Evening star., 1902-08-21
PALMA OPPOSES LOAN
SAYS CUBA CANNOT RAISE s35..
100000 NOW.
Should First Show the World She Can
Maintain Good Gov
ernment.

"A dispatch from Havana yesterday says:
1t is doubtful if any attempt will at pres
ent be made to float the proposed loan of
$50, 100000. President Palma and his cabi-
net are strongly opposed to the revolution
ary element which has been clamoring for
the payment of the Cuban army, and which
saw in this loan the only means to bring
this payment about. This element has
been somewhat appeased by the movement
started today to revise the Cuban army
lists with the object of taking immediate
steps to pay the soldiers as soon as the re-
vision Is completed.
Gen. Maxine Gomez, assisted by Gen.
Maya Rodriguez is at present engaged in
revising the lists, and it will probably take
from six to eight months to complete the
task. The work is being carried on in the
lower rooms of the palace. BY the time 1t
is completed 1t is hoped that the repub-
NC financial affairs will be in better shape,
and that the government will be able to see
It's way clear to raise the funds necessary
to pay the soldiers.
In an interview today concerning the pro-
posed loan President Palma said:
Il am opposed to trying to float a large
loan until the administration can establish
the fact that it can run the government
economically and end up its first year S
experience with a surplus. 1 appreciate
the fact that we have not yet established
g. government, and that we cannot expect
to borrow advantageously now. The bud
get has not been made up, and until this
is done it would be folly to go on the mar
ket for a large loan. 1 would advise, for
the present, loan of $4,000, 900, to be dis
tr1buted among the cane growers of the
island. This would stimulate industry and
put money in circulation among a class in
this country whose sad condition, l fear
is not realized in the United States"
Ihe cuban government has recognized
the contract made by the American mil
itary government of Cuba with Mgr. Sbar-
retti formerly bishop of Havana in set
tlement of questions of the ownership of
church property, and the payments of
rentals for buildings returned to the church
and now occupied by the Cuban govern
ment under terms Of this contract are at
present being made to the satisfaction of
the church. The buildings in question
include the house, university and academy
of science.
A lively discussion occurred In the house
of representatives this afternoon over the
action of Manuel l.. Dfaz secretary of
pupilc works, in granting a concession to
Senor Castenada to establish an electric
light plant al Havana. Several members
of the house argued that Senior Diaz had
no authority to grant this concession, and
that unless President Palma revoked It. he
President Palma, should be impea ched by
the senate. The house was divided on the
question and vote has as vet been
taken. A resolution was introduced pre-
ferring charges against Senor Diaz
The CaStenada concession dates back to
the time Of Spanish sovereignty in Cuba
Gen. Wood. formerly military governor of
the islanu, recognized this concession, but
acting upon orders received from Wash
ington he caused ii to be rescinded Nav
-, the day before the Inauguration of the
Cuban republic. Senior Diaz, by an Off
cial order, recently made this concession
operative and his action resulted in bitter
feelings on both sides.