Twice-a-week plain dealer. (Cresco, Howard County, Iowa) 1895-1913, 1900-02-02
TRANSACTED IN SECRET.
Secretary Cages Handling of the
Peoples Money Helps the Me-
Kinley Syndicate.

1t is painful thatAIr. McKinley's first
lord of the treasury, Mr.. Gage, is being
harassed by scrutiny and criticism. 1t
is more painful to have to do the scru-
tinizing and criticising of so amiable
and respectable a person. 1t is most
painful of all that Mr.. Gage should be
doing anything that calls for scrutiny
and criticism.
What are the facts?
First. There is in New York group
of the most powerful fnanciers in the
country who were of the largest con-
tributors to the famous monster Han
ma campaign fund of 1895, who are or
gained as the National city bank, and
who have been the recipients of sundry
extraordinary favors from the McKin-
ley administration, such as, for exam
pie, the privilege of purchasing "by
private arrangement" piece of gov
eminent property in New York city for
about S1,7Oo,oO0 less than it's appraised
value.
Second. Mr.. Gage, as secretary of the
treasury, as an accountable public serv-
ant, has entered into a secret agree
ment with this syndicate whereby it is
TO handle the entire internal revenue re-
ceipts of the government-about $780,
100000 year. No one but Mr.. Gage and
MIR. Mckinley and the syndicate know
the terms of this secret agreement OF
how much profit the syndicators will
be able to make out of the handling"
TT is known, however, that the syndi-
cate will have each day very large sum
of the peoples money for which it will
pay nothing and upon which it will col
iect heavy interest through loaning it
out to the public.
= Mr.. Gage says in his explanation to
The World:
ut is necessary to concentrate the in
ternal revenue receipts of 100000, nearly
s1,00o000. a day at one place in order to
mako any fair distribution of them from
day to day"
But is 1t necessary secretly to concen-
trate them? And why is it necessary to
bring into the Golfers of the National
CITY bank collections made in Rich
mond, Cincinnati, Chicago, Louisville,
st. Louis, Peoria, San Francisco? Why
could not the government do the dis
tributing? Why could it not do the dis
tributing publicly, in order that no one
might be able to suspect or allege IA
voritism?
Mr.. Gage says:
1.-THE National city bank has a larger de-
post of bonds with the treasury depart
ment than any other bank in the country.
nj of eyis ct N ~
case of a bank whose deposit of bonds was
nominal or comparatively small"
But does this change the fact that the
internal revenue receipts, if they must
be distributed as free deposits, could be
and should be distributed by the gov
eminent itself in smaller amounts
among the strong banks throughout
the country, in order that all the peo-
pie might have an opportunity to bene-
fit instead of little group Of favored
money lenders in Wall street?
Mr.. vanderlip, Mr.. Cages factotum
and the junior lord of the treasury,
says:
''The department will not announce the
new repositories or institutions which will
receive the money. I do not regard 1t as
good policy, nor would any good result from
Its publicity"
Where would be the harm? Is it not
The peoples money? Are not Gage and
Nanderlip the peoples servants? If
they are compelling the National city
bank to make fair distribution OF
these vast sums, what possible reason
can they have for hiding the facts 4
What would Mr.. Gage have thought If
when he was president of national
bank in Chicago his cashier had come
to him and said: "Mr. Gage, l really
eannot permit you to know what l am
doing with the banks money. You will
have to be satisfied with statement OF
totals and results at the end of the
year?"
Is it not against public policy for the
secretary of the treasury in any cir
cumstances to turn over his functions
and the public funds to private money
lenders, however good the security they
may give? Is it not gross abuse o:
public trust for him to make this as
signment to little group of the finan
DIAL hackers of the administration pc
Htical fortunes, and that by secre
agreement?
If Mr.. Gage is wronging his public
reputation by this secrecy his redress
Is easy to obtain. All he has to do is II
adopt the only safe and just course TO-
an honest and faithful public official
publicity! publicity! publicity!-N. Y
World.
Afr. Gage willing to have his Off
cial acts investigated by congress
sional committee? TO be sure! Wha
has Mr.. Gage done that is not indorse'
by the administration? And will no
the committee appointed by reDubIic