The morning news. [volume] (Savannah, Ga.) 1887-1900, 1896-01-29
BONDS ONLY ON A GOLD BASIS.
THE FINANCE COMMITTEE FROwNs
on GORMAN's SCHEME.

The Republicans Against IL 10 a Man
and Mr. Vest and other Democratic
Members Against Tt-The Repub-
Iicans Claim IL Would Put All the
People of the Country on n silver
Basis Except the BOndhOIders.
Washington. Jan. 2S.-Secretary Carlisle
and Senator German were in close confer
ence an hour or so yesterday at the treas
ury on financial matters. During the past
week the two have been in almost daily
communication
Rumors are adoat that Senator German
recommends a plan which Secretary Car
Isle is understood to have once favored
of authorizing the coinage of all the sill
yer bullion and declaring and coming the
seigniorage and that in the form in which
the matter is being considered by the adj
ministration it is coupled with the propo-
sition advocated by President Cleveland
of retiring the greenbacks and allowing
the national banks to issue notes up to the
par value of the bonds held by them. Some
color of probability is given to these ru-
mors by the fact that Senator German,
who is the chairman of the democratic
steering committee of the Senate, has
been sounding the senators within the last
few days on the probability of such a
scheme passing the Senate.
The tariff bill viii not be reported TO
taken in the Senate on the free coinage
substitute to the House bond bill. The
finance committee did not take the bill up
for consideration this morning; in fact,
it was not referred to in the full meeting,
but an understanding was reached before
the democratic members arrived at the
committee rooms. 1t is apparent that Mr..
Jones of Nevada notified his republican
associates that he would not give them the
vote necessary TO report the bill until the
free silver substitute of the Senate had
hppU eilmtehpQ Immediately
been done the committee on finance will be
able to report the tariff bill
Much of the time of the committee was
consumed in an informal discussion of the
compromise suggested by Mr.. German as
substitute to be reported from the com
mittee of conference after the House
bond bill with the Senate free silver sub
stitute gets into conference. This propo-
sition contemplates the issuance of $780,
O0O0JO of gold bonds with which TO retire
the government $ present gold obligations
(greenbacks and treasury notes), the dec
laratiOn that all bonds now outstanding
regardless of the provisions of these obli-
cations, shall be made payable in gold,
and the opening of the United States
mints to the free and unlimited coinage of
silver.
This proposition found few friends in
the committee. Mr.. Vest was vigorous in
his opposition, and other democratic SEN
ators opposed it because ii authorized the
issue of gold bonds and provided for the
retirement Of the greenbacks. The re-
publicans were antagonistic to a man.
The argument was made that this propo-
siton would only work harm to the coun-
try and was intended more as a political
compromise than a solution of the finan-
cial problem. 1t was pointed out by one
of the sound money republicans that it
meant simply a gold basis for the bond
holders of the country and silver basis
for every other class, and upon such
ground work. the financial fabric could
not rest securely. OF course this discus
sion was entirly informal but it developed
enough to show that such a proposition
would find few friends and many powers
of the enemy in the committee of the
Senate, which dominates its financial pol
icy.