The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1894-01-17
DANIEL FLOPS AGAIN
Voorhees, Now Thinks Carlisle Has
Power to Issue Bonds.
Not Long Ago He Flew Into Rage
When the Same Proposition Was
Made, and Called 1t ScandalOus.
REPLY TO CARLlSLE'S LETTER
The Senator Says New Legislation
Cannot Be Had at Present,
And That the Law of 1876 Gives the
Secretary All the Authority He
Needs-The Tariff Debate.
pecial to the Indianapolis Journal.


WASHINGTON. Jan. 16.-Chairman Voor-
hees stated to-day that after the Senate
finance committee had, at a number of
meetings, taken under consideration the
present condition of the treasury and had
informally talked over the proposition of
bond issue. and after he himself had made
an informal canvass of the Senate on the
subject. he had reached conclusion that
it would be useless to attempt at this time
to secure the adoption of bill authorizing
a bond issue. as the debate upon it would
renew the silver issue and precipitate the
tariff question. He believed that there would
be an almost endless debate, continuing un-
til the tariff bill itself was brought forth
from the finance committee. Senator Voor-
hees did not make the direct statement,
but he as good as said that Secretary Car
Isle would almost Immediately proceed to
issue bonds under existing authority and
offer them in the market to the highest
bidders. 1t will be recalled that when, near
the close of the last administration, it was
reported that Secretary Foster intended to
issue bonds. Democrats of the VOORHEES,
school came near going into paroxysms,
and declared that the Secretary of the
Treasury had no authority to issue bonds
and that it was little less than a scandal
that any one should claim an existing ne
cessity for an increase of the interest bear
ing debt Of the United States. Now, that
the burden falls upon the Democratic adj
ministration, the Hoosier Senator seems to
think things are different, and that it is
all right for Democratic Secretary of the
Treasury to issue bonds under the same au-
thority that existed during the last admin
istration.
After the meeting of the finance commit
tee to-day Mr.. Voorhees, made pub,ic tba
statement given below. In making IL he
said he did not assume to represent the
views of the entire committee, and vet he
knew OF no opposition in the committee 10
the opinions expressed. He submitted his
statement to the full committee before giv
ing 1t to the public. 1t is as follows:
Ihe embarrassed condition of the treas
ury ana the necessity for prompt action
Tor Its relief are fully realized There is
not the slightest ground, however for ap-
prenension that the public credit will slIf-
Tor or be endangered, for the reason that
ample authority already exists by law for
the Secretary of the Treasury to strength
en- MS coin reserve to any extent required,
anu 10 meet every demand that can he
legitimate. The power of the Secretary for
the issue Of bonds needs nothing bevond
Mhat Is given by the act of jan IA, 1875.
The only desirable object to be attained bv
new legislation at this time on that suh
Ject is to make shorter time bond with a
lower rate of interest, and yet the Secre-
tary feels assured that he can negotiate
bonds issued under the act of 1875. run
ming only ten years. on practically a. 8 per
cent basis. 1t seems. therefore, that it
would be wiser. safer and better for the
financial and business interests of the
country to rely upon existing law with
which to meet the present emergency ra tn
er than to encounter delays and uncertain
ties always incident to protracted discus
sion in the two houses OF Congress- This
view OF the condition of the treasury ad-
mits of but little, If any, delay, and of no
uncertainty at all in the final action to be
taken.
.'It would be trifing with a very grave
affair to pretend that new legislation con-
cerning the issuing of bonds can be accom-
plished at this time and in the midst of
present elements and parties in public life
with elaborate, extensive and practically
Indefinite debate. 1t is also obvious to ev-
cry one that the consideration and discus
sion Of the tariff now going on In Congress
Will render any financial legislation at this
time far more. difficult and complicated
than II might be under another and diff
ferent circumstances.
that the Senate finance committee for seV sew
eral weeks has had this subject under al
most constant consideration, and that the
examined and discussed with the greatest
care. The interest of the committee will
by no means be abated from this time
forward. The fact that much remains
10 be done is fully recognized. Whatever
deficiency in the revenue may exist during
the current fiscal year will be promptly
provided for by appropriate and efficient
legislation at the earliest practicable mo-
ment"
The Senate finance committee authorized
Senator VOORHEES, to introduce the Carlisle
bill in the Senate and also to present the
letter from the Secretary Of the Treas
ury for the consideration of that body,
which was done. This authorization as
to the introduction of the bill is not in
mittee has decided to make an effort TO
pass the bill through the Senate, or that
1t has further indorsed it than to allow it
to be printed and referred to the commit
tee in the regular way for consideration.
Representative Bland says Secretary Car
isles letter. urging an immediate issue of
bonds raises the bond issue very sharply
as against the pending Bland bill to coin
the seigniorage. ''It is a plain proposition
to run this government on bonds" said he
land in my locality 1t would damn any ad-
ministration for all time to come If exc
cuted / do not think the Secretary has
the power to issue bonds under the present
law"
Representative Bailey's resolution, offered
Yesterday, TO restrict the Secretarys power
on an issuance of bonds, went to the ju-
dietary committee and, it is understood, the
resolution, which is antagonistic TO a bond
Issue will he repOrted fayOrably.