The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1894-02-11

duty OF the Secretary OF the Treasury to
pay them out of any money in the treasury
not otherwise appropriated, and the Secre-
tary OF the Interior makes a requisition on
the Treasury Department for money to pay
pensions. The Secretary of the Treasury
finds no money in the treasury not other
wise appropriated, except the money that
has been realized from the sale OK bonds.
whether he will stop the payment OF pen
sions, whether he viii stop payment for
work on public buildings, whether he will
son uavment for work on rivers and mar
bors. whether he will withhold salaries or
use the money in the treasury not other
Mr. Boatner-Would you consider it i'm
proper 10 give your opinion as 10 the duty
secretary Carlisle-I will give it very
plainly. i believe IL is my duty 10 pay PEN
sions and all other public obligations. and
While / stay there L shall endeavor TO
maintain the credit Of the government BY
paving it's obligations.
Mr.. Boatner1Out of the proceeds of the
bonds which you now propose TO sell?
Secretary Carlisle would not use the
avoid X, but / would not let the obligations
Of the government go TO protest and fail
gress for legitimate purposes and for car
rying on the expenses of the government
as long as there is a dollar in the treasury.
Mr.. Carlisle further stated his reluctance
in resorting to bonds. AS to the kind of a
pond which MI. Carlisle thinks Congress
should authorize there was the following
discussion:
to remedy this trouble would be for the
Secretary 70 issue bonds for a specific pur-
pose. Is that the point?
Secretary Carlisle think a short-time
bond should be authorized, bearing a low
rate OF interest. TO be issued in small de-
nominations, which / think would be taken
largely by the people who have money in
savings banks, and the Secretary could
sell them or use the proceeds in the pay
q - 0ZnnndffNrr oG nnA 1nn - -
OF the further revenues. That was my
recommendation on the subject, simply be-
cause saw 1t was impossible for Congress
to provide by taxation any revenue which
could be collected in time for this fiscal
year.
Mr.. Stone-And you did not see a dis
position on the part of Congress TO do it?
Secretary Carlisle@I concluded TO issue
bonds under the existing authority, a thing
this committee. for / did not want to see
the public debt of the country increased In
any way whatever or for any purpose
whatever.
The gold clause in Mr.. Carlisle's pro-
posed-for bonds, brought out the following
explanation from the Secretary:
Mr.. Bailey-How are you to be paid for
the bonds now advertised for sale? Do you
demand gold coin?
Secretary Carlisle-Yes, sir. The pro-
poSal calls for gold coin.
Mr.. Bailey-This is the first time there
has been any discrimination
Secretary CarliSle=NO. Secretary Sher-
man sold bonds for gold coin.
Mr.. Bailey-I mean this Is the first time
since the act of 1878 was passed. When
Mr.. Sherman sold those bonds gold was
the only legal tender.
Secretary Carlisle-Wha the Secretary of
the Treasury says is substantially this:
Congress has invested me with authority
to issue bonds and sell them for coin. L
will not issue bonds and sell them unless
the purchaser will give gold coin for them,
because gold coin is what is needed TO
maintain resumption and the parity of two
metals.
Mr.. Oates-The bonds are made payable
In coin?
Secretary Carlisle-Not gold coin, but in
coin. When Congress compelled the Secre-
tary of the Treasury by law TO buy S156,-
O0O. 900 worth of silver Ii specified In definite
terms the buying of silver, and he did it.
Mr.. CarliSle'S views were then secured
on the plan of another issue OF greenbacks.
He was asked If it would not be feasible
and practicable to authorize the Secretary
of the Treasury to issue treasury notes suf-
fcient to relieve the wants and necessities
of the treasury. The Secretary said:
"Why of course. Congress could do that
and the Secretary of the Treasury would
use them. If you ask me. as a financial
question, whether / think it wise in Con-
g~reenbacks / should say no, because 1 be-
1ieve. in the first place, there is an ample
supply of money in the country for the
business that is being transacted, and a
great deal more than Is being used"
In concluding the hearing, Mr.. Carlisle
expressed himself vigorously as to the va
lidity of the present bond issue. He was
asked by Mr.. Stone If the bonds would be
hurt By legal questions. and replied: mo;
because If the Secretary of the Treasury
should issue these bonds and take the gold
and dump ii in the middle of the Atlantic
ocean it would not vitiate the bonds"