Daily Honolulu press., 1885-12-25
That Ton Million Loan Again i

holds all this up as an example to us. Ha-
wai also should borrow, borrow boldly,
largely. That is our true financial policy.
Hawaii is impecunious, its treasury is strait
cned, its creditors clamorous- remain so
Capitalists are numerous, and anxiously seek
ing investments. The conclusion is Obvious
borrow. Make new loan. Issue Hawaiian
bonds by the millions and be comfortable in
the righteousness of money. Surely the finan-
cial talent Of our executive is admirable, won
derful. How simple, yet how obvious the
psnacea for all our financial troubles.
We begin to hear again about that gorgeous
ten million loan That is being once more
announced on the eve of election as the pet
measure. The Hawaiian mind is being daz.
zled with the grand scheme which is to make
the land glorious. We remember how "Hoa-
pill Baker" ventilated this great plan before
the election Of 1880, and Lilkalani on a sub.
sequent occasion. Probably the valiant John
Baker will swing the ten million flag this time.
AT any rate, the great loan appears to have
been decreed. The triHing matter Of the
willingness Of capitalists to lend their millions
to Hawaii need not be taken in account.
There is no doubt that moderate loan, on
reasonable terms, for public improvements
that will pay, to be we'll administered by capa
bic and reliable public officers, would meet
general appreciation, and could be readily
negotiated. The application Of such a loan to
our public works as soon as possible, is very
greatly needed. One or two hundred thous
and applied at once to the improvement of our
water works, acc riding to the plans of Major
Bender, would produce an income which
would soon pay for the whole expenditure
From $4,000 TO $4,000 expended on a
wagon road down the Pail, as already laid out,
would SO increase the valuation of property in
Koolau, and the taxes thereon, as to far more
than pay the interest. And so on, in many
directions. Such borrowing for such purposes,
il necessary. is good policy, and capitalists
would gladly take up bonds issued for such
ends by any reliable parties.
Then why do not Messeurs the capitalists
lend Messrs. Gibson, Gulick & Co. the
money for such purposes1 They want ii badly.
Mr. Gulick would be only too happy to make
his contracts and set all the forces at work to
build these fine things for the Hawaiian public,
but somehow the men Of money look askance
and keep their pockets buttoned up-what is
the matter2
Mr.. Editor, you know what the matter is,
and know, and Mr.. Gibson and his men all
know very well, and every business man
knows--I think Kalakaua does not know
but the matter is just this, that the men who
have the money TO lend and who did not get
II by loaning carelessly, have formed the habit
of scrutinizing the financial reliability Of the
parties who wish to borrow. They form very
sound and accurate judgments on that little
point. II they did not, they would soon find
themselves without any money to lend any.
body. And these gentlemen, whose good
opinion happens to be so necessary, have
long since settled it in their minds that the
men who are running the present Hawaiian
Government are not just the sort of men
whom they could see expending their money,
with any reasonable expectation that it would
be duly repaid.
| Suppose, Mr.. Editor, tina. Messrs Gibson,
Gulick, Kapena and Neumann, retiring from
the Government, should form business part
nerhip, say for general banking, agency and
commission business. What would be their
credit3 How much business could they do 7
Who would trust their property in the hands
Of such firm, especially as headed by man
with Mr.. Gibson's record will not dwell on
that record, because it seems too pitabe to
| reproach one who has never dared to reply to
the damning allegations of his infamy. Were
he not foisted upon revolted and disgusted
community as their chief, we would gladly let
the memory Of his past decay in silence. But
such is the man whose Government capitalists
are asked to supply with funds to support their
conspicuous extravaganza. incompetence and
dishonesty.
A severe blow has been given to Hawaiian
Government credit by another cause. That is
the practical subversion Of constitutional
checks upon the Executive, and the substitu-
tion to a great extent of personal and arbi-
trary for limited Government. A free, Parlia-
mentary Government commands financial con-
6dence which is refused to autocrats, whose
caprices cannot be foreseen. Were the affairs
of Hawaii controlled by a Legislature repre-
senling the tax.paying and business commun.
ity, who doubts that any reasonable loan
could he promptly negotiated on most favor
able terms Were the city of Honolulu a
municipality governed by its property owners,
who doubts that its financial credit would be
equal to that of any city on the Pacific 7
But who is going to lend on easy terms, or
any large sum, TO Government whose Leeis-
ature is likely to be composed mainly OF
oihce-holders, dependent for their poi on royal
favor, and sure TO vote for all royal caprices 7
AS long as Messrs. Palohau, Kaunamano, Ma
hinu, and that ilk, who live on Government
pap, are to be run in by bought and intimid-
ated votes, and so the executive be freed from
Legislative control, all borrowing for our
public needs is going to be uphill work. II
will be great step towards restoring our i'm
paired financial credit when all office-holders
shall be by law excluded from our Legislative
Assembly.