The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-08-21
DEFENDS FISCAL POLICY.
MINISTER DENIES CHARGES or
EXTRAvAGANT EXPENDITURE.

Declares That Apr 0priatiou 70 Pay Sol
diers' Claims HATS Spectators. Aids
the Claimant and Keeps Money In the
Isiand-PSints 70 Great Prosperity.
WASHINGTON, Aug. 3o.-The Cuban Gov
eminent, through lite Minister here, has
made an answer TO the charges that 1t Is
rapidly running into debt far beyond its
resources and In violation OF Its own Con.
stitution and Of the Plat amendment.
Sedor Don Gonzalo de Quesada. tho
Cuban Minister. to-day made statement
concerning the prosperity Of Cuba, In
which he said. among other things. In.
Guiding quotations from the Last financial
report on the condition OF the Govern
msnt, that the Cuban Government had
no intention OF contracting any obligations
In violation Of her customary observance
OF her own laws and her International
obligations.
While the Minister makes no direct refer
enoe TO It, his statement 10 evidently The
result OF published charges brought out
by tho passage Of bill by the Cuban Con-
gress for 4 second payment Of 81, 50o. 900
TO the soldiers Of the inslrrection.
Tho situation In Cuba has been viewed
with alarm by some members Of the Cabinet
here. and In the opinion Of many high
Government officials the time when this
Government will be compelled to make
pertinent suggestions to Cuba concerning
her methods Il not far distant. There
are those who believe that. II the Cuban
Congress keeps on at its present rate, the
nation's debt will Be creeping up danger
ously close to the 500 900 100 mark within
tho next year.
In his statement to-day the Cuban Minis
ter, After reviewing the present condition
Of Cuba showing it's unprecedented proc
perity, speaks Of the necessity Of paying
the soldier claims. He shows the surplus
In tho Cuban treasury on July last was
about S22, 900 900. He then says:
part Of this will be devoted to public
works and part to serve as . basis for the
money to be applied to settle the balance
due to the army; II this Ia not done specula-
tors and Insurers will profit BY the delay
a ANAL percentage, afterward obtaining the
full amount and therefore 2 great profit.
to the detriment Of tho Cuban soldiers
who would. II paid shortly, get all the bene-
At, as would the country as a whole. the
money remaining in the island for invest
The buying Of soldiers claims for 10 or Is
cents on the dollar has been one Of the things
that has aroused tho fears OF Government
officials here It h we'll known that specula-
tors are working In Cuba on this line, buying
the soldiers' claims at very low rates, and
working on the Congress to have the full
claims paid.
With reference to the policy Of his Gov
eminent in dealing with the question the
Minister says.
"The Government Of Cuba. which has so far
been very careful Of contracting financial
obligations, will deal with this matter in
the Same conservative and recommendable
manner in which it has heretofore handled
the questions which have arisen. and always
inspired in the best interests OF the country
and mindful of her laws and national obliga-
tons
Speaking of the prosperity Of the country
Sehor Quesada says:
.The prosperity Of Cuba is such that
even the most optimistic are surprised at
the results which are shown by the latest
statistics. There is no section Of the
country that has not received great i'm.
petus, commercially or industrially, and
the influx Of tourists and investors during
the past year has been suoh that there
were not sufficient hotel accommodations
for them, and new and modern hotels will
be built Tor the coming winter: With the
continuance Of the excellent sanitary condi-
ton OF the islands, the increasing produc-
ton and Investments. It Is to be expected
that within few wears tho wealth Of the
country will be doubled