The Hawaiian gazette., 1874-07-01

bonds so issued. The last half of this section
authorizes the issuing Of one hundred thousand
dollars in treasury notes of not less than fifty
dollars payable in five years and bearing four pei
cent. interest. These are to be used for paying
salaries or other dues of the Hawaiian Govern
ment. 1t also provides for issuing seventy
thousand dollars, in notes Of not less than fifty
dollars, payable to bearer on demand, with the
proviso that no person shall be compelled to take
such notes in payment for salary or other dues, il
he should be unwilling to do SO.
Section three provides that these treasury
notes may be reissued during the term of twenty
years-or in other words, may be made our IA
tional currency I" for the term of twenty years
Section four authorizes the Minister of Finance
to use any moneys in the treasury not otherwise
appropriated to prepare certificates and pay the
Expenses of the loan.
The fifth section provides for appointing agents
to negotiate the loan in any foreign country.
The Minister of Finance is authorized to sell the
bonds at such rates as he may deem advisable.
Full power is thus given him to sell them at
IS, so or % cents on the dollar, the Hawaiian
ton being firmly bound by this law, to pay, at the
end of ten or twenty years." the full value Of
the face of the bonds, together with the inter
est agreed on.
Section six provides for a treasury board of
seven, who are authorized to loan the funds OBJ
tanned under this law, " for the assistance of the
agricultural and other productive interests of the
country" on what it may deem safe security.
Section seven provides that the funds obtained
under this act may also be devoted to the build
ing Of warehouses, promotion Of iHter-island
steam navigation, and in aid of immigration.
Here we have the proposed bill in full and in
synopsis, under which the Honorable Member from
Hilo proposes to obtain one million of dollars at
mot to exceed six per cent. interest per annnm."
We heartily endorse the amount of the loan, as
also the rate of interest, provided the last SEN
tence of section five be amended so as TO forbid
the sale of the bonds at less than par.
But we wish to ask Mr.. Kipi one thing if he
fails to secure loan abroad or at home, does he
design as the only good to be derived from this
law, that the people shall have under its second
section, the full benefit of paper currency mot
secured by coin, but based on the faith of the
government,) for the term of twenty years? If
this is his purpose, we ask that two bills be pre-
pared-one for loan and another for paper
money-so that each may stand on its own
merits To legislate under false pretences is the
surest way to destroy our national credit.
AS will be observed, we have not had the good
fortune to be interviewed" by Mr.. Kipi, as our
neighbor of the Advertiser, with smile that
is childlike and bland" naively admits that he
has, but we look at the bill from a common
sense stand point. While we shall favor any mea-
sure honestly designed to and our great agricul-
tural industries, we must protest against any act
which contemplates fastening on the country
paper currency, redeemable only at the end of
twenty years. Hard coin has been our currency
for fifty years past, and we hope never to see a |
departure from it.
This subject is by no means exhausted, but
space compels us to break off here