Indiana State Sentinel, Indianapolis, Marion County, 5 July 1893 — Page 1

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Mint FIRST PART. PAGES 1 TO I ESTABLISHED 1821. INDIANAPOLIS, WEDNESDAY MORNING, JULY 5, 1893-TWELVE PAGES. ONE DOLLAR A YEAR.

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A GOLD BASIS Ex-Senator J. B. Henderson Enters a Plea In a Long Letter to Secretary Carlisle. BLAND AND ' SHERMAN Held Responsible for Present Embarrassments. The Laws Bearing Their Names Ara Reviewed And the Redaction Drawn That the Country Una IVcn Going AVrons for Many YearsThe Hi.story of Recent Financial Legislation Plan 1'royosed for Restoring Uasiness Confidence. WASHINGTON. D. C. July 2. ExBenator John B. Henderson of Missouri, Who has devoted long and careful study to matters of finance, has addressed to Secretary Carlisle the following communication: "To tha Hon. John G. Carlisle, Secretary of the Treasury: "I promised to give you in writing: the substance of my statements made to you In conversation touching the monetary condition of the country. "I then expressed the belief that the present stringency is produced not by any lack or sufficiency of our currency, but by the loss of confidence produced among business men because of the bad quality or infprlor character of a large part of that currency. "1. There is no error of more common prevalence than that the abundance of money issues necessarily add3 to the commercial or business energy of a people. Of course a certain amount of money tokens are absolutely essential with which to effect the smaller exchanges of commodities. "These money tokens do not create exchanges, but the exchanges create a necessity for the tokens. Money tokens do not grow wheat and corn, nor manufacture cloth, nor operate railways, nor sail ships. Labor and skill do these things, and among a people entirely civilized over 95 per cent, of the exchanges necessary in these operations are consummated through the medium of bank checks. Experience demonstrates that this mode of exchange is more convenient, safer and less expen--T "-. ,..' experience also demo?,atrats that these Lank facilities become enlarged or contracted as money tokens become scarce or abundant. This is a business law as inexorable as the laws of nature. Hence, there is less danger In limiting the bulk of circulating money than people generally imagine. The bank check is better for another reason, to-wlt: That having performed Its office It ceases to circulate, it 1? removed from the volume of circulating money and is forever canceled. If the exigencies of business demand another check It is Issued anew and that, In like manner, is destroyed when its object has been accomplished. We shall never have a perfect currency until every note used for circulation shall be destroyed on its return to the authority Issuing it, and no new note Issued except for value and only at the call of business demands. England has come to this and America, with England's experience, will do likewise." The ClrcnlatlnK Medln.n. The amount of money in circulation per capita among the people of the United States on the 1st of July from 1873 to 1833 inclusive, is then given. Continuing, Mr. Henderson says: "These figures demonstrate to the business man of a few years' experience, that neither Individual prosperity nor commercial activity is absolutely controlled by the amount of the circulating medium. The passage in 1875 of the act for the resumption of specie payments on Jan. 1, 1873, put an end, for the time being, to our depreciated paper currency and from that time till the passage of the Bland-Allison act of 1873 we were, in fact as in theory, on a gold basis having but a single standard of exchange and the beneficent effects of this single standard, giving assured confidence, which can be based on uniformity and permanency of value, lasted untjl the Increasing silver coinage, under the act of 1ST8 reached an amount which, in the constantly declining value of silver, threatened permanently to unsettle he currency. "I think I am safe in asserting that from July 1. 1873, to July 1, 1S33, we enJoyed very great prosperity, individually and nationally. There was no lack of money. It sufficed not only to fill the treasury, but it abundantly answered the demands of commerce and an extraordinary business activity followed by very high prices. The average per capita circulation during that period was $20.61. From July. 1S90, to the present a period of great monetary stringency we find an average circulation pef capita of $23.65. It is. therefore, apparent that, in the common parlance, "times" may be "hard" and money scarce with the most abundant circulation. If. on a given day. the active business men of a community, for reasons good or bad but satisfactory to themselves, resolve to make no further contracts, to quit all business transactions, a seeming scarcity of money is the result. Whatever the volume of the circulating medium, it ioes not Impose Itself on anybody. He who gets it must give an equivalent for it. If nobody wants his labor or his property, he can ret no money. If he who has It refuses to loan it, in feaf that the currency to be paid back at maturity of the loan will be less valuable, the condition 1 one of stagnation and "scarcity of money" Is the consequence. The per capita circulation In the United Kingdom of Great Urltain is now $19.34. Of this $14.49 is gold, circulating: freely among the people. Of silver there Is only $2."3. and of paper $2.24. The per capita circulation fai tiermany is still less, to-wit: $17.56. And yet in these countries, with their vast commerce and manufactures, there is no dearth of money and Interest rules at scarcely more than half the rater, prevailing in thia country. England adopted the single gold standard in 1815 and has adhered to it ever since, and by so doing has become the money center of the world. Germany adopted the single standard In 1H72 and since that time she has been rapidly advancing in ail elements of national rrentness. The per capita actual circulation in France rcaro.-ly exceeds that in the Utltr fi'aUC. i"J Cüiiriiii.-tf as it

