The Daily bulletin. [volume] (Honolulu [Hawaii]) 1882-1895, 1886-08-31

bonds. Some one here wants to
make $50, 700, nice little sum. 1t
was easy to borrow, but hard to pay
back. He asked the members TO
think a little and not vote blndly.
Rep. Castle moved that section
be indefinitely postponed. He
would say right here that he was not
opposed TO loan If it was spent for
proper purposes. If they had
Loan bill it should be pretty well
guarded.
The motion to indefinitely post
pone the section was put and lost.
Noble Bishop said it seemed to
him that Noble Cleghorn had given
good reasons that this first section
should not be passed without amend
ment. They had been told loan
was not wanted; but to-day it
seemed that it was wanted. "A
smaller amount would be required
for immigration and Water Works,
and leaving out other things, would
bring the amount to less. than ST.
600, 900. 1t was never wise to bor-
row more than was needed. To
borrow carelessly always damages
credit, whether public or private.
More than half of the 50, 100000
would not be wanted, without they
took up outstanding bonds. They
are out at the same rate of interest
as proposed in this bill. He re-
feTed to the six percent bonds.
According to the Finance Report
there was outstanding 1925, 400. 1t
had been said they were not going
to borrow all ut one time. Last
sessions bill was $2,O00,000. but
S1,000,O00 could have been obtained
in gold if there had been any APP
pearance of economy on the part of
the Government. These eXtrava-
giant appropriations would hurt the
Government. A S1,000,00O loan
would more than cover all the items
in the bill, and those old bonds run
ming at 8 percent should be taken
up. The japanese and the Savings
bank funds will be large. AS there
would be no gain in picking up the
percent bonds outside, he was in
favor of 81, 100000.
Rep. Thurston said he had been
patiently waiting to hear what the
Ministers were going to do.
Minister Gibson said although
authority might be asked for the
Government to raise $2,000,000 by
way of loan, yet it was quite pro-
bablc that for six months they would
not want more than S300,0000 or
100000. Neither he nor his COL
leagues, or indeed any Government
would ever think of raising money
when it was not needed and paying
interest on it. But when the Legis-
lature sanctioned expenditure for
certain works the Government
should be in position to raise the
amount to complete them from time
to time. Interest of course would
only be payable upon the loan as it
was raised, and the money would
not be borrowed unless it was
actually required for works under
authorization by the Legislature.
Therefore the argument that an
authorization for S2,000,O 900 loan
should be passed because the Gov
eminent might be paying interest
upon money which could not be
used, was without any force; in
other words, although the Govern
ment had an authorization to borrow
$2,0O0,O0O it could only be raised
in sums as required to carry out the
specific appropriations by the Leg
islature.
The motions to pass the amount at
$1,000,000 and S500,000 were put
and both lost.
The section passed as amended,
and reads as follows:
Section /. The Minister of FL
nance, with the approval of the
King in Cabinet Council, is hereby
authorized to issue coupon bonds of
the Hawaiian Government of de-
nomination not less than one hun
dred dollars and in the aggregate
not exceeding two millions of dollars.
in the manner and for the purposes
In this Act stated.
Minister Gibson said that as he
and his colleagues were not fully
prepared to present their views this
afternoon, he moved the House adj
journ to 10 O'Clock Tuesday morn
ing.
The House adjourned at 4:05.