The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1897-02-12
Warm Financial Debate i'm the House
Over Bill Providing for Fund
ing Debts of Territories.
AN AMENDMENT AGREED TO
MAKING "ANY LAWFUL MONEY" SUI
FICE, EXCEPT As TO ARIZONA.
President Cleveland Criticised by
with Congress ON Foreign Affairs.

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WASHINGTON, Feb. 1.-THE House to-
day passed the Notifications appropriation
bill with but single amendment and made
some Roadway with the postoffice appropri-
alton bill. But the major portion of the
day was consumed in political debate on
the financial question, which was precipi-
tated by an innocent provision in a bill pro-
viding for funding the debt of the Terrific
ries. The bill aroused the opposition of Mr..
McMillin Dem, Tennessee) because it pro-
vided for gold bonds and the payment of
interest in gold or its equivalent
Mr.. Knox CRep., Massachusetts, said that
the stipulation regarding gold bonds applied
only to Arizona, which had outstanding
gold bonds to be refunded.
Mr.. Payne Rep., New York; said he saw
no reason why the other Territories should
not be permitted to issue gold bonds. He
said this bill bore no relation to the ques-
ton of whether we should put gold in the
bonds of the United States. He had voted
TO put gold in the bonds, he added, when
the administration put the country in po-
sition where not 10 do SO would cost the
people $l2,OO0,O0O Congress refused and
now the taxpayers would have to pay those
s12, 100000.
And yet you maintain interrupted Mr..
Terry (Dem., Arkansas) that we should
pay those bonds in gold, although we paid
sl2, OOOO 600 for the privilege of paying them
in silver
Every one maintains, almost every one
maintains" replied Mr.. Payne, that the
bonds are payable in gold. Even the late
Democratic candidate for Vice President
(SewalD, who ran on silver platform, held
gold bonds and the silver mine owners. who
were rampant for free silver sentiment,
wrote gold in their notes"
Mr. Hartman (Rep., Montana) Indignantly
denied this statement, but Mr.. Payne in
sisted that he was right. He said that the
Western debtors, in order to get money at
a respectable rate of interest, were obliged
to agree TO pay principal and interest in
gold. He said he believed every United
States bond should be paid in gold
MIR. Mcguire (Dem:., California; replied to
Mr.. Payne. He said the honesty of the
believers in free silver was 10 be ques-
toned. because some of them in loaning
their money made gold contracts. Silver
function as money. Gold had been given
special privilege. Silver was mere token
money. Why, he argued should a business
man abandon the business advantage which
the law gave him because of his conviction
that as a matter OF policy silver should be
remOnetiZed.
MIR. Bailey Dem. Texas made a brief ar
gument TO demonstrate that gold con-
tract being contrary to public policy, was
Illegal
AIr. Walker, Rep.. Massachusetts, chair
man of the committee on banking and cur
rency declared ii was as notorious as that
the sun shines that there were certain
States of the Union whose monetary sys-
tenn was beyond the reach of congressional
legislation. There were seven states where
all transactions were in gold, and yet il
was curious, he said, that the representa-
tives from those States on this floor sought
TO compel the rest of the Union TO take 80
cents on a dollar. He insisted that Con-
Sress should not interfere with private con-
tracts. He urged the House TO vote down
an amendment that had been submitted by
as follows: provided, that the principal
and interest of the bonds funded under
this act shall be payable in any lawful
money OF the United States. except the
Arizona bonds above described heretofore
issued.V
Mr. Bartlett Dem, N ". who described
himself as gold Democrat" warned the
House that the adoption of this amend
ment was equivalent to a declaration in ia
Mr.. Lacey (Rep., Iowa.. deplored the fact
that financial debate had been precipi-
tated by the bill. and expressed the hope
that this bill would not~be run ashore and
wrecked on a silver coast.
Mr.. Hartman again got the floor to deny
said, had furnished more misinformation
to the world on this question than all the
rest of the House. He insisted that gold
one Of fifteen letters from cashiers of banks
in his State. all denying gold contracts
One of his correspondents said he had been
in the banking business for twenty years
and had never seen a gold note.
In justification of his statement Mr.
Walker produced and read some gold notes
made in Utah and California He said ne
regretted il if he had made mistake in
enumerating the seven States. but he in
sisted that there were seven States where
practically all time obligations were paya-
BILE i'm gold
Mr.. McMillin's amendment was agreed
to-l49 to latter which the bill passed.
The House then went into committee of
the whole and took up the postoffice appro-
priation bill. Mr.. Loud Rep.. CALI in
charge. said there was some question about
the Justice of the present method of deter
mining the compensation TO be given to the
various railroads for carrying mails. He
said Congress could do nothing but fix the
maximum compensation. Ii was within the
power of the postmaster general to devise
methods for obtaining the transportation of
the mails at just and equitable rates. The
cost of the transportation of the mails dur
ing the past eighteen years had been $685.
600 600. OF this $30,6i0.0 900 had gone to the
land-grant roads. which received 20 per
cent less than nonaided roads. Yet the
transportation OF mail was so profitable to
these Immigrant roads at the reduced COM
pensation that they had put on fast mail
trains in order to get the contracts. He
Thought al the ne roads should be put on the
ford to carry the mails at the rates paid
land-grant roads
MT BrolnWell (kep., Ohlo). member of
the postofice committee. refused To give his
assent to the subsidy given the fast mail
from New York to New Orleans. He de-
clared that the $l96,000 appropriated was a
free gift to the railroad company He gave
notice he would tomorrow move to strike
out this appropriation.
Mr.. Swanson Dem. Na). defended the
appropriation. which he declared furnished
a fast mail service on a trunk line for the
distribution of mail throughout the South
ern States. 1t was. he said. an inestima BILE
service 10 this section. The committee then
rose and at $40 the House adjourned
MORGAN SPEAKS AGAIN.