Evening journal., 1896-12-28
e,ain ON the verre OF Ruin.

MADRID, Dec. 2S-James Creelman,
the American correspondent in this city,
sends the following to his paper in New
York:
After having talked with the foremost
Spanish statesmen of all parties, 1 am sat
isiied that unless the United States
promptly solves the Cuban question the
Spanish monarchy is doomed.
1t is a long stretch of somber history
from Philip II. who launched the Armada
to conquer the Anglo-Saxon race to the
pale little king l SAW bowling in the pal
ace.
spain is bankrupt 1t is useless to at
tempt to disguise facts. Not only is she
unprepaIed for war with any first class
power but it will be impossible for her to
carry on the campaigns in Cuba and the
Philippines much longer.
The cash sheet of the Bank of Spain to-
day shows that not more than $40, 600, 600
remain of the S64, 900, 900 raised by the
domestic war loan. This balance will all
disappear within a little more than two
months.
The European banks have refused to
furnish money. Capitalists throughout the
world know that tho wealth producing
machinery of Cuba has been largely de
stroyed, and the principal source Of Spain's
revenue is dried up.
Even were peace restored tomorrow it
would be impossible to secure capital to
re-establish the great Cuban plantations
whilo the Spanish flag remains in that is
land, q constant and certain incentive to
armed revolution.
The situation appalls all Spaniards who
are not blinded by pride or passion The
nation's funded debt is, roughly, 81 2OO,-
OO0. 900, and the annual interest on this
aggregates about S64, 600, 600, more than
ono-half Of the whole income of Spain.
Although in recent years the annual def
cit has been greatly reduced, the floating
debt IS now about S91,000 00O
With two great colonial wars on her
hands and domestic rebellion possible in
the near future, Spains credit in kuro-
poan markets is gone 1t Is hard TO under
stand, on any basis of common sense, the
naughty and defiant tone of the present
government twas necessary to pawn the
Spanish custom house TO the extent OF
$4,000 600 year TO secure the much
boosted domestic war loan.
AT this moment Spain has in her pos
session something like $40, 200, 900 of Gu
ban bonds and the Si9, 600, 600 remaining
of The domestic loan. That is all she has
with which to carry on two wars, waged
thousands Of miles from her coast, Will
the sympathy of the civilized world
against hor.
The taxes in Spain are already so higl
that II Is difficult TO conceive how they
can be increased sufficient to avert immi
ncnt peril of bald and inconceivable bank
ruptcy.
he government tried 70 renew an over
due loan of $4,000, 600 from a Paris bank
but payment was insisted upon, and Spair
resorted to the cid sysion of borrowing
from the Bank Of Spain 10 pay her deb
ia Franco The Bank Of spain has nov
probably more notes outstanding agains
smaller amount of actual cash than an,
other bank I'm the world
Nothing remains unpawned but the to
bacco monopoly, but If that lhould be hy
plthecaied for war purposes how coui
spain carry on her government at home
tn O few weeks the crash must come il
some form spain has guaranteed the COS
of the Cuban war with the idea of bleed
irg Cubans when she has crushed them
but the Cuban republic grows in powe
day ~ day, and already thoughtful me-
il Madrid begin TO sec that the death G
hiaceo is not the substantial victory the
uo first thought it 10 be-
The banks and business men are grOar
Ing over the prospect Ruin stalks throug