The Providence news. (Providence [R.I.]) 1891-1906, 1895-01-25
CURRENCY.
Cox Makes Radical PROPOSE
tions in Financial Scheme.
Allison Has Compromise BiIi--income
Tax Beams Forth as Star OF Hope.

WASHINGTON. Jan. 25.-The do.ails OF
the amended financial plan which Mcs~s.
Springer and Cox and two or three other
members Of the banking committee are
discussing with Secretary Carlisle were
learned yesterday
They had long conference with tho
secretary and are OF the opinion that tho
notifications TO his plan meet his sane
tion. The most radical Of the new
propositions for which Mr. Cox stands
sponsor Is that for the free coinage Of sill
yer.
1t contcmplates the cancellation Of the
sherman notes when received at the
trersury,and the issue OF silver certificates
I'm denominations OF 81, SO and s.. or Of sill
yer dollars IL tho receivers prefer To back
these silver certificates, IL Is proposed to
coin all the bullion In the treasury, which.
including S54, 900 900 seigniorage, amounts
TO sls1, 600, 00o 1t is calculated that not
more than Si0,000,0o0 can be coined In
year.
The changes In the banking features OF
the plan provide that while the banks
shall hold the same. reserve now required,
one-half shall be In legal tender green
backs or Sherman notes. Representative
Cox explains that this arrangement would
relieve the treasury OF the raids upon the
gold made possible by the large volume Of
outstanding notes, since would dispose
OF 500. .00U. 600 OF notes by using them TO
form the basis of banking and ti0o, ooo. 600
for reserves In banks. Ii Is conceded that
tt might be necessary to empower the
secretary TO issue low rate bonds to pro-
tect the treasury ngainst large Withdrawals
Of gold.
Aiiison's Bill Favored.
The proposition of Senator Allison TO
authorize the secretary Of the treasury TO
issue exchequcr notes to run one, two and
three years, bearing low rate OF interest,
appears 20 meet with much favor on both
sides of the chamber.
They would be simply In the nature Of q
temporary device to assist the treasury in
tiding over the present crisis, and afford q
breathing spell until the operations OF the
new tariff law had been fairly tested as to
its ability OF producing sufficient revenue
to meet the demands of the governments.
The free coinage senators on both sides
OF the chamber. 1t is understood, will not
antegonize measure of this sort They
have announced their determination to
antagonize and defeat any proposition
u
long period, redeemablc I'm gold.
The advantage Of exchequer notes, I'm
the minds OF these senators who are op.
posed to the issue of bonds, is that they
cannot be utilized by the banks 1t is
now the belief of those senators who un-
derstand the situation In the senate that
the authorization Of something like these
notes will be the only legislation that can
be enacted at this session.
In order that there should be harmony
and united action among the Republicans
concerning financial legislation, Repub-
lican caucus will be held today for tho
purpose of considering matters relating to
the financial situation and other import
ant legislation TO be enacted at this ses-
sion. The Republicans senator's all agree
that there is no time during this session
for any extensive revision OF the currency.
They arc ready TO support a bill author
lzing the issue Of bonds TO relieve the
treasury requirements. But as the silver
senator's on both sides of the chamber will
antagonize such proposition, IL is not
deemed cxpedent, owing TO the short time
that remains of the session, to attempt
such legislation.
Senator Hill remarked yesterday that he
thought 1t was possible for the senate to
pass some kind of bill that would bring
relief % the treasury 1t is said that he
has been engaged for some time i'm pre-.
pairing such measure but the nature of il
has not been disclosed co any one. :
There has been rumor about the Capi-
tol that President Cleveland intends
shortly 70 send a special message to con.
gress urging some kind of action on the
currency question. Ii is said that he
thinks we'll of the Sherinan.bll. III he
should advise congress TO pass some such
measure as that he would receive the cor.
dial support Of nearly all the hnanciers in
and out Of congress.
An Encouraging Report
of the prospect for an increase Of the gov
crnment revenues is given by Representa-.
tive McMillin of Tennessee. AS n result OF
long talk with Secretary Carlisle.
His statement Is the first authentic In.
formation of the administrations view OF
the outlook, and shows that the receipts
from the income tax will greatly exceed
the estimates made by the department.
Mr.. McMillin Is chairman of the sub-com
mittee of ways and means to which the
bill TO double the tax ON beer was referred
and hc called upon the secretary TO ask his
opinion Of the necessity for such law
When asked about the bill, he said:
Our committee has not yet acted on
the measure. l spent a good portion OF
the day In conference with Secretary Car
Isle and Commissioner of Internal
Revenue Miller concerning. the revenues
and the necessity Cor an increase of reven-
ues l would not, Of course, relate our
conversation. The secretary, may say
however, is much encouraged by NE In.
crease of revenues this month. He does
not think the deficiency of revenue will
continue "A great while"
Congrss-i';--i Doings.
The veto on the Nicaragua canal bill
will bo taken in the senate at o o'clock
this afternoon, unless some unexpected
parliamentary css.raciion Is interposed
In view OF thc speedy elimination of the
long sbate, there was added interest yes
terday m The speeches There has been no
test vote, however, TO Indicate with Ger
tainty what the result will be.
Another chapter to the Hawaiian Qucs
tion was added. Mr.. Allen Pop, Ncb