does, almost wholly of gold, the cur- J rency is reasonably permanent and re- I

liable, and as France has now ceased to coin silver, the financial situation there ! Is not threatened, as here, by a change of standard. Changed to the Greenback. "The panic of 1875 was. without doubt. the direct result of speculation and over- j beginning in lS62-'63. Between 18C3 and 1S73. both inclusive, the balance of foreign trade against us was $1,086.40.587 that is. we Imported into this country during these eleven years over and above our exports of merchandise this enormous sum of over one thousand millions of dollars. This long and steady drainage, lasting without a eir.gle Intermission for eleven years, brought its ligitlmate fruit a loss of a large part of the nation's wealth, and with it the country's entire stock of gold. The only currency left us was the greenback and the national bank note, which latter, being redeemable in lawful money of the UnltejJ Statea, could not acquire any higher value than the greenback itself. "Take the period of unbridled state bank Issues of pajer money between 1848 and 18"j7, both inclusive, and we find a similar result. In a total foreign commerce in thr.se ten years of only $4 367,000 the excess of our imports of Merchandise over exports was almost $3,470.OiK), making an average loss of about 8 per cent, per annum. This drainage of wealth resulted In the panic of 1857, who.e severity continued until the depreciated state bank circulation was destroyed and substituted by the greenback currency, which at first enjoyed the confidence of the people. Due to the Siirrmnn Law. "The commercial conditions now existingare altogether different from the two period3 named. It seems to me demonstrable, so far as a financial proposition can be logically demonstrated, that the present situation Is not the result of speculation, of overtrading or bad business methods, but that it is largely, if not wholly, produced by the silver legislation of congress. I have already shown that under the era of depreciated greenbacks the balance of trade was against u every year, fctate bank issues had been tried and could nut be kept at par with gold. U. S. notes had tlso been tried, and. though backed by the wealth and credit of the nation, they. too. had failed to preserve a parity with gold. The increasing production of siler as compared with that of gold had Induced Germany to follow England and to discard It as a twin standard of vahi and the wisest and most considerate statesmen of the world were being rabidly driven to the conclusion thru the highest and best political economy required and demanded a singlo standard of value. The American congress of 1S73, actuated, no doubt, by the.se views and earnestly desiring to escape in the future evils that the least sagacious were compelled to admit had followed the use of depreciated money, adopted without dissent the single gold standard. This was in reahty no violent change from the long declared policy of the government. At the date of the creation of the greenback notes eleven years before the pledge was given that they should be redeemed in coin at the close of the war. and the obligation of that pledge was Rtlll acknowledged by all political parties. So far as th ; "ver dollar was concerned, its coinage had been free from the time of the first coinage act of 1792, but during the eightyone years that had now elapsed only about 8,000.000 of these dollars had been coined. It is true that half-dollars, quarters, dimes and other subsidiary silver coins had been made at the mint, but, being a tender for only limited sums, the silver curreucy had never been an important factor In the business transactions of the people. Two years after adopting the single standard, towlt, in 1875, a measure was Inaugurated and passed for the resumption of specie payments, to become operative on Jan. 1, 1879. If these two measures had remained on the statute books, inviolate and unamended, there Is no economical reason why the United States and its people should not today enjoy the most unbounded prosperity. We should have had the best and most abundant currency a gold currency of universal value and of such volume as to force Its circulation, us In England. France and Germany, into the hands of the people. To be assured of this fact, it is only necessary to again examine the conditions of commerce for the last seventeen years. "In "the first six years of the time ending June 30, 1881, we had already imported in gold over $102,000.000 more than we had exported and it must be remembered that in 1881 we had been already, for four years, on our downward course toward a silver standard after the Bland law of 1S78. Finally, after the passage of the Sherman law of 1890. which mors than doubled the silver purchases, the remarkable fact is disclosed that no amount of exportation of merchandise could stay the shipments of