 1 against giving the right of franehise to aliens-to the Committee 1836), was ordered to be printed, and indefinitely postponed. on the Judiciary. 1895 . CONGRESSIONAL RECORD-SENATE. 2203

.Also, t·esolution of 41 citizens of St. Clair, Ohio, against secta high wines, alcohol, and proof spirits taken out of bond each day rian appropriations of public funds-to the Committee on the Ju for the sixty days prior to the 28th day of August, A. D. 189-!,ete., diciary. transmitting a report of the Commissioner of Internal Revenue; By Mr. JOSEPH~ Petition of miners in the Territory of New which, on motion of Mr. GoRlLL~, was with the accompanying 1\Ie.xico, praying Congress to exempt mining claims from the an papers referred to the Committee on Finance, and ordered to be nual assessment for the year 1895---to the Committee on Mines and printed. Mining. He also laid before the Sena.te a communication from the Secre By Mr. LACEY: Resolution of the Iowa State Board of Health tary of the Treasury, transmitting for the consideration of Con favoring legislation to prevent the pollution of water courses-to gress a letter from the Treasurer of the United States recommend the Committee on Interstate and Foreign Commerce. ing that in the appropriation for '' Salaries, office of the Treasurer By Mr. LOUD: Petition of members of the Grand Army of the of the United States (national currency, to be reimbursed by na- . Republic of San Francisco, favoring passage of bill placing the en tional banh) ,"for the fiscal year ending June .30, 1896, there be listed men of the Navy on the retired list-to the Committee on provid~ in lieu of one principal bookkeeper at $2,500, two clerks Merchant Marine and Fisheries. of class one~ $2.400; which, with the .aecompanying paper, was By Mr. PEARSON: Resolution adopted at a meeting of 78 citi referred to the Committee on Appropriations, and o~dered to be zens of Martins Ferry, Ohio, in favor of maintaining civil andre printed. ligious liberty by absolute separation of church and state, and in He also laid before the Senate a communication from the Sec favor of an amendment to the Constitution of the United States retary of the Navy, transmitting, in response to a resolution o.f against the use of the property o~ credit of the United States, or the 8th instant, certain information concerning all examina:tions any State, or any money raised by taxation, fo~ maintaining any and tests that have been made within twelve months past of coals institution wholly or in part under sectarian or ecclesiastical con- . taken from any coal mines in the United States, showing the con trol-to the Committee on the Judiciary. stituents of such coals, theiT value fo~ stea.miifg purposes, etc.; By Mr. REILLY: Resolution of 130citizensof SchuylkillCounty, whkh, on motion of Mr. Pr..AT'i', was, with the accompanying p:r Pa., in favor of a constitutional amendment to be known as _six :pers, ordered to lie on the table, and be printed. teenth amendment-to the Committee on the J udieiary. DISTRICT OF COLID!Bll SUBURBAN RAILWAY COMPANY• ..Also,resolutionof130citizens of SchuyikillCounty,Pa., infavo~ of a constitutional amendment ~estricti:ng the right of suffrage to The bill (H. R. 6816) to amend the charter of the District of citizens of the United States-to the Committee on the Judiciary. Columbia Suburban Railway Company was read twice by ita • By Mr. ROBINSON of Pennsylvania: Preambleandresolutions title. of citizens of Chester, West Chester,Coatsville, Berwyn, Edgemont, Mr. HILL. I desire the bill to lie on the table for the present. and Thurlow, all of Pennsylvania, praying for a. constitutional The VICE-PRESIDENT. It will be so ordered, in the absence amendment limiting the right of franchise to citizens of the United of objection. · States-to the Committee on the Judiciary. Mr. HALE. What is the bill concerning which the Senator Also, petition of Hon. Thomas V. Cooper and 12 other citizens of from New York made the reqnest? Media, together with sundry other citizens of Chester, Pa., pray Afr. HILL. It is the bill relating to the Subm·ban Railway ing for the passage of Senate bill1620, for the suppression of lotter Company of this city. ies, etc.-to the Committee on Interstate and Foreign Commerce. Mr. HALE. TOO House bill? .Also, petition of the Civil Service Reform Association of Phila Mr. HILL. It is the Hon:se bilL delphia, praying for the passage of the Lodge bill, placing the con Mr. HALE. Then, of course, it should go to the Committee .Qn sular and diplomatic service in the civil service, etc.