The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1856-1888, 1871-06-24
The $4,000 Loan.

The Gazette, after informing its readers that
80 several bids have been made 80 for the whole
sum of money 80 at a premium, goes on to
soothe the feelings of those who are thus (appaR
ently) deprived of an opportunity of % placing }"
their modest hundreds, by informing them that,
g If any one has a few hundred dollars, no matter
how few, which they wish to invest in a manner
absolutely secure and for which they can obtain
the interest without trouble on the day it is due,
the opportunity is now presented" We would
ask,
LIST. If the whole sum has been bid for, 4" at
a premium" how does it happen that tenders
50 for portions of the sum will receive favorable
consideration 2"
End. IF one person bids ten per cent. premium
for a " portion of the sum- will not that cause
all the g bids for the whole sum y at a lesser
premium to be thrown out?
3rd. IF the bidders for the whole +" are ex-
cluded, will not that force the Government to look
to the men of small means to make up the
amount?
4th. Does not the man who has a s. few humid
reds 5" to loan, wish to - turn over > that money
oftener than he who '' places ~ say $4,000?
5th. Can money be obtained readily here at
less than ten per cent. per annum?
9th. If the Minister of Finance can issue
bonds g of any denomination required, Speaking
after the manner of bill issuing banks) :" why
cannot he cut this loan up into 10000 parcels,
and give us all a chance?
7th. If a man pays say FIVE per cent. premium
on one fifty dollar bond, i. e., $3.50 gold for a
Do n &c DrOrn;ca = n a >, : 6 oon ba pocS IF from
hand to hand as occasion may require at it's
premium value?
9Th. Has the Government any right to issue a
paper currency?
9th. Will it not be as easy to issue $120 900
worth of these " bonds " as $4,000?
And now will the Minister of For-we should
say, Minister of Finance,-permit us to make a
suggestion.
Issue $3.50 worth (f that is all the Govern
ment wants for some time to come,') of
sc bonds at 81 denomination, payable sat
sight - in gold, and bearing interest at the rate of
say six per cent. per annum. Let it offer these
in payment of contingent expenses, to settle
it asks for a I" loan of $l2, 00O,' and it
would have no difficulty in disposing of the whole.
bonds would become part of the local cir
medium, and would IS pass from hand to
hand as occasion - might require, with far greater
facility than'would bonds for which a premium had
been paid, while the yearly gain to the Government
from bills ii. e., bonds) destroyed and carried
out of the country never to return, would more
than balance the " ten or FIVE +" per cent. pre-
MUM that the Gazette seems to take for granted
be charged for the bonds in their present
If we are told that the Minister of Finance
has no right to make such an arrangement, then
question No. 8 is answered. The man of small
means is again barred-(for if itis not legal to
issue a $1.00 bond. then they must represent
thousands) and so the kind offer of the Gazette to
the small man goes for nothing, and the $4,000
men, seeing their chance, can withdraw their
g premium - bids 's for the whole amount" and
wait.
In fact, the public at large have been waiting
over a fortnight since the notice of the loan was
frst published. for some explanation in regard to
it, and now we have an explanation truly, that
makes everything as clear as mud. What an
audible smile would invest Wall street if made
acquainted with the wonderful financial schemes
Of our Hawaiian Treasury money-changers And
seriously, 1t is to be hoped for our credits sake,
hat the obfuscated leaders of the Government
Organ are never read beyond the limits of our
'wn latitude and longitude.