The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1907-02-15

Dingley duties until April, 1909, after
which time these products also were
70 pc admitted duty free.
'fhe bill has been kept sleeping In !
inc FINANCE Committee of the Senate.
ana it was thought its rest would be
nnproken. a popularity OF the sIt,ia-g
tion was that Senator Lodge, who Is
~ charge of the bank Bill In the SEN
ate, supports tho President In advo-
eating tho bill to give the Fllipinos
free trade with the United States, but
ne did not want the Philippine tariff
bili tackled Oh to tho bank Bill. Nor
did ne want to see n tariff debate
p pre- In the Senate, which was
the result OF the motion OF Senator
McCreary to amend by adding the
former to the BILL to establish All agri-
cultural bank There is nothing the
average Republican breads moro than
tariff discussion In either branch or
Congress-. Tho Senate had ono yes
terday. thanks to Senator McCroary,
who got In several telling shots In
favor OF tariff revision and reduction,
The following Is the minority report
Of the House committee on tho bill to
establish q govern merit bank In the
Islands:
Minority Report.
1T Is undeniably true that the most
Immediate and pressing OF the many
needs OF the people OF the Philippines
| Is the establishment Of some kind OF
banking Institution through which
those engaged In agricultural pursuits
may o..ain. upon fair and reasonable
terms, the money with which to carry
on their small farming operations. The
banking facilities OF the Islands are
extremely limited and such as actually
1 exist are confined to tho city OF Manila,
That they are totally inadequate to
the needs OF the farming communities
throughout the, various outlying pro-
vinccs goes without saying. It fol-
lows that from the very necessities OF
this situation there are no laws against
usury, and interest charges in many
locanies range from 2 toto per cent
I n month. AS q whole the Filipino peo-
| pie especially those engaged in farm
ing are abjectly poor. Despite the ef-
\ forts IN that direction, 1t has been
i found impossible to check the ravages
4 OF the rinderpest and other cattle dis
eases, and the testimony on that sub
ject shows that the carabaos, and other
4 work cattle are dying faster than ever
before. Locusts, droughts. and the de-
/ structtvc typhoons, to say nothing o Z
! the ruin and want entalled by war
anu pcstilcncc, have all contributed
/ to- tho well-nigh intolerablc burdens
4 of this unhappy people. To enable the
Il
tie. tanning implements, and seeds, as
well as to free himself from the cruel
! clutches OF the usurers who lnfest the
\ islands, there is imposed upon the gov
ornment the sacred duty and moral
i obligation OF providing the only means
which all agree can afford immediate
relief.
There are. in our opinion a num-
Der OF weighty arguments which would
not apply to continental United States,
! but which may be urged in favor of
the establishment by the Philippine
government OF an agricultural bank,
to be operated with government funds
and with the single object OF advance
4 Ing the interests OF agriculture. rather
than an agricultural bank operated by
{ private individuals. with private capt.
tai and for private gain, with a gov
eminent guaranty OF 4 per cent OF In
tercst. In the first place, It ia more
than doubtful II private capital can
be induced to embark In an enterprise
OF such character-an agricultural
bank-the only function or which Is
a poses, and which Is expressly pro-
hibited from doing q general banking
b business. Moreover, co needing for the
4 sake OF the argument thatsithe neces-
Il sary capital can be secured from pri-
il vate sources, 1t will be question of
much time, and what Is most needed
Il is certain and Immediate relief. But
even II we had the most reliable, as
surance that private capital could cas-
q lily and readily be induced to go to
n the Philippines for this, purpose, we
4 would still be Of the opinion that a
4 purely governmental institution, adj
ministered through government agen-
q cics, would far better subserve the
B ends so greatly to be desired. A bank
conducted solely for private gain would
81 naturally favor the large lendholder,
as against the small or non-landholder,
while q sound public policy would
dictate giving aid where aid was most
needed.
z THE Philippine government, fortu-
nately, Is in a position financially to
establish such bank as is here IA
vorcd. At the beginning OF the presen:
fiscal year it had in its treasury a
net surplus, after meeting every cur
rent obligation, Of a million and q hall
dollars in gold. In addition. as re-
suit OF the recoinage of the Philippine
silver coins authorized by the act OF
a Congress approved June 23..1906. there
Is in the Philippine treasury, in round
numbers. s2.ooo,0oo as seigniorage, and
1t is estimated by the Philippine Com
mission that when recoinage has been
fully accomplished there will be a fur
! Their profit to the government of be-
tween s5,O00,0OO and $6,000.000 In gold
These sums constitute much larger
fund than will. in all human probabil-
ity be required for many years to como
B to finance a government agricultural
bank.
If government bank Is objected to
on the score Of paternalism it may be
replied that the theory upon which
the Philippine. government Is founded
is imperialistic, and that. therefore, in
its administration 1t must necessarily
be paternalistic. There has recently
been established in the Philippines q
J savings bank in connection with the
J postal service and the philippine gov
], eminent Is to-day successfully operat-
ing. In connection with private con-
Germs and at q handsome profit a
coll-storage and Ice plant. 1t has, too
for years been conducting civil COM
|, missary stores, disposing Of its wares
at profit OF 10 per cent. above cost
and 1t is also operating interisland
, transportation lines. II the Philippine
government can go into the manufact-
, urlng. mercantile. and transportation
business on It's own account. we fat
|. to discover any good reason why i,