St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1894-02-01
SENATORS ON BONDS.
Senator Stewart Says Carlisle
Has No Right
TO ISSUE THE SAID BONDS.
Senator Voorhees, Comes to
the SeeretaPy's Rescue,
AND PAYS A GLOWING TRIBUTE
70 the Man in Charge Of the
Country's Finances.
sRD PAYS A GLOWING TRIBUTE
A LAWYER AMONG LAWYERS.

W NaSHiNGION, JAN, OIL liz eullIc Z
time of the senate today was consumed
in the discussion of the resolution of
Senator Stewart. of Nevada, declaring
that the secretary of the treasury has
no right to issue bonds. Senator Allen
opened the discussion in support of the
resolution. Senator Hoar surprised his
Republican colleagues by sustaining
the position taken by Senators Allen
and Stewart, and Senator German made
a speech directed principally to reply
ing TO the partisan structures Of Senator
Sherman Yesterday, but giving no eX-
preston of his opinion as to the author
itY of the secretary of the treasury to
apply the proceeds of the bonds to meet
ing current expenses. A great discuss
ion followed, participated in by Sena-
tors Aldrieh, Sherman, Voorhees, and
others.
Religious societies appear 10 be max
ing systematic fight on whisky and
beer, and desire to tax these articles to
such degree as to make them prohibit
ory fixtures Petitions this morning were
presented by Senator Cullom Qll.), pray
ing that the internal revenue tax on
these articles may be trebled in the new
tariff law. The resolutions
DENYING THE AUTHORITY
of the secretary of the treasury to issue
the proposed United States bonds came
up, and Senator Allen Pop, Neb.) took
the floor to reply to the argument of
Senator Sherman yesterday.
ss'ibp cpnotnr fran, Ohio ;, cold
Allen, ''in discussing this question yes
terday, said that this power of the sec
retary of the treasury to issue bonds
was a continuing power, and that it
continued until water ceased to run,
and until this congress shall change or
modify it by law. That law does not
authorize this Interpretation. 1t pro-
videS for a single act of redemption.
1t provides thai ne may sell bonds for
the purpose of making the redemption
mentioned in the act. All through the
act where this subject is referred to, is
conveyed the idea in plain language
that it is single redemption that is to
be@made in this act. When that redemp-
tiOn was made the power to issue bonds
ceased with it. Whenever this govern
ment called in the excess of $500, OOO. 600
of outstanding treasury notes and re-
deemed or destroyed them, the power to
iss bonds ceased"
- pes not the duty of retiring the
three hundred millions continue the
same as before?" inquired Senator
Platt, of Connecticut. us not the Sec
retary OF the treasury just as much
bound to redeem treasury notes pre-
sented now as before the limitation of
the redemption of those notes?'
mo, Sir" replied Senator Allen.
Does the senator hold that if the
treasury note is now presented the
treasurer is
NOT BOUND TO REDEEM IT?''
u do" replied Mr.. Allen; "he is not
under any act of congress now in exist
ence.''
Senator Stewart. of Nevada, inter-
rupted ard confirmed by his views the
statement Of Senator Allen,
"Do understand the senators from
Nebraska and Nevada to maintain.n in
Quired Senator Allison, of Iowa. .tbat
under the resumption act of 1875 it was
only intended to redeem or provide for
the redemption of $75,oOO,OOO of the
greenbacks, and that when those s75.-
100000 of greenbacks were redeemed at
the treasury 1t was the end of the re-
demption?"
That is the extent of the power
given by the law" insisted Senator
Stewart.
81 desire to know" continued Senator
Allison, from the senator from Ne
braska, who has the floor, if that is his
construction of the law under the origi-
nal act?''
Before answering that question:"
said Senator Allen. 81 desire to ask the
senator from Iowa a question. Is it not
true that the power possessed by the
secretary of the treasury must be such
power as IS conferred upon him by the
statute?''
mo DOUBT ABOUT THAT"
assented Senator Allison.
Now | ain prepared to answer the
senator from Iowa. My construction of
the redemption act is this: That the
only power conferred by that act upon
the secretary of the treasury was to re-
deem the volume of outstanding legal
tender treasury notes on the first day of
January. 1879, down to $500, ,OOO, 900, and
that his power stopped to redeem them
when they reached that point.n
II assert" maintained Senator ALLEN.
THAT under all these acts, constituting
them together, the secretary of tho
treasuary never had power to redeem
beyond $500, 900, 900, and he does not
possess that power today. ANY other
conclusion transfers the entire power
over the financial affairs of this nation
from congress, where tile constitution
vests 1t, to the unlimited and unchecked
discretion of The secretary of the treas.
ury."
Then, your contention is." said Sen.
ator Allison. '.that the s95. 9a0, 600 of
bonds which was sold by the secretary
of the treasury for the purpose of pre-
pairing for resumption were Illegally
solG-at least over the exc ess of $751;
o0o,OqR
mot a. al, replied Senator Allen.
have made no contention of that kind.
MAY AFTER A wIIILE."
Ihe plain meaning of the act of
1878, as conceive it." said Senator Har.
ris Cfehn.), lis that every note when
presented shall be redeemed. but they
may continue in circulation"
"The law Of 1875" said Senator ALL