The Grenada sentinel. [volume] (Grenada, Miss.) 1868-1955, 1890-08-23
.suh.Treasury Bill" Humbug.

,hardeen Examiner, usually sound and
The Anei;H Ky views speaks OF the sub-treas-
recit IN az ,.' ..clap-trap" 'nonsensical, etc.
" hlll THroominer ~ please explain to its read
III lle .n.nnonsenlcal," and the difference in
WY ,ings of the sub-treasury bill and
e Woif Greenhouses that receive whisky
II The distillerl Sugar Tor the whisky
n m ourht to be sugar for the farmer, put
en- iaIire 1uii of the money power Is Tor the far
desailo lis coffee raight.-ElltsUille Al
Ncs Eagle.
wo are clad that our friend of the
VIZ W. has asked this question, as it af-
" W. rs IS an opportunity to disabuse the
!Is .u1 nj many clever readers of i'm
nDsions pSi derived from the writings
! a 'sneeches of men who ought to have
fsn better informed.
n tbe first place, the Government
~ not provide the distillers with
,robonses. but on the contrary, com
/ IlS iS aaeh one to build a warehouse
his own expense, upon plan approx
i hT the Commissioner of Internal
N the tbe second place, the bonded dis
lo,r warehouse system was not eS-
,li:bed for the profit or convenience
tbe distiller at all, but as a nccessa-
incident and prerequisite to the
|Dation as well as collection of an
ormous revenue by the Government.
w 10 make this plain, we would say
the Government collects from
r to eighty millions Of dollars an
v-ve have not time to look up
exact fgures-as tax upon distilled
iarmented liquors, at the rate Of
much per keg ON beer, etc, and
ppty cents per gallon upon whisky.
hen it was proposed to put this law
cparation, it was found that the eff
Of collecting this tax upon whisky
.oon as distilled would be to limit
Iiuction, or place the distillers at
mercy of spectators who could
inbine. control the markets and buy
mipous rates. In other words, if q
Miller produced 100000 gallons Of
kiskv in a season of dull demand, he
Iold have to pay the Government 800,
Of taxes without being able to find
nunerative sale for his products, and
Ebat absorbed his resources, he would
ve to stop work. This being the
Be. the warehouse system was devils
With Government store-kcopers
o took absolute charge Of the entire
iv output, to hold it for the distiller
his own store house, for two years if
|n&arr. and turn it oyer to him in
|eater or less quantities as sold, upon
payment by him or his assignee OF
cents per gallon, according to gov
hment guage or measurement. BY
is means the distiller having a
rking capital OF 100000 was en-
"a to produced G00,0o0 gallons. al
cents q gallon, yielding the Gov
ment finally $4,000, instead OF
utng down-on immediate payment
,tam-with a product of 100, 900 gal
and Il tax of 100000. And so fan
m the Government favoring the dis
er in this matter. it does not even
(0E him the privilege of using his
IN warehouse after he has paid all OF
taxes eEacted upon the product Of
slabor and Investment, for it inilictS
Daatalty Of forfeiture upon al
uor allowed to remain upon the
ami5es or in the warehouse after The
tvment Of the Internal revenue dues
Our friend will see that there isnoth
that sayors in the least of ''pater
government in this matter, ant
at the warehouse scheme so far AZ
piled to adistilleries, is a gigantic
ece OF revenue engineering, designed
ID operated upon the most selfish ba
and absolutely essential to th'
cation rather than the collection o
e whisky tax. Any other plan o
ethod Of enforcing this tythe woult
On the line Of "killing the goos
|at laid the golden egg" and tn
rehouSe system was invented as
cans of enabling the distilleries t.
Pep at work upon ordinary capitiliza
Pn, and continue to create revenu
arng goods regardless of tn
|ndition Of the markets; for SO long a
whisky was in store, or lin bond,
edtstiller could always borrow none
FOugh from the banks upon warehous
rtltcates to meet running expenses
ID thus avoid sacrifice of his goods.
Now in the matter Of the sui
reasury7 scheme, it is proposed tha
y Government erect in every count
ordinary wealth a warehouse for tn
Oiago Of farm products, to be
large Of a government official, VIII
Nall receive said products at q liXe
atng, In pawn as it were, and loan
owner thereof a certain amount
Cvemment money at petty rate
lerest In other words, that I'll
RWernment shall assume the role
EVlni-broker without profit, for the r
aoIlc, and take charge and care
" perlshable products Of the countr
i there is any parallel between tn
uuthe distillers' warehouse syster
ecannot see it.-Aberdeep EGdminC