gold from the United States. Although the excess of our exports of products in 1892 amounted to nearly $203,000,000. yet the startling fact appears that during that year we exported over $13,000.000 of gold; and now that the balance of trade has naturally turned against us, the country Is being drained of its remaining gold with alarming rapidity. "If any gold be left In this country It is hoarded by the timid. It 13 as completely absent from circulation as ff it had no existence. From January, 1889. to June, 1892. nearly $160,000.000 of gold and gold certificates were withdrawn from the national treasury. The rapid disappearance of gold may be further determined by the fact that in January, 1831, 8S. per cent, of the customs taxes In New York were paid In gold and gold certificates, while In May, 1893. only onetenth of 1 per cent, was similarly paid. Illand nntl sherman. "It only remains now briefly to stats the character of the silver acta of 1878 and 1890. and to furnish you the reasons for believing that the overthrow of public confidence and the present depression In business are the legitimate consequences of those acts. The natural, or normal results of this leglslat'on would probably have followed much sooner but for the many abundant crops of this country and the numerous failures in that-respect abroad. "The act of Feb. 2S. 1S78, known as the Bland act, was by title, 'To Authorize the Coinage of the Standard Silver Dollar and to Restore Its Legal Tender Character. It directed the secretary of the treasury to purchase monthly net less than $2.000.000 nor more than $4.000.000 worth of bullion to be immediately coined into silver dollars of 412 grains of standard silver that is, 371 V grains of pure metal and these dollars when so coined were made a legal tender for all debts, public and" private, except where otherwise expressly stipulated 4n the contract. The act further provided that the holder of these coins might deposit them with the treasurer or assistant treasurer of the United States and receive therefor certificates of not less than $10 In amount and these certificates were made receivable for customs, taxes and all public dues and when so received might be reissued. "The act of July 14. 1890. known as the Sherman law. directs the secretary of the treasury to purchase each month 4. V 0.000 ounces 6f silver bullion at the market value thereof, so long as silver was depreciated telow the par of cold, and to issue In payment therefor trasurv notes of tho U;:ttcJ Stitcs la de

nominations of from $1 to $1,000. These notes were made a legal tender for all debts and receivable for all public dues, and to be reissued by the government. The secretary of the treasury It required to redeem these notes In gold or silver coin at his discretion. To Induce the national banks to accept them they are authorized to count them as a part of their lawful reserves. Coinage of silver dollars was to continue as provided by the Bland act till July 1, 1831, and after that the secretary was required to coin any additional bullion that might be necessary to redeem the treasury notes Is

sued for Its purchase. "Under the act of 1878 the government purchased 291,292,019 ounces of fine sliver at a cost of $3u8,199.262, and coined It into silver dollars to the amount, of $378,19,793. The profit of nearly $70,000.000 made by stamping a falsehood on the coins was covered into the treasury as so much profit. Under the act of 1830 the government up to June 1. 1S93, had purchased $145,361,857, and under the in junction of continued coinage for a year under the act of 1890 there were coined additional dollars to the amount of $36,087.040. Addnd to these amounts the recoinage of trade dollars into standard dollars we had. on June 1, 1893. coined Silver dollars amounting to 5119,332,302. If we take the market price of silver on June 1, 1S93 (S3 cents per ounce), the loss on this bufllion so purchased by the government was on that, day $83,518. On June 26, 1893, bar silver wa3 wortii 72 cents per ounce, entailing upon the overnment an additional loss of $44.553,432 In less than a month. "When we examine the financial history of the country, and more especially the history of our coinage laws, the new born zeal for the silver dollar as developed in the act of 1878 is quite remarkable. "At the time of Its passage the dollar provided for was Intrinsically worth only 89 cents as compared with gold that ia. the ratio of value as between this authorized dollar and the gold dollar was 17.94 to 1 Instead of 1 to 1, as fixed by the coinage act of Jan. 18. 1S37. Silver hr.d then been constantly declining for several years, and all Europe had closed its mints against its coinage, except into subsidiary coins, limited as to legal tender quality. Of this fact the congress of 187S was surely advised, because the second section of the act makes It obligatory on the president to invite the countries comprising the Latin Union, which had been the last to rect the use of silver, and other nations of Europe to Join us in a conference to adopt a common ratio between gold and silver, and to secure fixity of value between the metals. The Demonetization Art. "To show beyond all cavil that the act of 1S73 demonetizing the silver dollar as a tender for debt was advisedly and considerately passed, we need only examine the contemporaneous legislation on the same kindred questions. TI e provisions of the act of 1873 Itself are too plain to have Leen misunderstood, and to have made them different .would have