-to the Com the District of Columbia. The Senator, l take it, does not intend mittee on Foreign Affairs. to ask any action upon it until the Senate committee which has By MI·. WEADOCK: Petition of C. H. Weeks, T.lf. Pierce, and jurisdiction of those subjects eoDBide.rs the bill. other vessel captains, in support of a law giving masters of vessels Mr. HILL. I Ehould regret to make that promise. If the Sena a lien for wages-to the Committee on the Judiciary. - to~ will indulge me a. moment I will .stare that a bill of precisely By Mr. WOOMER: Resolutions adopted by a meeting of 248 a .similar character to the one which has passed the other Honse citizens of Harrisburg, Pa., against appropriating public money has been before the Senate District of Columbia. Committee for to aid sectarian institutions-to the Committee on the Judiciary. eight months. Since December last I have been endeavoring oo Also, resolutions adopted at a meeting of 248 citizens of Harris get a report from the committee and have .been unsuccessfnl. The burg, Pa., against granting the right of suffrage to persons not bill bas been considered in committee and-i_t is being considered citizens of the United States-to the Committee on the Judiciary. there now. I am advised that this morning, in the committee, it stood 5 to 5. There is no reason why this bill, which has now passed the House of Representatives and which is precisely like the Senate bill, should go to the committee. A meeting of the com SENATE. mittee is to be held on Monday next, I believe, when this subject FRIDAY, l!'eb'l-·uary 15, 1895. will be again brought up. I can see no reaBOn why this bill should not now remain in the possession of the Senate. Prayer by the Chaplain, Rev. W. H. MILBURN, D. D. Mr. HALE, 1 am sorry that in any instance of the very many The J o~nal of yesterday's proceedings was read and approved. where the Senate is being constantly raided in the direction of the EXECUTIVE CO:Mlrml:CATIONS. desires of street-railway corporations to get possession of the streets The VICE-PRESIDENT laid before the Senate a communica and avenues of the District of Columbia the Senator from New tion from the Secretary of War, transmitting, in response to a York is giving his great force and influence in aid of these p~ojects. resolution of the 1st instant calling for information relating to He has given what to me seems the best of reasons why the bill the establishment and maintenance of the military post of Fort should be referred to the committee. The only reason he has given Totten, npgn the Cut Head Sioux Indian Reservation, in the State why it should not be refened is because the committee in its de of North Dakota, a letteT from the Quartermaster-General of the liberations bas found itself to be tied, the vote being equal one Army, with inclosures, giving a history of the post; which, with way and the other; in other words, that the committee declines the accompanying papers, was referred to the Committee on In to report the bill to the Senate. That is a very good reason why dian Affairs, and ordered to be printed. the bill should be rent to the committee for its deliberation and He also laid before the Senate a communication from the Secre action; and if that committee, which is our chosen organ, does tary of War, in response to a resolution of the 7th instant, calling not report the bill to the Senate, then we can act as we choose after foT the report of the engineer, dated on or about February 8, 1893, the committee has had an opportunity to deal with it. in regard to the railroad bridge over the Sakonnet River, Rhode Therefore, Mr. President, I move that the bill be referred to Island, and what action, if any, has been taken thereon by the the Committee on the District of Columbia. Department, transmitting a letter from the Chief of Engineers, Mr. HILL. .Mr. President, I regret that the Senator from Maine together with a report made by Capt. W. H. Bixby, Corps of En has seen fit to suggest any undue anxiety upon my part to obtain gineers, upon the subject, and also copies of other papers of vari control of any of the streets of the District of Columbia for this ous dates showing the action of the Department thro:eon; which, or any other partien1ar street railroad. I have been engaged, sir, with the accompanying papers, was referred to the Committee on in no such strife. Some friends of mine from New York having Commerce, a~d ordered to be printed. some interest in the bill suggested to me that they would like to He also laid before the Senate a communication from the Post have a report upon the bill. master-General, transmitting, in response to a resolution of the Mr. HALE. How can they get a report upon it unless we send 12th ultimo, certain information as to the number of post-offices it to the committee? in the State of New York; which was referred to the Committee Mr. HILL. In a moment. I .am refen-ing to the bill that has on Post-Offices and Post-Roads,·and ordered to be printed. been before the oommittee for eight months, .and action upon ~He also laid before the Senate a oomm:unication from the Secre which has been promised me repeatedly since the 1st day of De tary of the Treasury, in response to a resolution of the 15th ultimo, cember last. calling for information as to the number o~ gallons of whisky, Mr. HALE. But if a. majority of the oommittee is not in favor