The Hawaiian gazette., 1884-06-25

that he had asked for larger appropriation for the next
biennial period We recommend that the additional
sum asked for be granted and that greater diligence be
exercised on the part of the Custom House officials OF
the kingdom to prevent the unusual amount OF SNUG
Cling that Is being carried on.
INDEMNITY ACCOUNT
On page 80 of the Finance Report will be found list
of what are called Indemnity Accounts amounting to
$2090S9 70 portion of which amount is for Overdrawn
balances of sundy appropriations and is covered by
Cabinet Resolution dated Feb 10th, 1884, which author
ICES unlimited expenditure for those purposes
The amounts paid out for Subsidy to Hawaiian Rail
road Board of Genealogy Expense of Loan Act and
Interest on Loan Acts 1882 and 1876 are authorized
by special enactments and in opinion require ndem
nication the remainder covered by Cabinet Reso-
buttons and require the closest scrutiny.
The amount paid to the Representatives OF u: Mac
lavish to quiet title to some lots on kulaokahua
plains which had been sold by the Government whose
title was defective
1881 "a was paid to the owners of the Steamer &c.
r. Bishop" for services rendered proceeding to the
assistance of the disabled Steamer "Suez; 5000 10
Interest Special loan consists of two payments,
made Dec 81 1888 to c. T. Guck of $3.50 10, being
interest at the rate of IL per cent per SlS
297 st. money which had been procured by him to tide
the Government their financial difficulties The
other payment of Sl,540 90 made on the 3lst of
March. 1884. to Messrs W. g. Irwin Co, who charged
per cent. for similar accommodation.
Indemnity to Judd and Kapena appears to have been
for advances made to these gentlemen by MeSSrs W. IT,
Irwin Co., but for what purpose unable to state
The sum of $7,40S 90 has been paid to c. O. Berger
for sundry soundings made in the channels by the
Steamer wv. H. Reed" This payment is covered by a
Cabinet Resolution of Feby 10th, 1884, but we can see
no legal authority for this disposition of funds.
Resolution of the Cabinet Council OF Feby TO- 1854,
authorizes draft upon the Loan Fund
For Government Buildings and Hospitals 600 90
For Telephone and Telegraph 10000 90
proceeding without warrant of the Appropriation Act
and an assumption of power resting only with the
Legislature or case of emergency set forth IN
Article Is of the Constitution, with the Prvy Council
Under this understandable appropriation the Ministry
caused to be drawn from the Treasury during the last
days OF the period,
For Government Buildings and Hospitals 6Ss So
For Telephone and Telegnphs 1,4OS OO
And strange to say we find that the AuditOrGeneral
passed upon these accounts although in the terms OF
Section of Chapter 49, Session Laws of 1882, he was
bound to ascertain that the mentioned in the war
rant of the Minister of Finance then legally avail
able for and applicable to the services mentioned in the
warrant Moreover the Auditor is commanded that in
case he shall find that the in the warrant men
toned of them are not then legally available or
applicable to the services or purposes In the warrant set
FORTH he shall return the said warrant to the Minister
of Finance for correction
! As the Loan Fund had been exhausted and the gen
er funds of the Treasury already drawn upon for some
! 100000, your Committee cannot come to any other
conclusion than that the Ministry and AuditOrGenerl
were acting in collision for the expenditure OF public
moneys in violation of the Constitution and Laws OF
this Kingdom.
Your Committee further find that out of moneys thus
illegally drawn from the Treasury, there deposited
with the Registrar of Public Accounts,
the of March, 1884, the PAS 0C
And the unexpended balance Of the appropriation for
Police Court Buildings which had also been drawn
out, l3OOO OO
s572l8 OC
This money being used by the Minister of Interior for
current expenses and the following payments had been
made from it up to the date of our examination:
To Geo. account of Conact 1865 0;
To Hawaiian Carriage Comm. ........... 1909 Os
Lovejoy Co. for cancellation of lease $3.50 OC
Pacific Bridge ..............- 500 0(
G. W. Macfarlane Co. wharfage on water pipe... 294 OC
G. W. Macfarane & Co. interest drafts, payment of
which had been refused 2,oTl 81
THE HAWAIIAN COINAGE.
By the Act of this Assembly, approved by the King
August 18th 1880 the Minister of Finance was author
led to purchase gold and silver bullion with any money.
which may from time to time be in the Treasury, anG
to to be coined theefom gold and silver coins Of
the value following that is to say, gold coins of the
value of 500 $40 So and $3.50 and silver coins of the
value of $10O, 80 cents, % cents, and 124 cents
And also that all such coins shall be of equal weight
and fneness with T. s. gold and silver coins of the same
value
! The Currency Act of 1876 made the gold coin of the
U. s. of America the standard and legal tender in all
payment of debts at their nominal value and silver
coins of the T. s. A. legal tender in payments not ex
ceeding $50 That Act also imposed duty OF ten pei
cent ad valorem all silver coins imported into this
Kingdom, from any country with which His Majesty
has not any treaty to the contrary, upon procama
ton to that effect made by the King in Privy Council
Such proclamation made the End of June, 1880
from the fact that silver was not equal in value to
gold, dollar for dollar instead of T. 5. gold coming
into the country in payment of exports, people
actually importing silver coin which cost them
from So to "a cents per dollar to pass here at 100 cents
\ per dollar
As British sovereigns which actually worth S4S4
compared with Q. S gold were rated by the Privy
Council at $500 EACH the result that the impora-
ton of soveregns for profit was largely carried on
Every brought silver here until the duty inn
posed it. and then they brought British soveregns
The Coinage Act of 1880 was undoubtedly intended to
keep the proportions of gold and silver coin unchanged
since otherwise there would have been object in
placing "a duty on the importation of silver coin If
the Minister had been authorized to sell what gold there
the country and bring silver coin here there would
have been gold remaining to carry out the law of
1876
The Minister was authorized to buy gold and silver
bullion with nothing else, but with the moneys that
may from time to time come into the Treasury"