been a marked departure from the policy of the government, ns fixed by the coinage act of Feb. 21, 1S53. which decreased the quantity of metal in the subsidiary silver coins, limiting their legal tender character to payments of $3 and less. Hence the act of 1S73, dropping the further mention of the silver dollar from the coinage of the United States, expressly confines the use of all silver coins of the United States to payments not exceeding $5 In amount. ' Th act of June 22, 1S7I. wis strl-'ly in consonance with that of 1S73. It had been our previous policy, since the foundation of the government, to make foreign coins of both gold and silver receivable for public dues and also between Individuals. The values fixed by law for many of these coins, especially those of silver, were already beyond their Intrinsic worth, and silver gave signs of continued decrease. Hence tha act of 1874 declared (1) that all foreign coins should cease to be legal tender. (2) that the gold coins of the United States when not reduced below the weight of tolerance should be a legal tender for all debts, (3) that the silver coins of the United States, Including, of course, the sliver dollar, shall be a legal tender at their nominal value for any amount not exceeding $3. and (1) that the minor coins, the nickels and copper cents shall be a legal tend r for only 25 cents. "It was obvious to the least discerning financiers of the country that the act of 1S78 would eventually bring about, not a double standard as pretended by its friends, but a single standard of depreciated silver. Hence, from the beginning, these dollars were received with great distrust. But congress, having entered upon this strange scheme of expansion, determined to use the power of the government to force the circulation upon an unwilling public. The associated banks of New York, Boston and Philadelphia adopted rules forbidding the use of these dollars and also the silver certificates in clearing balances among themselves. It really seems that when both debtor and creditor agree not to urge a currency thought to be injurious to the public welfare, they should be allowed to reject It In their own transactions without the fear of punishment. The national banks, however, held their charters from the government and the discipline of congress was soon brought to bear. It was decreed that jio national bank should belong to a clearing house that refused silver certificates In payment of balances. When bank .harter had to be renewed the renewal was conditioned on the receipts and circulation of a currency already bad, and getting worse day by day. The government now entered the field as a common carrier and transported, without charge, this unacceptable currency to any part of the country that would deposit gold for It In the sub-treasuries. Thus the government sowed the wind and now. by the Just law of retribution, reaps the whirlwind. The public demands that gold back and the government must pay it or embark at once on the treacherous sea of depreciated currency. "When pains and penalties failed to coerce the banks the persuasion of self interest was resorted to and they were offered the bribe that silver certificates received by them might be counted in their bank reserves. Finally, when the banks remained obdurate against their seduction. It was thought the general public might surrender to the temptation of small notes, and to that end. in ISSa. It was enacted that the secretary of the treasury should hereafter Issue silver certificates in denominations of $1. $2 and $5 and that the larger certificates already issued under the act of 1873 might be exchanged for the smaller denominations. Expundlnff the Currency. "If greater expansion of the currency were really required by the legitimate demands of business It might have been secured, It seems to me, by inducing an increase of the national bank notes, a currency secured by U. S. bonds, payable in fold and alwavs worth a premium. Instead of this, the contrary policy was most persistently pursued, resulting In a decrease of specie paying bank notes from $358.000.000 In 1883 to J172.0OO.0O0 in 1892. While this better currency was being driven out by unfriendly legislation the channels of business were being gorged by an issue of $110.000,000 of silver dollars, $333,000,000 of silver certificates, and finally, under the act of 1890, by the ! issue of $154.000,000 . more of treasury notes In the purchase of silver bullion, at an enormous loss to the people and to the government. "Of the $500.000,000 or JöOO.OOO.OOO Of gold with which we began In 1578, none can now be found In circulation. What has not gone to foreign countries ca Joying

the blessing of a single standard, has been hoarded, not to reappear until its holders have some guarantee that, if loaned, it will be returned In money equally good. The gold certificates not already forced upon the government, for the redemption of which the $100,000,000 gold reserve is supposed to be held by the government, continue the best security of the national banks and the greenback is rapidly disappearing. The bank notes are necessarily held, if possible, by the bank issuing them, in fear that In the extremity of distress their redemption may soon be asked in gold. Nothing la left but sliver certificates and treasury notes. The banks are unable to maintain their lawful reserves. Hence they can do no relief to a suffering community. The government treasury is depleted of Its surplus. Government expenditures exceed government