The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1886-10-14

= amendment to the Loan bill offered by the
d Attorney General was the business before
the House.
T The Secretary read the amendment.
H. NJ. kauIukOu moved il be adopted.
a, Mr.. Aholo said that after careful con
: sideration he could not support the At
torney Generals amendment II read
Provided That hereafter no bonded debt
shall be incurred nor any bonds issued
prior TO the maturity of the bonds issued
hereunder, unless provision be first made
, for the payment of bonds issued under and
in accordance with the provisions Of this
Act" He (the speaker moved the fol-
lowing amendment:
Section l. That section of said Act be
and the same is hereby amended so as to
read as follows:
Section ,. Said bonds shall be exempt
from any taxes whatsoever and shall bear
interest payable semi-annually at the rate
OF IS per centum per annum, thep payment Of
which interest shall be q charge upon the
consolidated revenue of the Kingdom, shall
be redeemable not less than ten nor more
than thirty years after the date OF their
issue either by means of Sinking Fund to
be established after the tenth year Of the
/ issue of the bonds or otherwise as may
By the Minister of Finance with the APP
prevail OF the King or Cabinet Council be
| deemed most advisable at the period of
such redemption; the principal and inter
( est to be paid in gold coin of the United
States of the present standard or its equiv
alent.
! Mr.. Aholo said the House would per-
! ceive that these bonds were to be
/ exempt from taxation in accordance
/ with laws already passed. Our 8
per cent bonds are now exempt from
all taxation. TIE amendment provides
that this 6per cent shall be paid half yearly
out of the consolidated revenue These
are payable not less than ten nor more
than thirty years from date of issue in
United States gold or its equivalent. The
Minister of the Interior said yesterday
there was no security required except the
good name of the Government. He con-
sdered, on the contrary, it was better some
security should be given. People would
feel then that it would be bound to lead
the Government to be economical. There
had been a good deal of talk about the
said any amount of money could be Dor
rowed on the strength of it. But if this
amendment of the Attorney Generals /
passed, they would not be able to borrow
any more money without paying this debt
that they now owe. He did not see how
they were going to do it without. There /
had been many reports flying about, that
the Water Works were going to be pledged /
and so forth. That was denied. Perhaps |
there was no truth in them. But it would !
virtually tie the hands of the Govern /
ment if that amendment were adopted /
They would not be able to borrow without /
paying what they already owed. Suppos /
ing they should want money on short no /
tice, where would they get it? 1t was easy !
to see that the amendment was brought |
forward in one particular interest. Sec /
ton Is of the Constitution forbids the As
sen1bly to make laws for the benefit of /
any one man or interest. In the early !
part of the session the Ministry introduced |
a Loan Act, and it was supposed that was
all they desired. Then an amendment /
was proposed and passed. But before dis
posing of that, in comes another amend
ment. The question arises: where does
it emanate from? 1t was introduced by
dent it was framed in the interest of some
one man Anyone could see the drift of
affairs They could not borrow any
money until they payed Irwin & Co. That
is the whole drift of the amendment. One
reason given for amending the bill was
that a syndicate in England were willing .
to float the loan at 90 per cent. OF the .
two amendments-his own and the Attor /
nev General's-he considered his own the .
best, because it is not contrary to the Con |
stitution, and the other is. The Attorney /
Generals amendment was for the benefit .
of one interest; his own was for the benefit |
of all He did NOT claim that it was per- /
feet, but it was better than the one pro- (
posed by the Government and it would re-
suit in a great deal of good to the country |
at large. He was told that the Minister of
the Interior and Mr.. Spreckels had a
private interview yesterday, He was
sorry he was not present, but nOtwith |
standing what he had said, he gave the
Ministry credit for honesty of purpose.
He himself was not influenced by anyone,
and he asked the Assembly not to adopt
any resolution contrary to the COnstitu-
ton of the country. Let them stand to-
gether as one man and oppose the amend
ment of the Attorney General.
Mr. Kaulukou had listened with interest
to the last speaker, who had evidently
given great deal of thought to the sub
iect, but he would ask the House to exer-
else their own judgment, and not follow
his advice blindly. He agreed with him
that they did not want any outside infiu-
ence He objected just as much as Mr.,
Aholo did to have it said that there were
two Kings The Legislative Assembly
ought to have power to do their business
without being interfered with. He did
not want to have our Government borrow
ing in England, so that finally they would
have the direction of affairs in English
hands as it is in Egypt now. If We went
and borrowed money through the agency
of Mr.. Armstrong or any one else, it
would ultimately be the same here as in
/ other countries-EngIand would send her
/ officers to take charge of the Custom House.
Who was Mr.. Armstrong? He did not
! know. nor did he believe any one knew.
/ He was a gentleman who came here, and
that was all they knew. Who was this
/ person alluded to as standing behind the
/ Ministry to-day? 1t was Mr.. Spreckels