The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1895-02-21

have been purchased to maintain the gold
reserve. How did the treasury obtain the
money to meet the deficiency in the reye-
nues of $109,O00,000?"
"Still harping on that" replied Mr. Will
| son, with a wave of his hand; but Mr..
Dingley insisted upon an answer to his
question, and Mr.. Wilson replied that, as
he had stated on a previous occasion, it
was partly true that by the operations of
| the endless chain process, by which gold
was drained from the treasury, some of
the money obtained from the sale of
bonds had been transferred to other ac-
counts and had been used to defray cur
| rent expenses. He called Mr.. Dingley's
attention to the fact that under the ma
tional bank act of 1894 the bank notes.
being redeemable by the treasury, could
be used by conversion to drain the treas
ury of gold, as well as the legal tenders.
Mr.. Dingley however still persisted
upon more specific answer to his original
question, and Mr.. Wilson finally admitted
| that large amount of the gold received
| from the sale of bonds had been used to
meet the deficiency in the revenues.
Then Mr. Dingley, recurring to Mr..
Wilson's former statement about the
transfer of bank trust fund to the avail
able assets of the treasury, declared that
not one dollar of that fund had been used
| to defray current expenses.
The difference between your methods
and ours" replied Mr.. Wilson, amid a
burst of Democratic applause, sis that
when we needed money we borrowed it.
| You borrowed it from trust fund"
Mr.. Dingley insisted that the fund was
not used until 1898, whereupon Mr.. Will
son cited him to Secretary WINDOWS re-
| port, stating that on September 10, 1880,
the only available cash in the treasury
&c tl,N f,,r, nod
over to that account in the preceding
July. This ended the fencing between the
opposing leaders and Mr.. Wilson contin-
ued his argument where it had been brok-
en- off by Mr.. Dingley's interruption.
Secretary Carlisle, in borrowing this
gold, had only done what Mr.. Sherman
had DONE He had sold per cent 30-year
bonds at the rate of 104 1-2, with the
right to substitute at par 3 per cent gold
bonds. If the government continued to
maintain its traditional policy, the 4 per
| cent bond would be virtually payable in
gold, because the government was bound
| to maintain all its currency on Il parity.
| As the bonds will be paid in gold it was
| the sense of the ways and means commit
| tee that there ought TO be no heSitating
| in making these bonds payable in gold
and saving to the government in interest
| charges II sum amounting to over S16,-
which gold is being put into the treasury
| and placed on vessels for shipment to
this country. 1t cannot be set aside: it
was made under ample provision of law.
| The question presented here is whether
we will substitute for Il 4 per cent coin
30-year bond , per cent gold bond.
Mr.. Wilson asserted that for % years
| the gold standard had been the practical
money in this country; that gentlemen con-
fused the standard of payment with the
currency of payment. Two experiments
had failed to give relief, and now the
| treasury had been obliged to resort, as it
had under Secretary Sherman, to a special
contract.
Mr.. McAIillm Dem., Tenn asked if it
| would not he possible to raid the gold re-
serve in the future as it had been in the
past.
Mr.. Wilson replied that it has UNI
doubtedly been possible since the first