The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1885-08-26
Secretary Manning and Treasurer Jordan
Playing a Game that Enriches Bank
ers, Bondholders and MOnOpolists.
Humiliating Espionage Practiced Upon
Employees of the Departments.
A Violation of the Ciyil-Service Law that
Demands Attention-The Departments
Running Ihemselves-Capital Gossip.
GOVERNMENT FINANCES.

Bankers and NEonopolists.
Special to the Indianapolis Journal.
WASHINGTON, Aug. 25-"Sooner or later this
administration will be repudiated by the great
masses of the people on account of its financial
policy" said wellknown writer on financial
topics, addressing your correspondent this morn
ing. II am Democrat of twenty years stand
ing" continued he, but the acts of those people
over there" pointing toward the Treasury De-
partment ARE more than | can stand Here
the Democratic party has been denouncing the
national banking system and bowling against
bondholders and coupon clippers for upward of
twenty-four years, crying down monopoly and
all that sort of rot, and in less than six months
it has done more for this class than the Repub-
lican party did during its entire reign. This
demagogy would have been shown up by the
Republican and honest press generally if it had
been understood"
1 wanted to know what he meant, and the
gentleman, who is one of the bestposted On
finance in the country, said:
why, you observed that Treasurer Jordan re-
Gently decided that there was really only about
$25 000 600 surplus in the Treasury, did you not7
Well, there is over $l40 O0O OO0, and he very
we'll knew it. He threw out in his
statement $1OO,OOOOO0. which he desig-
mated sacred fund for the redemption
of the legal tenders} He claimed the govern
ment had no right to use that money That act
was in the direct interest of the national banks.
1t has been rule, if not law, in the depart
ment for many years that when the reserve or
surplus runs over $140 000, 900 a bond call shall
be made for $40, 900, 900 or over. You see by
this decision of Jordan, which is approved by
the Secretary, that it will be impossible to make
a bond call for two or three years. This creates
stability and rise in the bond market.
Seven-tenths of the threes are held by national
bankers to secure circulation, or rather they
own them and have deposited them as security.
Well this decision has given them rise of 81
per cent This decision is guarantee to ma
tional bankers, also, that they will not be dis
turbed by having their security bonds called
during this administration. What better do
they want9'
do you think this was done at the instance
Of the national banksl" was asked.
Undoubtedly it was. Treasurer Jordan paid
a visit to New York soon after rendering the
decision and he received the plaudits Of the
national bankers and miionaires. and monopo-
lists, and was given great banquet at Del
monico's.
'Does this impair the interests of common
peoplep
ut does; and in this way: The one hun
millions set aside by this decision will nov 3,
idle for an indefinite time. 1t might just as we'll
be used in calling in bonds. which would save.
at the lowest calculation three millions year
to the people. Certainly, as the public debt is
decreased the taxes are reduced and the masses
are relieved of their load of taxation. There has
been decrease of the public debt every month
under this ADMINISTRATION, and not single bond
call has been made. The work of reducing the
debt-and surely the work of relieving the
country-is not fully carried out and cannot be
felt until bonds are redeemed. This single act
in other words, simply gives the national banks
at least two Of the three millions every year
besides the incidental and direct advantages"
This very correct and comprehensive state
ment will not carry much consolation to the good
people who supported Mr. Cleveland under the
belief that their burdens were to be decreased
The government already pays an annual interest
of upwards of $50, 000,0 600 on her debt. She has
outstanding 6, 5. 4 and per cent. bonds aggre-
eating about $1,000, 600, 600, and this trucking
to the national banks does not give a hopeful
outlook 1t is said that Comptroller of the Cur
rency Cannon is retained in his position, and is
TO be retained, simply because he is the national
bankers friend and servant