St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1893-02-21
FOSTERS HARD FIX.
Whether Authorized or Not
He Will Issue thu Gold
Bonds.
The New York Ban keps
Helped Him and He Will
Help Them.
Minnesota Contractors Sur
prise Their Opponents on
the KanaWha River.
Gossip About Men Who Will
Secure Important Posi-
tionS Next Month.

Special to the Globe.
WASHINGTON. Feb. 20.-Just before
the present administration hands over
the government to the Democracy, Sec
rotary of the Treasury Foster will use
the authority claimed to be his under
debt S5O,OOO,OOO.
This is the opinion held by nearly
every well-posted member of congress.
AS to whether the specie payne mt act
of 1875 gave to one man, a member of
the cabinet of the president, the
power to increase the debt of 65,000,000
people, is question upon which there
is great difference Of opinion. The
Republicans claim that it does while the
Democrats hold tbs reverse. The fact
that Senator Sherman has introduced
an amendment to the sundry civil bill
giving Secretary Foster this authority,
furnishes the best possible reason for
believing that the Ohio senator does not
think that the act of 1875 warrants any
such construction.
Sherman amendment even if 1t passes
the upper house, and if bonds are sold
by Secretary Foster it will be under the
act of 1875. That such course will be
taken by Secretary Foster is thought to
be certain; indeed, it is believed that
he has
Promised His Friends,
l. II 1 Il
so in return for the manner III which
they came to his rescue by loan
ing gold to the government during the
past three weeks.
Among the members of congress as
among the people there is feeling that
it is disgraceful state of affairs which
requires secretary of the treasury of
this great government to 90 skurrying
among the bankers of Wall street in
order to keep things going, and if bonds
are SOLD the curious spectacle will be
presented of one man increasing the
government debt without reference to
the representatives. who come direct
from the people.
The New York bankers are fairly
hungering and thirsting for an issue of
bonds by the government, and there is
no question that they will do all in their
power to bring it about. But the ,seri-
BUSINESS of the financial condition of the
government is impresSing itself on
every one. and the deceptive state
ments of the treasury department and
the interviews of Secretary Foster are
ne longer sufficient to satisfy even the
partiSanS who are willing to believe
great deal for the sake or the party. AS
matter of fact the treasury is bank
rupt, and unless something is done it
will soon follow the example of the
Reading railroad and ''suspe nd pay
day" OH contracts and other obligations
Indefinitely.
The head of the present administra-
ton will go out of Office with little
credit, unless it shall soon call attention
of congress TO the real condition of af-
fairs. When President Harrison came
in four years ago the treasury was full
to overlooking; a great surplus was
almost forcing open the great doors
OF the vaults.
The Surplus rs Gone.
But 1t has been disslpated like the
dew on summer morning. and the gov
ernment is now at least 100000 be-
hind.
Another congress like the Fifty first
would have increased the government
debt $500, 600, 000," remarked member
Of congress this afternoon, and he was
not far off.
But, judged by the arguments used
by the Republicans, such an increase in
the government debt would insure great
prosperity. If farm mortgages are an
evidence of prosperity in Minnesota, as
they claim, why would not the same
rule hold with the government?
The condition of the treasury at the
close of President Buchanan'S term will
no longer be referred to by Republican
campaign speakers. When the Repub-
licans came into power in 1861 the
country had no money on hand, but it
had practically 10 debts. Under the
administrations of the treasury depart.
ment by Walker, Guthrie aud Cobb the
expenses of the government only had
been drawn from the people There
was practically no pension list. and the
credit of the country was so great that
it was able to stand the great bond and
currency issues of the next four years.
The
Buclsanan Administration
squandered no great surplus, and it
never furnished the spectacle of the
secretary of the treasury on his knees
before the bankers of New York city.
The great haste displayed by the pres-
dent and the secretary of state In push
Ing through the Hawaiian matter with
out giving the representatives Of the
fallen government all opportunity to be
heard was simply done 10 divert the at
tention of the people from the financial
condition OF the government; both
would favor a war IN order to secure
all excuse for issuing bonds