receipts. Extravagant appropriations made upon a silver basis must now be paid in a medium of value. The heedless promise to pay has now run its brief course and its performance comes with suffering and tears. Mr. Henderson's Hemedy. "What now is the remedy?" "L The customs duties should hereafter bo paid in gold alone. "2. The silver bullio-. in the government vaults, should be sold at once for cash in gold and the proceeds covered into the treasury. "3. Three per cent, gold bonds to the amount of $300,000.003 should be promptly sold and the proceeds transferred to the treasury. "4. A day should be fixed, not later than Ja. 1, 1898. for the redemption and payment in gold coin of all circulating notes of every description heretofore issued by the government. "3. At least half of the silver dollars Issued under the cts of 1S78 and 1890 6hould be sold as 'lullion and the remainder minted Lo subsidiary silver coins, and made I vil tender only in payment of $10 o- : 1. "tf. Provision til be made for the use of the $.io0,i;00,ct0 of gold bonds as a basis for banklm;. making the provisions as liberal as possible consistent with safety, but under government supervision. "7. The basis cf national banking should be so enlarged as to permit the issue of circulating" notes on the deposit of other than U. S. bonds, the solvency of such bonds to be pa sped on by responsible government officials. "8. All bank issues to be redeemed in gold coin on demand. "9. All foreign gold coins should be made a legal tender for debt and receivable for government duties at their value as fixed by law. "10. Previous to Jan. 1, 1SP3. the surplus funds of the treasury, either loans or collections, to be placed with the banks in such sections of the country and In such amounts as may be determined by the secretary. The Cane of the Troulilc. "It Is not poverty but distrust that afflicts the country. Our fabric of finance must be torn down-V.nd built anew. It was conceived In error, p.nd every step increased the departure from truth. The act of 1878 was dishonorable to the government and ru'.nous to the people. The act of 1810 wa n mere device to substitute silver fv - gold as a standard of value. Iron o.l copper Is cither more stable in value Vlay than silver. "We accept et? JLlrj bad advice of the cjiVr- ' S oe yes, twice. The cup 13 tuö Tjr to -w lli.U'? tne draught. They said that If America coined silver England. France end Germany would be constrained to use it also and that silver would soon take the place of gold. On the contrary, its fall has been rapid and without intermission. These foreign governments now have out gold and we are left with a currency discarded by the whole world and scarcely more valuable than copper. "We shall again be told that there Is not gold enough to furnish the world's exchanges. If every man's experience did not detect this fallacy, the sophistry might 'be accepted as argument. H. is universally admitted, as already stated, that less than 5 per cent, of human transactions require the use of absolute monev. If more than this be needed, it can be supplied by a paper currency redeemable in gold. It will be charged that a single standard is sought by capital as a means of extorting higher rates of interest. It Is enough to say that in every country having a sinple standard Interest rates are scarcely half the rates prevailing here. "Give us a gold standard of value. Now Is the most acceptable time. We have tried the double standard, and it Is a most frightful failure. European nations are enjoying prosperity because they enjoy a uniform currency and the confidence it inspires. Let the American people be free from the curses of bad legislation and they will attend to the rest. J. B. HENDERSON." St. Louis. June 20. MANY MINERS ENTOMBED.

EXPL.OSIOV IV A SHAFT IN COUXHILL, YORKSHIRE. A Nnmber of Ilortles Recovered With k Totnl of 145 Men und noj- In the Mine of Whom nt Least a Hundred Are Relieved to lie Dead. LONDON, July 4. At Cornhlll. Yorkshire, an explosion occurred today. One hundred and thirty miners are entombed and the loss of life, it is feared, will be heavy. Four bodies have been already brought out. Pitiful scenes of distress ard anxiety prevail about the mine. The day shift went to work as usual early this morning. The ventilation was reported to be good. All went well until noon, when th workers at the pitmouth were startled by a muffled explosion and by clouds of dense smoke rolling up the main shaft. They tried to communicate with the workmen, but found that the Interior had been cut off from the shaft. The pit managers organized an exploring party and descended slowly through the smoke. They were driven back repeatedly and eventually gave up their purpose of penetrating to the working before the foul air should be cleared away. After taking up the bodies found at the bottom of the shaft, the rescuing party waited for several hours before making another descent. About the middle of the evening they went down again. The gas had cleared off near the shaft and they were able to examine part of the worklrg. The bodies of the mln-rs ! lay In heaps. Many were sent to the surface. Unremitting efforts are being made to reach the few miners who may still be allv. About one hundred and ten are supposed to have been killed. Between 11 and 12 o'clock so much gas aocumulated frt the mine that It is necessary to stop the work of rescue. The men and beys mlsslnr numbr 143. The defd body of the .ind"rmangcr. badly burned, was found in the mine near the Shaft.

