The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1895-02-21
her than Russell Sage who has hoard

other than Russell Sage who has hoard
ed gold?" he asked: un
II do not" said Mr.. Gray. But l
don't know Russell Sage nor any OF ms
kind. and it would be no better II did.
Mr.. Gray then urged the support OF the
Hill resolution for paying in the best
money in use. Replying to a query by
Mr., Stewart, Mr.. Gray declared that If
we accepted the contention of the Ne
yada senator the United States would
write in its bonds: '"Hhese documents
are payable in silver, if silver is at dis
count"
Mr.. Hoar Rep., Mass.) asked if it was
decent that the contract had been so made
as to bring into question the good faith
of the government.
Mr.. Gray vigorously resented the use
of the word 'decent" as part of this line
of attack on the president
Mr.. Hoar modified the query so as to
ask whether it was reasonable" that
this course should be taken.
Mr.. Gray declared that the real at
tacks on the credit of the country were
not from the president but from senators
who proclaimed their criticisms to the
world. Mr.. Gray closed with another
vigorous speech.
1--WE have been dumb during this emer-
gency," said he. 1--WE have left the presi-
dent to fight this battle alone for the
credit and honor of the United States
and the people of this country will not
forget that this congress deserted the
president in the hour of need"
Mr.. Sherman, after some routine bust
ness, took up the thread of financial de-
bate, being accorded the closest atten-
ton.
GGpI,o ,,ooI ouoe+;on cold Mr. Sbor-
man, "shall this government pay its OBJ
legations i'll gold or in some other coinT'
He continued: II wish to point out
that in every act, every loan, every sale
of bonds since 1869 this government has
demanded gold. And now are we to
refuse to pay these obligations in the
same coin we received for them? If this
question is fairly presented and under
stood by the people no honest man will
say we should pay in other coin than that
we received"
Mr.. Sherman read the law of 1869, sol
emnly pledging the faith of the govern
was existing at that time, and what was
meant by the law makers? 1t was gold
which at that time was the only stand
ard coin. Silver was not then Il stand
ard coin. Gold was the only possible
coin in contemplation at tLat time. Mr..
Sherman took up the + II per cent
bonds, issued by the secretary of the
treasury, Morrill,, and read the language
that the pr ,cerdS fr)in them were 'tC
be paid in gold"
The same provision was made as tC
bonds issued by him (Sherman) while
secretary of the treasury. To say that
such bonds, for which gold was received
should not be paid in gold was not hon
est
''And let me say to the senator's de
clared Mr. Sherman, "thesp bonds vii
never be worth less than their value whel
they were sold. We received gold fO
them; we will pay gold for them. Th'
people of the United States will rcsen
any dishonor on the United States il
seeking to pay our obligations i'll none
of less value than that we received
Mr.. Sherman turned his attention t
the president and secretary of the treas
ury The senator from Delaware CAll
Gray, said Mr.. Sherman, seems to dc
fend the president. But why shoul
this be necessary? The president ha
no power over the bonds. He has II
business with them. The secretary O
the treasury is the only one authorize
to issue bonds to conduct negotiations
The president has no more right to issu
bonds than he has to sit in II senator
seat in the senate chamber.
Referring to the recent bond contract
Mr.. Sherman said:
II must say, and l do not like to sa!
} it, for | have the highest personal re
gard for the integrity of the presiden
and the secretary of the treasury, bu
| must say this last contract was mos
faulty for the United States. To de
liver the bonds at the rates given was a
least improvident. Within the next 3
years we would be able to redeem thes
bonds at one-half the rate of interest W
, had bound ourselves to pay"
The senator from Delaware (Mr. Gray
, had been solicitious as to the president
getting the gold. "Why," said Mr.. Shel
man, 'there was no difficulty in gettin
gold from London and Berlin"
'And now," asked Mr.. Gray, sis gol
to be got except by buying it with bonds?
Mr.. Sherman said the manner of get
: ting it was to get full value for our bonds
7 There had been no trouble over previOu
! bond contracts. The executive officer
, followed the usual rules and got fu
value for our bonds. But the singula
feature of the last transaction was tina
Y bonds should sell at 1-2, when the
D were worth in comparison with on
f other bonds 1.20.
: HAS the senator any market repol
e showing these quotations!' Asked MI
s Gray.
: mo" said Mr.. Sherman; "but does nc
S he senator know that 30-year bonds al
!. worth more than those previously on tn
e market?"
. 'Then," said Mr.. Gray, ''the senator
e indulgng in estimates and general specl
= lation. He has no market reports I
establish the rates he quotes"
, Mr.. Sherman said the bond contrac
t while improvident, would not ruin
} break the United States. But it was