The Lancaster gazette. (Lancaster, Ohio) 1846-1852, 1848-02-18

The expenses at that period was some
thing over six millions, leaving about
eight millions applicable to the Spanish
treasury.
Now, if you run your eye over these
items, you will see how many an enligh-
tened government would strike out. 1t
is true the custom duties were much in
creased after the revolution of 1924; but
the revenues never sufficed to defray the
expenses of the Federal Government.
After the overthrow of Iturblde the d.
recto:s of that revolution were in great
distress for want offunds. The treasury
was exhausted; the troops had been sub
sisted for five months by forced loans,
levied OH the provinces by their comman-
ders-a state of things which colld not
exist much longer without exciting gen
eral discomfort. They formed project
of loan of eight millions. But to effect
this would require six or eight months;
and in the mean time they anticipated the
proceeds of the tobacco rent to the a.
mount of million of dollars, at discount
oftwenty per cent, and negotiated with
the English house Of Staples & Co. mill
ion on account of the eight million loan
at seventy for the hundred, and at an in,
terest of six per cent.
Loans continued to be made after the
establishment the Federal Government
to the amonnt ofthirtytwo millions, for
which the Government received altogeth-
er twenty-five millions eight hundred and
sixty thousand. The whole of the sum
was expended in two or three years, and
Mexico ceased TO pay the dividends in
1927, and since that period the debt has
been increased by the ruinous expedienl
offunding the interest for the benefit oI
the stockholders.
1t is right to state here that the bank
ruptcy of the Mexican Government was
preceded by that of both the houses in
London which had taken the loans
Messrs. Barclay, Herring, Richardson &
Co. and Messrs. Goldsmith & Co. both
protested the drafts ofSecretary Esteva
although the former acknowledged hav.
ing in their hands ee446, 600 sterling be,
longing to the republic, and the latter
1000. This happened in 1927
and in that year the dividends were
not paid. At this period, too, the re-
ceipts of the customs were sensibly
diminished, and the distress of the Gov
ernment became very great. Esteva re-
tired from the Treasury; but his success
ors in office were incapable ofrestoring
the credit of the nation or of supplying
the daily wants of the treasury; aud he
was recalled by Victoria to continue the
same extravagant career, and resort tt
the same expedients as before. l vii
give one example ofthe most useful mode
of raising money resorted to by Estevt
and his successors to tho present day
The Government had on its installation
acknowledged the debts incurred by the
former Viceroys and certain other claims
against Mexico to large amount; but, al
no measures had been taken to liquidate
them, these credits were floating in the
Mexican market at price varying from
FIVE to fifteen and twenty per cent. 4
large sum was due likewise by theGovern
ment to the tobacco-planters, whicn form
ed another credit worth about fiftyper cen,
The contract alluded 70 above was a
J follows:
S235, ,249 arials, first credits to be received b
Government at IS per cents $l99, $50 2.
Tobacco credits at par .-.... 125.002 !. !
Cash. 1909 4.
ANN nnk n