The times., 1898-01-23
CLOAK FOR MUCH IN|QuTY
Strained Treasury Work Under
Stanley-Mattlews Resolution.
SPEECH OF SENATOR STEWART
The Law Gives No Authority for
the Issue of Bonds, But the Act
Passed Twenty Years Ago Was
Construed Debate on
the Teller Measure.

the Senate yesterday on the Teller
resolution. '-The disregard of the
Stanley Matthews resolution, which
was passed twenty years ago, was" he
said, most unfortunate and disas-
trous, and had precipitated great ca
lamity upon the country.
Mr. President" said Mr.. Stewart,
''the act referred to in this resolution
has been used as a cloak for much in
iquity. Now, in order that this mask
through which the Treasury has been
raided may be understood and appre-
ciated. / shall, III the course OF my ar
gument, show that under this law
there has been no authority to issue
bonds.
1T win be observed that the Secre-
tary of the Treasury is authorized TO
use any surplus money in the Treasu-
ry for the redemption Of Treasury
notes. He is also authorized by the act
of July Il, 1890, to issue bonds TO the
extent necessary to procure coin for
that purpose, but it does not say gold
eoin If the Secretary has coin in the
Treasury he has no more right TO is
sue bonds than / have.
Il shall show by the testimony of Mr..
Cleveland himself that he had the coin-
His purpose was to get a better coin,
coin that he wanted for gold gam
bling"
Mr.. Stewart said that the only excuse
put forth as an apology for these acts
on the part of the Administration on
the ground of maintaining the parity
between the two metals, could only be
offered on the presumption of the inn
beci1ity of the American people.
Mr. Cleveland knew that we had
no gold obligations. and put it in his
message. On the 31st of December.
1895. referring to the contract which
was made with Pierpont Morgan
& Co, Mr. Cleveland said: On the
day this contract was made its terms
We're communicated to Congress by
special executive messenger. in which
il was stated that the Government
would save more than $4,000. 900 if gold
bonds bearing ) per cent interest, were
substituted This shows that Mr..
Cleveland, the Secretary of the
Treasury, as well as the Morgan syn
dicate- knew that the Government was
not compelled TO redeem them in gold;
that they were silver coin bonds, and
they We're willing 10 give SIC, 600 600
more if Congress would authorize the
issuance OF gold bonds Does this not
put to shame the pretense that those
bonds were gold obligations?"
Mr.. Stewart said that the history of
this conspiracy, which has mortgaged
the country for $3.50. .o0e. 600. ought to be
written in full. That the more that
was gained by the gold syndicate, the
greater were their demands.
There is no new money, and the
population is increasing
He stated that there had been an
enormous destruction of securities.
That there vas not one-third of the
productive force employed today. and
IL. .st,
cipally in gilt-edge money futures. and
not in legitimate enterprises.
The resources of all Europe cannot
compare with ours, but we are fast
becoming a third rate nation. No one
is benefited by this diversion except the
gold manipulators.
Mr. Stewart thought the Secretary of
the Treasury needed some defense be-
cause he is directed by a superior. He
seems. TO have no idea of the rights OF
anyone except bankers.
Cleveland was first elected as a BIZ
metallist Harrison was elected as
binetaIlist In 1892 both parties claim
ed to be bimetallists. In 1896 the Re
publican party declared that they were
in favor of bimetallism, and with all
their money and power they could not
have carried their election except on
this bimetallic platform The next
favor of independent action of the
United States.
"The success of the gold party has
been by Misrepresentation. Mr.. Gage
was made Republican and the Secre-
tary of the Treasury i'll the same day
He is the first Secretary of the
Treasury who has ever told the truth,
when he came out and said that the
object of the policy now being pursued
was to more thoroughly establish the
gold standard in the United States
IF Gage is put out for telling the
truth it viii not do that party any good,
and from the way they have lied about
this matter it is evident that telling the
truth is the objectionable sin.
Il admire Mr.. Gage for standing up
and telling the truth.
lit may do no good to pass this reso-
luton" said the Senator, but it is good
to know that twenty years ago it re-
ceived a two-thirds vote, and it would
be of some satisfaction TO know that
there is still a majority in the Senate
who respect the law
At the conclusion of Senator Stew
art S speech, Mr.. Nelson, of Minnesota,
offered the following amendment to the
Teller resolution: And that il is the
duty OF the Government of the United
States. under existing laws. to main-
tain the parity in value of its gold and
silver money. so that a dollar of the
one metal shall, for all monetary pur-
poses always be equal in value to the
dollar of the other metal
Mr. Spooner, of Wisconsin, offered
the following substitute for the Teller
resolution: THAT it is declared to be