The Kootenai herald. [volume] (Kootenai, Idaho) 1891-1904, 1902-02-14
AFFAIRS N THE PHILIPPINES
TAFT PRESENTS HIS VERSION
His Testimony on the Trade and
Financial Affairs of the Islands to
the Senate COnmittee-rhe Friars
Receive From 20 to 40 Per Cent
on Loans.

Taft reverted to his former testimony
for the purpose of introducing a cable
gram he had received from Acting
Governor Wright urging a reduction
in the tariff on Philippine articles
imported into the United States from
the Philippines He said this cable
gram was in response to an inquiry
from himself as to the effect of a re-
duction of so per cent. The reply of
Acting Governor Wright is as follows:
"Manila.-The public session of sug-
ar and tobacco interests favor a re-
duction of rs per cent at least A re-
duction of so per cent leaves tariff
almost prohibitive. Sugar prices very
low; European markets very dull on
account of over production and low
price. Beet sugar planters here have
lost heavily on machinery and other
wise. Sugar cultivation is in a bad
condition. Memorials received from
sugar growers association of Negroes
and Panay ask for free trade for this
reason: Think a reduction of IS per
cent on sugar and tobacco would be
a measure Of relief and have excellent
political effect"
Senator Rawins questioned Govern
or Taft concerning the holdings Of the
friars. The governor said he thought
the general opinion as to their wealth
and holdings had been greatly exag
gerated He did not believe, for in
stance, than they had three fourths
of the property owned in the cities
That however, the religious orders
have ready cash was true, as was
evidenced by the fact that they make
loans. He instanced a case in which
the friars had advanced money to pro-
mote a corner in hemp which after
ward failed because of Irregularities
on the part of the manager
Governor Taft said the Philippine
government is DESTROYS of purchasing
the Manila property held by the friars
and that it would also be desirable to
secure their holdings of agricultural
lands. In connection with the loaning
of money by the friars, Senator Lodge
asked about the necessity for a bank
ing law and the witness replied that
such a law is badly needed
Senator Proctor asked where the
friars had secured money with which
to purchase their lands, and this in
quiry led Governor Taft to say that
the fee for marriages, funerals, christ
enings, etc, are to be complained of.
These charges, he said, had led many
couples to live together illicitly, but
that in no oh
taken were observed.
Again referring to the financial in
terests of the Philippines, Governor
Taft said that interest rates are as
high as from 20 to 40 per cent and that
it is very necessary that there should
be authority for granting franchises
to financial concerns which would re-
duce the interest charges. AS to coin
age, Governor Taft said that it is de
sirable that the gold dollar should be
established as a basis. He also advo-
Gated a token coin which should be
eXchangeable for gold and the party
assured by the United States. This
he said, is the plan of the commission
and he believed it wise. This plan
embraces the coinage of a Philippine
peso and the circulation of this coin
he thought should be confined to the
islands. He thought that unless the
commission was authorized to make
token money there would be trouble,
as it must be borne in mind that the
Philippine administration is not as
strong as that of an established nation
Referring to the suggestion that Unit
ed States money should be issued,
Governor Taft said that if this was
done it would have the effect of in
creasing the value of the peso to the
extent of so per cent and this would
unsettle transactions. This plan also
would have the effect of raising the
price of wages and disturbing business
relations.
Taking up another point of the ad-
ministration, Governor Taft advocated
the right of appeal in certain cases to
the supreme court of the United
States. especially such cases as would
involve the relationship of church
lands to the government. This he
thought necessary because of the prob
ability of prejudice on the part of the
local courts.
He urged the granting of power to
the commission to give franchises for
steam and electric railroads and light
plants and also made an argument for
authority to create a bonded debt Of
100000 for local improvements in