The morning call., 1895-02-14
STATESMEN WHO Do NOT AP-
PROVE THE PRESENT PLAN
OF SELLING BONDS.
HEAVY PROFITS OF BANKERS.
IN THE SENATE AND HOUSE IN
QUIRIEs ARE MADE ABOUT
THE GOLD CONTRACT.

ton bill and spent the remainder OF the
day on the proposition to have the Govern
ment own railway postal-cars.
Villas (D.) of Wisconsin brought on the
financial discussion by offering a bill
granting to the President the authority he
has requested in his recent message for is
suing per cent bonds, payable in gold.
Sherman offered substitute for the silver
bill reported yesterday, providing for gold
bonds and temporary gold certificates
The two Colorado Senator'S, Teller and
Wolcott, called attention to the fact that
the syndicate of bankers, who had secured
control of these bonds, were now market
ing them in London at 11215, making net
profit of per cent at the outset. The de-
bate brought out frequent references to
the contract between the Treasury Depart
ment and the bankers, and as result
Aldrich of Rhode Island offered a resolu-
tion calling on the President for copy of
the contract
1t was agreed to take vote on the pend
ing amendments as to railway postal
service at o'clock tomorrow. The Sen
ate agreed to the House resolution extend
ing the time for making returns on the in
come tax to April 15 next.
Hoar, addressing himself to Villas, said:
"Will the Senator tell us his authority for
the great savings he sets forth; who are
the persons with whom this arrangement
for buying bonds has been made? Where
is the contract? We ought to be fully in
formed"
II am not the keeper of the executive
documents, responded Villas. ''The Presi-
dent has given us his views in his mes
sage"
'But," insisted Hoar, "we should have
the details. We have only statement of
certain facts and conclusions by the Presi-
dent, but there is an entire absence of de-
tails"
81 have no more details than any other
Senator" said Villas.
Wolcott gave new turn to the discus
sion. "The morning reports tell us, said
/ he, that these bonds are being taken in
London at 11215, and by this means syn
dicate of Jewish bankers who have taken
the bonds are netting profit of per
cent"
Villas said that was an additional reason
why new form of bonds should be au-
| thorized.
Teller said the President had given no
details as TO the contract with bankers.
The Ways and Means Committee of the
House had been trying to get at the facts,
but had not yet found out the names of all
the parties interested in the bond contract.
A few months ago our bonds sold easily at
less than per cent interest. 1t could not
be possible, said Teller, that the utter lack
of tact of the Treasury Department had
| forced up the rate of interest from less than
per cent to 3a per cent interest, when
the last bonds are much superior to the
| former ones. If their bonds were selling
at such handsome profit in London it
| showed the credit of the United States had
not been so disastrously impaired as the
President sought to make the country be-
lieve.
At this point Sherman (R.) of Ohio came
forward with another financial measure
He offered it as a substitute to the bill for
the unlimited silver coinage reported from
the Finance Committee yesterday. Sher-
mans bill is similar to the one introduced
some time ago, although he now gets it
directly before the Senate. 1t provides for
bonds at 8 per cent payable in gold coin,
and for the issue of gold certificates. Both
the bills of Villas and Sherman went on the
| table.
Thereupon Hill CD of New York raised
the point that they ought to go on the
calendar, where they could be got at, and
would have the same advantages as the
silver bill reported yesterday. Nhere was
spirited colloquy, but the bills were left
on the table.
| Aldrich (R.) of Rhode Island had sug-
gested during the debate that if the Senate
wanted more details as to the bond con-
tract between the treasury and the
bankers, the best thing to do was to call
! for the contract. He now introduced a
resolutionvto this effect. 1t calls on the
President to send to the Senate if not in
| compatible With public interests, a COPY of
the contract between the treasury and cer-
tain bankers for the purchase of bonds.
Aldrich sought to have the resolution i'm
mediately considered, but Vest objected
and it went over.
With this financial prelude ended, the
Senate turned to general business. Morgan
! (D.) of Alabama secured the passage of a
Joint resolution in accordance with the
Presidents annual message concerning the
Venezuela British Guiana boundary.
The House resolution was passed extend
ing the time for making returns on the
income tax from the first Monday in March
to April Is next.
The Senate resumed consideration of the
postoffice appropriation bill. Chandler
(R.) of New Hampshire made sharp ar
raignment of the provision giving the
Postmaster-General discretion over expend-
ing the So, 900 for railroad postal rates.
1t gave designing men an opportunity to
"squeeze" railroads by threatening to put
them on the rack if they wished to have
their compensa ton increased for postal
service.
'And the great political committees also
seek various means of raising money" said
Chandler. "They seek money from all
available sources. They like it in large
sums, and they prefer it from corporations
rather than in small subscriptions from
individuals
German, at one time chairman of the
Democratic National Committee, con-
tended Chandler's ideas of political in
fluence were groundless.
Villas, who was Postmaster-General in
Cleveland's first Cabinet, supported the
amendment. The railway postal service