The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1896-07-12
SPANS CREDIT GONE.
Vain Devices to Raise Money
for the Cuban War.
BANKS TO MAKE NO MoReloANs
The Trernendsus Cost OF National Folly
Hard Terms Exsceed by the
1oehschfEcs-Kutn Ahead


II TIE early part OF this nzonth =. An
s-~rs5sr7 bankers declined 70 advance any
further loans 70 Spain this summer. but
AZ The same time. they notified ne Aa1r1d
government that they might - ready %
make = proposition next winter x =
probable that ra@y desired. before tncE--
ring new responsibilities in behalf OK
Spain 20 learn the result o. the sumner
cAmpa5gn IN Cuba, and also razr q t1z
campaign % Eex- autumn II SPAN
xhc1Sd be within sight Of succeSs In No
vsmeer x might BE safe 20 enter into
terms with her. but Il a. THAI time the
rebellion should yet be n fun progress,
IL could hardly Re desirable for them 70
increase their financial risks Spanish
credit + low az AL tines. ard N nearly
every year the annual expenditures OF
the government largely surp2ss the pub
lie revenues. but Il the Cuban war should
prove 10 De failure for spain. and L
S0a.a. instead OF Cuba shall be compelled
20 assume the debts incurred on account
OF the war Il can hardly Be doubted that
the royal governmenr would fail into
bankruptcy OF course. n he event that
the rebellion were crushed. the war decs
would be imposed upon Cuba. bur X Is
certain that Cuba could not pay X lo1
the ch-f resources OF the Island have
been destroyed and its people are IN pos-
erry and xnany years must s1apse before
IFS Industries can be revived Cuba las
hardly bean able 20 bear the burden or
deb. which Spain incurred for the sup
preston OF the last Cuban rebellion. an1
she could not possibly bear an additional
burden OF hundreds Of millions o. dollars.
The weight Of taxation would crush aer
20 the earth
In May last the Spanish minister Of in
ance prepared project for the issuance
OF loan 10 be guaranteed by TAX or
treasury rentes; bat the project. as than
formed seems 10 have been laid aside
when the corIes assembled IN the SEC
end week OF May ire financial situation
was the pressing subject Of thought All
parties admitted that the crisis Was Serf-
Gus and DANGEROUS The premier had
given assurance 81 the last session tnaS
peace would be restored 10 CUBA n TIE
spring OF this year. and had spoken o.
the victories already won by Spanish
arms but now when the second year or
the war Is wen advanced the only tale
he had 10 tell was one of dIssppoln tment-
and he did not even attempt 10 conceal
the gexatio1 OF his spirit when he COM
posed the speech which was delivered
by the queen regent a. the opening OK the
cortes.
II was only a few days ago that the
minister for the colonies presented MS
proposition for the relief Of the treasury
The bin asks for unlimited authority 10
raise loans for war purposes. or, n other
words, for the prosecution OF the war in
Cuba. Ii Is a grandoise conception. IL
Il be q practicable one; worthy OF senior
CasteIlano. The debate upon IL must De
Of unlimited interest TO all the creditors
OF Spain in France. Holland and England
The opposition members maintain that
there ought 70 be some limit TO the gov
ernments responsibility OF guarantee and
that the public credit would be ir.perilled
by the pIedging Of such OF the resources
OF Spain as are yet available. Including.
perhaps the revenue derived frof-sobac-
co. Cuban and Spanish There can be 70
doubt Of the gravity Of the responsibility
or OF the peril In the case but then spain
mus. procure funds somehow, II the gov
eminent Is 10 be upheld or II Cuba is
20 be subdued- IL Is more than likely
that the debate VIII end with the passage
OF the bin introduced by Minister Cas-
tslIano. Il will then be seen what fnan-
cial expedIents are open 10 Spain in her
straits and what further burdens the
Spanish people can be brought 70 bear
FOR the sake OF retaining possession OF
the rayaged island Of Cuba
Meanwhile a report has been received
from Madrid thar the Rothschflds have
come 20 the relief o. the Spanish govern
rnent By loaning il the sum os $4,000 go
upon the security OF the AImadsn quick
silver mines. the very best security tina.
could be offered by Spain. for these
mines. which were worked BY the ancient
Romans and which have long been a
source OF aggrandizement for the Spanish
kings are regarded a inexhausttcie. But
this loan can give only temporary relief.
Senior SagaSrs. the ex-minister. is author
ity for the statement that the expense
OF the Cuban war to Spain is s1s9ea 30
= year, 50 that the whole OF The Roths-
child loan. the terms OF which were hard.
viii be used np in the brief period OF
~ ~ BE- u ara
there any financIers more careful about
their investments than the house OF
Rothsc5ili a-i their csutiousness IN deal
Ing with Spain illustrates a habit which
they have followed for generations. In
this case they compel her 10 pay B heavy
price for their favor az the Almaden
mines.
To what expedient can Spain next re-
sort when the latest loan IS exhausted.
II the proposal for unlimited credit which
the government has presented 20 the cor
ties shall - sustained. what security can
hereafter BE- offered 20 creditors. in case
Il - possible 10 find thenr II seems as
though the only thing would be 20 offer
% morris the kingdom % Spain in
GLIDING the royal domains, the queen re-
gents Jewels. and the young kings Scep-
ire. Spain cannot both support ne costly
monarchy and raise the extra sum %
SOC 90 90 Ter year for the prosecution
@ tElc SAE III AAsfas
The pay Of the spanish army n Cuba
IS overdue the soldiers are disconnected
on hat account. the horde 81 officials AZ
Havana cannot obtain thetr money. and
fhe palace is Indebted 70 the Havana
merchants 70 the amount q millions OF
pesetsS
Il IS as means ~ meeting current cfll-
cations On Cuba. 10 q partial extent. that
the Madrid government has prou1ulxatea
tire decree authorizing the spanish Bark
- Havana 90 issue 81 90 - IN what are
called gold bills upheld by a deposit
q SAea 90 fn silver. TIE prospect for the
redemption % these bogus gold hsus in
coin - any kin3 can - estimated nv
those people who comprehend ire corEf-
t.on or the Spanish treasury AMI the axtl-
fees - the minister e finance
THE merchants - CEba. who s~a con-
relie6 70 accept these zol5 Bills % ST.
YER basis as payment FOR the amounts
GUe them, may protest as mach as thsv
Please Tee4r protests are OF 10 cous4-
auenos 70 Capt Gen Weyisr. who has
been authorized 20 enforce the aAe-ae.F
ant wAo Nil very surely enforce II re-
rarSi}eSs u airy popular claunor that nay
Re razss8. Bne. tD6eeE. there wlf1 - very
itttie c3sH8or. fcF even q complaint w-nssIH
- dangerous 70 any man who gave vent
20 g. Il wou3a - aisfayaItv- 4 wculs ~
al }RterfsTeEcs with the policy OF tie
government. q would renter the eorr-
plafusnt liable % arrest ard sr~ar~e--
auon 81 tae dungeons q Norro castle or