The Hawaiian star. [volume] (Honolulu [Oahu]) 1893-1912, 1901-06-27
A WAY OUT.


the Treasury, it is stated that within
a couple of months salaries will have
to be registered and the salary holders
will have to wait till the taxes come in
November. Such a condition of affairs
has never before occurred in Hawaii
and there does not seem any reason
why it should occur now.
One suggestion made has been that
the money deposited in the Postal Saw
ings bank to the credit of Chinese and
only repayable for passage money.
could be used. There are two views of
this case. One regards it as a special
deposit, to lie useless in a vault. The
other view would treat it as the Saw
ings' bank deposits were treated, and
as deposits i'm banks are treated, to be
used in the government or in the bust
ness If a man deposits a couple of
hundred thousand dollars with his
bankers, he does not expect they will
sack it up, and keep it intact he knows
they will use it in their business. Their
credit requires them to be able to re-
pay when called upon.
But as there is controversy upon this
subject between the Acting Governor
and the Treasurer, there is no need to
press the matter, since it is in the pow
er of the Treasurer to raise up to $780,
GOO, to tide his department over the dry
time which precedes the collection of
taxes. Such a sum would carry the
Territory well over into october and
bridge the time between now and No
Vember when taxes come due.
The organic act says there shall be
a Treasurer, who shall have the powers
and duties of the Minister of Finance
under the laws of Hawaii, except
as changed in the act, and of course
subject to modification by the Legis-
lature." The Legislature has made no
notifications" seeing that up to the
present it has practically failed to Leg
islate upon anything.
The Hawaiian law relative to the De-
partment of Finance commences at
Chapter 80 of the compiled civil laws
of the Islands, Ballou's Compilation,
extending from page 275 to page AIS
OF the chapters contained in these
pages several are cut out, and others
have many sections cut out by the or
ganic act. Chapter 90 remains intact.
Chapter 81, relative to coinage and GER
tificates is cut out in toto. No other
change is made till Chapter "a. This
leaves chapters 81 and SO still a portion
of our law. and it is chapter 80 to which
1
Neither the organic act, nor the Legis-
lature has disturbed this chapter, and
it is one under which money can be
raised in just such an emergency as
this.
Here is the full text of the chapter:
Section &c. The Minister of Finance.
upon the approval of the Executive
Council, may issue, at par, upon public
tender, to any person or corporation,
Term Treasury Notes in the name of
the Hawaiian Treasury
Sec 677 The said Treasury Notes
shall be issued in sums of One Thou
sand Dollars or multiple thereof, and
shall not exceed at any one time One
Hundred, and Fifty Thousand Dollars.
Sec. 67S. The rate of interest shall
not exceed seven per cent per annum,
free of tax, and be payable at the due
date of the note.
Sec. 679 The tenders for the said
Treasury Notes shall state the rate of
interest for gold tenders, or for silver
tenders, and whether to be repaid in
gold or silver coin.
$3.50. The term for which any Treas
ury Note shall be issued shall not eX-
coed seven months.
'Sec 6S1 The form of said Treasury
Notes shall be as follows;
NO.
Hawaiian Treasury Note
'$...,.....
Honolulu. ....... lS9..
Received from. the sum Off,.
Dollars payable in...... coin on presen-
tation of this note properly endorsed.
This loan is made for. months
and. days, and will bear interest
until fully paid from. 1873. lat the
rate of......per cent per annum.
Registrar of Public Accounts
............,...i
Minister of Finance"
There would seem to be no difficulty
in meeting the present crisis in this
way. Indeed the law was passed 10
meet just such a crisis as is now upon
us. Why the suggestion has not been
made before is not clear, except that
there appears desire in certain quar-
tiers to make the Hawaiian finances
look as badly as possible in order to
drive the Acting Governor to calling
yet another extra session, which he GER
tainly need not do until he finds that
the income tax breaks down, and no
one can tell about that till November.
Territory into a financial snarl, there
is no reason why any one should take
a hopeless view, Of the case. The pres
ent situation can be tided over and the
....EILa ar.r.,..-.. h. ~.