The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1895-02-12
Republicans Think the Rate Of In
terest Agreed to BE Paid IL Much
Higher Than Necessary.
TALK WITH SENATOR HILL
HIS RESOLUTION REGARDING RE-
DEMPTION OF BONDS IN corn.
Million and n Half in Gold AIreadN
Deposited I'm the New York Assay
Office and Certificates Issued.
Special 10 the Indianapolis Journal


Special TO the Indianapolis Journal
WASHINGTON, Feb. u.--Secretary Car
Isle will appear before the ways and means
committee tomorrow morning to explain
certain details of the marvellous negotiations
by President Cleveland which have resulted
in disposing of some sixty-fve million doll
lars worth of bonds to little combina-
ton of foreign money lenders at rate OF
interest far in excess OF what was allowed
American citizens previous loans. Mr..
Carlisle understands perfectly that he lis tha
vicarious witness of the committee. Every
member of the committee knows quite well
that Mr. Carlisle had nothing to do with
the negotiations. but it is impossible to
summon Mr.. Cleveland before a committees
of Congress. and Mr.. Carlisle must, there
fore, take up the burden of the explaining
What the Republican members OF the COM
mittee want explained than all else
is the fact that Mr.. Cleveland is paying
these foreign bankers 3at per cent inter-
est on bonds which have thirty years to
run, which is more than the current rate
on the four-per-cents. which have only
twelve more years to run. The part which
'Mr. Clevelands ex-law partner. Mr.. Stetson.
played in the negotiations has also excited
some interest
Senator Hill appeared in the Senate again
to-day in his new role of administration
champion He introduced a resolution de-
ciaring, in effect, that a safe
system of bimetalism is the true
financial policy of the United
States If it is practicable, but that-and this
is the essential feature of the resolution
whenever, for any reason, silver fails to
remain at a parity with gold, all bonds OF
the United States, Of past or of future issue,
shall be paid in gold. Mr.. Hill afterward
| made his resolution q concurrent one, SO
that il it should be adopted in both houses
il would have the effect of law, without re-
quiring the signature of the President Sem
ator Hill has shown himself shrewd diplo-
mate in framing this resolution. Speaking
of it to the Journal correspondent the New
York Senator explained that his resolution
was in reality only a crystallization of i.
statement recently made in a speech
by Senator Teller, who is the
recognized leader of all opposi-
ton to gold-bond legislation. Mr.. Teller
in that speech declared that the .sbonds
should be paid in the most valuable coin,
whether that should be gold or silver" Mr.
Hill declared himself perfectly willing to
adopt that policy, and thought it should be
declared to be the policy of the United
States. IF from cause now unforeseen
he said, silver should become more yalua-
BILE than gold, contingency that hardly
expect, We should pay bonds in silver.
Should gold be the more valuable we should
pay them in gold.'' Such a declaration he
said, would have the result of relieving all
foreign apprehension that our bonds may
ever be paid in silver and would give Off
cial assurance that our bonds will always
be paid in the best money
Point that will be strongly dweIt upon
h.vf
ton of Secretary Carlisle tomorrow and in
the subsequent discussion of the gold-bond
bill in the House, is the statement of Mr.
Cleveland that the treasury will save six
teen millions by authorizing the issue of
gold three-per-cents., instead of the proposed
coin fours. This will have much weight with
the Republicans, and if shown to be ac-
curate will have some effect In gaining
friends among the Republicans who would
otherwise oppose gold bonds.
An Associated Press dispatch says the
committee on ways and means adjourned
without reporting any conclusion, but with
brighter prospect for agreement on the
bond question. Tomorrow Secretary Car
Isle viii appear, it is expected, with the
contract for the sale of the forthcoming
bond issue to settle question which arose
to-day Democratic members of the COM
mittee prophesy that the Republicans will
unite with them a plan. This belief
is based on no definite statement from
the opposition but on the general demeanor
of the Republicans and the sight OF Reed
in conference with Mr.. Cochran for an hour
The Republican contingent took small part
in the proceedings and, individually, its
members are diplomatic in speaking of
their intentions. If Mr.. Reed has arrived
at any understanding with the admins
tration, as was freely runored he has
done it.. his colleagues say, on his personal
responsibility.
Most of the time of the committee to-
day was consumed in a discussion OF Al
plan offered by Mr.. Cochran to meet the
present emergency. and possible exigencies
of the future, which would confer large
discretionary powers the executive
branch of the government.
He made it a verbal proposition. bu.
after the meeting, reduced the plan so
writing and will present 1t tomorrow In
he following form:
whenever IL appears to the Secretary
of the Treasury that an additional supply
of gold or silver is necessary to the treas
ury TO enable Il TO maintain the parity
beween the. various coins and forms Of
money of the United States. as required
by law. the said Secretary is hereby aii-z
thorized TO procure such gold or sfaver
iss,irg therefor obligations OF the Uaitel
states conditioned for the return OF a
like quantity of the same metal may
have been thus Obtained. and for the trans
fer to the holder of such obligations Ut
an additional amount of said metal. not
to exceed per cent of the whole amount
thus obtained =
Mr.. Bynum withdrew his resolution IN def
erence TO Chairman Wilson's plan. which
covers IN part the same ground. and Mr..
Wilson has amended the form OF his reso-
luton by adding clause which stipulatrs
that none OF the proceeds OF the bond issue
shall be used to defray current expenses OF
xhe government. The change was dcsignea