The times. [volume] (Richmond, Va.) 1890-1903, 1894-01-27
ARE SOUTHERN KEpRE ,E>TATIvEs
MADs

I
OF the House of Representatives tc
give il his views touching his risht e
make the bond issue which he has al
yertised. They also stated that the sub
committee had reported to the full COM
mittee that the Secretary had no au-
thority 10 make the issue, and this
| circumstance is sufficient to arouse the
| people to consciousness of the fact
that this report OF the Subcommittee
| OF the judiciary Committee will con-
| front the country with a very serious
state of affairs II IL shall be accepted
by Congress and the country as the
law Of the case. Air. Carlisle had al
ready stated that the deficiency OF the
government income to meet its LA
bilitics for the current year. ending
June 90 1891. would be 81. 900. When
before the Committee on Thursday, lie
said that deficiency would so to SeO00,0oO.
Just what the deficiency will be no one
can state positively. but we know enough
to know that il will be enormous. The
gold reserve OF SlOo. 900, has been re-
duced TO but a little more than $D,o0JO0O.
and the gold obligations of the govern
mcnt payable on demand are more than
500, 900, to say nothing OF the si2oO0O0O)
Of silver certificates. which must be kept
at par with gold to prevent gold going
10 premium. and Mr.. Carlisle told the
committee that he had been using the
gold reserve for the ordinary expenses
OF government when he had no other
funds and that he should continue 10
do so. 1t is easy. therefore, to see that |
the country is perilously uear a sus-
pension Of gold payments if Mr. Carlisle |
is in any way prevented selling bonds |
for gold TO replenish the depleted re-
serve. and that means another financial
panic, compared 10 which our recent
panic was the merest bagatellc. IT,
therefore, the country does not arrest
the wild men in Congress in the prose
cution Of their wild schemes they will
come very near plunging us into the
greatest national calamity that ever be-
ell a people.
II is with peculiar chagrin that we
Of the South have to admit that this
effort to embarass Mr.. Carlisle in his
absolutely necessary move to strengthen
me gold reserve, owes its initiation TO
southern man. Several days back.
'lr. Bailey, Of Texas. introduced reso-
ution into the House, declaring that
he Secretary had no power to issue
ne bonds that he had advertised. which
vas referred to the judiciary Committee
no u was on the consideration of this
esoiulon that Mr.. Carlisle was before
nat committee. At the time the sale
these bonds was advertised this same
IT. Bailey expressed his views touch
* the issue in the following language.
S reported in the Washington Post:
NO man doubts the power of the Score
ly Oh the Treasury to issue bonds
Auer the resumption act. but think it
perfectly clear that he has no authority
sell bonds nor use their proceeds for
~ purpose except for the purposes I
'ecfied in that act
indeed, the part of that law which
nfers uDon him such power as he nos
sses enables him to issue and sell
mas expressly in order to prepare and \
DIVIDE for the redemption Of the frac-
'nai paper currency and United States
gal tender notes
Speaking for myself. and am Gun. =,
at l fairly represent the sentiment
nearly all the men who oppose tho is u
e OF bonds, j am as anxious 90 NJ 4
irllsle that this government shall moot Il
cry opisduon promptly, but | can 500
ither necessity nor wisdom in souiar
bonds when we have
ore than fifty millions profit in tho +
yer puiiion purchased under the sher-
=" Jaw "hich Is now an idle asset of N
a.. y ana which can easily be -
-. - 'o'er the existing deficiency
between using something which xye
Ieduy nave and paying interest on Z
'"elhihs which we must borrow il
- hOt seem 10 me that a prudent bust II
. man would hesitate long in making
; choice" +
VOW mere is a case of the Treasury of tt
United States being in most imme- -.
tie ana urgent need Of gold to prevent
y possibly another overwhelming p;
lncial panic. The Secretary of the
7asury and the whole administration
luding the Attorney-General declare ~,
{ existing laws authorize the Secretary
sell these bonds and secure the gold
essary to avert the panic. but q
thern congressman. backed by soutb-
congressman, must step forward IN
est the Secretary in his most necessary r.,
TX. in the vain hope that they may II
reby boost their humbug idea of the sr
sibility Of this government turning 81
cents into a dollar by a word Of hi
lmand. err
ow we wonder that the country re- 40
IS 10 trust the South? Need we wonder p
ali the property interests of the sta
IN. and West shudder when the sug-
ion of the South controlling the ma co,
al government is made9 Need we POI
der that they look upon us as peo- Sta
who consider themselves bankruDted
the war, and therefore reckless and
ferent to whom they bankrupt In ~
rn? 1t is sad reflection to enter rro
but it is one to which the mind min
lot be closed. poe
VIII
str,
e New York Herald, IN an article of