The age-herald., 1902-02-09
TAT I INSISTS
 IN REDUCTION Exhibits Cab|egran to Show Me-
 cessiy of Lower Tariff TOUCHES FRIAR QUESTION
Says Prevailing Opinions as to Their Wealth and Holdings Are Great ly Exaggerated-Lower Rate
 of Interest Is Needed.

Washington, February S.-Before the Senate committee on the Philippines, Governor Taft today reverted to his testimony of yesterday for the purpose of introducing a cablegram he had re- ceived from acting Governor Wright, urging reduction in the tariff on Philip pine articles imported into the United States from the Philippines. The cable gram is follows:
 Manila Tebuary f. 1902.
 'The public session of sugar and to- bacco interests favor a reduction of 75 per cent at least. A reduction of 30 per cent leaves tariff almost prohibtive. Su- gar price now very low, European mar kct very dull on account of over-pro- duction and low prices Beet sugar plan ters here have lost heavily by Carabos, machinery and otherwise. Sugar cutiva- ton in- a bad condition. Memorials re- ceived from sugar growers association of Negros and Panay ask for free trade for this reason. Think reduction of 75 per cent on sugar and tobacco would be measure of relief and have excellent poli- tical effect
 Opinions Exaggerated.
 Governor Taft said he thought the gen. eral opinion as to the wealth and hold ings of the friars had been greatly exag- gerated. He did not believe for instance that they had three-fourths of the prop erty 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 promote corner in hemp which had afterward failed.
 Governor Taft said that the Philip pines government is desrous of purchas- ing the Manila property held by the friars, and that it also would be desira- ble teosseeure their holdings of agricul- tural lands. rnasEovsrnor said that banking law is badly needed There are now, he said two English banks in addition to the Spanish Filipino bank, the latter being controlled largely by the church and be- ing the bank of issue. He said there had been some grants of land to the church orders, but that as a rule they had ac- quired their holdings by purchase. The charge that much of their land had come to them by death-bed conveyances is not borne out by a tracing of the title. He said: "The truth is, that the friars have the best titles in the islands, and even where there have been irregularities, the statute of limitations would protect their title"
 Extended Irrigation.
 He said that according to the charge one method of extending the holdings of the orders had been by extending their irrigation systems over adjoining lands Something after method of water ing stock" said Senator Proctor, refer. ring to irrigation encroachments. Senator Proctor also asked where the frfars had secured money with which to purchase their lands, and this inquiry led Governor Taft to say that the fees for marriages funerals, christenngs, etc., had been so high as to be complained of. Those charges for marriages had, he said, led many couples to live together illicitly but that in most cases the obligations thus taken were observed
 Governor Taft said that in the Philip pines interest rates as high as 20 to 40 per cent, and that it is very necessary there should be some means for granting franchises to financial concerns, which would reduce the interest charges. He said 1t is desirable that the gold dollar should be established as basis. He also advocated a token coin which should be exchangeable for gold and the parity as- SuIeu Dy Ine OnlLeQ SIdIeS. lne plan or the commission, he said. embraced the coinage of Philippine peso and the cir ouiation of this coin, he thought, should be confined to the islands. He thought that unless the commission was author ized to make good the token money there would be trouble.
 Change of Money Not Liked.
 Referring to the suggestion that United States money should be adopted, Cover nor Taft said if United States money should be adopted it would have the ef- feet of influencing the value of the peso to the extent of 50 per cent, and this would unsettle transactions. This plan also would have the effect of raising the price of wages and disturbing business relations.
 Governor Taft advocated the right of appeal in certain cases to the Supreme Court of the United Sttaes, especially such cases as would involve the relation ship of church lands to the government This he thought necessary because of the probability of prejudice the part of local quarters He urged the granting of power to the commission to give fran chises for steam and electric railways and light plants and also made an argument for authority to create a bonded debt of s400o,0O0 for local improvements in Ma nila It is he said, especially desirable
 
 try because of the difficulty of getting about in tropical climate. He thought no franchise should be perpetual
 There is magnificent timber through the islands, he said, and it would be beneficial to the forests to take much of 1t out. The quantity which could be taken out now bv one concern is limited to 100000 cubic feet He suggested that there had been some public sensitiveness on this point be- cause of the interests there of the Phil ippine Lumber and Development Com pany.
 In reply to Senator Culberson Govern or Taft said he would not advocate grants of land that could be used for speculative purposes. but he felt that 1t would be necessary to allow persons to acquire large bodies of land in order to secure the development of the country. The con eitions there are, he said entirely diff ferent from what they are in the United States it would be found that the people would not be so prompt in taking ad- vantage of homestead law as in the United States.
 Adjourned until Monday.