Middlebury register. (Middlebury, Vt.) 1886-1937, 1890-08-15

for S2,5OO,OOO. If they had delayed II
while they might have received a larger
sum.
'The last time | went to Rosano was
after the commercial depression which
commenced last autumn was felt. The
town was half dead. Many shops were
closed and few ships were at the piers.
The city seemed going into the CONNER
cial decline of one of our old New Eng
land communities. The people there, as
at Buenos Ayres, had burned both ends
of the candle and they were caught by
the inevitable catastrophe.
"The story of the extravaganza of the
people and government is generally I'M
derstood, | think. The revolution is a
protest against prodigality, and expect
ed it would occur before | departed from
the station. The government borrowed
from all Europe. London and Thread
needle street sent out limit of gold, and
Amsterdam, Hamburg and Paris follow
ed Upward of S500.000,000 came to
Buenos Ayres from the Old World. The
government works were generally con-
Quoted as all such things are done in the
Latin-American republics. There were
dividends to be made, and the friends of
the government were to be provided for.
Governmental extravaganza is proverbial
there, and the recent regime affords no
exception. Upward of $3.50, 100000 was
capitalized in joint stock companies.
Loans were on a gold basis, of course,
and when the paper went below par a
paper basis was recognized in the Ar
gentine country. There are two mort
gage banks, the Hypothication Bank of
Buenos Ayres and the Banco National.
They issued peculiar sort of bonds call
ed cedulas. The bonds were sold to in
dividuals who gave security in the form
of mortgages on houses, lands and some
times other property. The person who
mortgaged his property did not receive
cash from the bank, but he was compell-
ed to negotiate and sell the bond that
was given him to brokers and specula-
tors. The latter demanded full commits
sions and brokerage, and the unfortunate
mortgage was thus bled at each end OF
the transaction.
"Specie payments could not continue
against this load of debt and the general
extravaganza of everybody. First they
were suspended, then gold commanded 9
premium which climbed higher and high
err. When gold reached 300 per cent pre-
MUM the bottom dropped out entirely
The price of goods fluctuated so that you
might hear one figure from Il shopmar
to-day and 10 per cent variation to-mor
row.
A NATIONAL PANIC.
mo one could do business safely
Shops closed, people sold their horses
carriages and ewelry. Secondhand
jewelry abounded. When last visited
the city of Buenos Ayres the heavy com
mercial houses, aided by European cap
italists, did what they could to avert til,
storm. but the daily report of business
failures finally developed a panic. O.
course the government was blamed fo
the distractions in the business world
and for a year or more | have heard o.
threatenings against the President ant
his Ministry. The latter tried to rails,
the wind by every eXpedient which wa,
suggested that might tide over the i'm
mediate crisis. 1t was currently report
deemed. and which should have beel
destroyed, were ressued. \ govern
ment railway which cost a great sum o
money was bartered away for $4,000,
000 Had it not been for popular clamo
the government would have parted will
the property for a much less sum whel
an urgent demand for money was eXpe
rienced The creditors were mostly
English, and John Bull is apt to nsis
upon payments due.
II heard the name of DIR. Don Carlo
Pellegrini mentioned as an available
successor to Celman. DR.. Pellegrini i
the Nice-Presdent. He has Il good rep
utation, too good to SUIT the harpies VIII,
plumber the people and who wish a les
scrupulous President. The Pellegrin
party was already quite large when
departed and it was a growing one
Celman went to Cordoya. his home, ant
it was believed by many that he woul,
not return, but he did. Gen. Mitre, VIII,
was formerly one of the military dicta
tors they call President, is abroad liv
ing on the proceeds of his additions
divisions and silences. He would lik
to go back, | heard, and try anothe
game at politics. So one may hear tina
he is on the sea en- route towards tn
Banda Oriental.
1.-The Italians had commenced the re
turn voyages to Italy last winter. Time
Il,