The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1892-08-20

brazil to-day? Both those countries
resorted to paper money, and though
the Argentine Republic was support
ed by the most powerful private bank
ing house of England-the Barring
Bros.-their efforts were In vain; they
could not get gold. and in the collapse
that great house went down. 1t was
paper money which brought that
country to grief. The issue in
creased month by month, gold
was drawn from the country,
the paper was enormously de-
preciated, and collapse was the
final result. Unless ali science failed,
Brazil would share the fate of the Ar
gentine Republic. Recent advices are
that the Rothschilds have refused to
act any longer for Brazil in Europe.
Would Hawaii ignore the fate of these
countries? Such Issues of paper money
had never failed to depreclate, even
the United States greenbacks,
put gold at 270, and they
were only redeemed by the wonderful
resources of the country. If we were
unwilling to profit by the experience
of these countries, it would not be long
before this country would be in the
same condition as they were. He
did not doubt the sincerity of the in
PRODUCER, but if a scheme were on foot
to steal the independence of the coun-
try 1T could not be more cunningly de-
vised than by such bill as this. If
this country wished to be safe, it
must steer clear of such complications.
In two years it would be bankrupt,
and we would witness the humiliat-
ing spectacle of the agents of foreign
House collecting the duties. The ma
tive members might not be aware that
the duties of the Argentine Republic
were collected in London. That was
precisely what we would come to if
we cannot meet our obligations in
gold. The speaker, proceeding, said
the debate yesterday had showed con-
clusively that this bill was not adap-
ted to the needs of the situation.
There was not one element of sound
ness in it. It was so full of absurdities
and inconsistencies that he considered
it a criminal waste of time to discuss
it. The member from the Third Dis
trict had admitted that the Post
master-General was not the one to
stand at the head of this great bank.
He was surprised that the introducer
had not added to his duties the work
of the Superintendent of Public Works
and the Water Works. The Noble
from Maui had showed how easy it
would be to pay high taxes for the
first year on rotten piece of property
and then float it on the Government.
The introducer had told US that the
security for the paper would be real
estate. How would that help us to
meet our foreign obligations in gold?
Could the real estate be shipped
abroad? Did not the introducer know
that if the Government had no gold
it must be purchased? He would have
to go to these planters and buy it.
Did he not know that real estate
would depreciate, and everything else
in the shape of a commodity? He
would call attention to Section 5,
which provided that certificates of de-
posit should have the word "re-
deemed" written across them and
cancelled, the Minister of Finance
keeping a record of them. That was
very loose provision. Section pro-
vided that the rate of interest should
be fixed after the first census had
been taken. Was the Government
rate of interest to be fixed only every
ten years? Noble Horner: Yes.)
Without reference to the rate of inter-
est here or elsewhere? Noble Horner:
Yes.) Well, that is what expected,
and about on par with the rest of the
bill. Section provided that United
States gold and Hawaiian silver
should also be received the same as
the paper. Now there was condescen-
sion for you. The bank would kindly
take United States gold, if necessary.
The provisions against counterfeiting
showed the introducer to be q humor-
ist. 1t was not likely that anybody
would take the trouble to counterfeit
that trash. In Section Is was the first
intimation that anybody was to have
anything to do with the bank except
the Postmaster. Perhaps the scheme
was so nicely adjusted that it would
run itself. There were unconstitu-
tional provisions in the bill, but
doubtless twas intended to repeal the
laws, the Constitution and everything
else. The member referred to another
passage. Noble Horner: That is q
typographical error The whole bill
must be a typographical error. The
bill was mass of inconsistencies from
beginning to end. There was enough
intelligence in the House to indefin.
ltely postpone the bill.
Rep. Smith doubted whether any
fuller discussion would change any"
ones opinion, and he would now re-
new his motion that the committee
rise and recommend the indefinite
postponement of the bill. The printed
bill and pamphlet had been before the
House for weeks, and it was in the
interest of the House to come to a
vote.
Noble Horner said he would occupy
but few moments in replying to the
objections made 1t was quite sur
prising to what flights of fancy mems
imagination would carry them.
Laughter, and calls of kokua.7 The
member compared the last speaker to
the old maid who would not marry
because she imagined accidents which
might happen to her children. Noble
Thurston had imagined yesterday
hat if the bill had been in operation
| MD years ago, when the Laupahoehoe
Govor,'...>. VASE IiueoP + $3.50, 900, the
government would ba,; lent S25l. OOO
noan ~ AS matter of fct, the Govern,
r nen est would onIH. hTe lent on the |
!: ~ s-as9e bin does rot take as
security any railroads, any cane, any
but real estate. The !
plantation had, perhaps, 5000 acres Of
land taxed at $50 an acre. The loan
on that would have been $4,000. The
bill had fallen once, and it
would not fal1again. BY the time this
bill came into operation we would be
down to bedrock, and property would
pc low When he had introduced this