The Hawaiian star. [volume] (Honolulu [Oahu]) 1893-1912, 1896-04-27
REFUNDlNG FALLS DOWN
ACT TO AUTHORIZE CONVERSION
FALLS DOWN,
Several Propositions Voted On Earnest
Argument Made-Loan-
House.
FIFTY-THIRD DAY.


s, nate.
Mr.. Holstein asked for more time
on the Portuguese petition. Grant
ed.
Minister Smith read for first time
his bill relating to Kapiolani Park.
Mr.. Damon offered a resolution
the intent of which is that all old
issues of postage stamps shall be
destroyed after Nov. /, 1896.
He stated by way Of explanation
that there were a number of old
issues of stamps, many Of which
were in bad condition. 1t was
thought best to destroy these and
use only the new issues.
Mr.. Damon introduced a bill
making appropriation of $3.50, 900
for public works, education and i'm
migration under the Loan Act.
Printing Committee.
The Loan Bills were taken up,
and the reports Of the Committee
thereon read.
Mr.. Brown, in order to bring up
discussion, moved the adoption of
the minority report.
Mr.. Damon said: From the
tenor of remarks made, and the
trend of events, l am more and
more convinced that the bills are a
substantial move in the interest Of
the taxpayer and the community at
large. l doubt the wisdom of
hampering the Executive in its
efforts to better the financial condi-
ton of the country. Breads from
speech of Mr.. Foster, Canadian
Minister OF Finance, in which tn.
gentleman said a country's credit
was the first thing to be looked
AFTER What is pertinent in that
country is pertinent here. The Elk
ecutive has taken the steps seeming
proper under the acts Of ISS6.S7.
1t is a moral obligation to bring
about reduction of interest on the
public debt as soon as practicable.
We are ready to concede any rea-
sonable points, but feel that the
time has arrived when the Govern
ment should make a radical de-
parture in the matter to get the
finances of the country on a better
basis. The Executive is practical
ly the Finance Committee Of the
Republic"
Mr.. Brown said it was eviden,
the community did not favor con.
solidation of the public debt. The
Senate had no data to 60 upon. Nc
inquiries had been made as to the
cost of consolidation in the United
States. He wanted cost of getting
money. Neither the Minister q
Finance nor the Senate knew what
it would cost. He would favor G
loan of $3.50 900, if that much wa:
required, TO be taken up in this
country at par. The country was
not begging for money in the mar
kets of the world.
Mr.. Damon replied that cost:
could not be obtained from money
J lenders until the Executive co,ilt
present to them full authority tC
act.
Mr.. Baldwin was opposed t.
total refunding, and also to bill tc
borrow 81, 900, 900. He thought
however, the London portion of thu
loan ($I, 900, ooo) should be refund
ed. Refunding sentiment wa
known in London and keeps bond
down. Six per cent. bonds woult
naturally bring more than $Io3,
This course, however, was dan
gerous to follow on large scale
Taxpayers would suffer by it
Only u Of one per cent. of tn
population took any stock in bonds
The scheme for refunding the Lon
don loan alone would place thu
{ country in better position in til
financial world.
G Its effect on annexation had BEEF
= mentioned. The country had bee
, chasing the annexation phantor
three years and might run after
three years more. 1t was the dut
e Of the Legislature to get down t
e business,
e Mr.. Damon said the finances c
/, the country were matters tina. ha
e held back annexation. The EN-
!. ecutive proposed measures for gel
!. ting on a better basis. The 60,
eminent must work with capita
1t would, however, work above
and be independent of it.
n Mr.. McCandless wanted to Civ
the Executive the opportunity
70 investigate and obtain figures
The bills proposed damaged til
- credit Of the country. The Nil
lister of Finance evidently mi
calculated the country's cred
n when he prepared those bills.
r. The Speaker then moved th'
bill be drafted to refund the Ell
n tire public debt at 4 per cen
N / interest, 3 per cent, discount and
per cent. commission.
Mr.. McCandless said l do NJ
offer this motion idly. l have col
lie suited the leading 6nanciers oil H
m nolulu, and they say that the bont
y will be taken in the United Stat
at 4 per cent. and at par. The bill
,e proposed damage our credit, 1t
h. not the size of an institution, b
,e its paying qualities that insur
IN credit and the best terms. A nj
r lionaire's credit may be very poe
ID aud a poor mans credit good. tt
I'd question is merely one of payiI
promptly, and the assets to back
the debt. This country has new
defaulted on interest or princip;
It. maintain that tn principal is sal
es The Government should have d
Iir same opinion of itself. In the pa
five years private persons here ha
borrowed money at S per cent. IT
Government can certainly get all
'e- wants at 4 per cent, 3 per cent. d
he count and per cent. commission
ell If this country, however, goes be
Wy ging in the markets of the woI