BEFORE TAMMANY BRAVES

CELEBRATIO.V OF THE AMXIVERSAUY OF THE SOCIETY. Speeches lr Speaker Crisp, Representative McMHlln and Others Letters From President Cleveland and Senator Hill The Latter' Views. NEW YORK, July 4. The New York Tammany society, or Columbian order, today celebrated the 104th celebration of the 117th anniversary of Independence day. The festivities and enthusiasm lacked nothing through age. The society's scribe, Maurice F. Holahan, then read the Declaration of Independence. Then came Speaker Crisp in the first of the long talks. He began with a burst of patriotism, and said that although on this July 4 there were conditions which produced uneasiness, yet .there were still many things to boast of. But they had not all they wanted. If there was uneasiness, uncertainty, stagnation of trade, it .could be charged up to the republican party. The laws which brought about these conditions were republican laws, enacted against the protests of the democrats. But they should be thankful that by tha votes of the people last November the democratic party had set up housekeeping at Washington on behalf of the nation. When congress assembled on Aug. 7,' as far as things could be remedied by legislation, he was confident that laws would be enacted which would restore confidence and bring prtsperity again to the nation. Congresmasn Benton McMillan of Tennessee came next. His speech bristled with patriotic epigrams and references to Thomas Jefferson, which was punctuated by the explosion of fireworks. What Jefferson did for vhe United States Gladstone, the grand old man, was now trying to do for Ireland. Then-he turned his attention to President Harrison, whose horse, he said, had kicked over the dashboard and thrown out the rider. At this sally an ardent republican attracted to the meeting by curiosity, retorted from the center of the hall: "He's a pretty good rider all the same." Alluding to President Cleveland, Mr. McMillln said he stood today with the flag of the union in one hand end the constitution of the United States in the other. The democratic party, he said, was given the task of rehabilitating a country that thlr predecessors in office had let go to ruin. They will give to the country a currency that will be sound and substitute a tariff for revenue for a tariff for trusts. The President's Letter. Secretary MeGolJriek next read letters of regrets from distinguished personages. President Cleveland, under date of June 16, wrote to Richard Croker thus: "Dear Sir I regret that I am unable to accept the invitation of the Tammany society to attend the celebration of the anniversary of American independence on the Fourth of July next. This Is a day which all true Americans ought to celebrate as often as it occurs. When, however, the commemoration of the discovery of the land we occupy and the celebration of the day when It was consecrated to liberty and popular government are co-lncldent, the occasion should revive and stimulate all the ennobling and patriotic sentiments which are essential to the safety and the perpetuity of American Institutions. "At such a time it is fitting that we rejoice In the dauntless purpose and constant devotion that have thus far marked out the way of our great nation. We should lose the most Important lesson of the day we celebrate If we forget that the labor and diligence of those intrusted with self government must be unremitting and always patriotic There has never been a time when our countrymen should be more soberly reminded that they cannot safely delegate their duties and obligations cf citizenship nor negfect to cultivate their individual and personal interest In public affairs. "If those who now celebrate the anniversary of American independence guard against the sordid struggle for unearned wealth that stifles patriotism. if they exact from public servants the strictest accountability in the performance of public duties; If they hold fast to the American Ideas that work Is hon orable and economy Is a virtue; if they insist that there should be honesty and cleanliness in politics, and If they refu.-e to encourage expedients that endanger the fcundation of sound national finance, those who follow us will Joyously celebrate the day in centuries yet to come. "GROVER CLEVELAND." Senator Hill's Letter. Senator David B. Hill wrote thus: "It Is now evident that the financial question which so recently from various motives was sought in some quarters to be ignored or pushed aside in behalf of other issues, imperatively required I l'i ttrurin-e us ru a i et js union, uu its solution Is not demanded by the adoption of temporary expedients and questionable compromises, but by a return to the sound monetary principles of our fathers. "Not present relief, merly, but the restoration or establishment of a permanent financial system under which our currency shall be safely regulated, is the plain duty of the hour. A fixed, vigorous and definite financial policy, rather than a fixed, weak and vasclllatlng