The Kootenai herald. [volume] (Kootenai, Idaho) 1891-1904, 1894-01-20
Carlisle Will Issue Bonds if the Re-
serve Gets Much Lower.
CONGRESS MUST HELP OUT
Some Decisive Action to Replenish the
Cold in the Treasury VIII Soon
Have to Be Taken.

ACTION TO feplenish the gold reserve In
the treasury will be taken within the
next few weeks. If congress does not
take kindly to the suggestions offered
! by Secretary Carlisle in his annual re-
port and provide at once some mode of
relief the only course left to the officials
Of the treasury department will be for
the secretary to exercise the authority
granted him by the law of 1875 and is.
sue bonds for the purpose of maintain
ing the gold reserve, The position
which confronts the administration is
one which they have decided to handle
with promptness. All the available
money now in the treasury consists of
the so-called 'gold reserve" which has
now been invaded $4,000 600, and by
the first of the month the department
believes the total amount will have
been reduced to SOS ,OOO, 900. Such a
situation, it is thought, will again start
the movement of gold toward Europe,
which would still further reduce the
amount of gold held by the United
States.
Secretary Carlisle has twice appeared
before the committee on finance, and
his presentation OF the case to the
members of that committee has been
a clear and explicit statement of the
situation. When he next appears be-
fore the committee, which may be to-
morrow, it is probable he will empha-
size his argument by the presentation
of carefully prepared statement of
the condition in which he finds the ma
tional finances, as well as the methods
prepared by him to afford relief. Car
Isle prefers that congress should deal
with this matter, but if the national
legislature fails within three or four
weeks 10 show any indications that it
intends to aid the secretary of the
treasury 1t is known he will be forced
to avail himself of the authority grant
ed him by the act of 1875 and issue the
bonds necessary to replenish the re-
serve.
All statements to the effect that or
ders have been given the bureau of
printing and engraving for plates, ETC.,
are pure fabrications. Absolutely no
action has been taken and no plans de-
cided upon. This much can be officially
stated: The attitude of New York
banks, as expressed in a recent publica-
tion in regard to furnishing gold for
export, should such necessity arise,
possibly had some effect in strengthen
ing the feeling that the government
should issue bends to protect the gold
reserve, 1t is denied, however, that
any agreement ever existed by which
the banks were to furnish gold.
A prominent democratic senator said
today that Secretary Carlisle would not
allow the gold reserve TO fall below
$50, 100000 and should the reserve be
reduced to nearly that point before
congress has acted Carlisle would i'm
mediately issue bonds. When this
statement was shown Senator Voor-
hees, chairman of the finance commit
tee, he declined to either verify or de-
ny 1t, only saying: THE secretary of
the treasury has authority and disposi-
tion to protect the credit of the gov
eminent, and l have no doubt he will
act promptly and effectively if an
emergency should arise" Senator
Voorhees, does not deny the report that
he is preparing bill to meet the emer-
gency, but this statement would seem
to indicate that he does not expect to
be called upon to formulate the meas
ure. With reference to the opinion that
a bill for bond issue can not originate
in the senate, it can be stated that law
yers of the senate generally are of the
opinion that it can originate there as
well as in the house. Senator Gray
says the house would probably make a
row over such action on the part of the
senate, but in his opinion the issuance
of bonds is not raising revenue as pro-
vided for in the constitution.
Protest Against a Bond Issue,