New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-01-18
CARLISLE TO ISSUE BONDS.
WILL NOT WAIT FOR CONGRESS-
THE ADMINISTRATION FORCED TO TAKE
SNAP JUDGMENT ON ITS OWN PARTY.

OFFERED TO THE PUBLIC AT 1l7.223 UNDER
THE LAW OF 1s75-AN ABSOLUTELY
INCOMPETENT PARTY NOW
FAIRLY ON EXHIBITION.
IBY TELEGRAPH TO THE TRrBuNEI
Washington Jan. 17.-Secretary Carlisle. by
issuing this afternoon his expected proposal for
a $4,000 900 bond issue to repenish the depleted
funds in the Treasury, has taken snap" judg-
ment on the Democratic majority in Congress-
doubtless in the hope that the present Treasury
offer of ten-year bonds at what is practically 3
per cent rate will be accepted by yFthe investing
public and the money thus raised turned to
current uses before the Democrats I'm the House
and Senate are able to rally strength enough TO
discredit openly tho Administrations last desper-
ate stroke to repair the recent alarming losses
In the Treasury's cash balance.
Though Mr. Carslc's bill 10 empower the Sec
retary Of the Treasury to negotiate regularly
authorized 3 per cent loan for current purposes
lies st-born in the Senate Finance Committee"
and the judiciary Committee In the House Is
even now considering Il resolution declaring the
SeCretary's present plan OF selling bonds to meet
current obligations Illegal and unwarranted, so
slow moving are the wheels Of legislation that
Mr. Carlisle and Mr.. Cleveland count on getting
their projected loan fairly through before their
party associates In Congress can make any
effectual protest against it "A the only sensible
means Of meeting a certain deficit in the Treas
ury threatened by democratic policies.
Approval OF Mr.. Cariisles step to-day does not
make less absurd the spectacle Of the executive
branch OF the Government asking for tempor-
airy loan OF $4,000 900 while the legislative branch
Is engaged In passing a revenue bill creating an
annual deficit OF from $50 900. 900 to $7O,000.00O
That the Democrats In the Legislative granch
should be at the same time opposed to the
temporary loan scheme brought forward as a
stop-gap by the head Of the Treasury adds a
crowning touch of burlesquc 10 the exhibition
OF utter ncompetency and irresponsibility made
on every public question touched since the
NievelaEd restoration"
THE sECRETARYs pRoPOsrTIoN.
The following Is the text Of the circular which
Secretary Carlisle has Just issued:
BY virtue OF the authority contained in the
act entitled IAN act to provide for the resump-
tOn Of specie payments" approved January II,
1875 the Secretary OF the Treasury hereby offers
for public subscription an issue Of bonds Of the
United States 10 the amount Of $5OOOOOCO. in
either registered or coupon form. In denomina-
tons Of $50 and upward. redeemable in coin at
the pleasure Of the Government after ten years
from the date Of their issue. and bearing inter
est payable quarterly In coin. at the rate OF
per cent per annum.
Proposals for the whole any part Of these
bonds VIII bc received at the Treasury Depart
ment office ~ the Secretary. until T. o'clock
noon. on the first day Of February 1894. Pro-
posals should state the amount of bonds desired.
whether registered or coupon, ana The premium
which ;le subscriber proposes - pay. the plac"
where II is desired that the bonds shall be de-
liycrcd. ana the office. whether that Of the
Treasurer - the United States or an Assistant
Treasurer of the United States. where II VIII
bc most convcnien. for the subscribe: 20 de
posit The amoun, ~ his subscription. Failure to
sDc' .iy u.o above pa'. -tlais may cause tie pro-
posal o. be rejected
A. soon a. practicable after the first day Of
February. 1894. tht allotment ~ bonds will be
Ia lffFr m.
posaI will te considered NJ lower pr!ce than
li72?3 which is the equivalent ~ q 3 per cent
bond M Iar. ana the right To reject any or all
proposals. Is hereby cXprcssly reserved. In cas-"
the bids entitled To- allotment exceed the bonds
% BE- issued they Will be- allotted pro rata.
Notices II the date u delivery Of the bonds
Will be sent - the subscribers - whom allot-
mcnts are made a. soon ~ practicable, and
/ within ten days from the date of such notice
subschptiors must be paid In United states
/ gold coin to the Treasurer or such Assistant
Treasurer II the United States the subscriber
has designated. and II not 80 paid the proposal
may BE- rejected.
Tho bonds viii be dated February /. 1894, and
when payment Is made therefor. as above ac-
crued iniercs. on both principal and premium
from February i. 1894 TO date OF payment. at
the rate Of interest realized to the subscriber
on his Investment Will be added.
All proposals should be- addressed 10 the Sec
retary of the Treasury. Washington. y. c.. and
should be- distinctly marked Proposals for sub
scriptions 10 per cent bonds. j. q. Carlisle.
Secretary.
| Copies OF the circular will be mailed to-mor-
row TO all Sub-Treasuries.
OPPOSITION or THE SILVER MEN
The action OF Secretary Carlisle in announc-
ing a bond issue was not generally known even
In Treasury circles when the department closed
| to-day Among officials who were cognizant Of
| his intention the opinion was expressed that he
acted none too Treasury gold is rapidly
on the decline. The loss to-day was $4,000.
| and since the first Of the month the gold bal
ancc has declined from $OS9l 900 10 $'0.63i,9l5,
| with the present indication that II Will fall be-
low $4,000 900 tomorrow. The bonds are. Of
| course IA b, purchased for gold only, the
Treasury gold will he built mp TO the extent Of
the bond issue. This. howevcr 1t Is anticipated.
may only give temporary relief Gold may be
paid into the Treasury FOR Donds one day ana
| the very next day the same gold may be with
| drawn by presenting legal tender notes or coin
certificates for redemption
The effect Of the bond issue. however, will b.
to give IN, Treasury more mOney-whether gold
or currency Is immaterial-and 70 ease up Cow
ernment finances at least for the present.
Representative Bailey. of Texas discussing
| the present phase OF the treasury "iInculueS'
said this morning
mo man doubts the power OF the Secretary
of the Treasury TO issue ppnuS uii,er the Nc-
! sumption act but | think II II perfectly clear
/ that he has no authority to sell bonds or use
| their Proceeds for any purpose except for the
purposes specihcd In that act
Indeed The part OF that law winch conferS
/ upon him auch pOWer rs he possesses enables
him to issue and sell bonds expressly IN order
To- prepare and provide for the redemption OF
| the fractlonol paper currency and the United
States legal-tendcr notes
Speaking for ryscf-and am sure that |
fairly Represent ihe sentiment Of nearly all the
men who onpose the issue OF bonds am rs
anxious az MI Carlisle that this Government
shall meet every obligation promptly; but can
see neither necessity nor wisdom IN selling In
terest -bear,np bonds when we have more than
s5o.oOO.oOO profit In the silver bullion purchased
under the Sherman law which Is now an an, IDLE
utilized To coycr the existing deficiency AS be-
tween using something which we must bor-
row. 1t does not seem 10 me that prudent
business man would hesitate long IN making MS
choice"
BANKERS ARE DISAPPOINTED.
AN UPSET. PRICE THAT DEbARs INVEST
MENT FOR PRoFIT-THE BOND ISSUE CON