Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1895-02-06
BONDS GO ABROAD.
Our Next Issue To Be Taken by
London Bankers.
CABINET TALKS MONEY FOB HOURS,

Silver Men at Some Variance on the Sub
ject of Seigniorage-Debate on the Ad-
ministration BIZ Begins in the House
md Develops n Wide Diversity Of Opin-
Ion-Reed Gives His Views of the Con-
dition of Financial Matters.
WASHINGTON, Feb 6.-The cabinJt wa
in session yesterday from 10 a. m. until
after 2:i5 p. m. 1t is understood that al
most the only subject OF discussion was
the pending bond issue. Several promi-
nent New York bankers are here, among
them ]. Pierpont Morgan, and while they
have not seen either the president or Car
Isle it is understood that their views on
the situation have been conveyed to the
president. 1t is understood that negotia-
tions with representatives Of London
bankers are in progress with indications
of an early consummation. There is no
longer any expectation Of a popular loan
to be placed in this country, as in that
event the experience of the last few
months would be repeated and the gold
reserve again depleted. The purpose of
the administration is, it is understood, to
place the entire issue of bonds with Lon
don bankers, who would pay for them with
London gold.
Silver Men Develop a Difference.
The silver men have developed a differ.
ence in their ranks on the question of
seigniorage. Jones of Arkansas, while ex-
pressing the conviction that silver coinage
should prevail at the old ratio of 16 to /,
argues that it will be waste of time to
report n bill containing provision of this
character, when there is no probability of
its becoming law, and suggests that it
would be wiser to report bill which
would give the government the seignior-
age as provided for in his bill. Others of
the silver senators hold out for free and
unlimited coinage, and while they con-
oede that no free coinage proposition is
liable to become law at this session they
say that the same objection could be urged
against any bill that would be reported,
and that it would be wiser for the free
coinage men to stand by their principles.
Debate Begins i'm the House.
The debate on the administrations bill
to authorize the issue of 500, ,00o, 900 gold
bonds for the purpose of retiring the legal
tenders and treasury notes began in the
house and continued for six hours. 1t de-
veloped widely divergent views at the out
set. The silver Democrats and PopulistS
opposed it outright. Some of the admin
istration Democrats, like Hall of Mis-
souri,, favored substitute on the lines Of
the Carlisle bill, while Reed, the leader of
the Republicans. after speech charging
the present trouble to the deficiency in the
revenue, introduced his bill, the substance
of which was printed yesterday. Patter-
son, "A Demo crat from Tennessee, favored
the issue of gold bonds.
Wanted, a Practical Measure.
Reed said that in order to accomplish
anything it was necessary that a bill
should pass both houses and be signed
by the president. What was wanted was
n practical measure that would remedy
the evil that has produced this crisis in
our national affairs. "ln my Judgment"
he continued, IF the president, when he
became convinced that an effort was be-
ing made to drain the treasury of its
gold, had announced his purpose of main
tanning the reserve at 100000. .OOO-the
limit set by Conrad Jordan, n Democratic
treasurcr-and had followed that an
nouncement with vigorous measures, there
would have been no difficulty. If the par
ty in power had provided sufficient reve-
nue. there would have been no trouble"