course, one that will settle the question not for a day but for decades, one that embraces and subserves the interest of the whole country rather than any particular section, is the wise policy which the nation needs. "The unconditional repeal of the Sherman act against the enactment of which, to their credit, be it said, every democrat In congress voted in the first and essential step in the right direction 6uch repeal is necessary to lay the foundation for the enactment of that legislation or i the inauguration of that international concurrence, which shall eventually lead us to the goal of that free bimetallic coinage to which both of the great political parties are solemnly committed. "We pledged the people that if successful we would revise the tariff by the reduction of duties to a revenue basis; that we would repeal the Sherman act. which is a menace to ail the business Interests of the country: that we would . establish and maintain a sound and stable finnnclal system, and that we would honestly and economically administer the affairs of the people. "The pledges must be kept and when the promised refoms are crystallized Into new statutes a nw significance will be given to American independence the masses will be free from the domination of the classes and all men will be equal before the law." Other letters from cc.bir.et members, er..itcrs snd congresmif-n were read. An elaborate collation closed ths affair.

RIOTING IN PARIS.

Serious Clash Between Students and Police In Which Many, on Both Sides Are Badly Hurt. A SKIRMISH FOR HOURS. Cavalry Comes to the Rescue of the Officers And the Horsemen Get the Worst of the Fight. WindoiT Smashed and Donftres Made by the Riotous Academics lleeause One of Their Nnmber Had Reen Previously Killed by the Police tiladtone Not Seriously Hurt Other For-t elan Xevrs. PARIS, July 3. On Saturday last an affray occurred between the police and a number of students in the latin quarter. Today the rioting was renewed. The spokesmen of the students were accorded a hearing by the chamber of deputies. They stated the facts in the case as they appeared to them. The order of the day expressing the trust that the government would do lis best to punish the guilty officers was finally adopted by the chamber. At S:20 o'clock this evening 2,000 students surrounded the prefecture of police, Jeered the officials and threw stones through the windows. While the police were preparing to charge, the mob upset all the booths In the neighborhood and smashed the street lamp3. The" charge of the police was resisted stubbornly. The students fou?ht back with clubs and stones. In the first onset several students were wounded and two policemen were stretched unconscious on the javement. The second charge resulted In more injuries on both sides, but the students were driven back but fifty or sixty yards. After tho thiiu charge had been repulsed, the student, marched singing and shouting to t Place St. Michel. Tho police retired iind a all fur cavalry was ent.out froi.. the prefecture. At 10;13 the students were rioting in the boulevard St. Michel. The cavalry was calittl out to drive the students from the neighbourhood of the Palais de Justie and the prefecture depo'ike returned to thflr barracKs after the mob had retreated to the Boulevard St. Germain. The mob then hurried back along the Boulevard St. Michel and across the bridges to the Boulevard Du Palais, between the arms of the river. The students smashed with thi-lr clubs and a heavy pieee of timber the massive doors f the Palais De Justice und knocked the glass out of all the windows within reach. The police hastened to the spot and charged with drawn swords. The rioeerä overcome them, tore their swords from their hands and drove them back to the hotel Dieu. Several policemen were cut severely with the swords which the rioters had wrested from them. Three of these policemen have been taken to the hospitals. A dozen other policemen were badly bruised with stones and clubs. One policeman was cut by the students, stripped of hie clothes and carried to the river. He begged the students on his knees not to throw him in and eventually was released by them. The republican guards were called out at midnight. The students retreated down the boulevard St. Michel as the guard. approached and dispersed shortly before 1 o'clock. The guards remain stationed at the bridges to prevent the return o fany rioters to the Palais d Justif-e or Prefecture de Police. M. Lonze denied late last evening that he had resigned. Intense excitement prevailed In the Latin quarter until 3:13 o'clock this morning. Students and police fought repeatedly. Fifteen policemen and many students were Injured seriously. The students set fire to the booths of the street after upsetting them. M. Loze. prefect, and M. Ylgnle. secretary-general of the polie, were in the distance directing the police forces. PARIS. July 4. Riotous demonstrations were made today by students at St. tiermain tie Pres and the Kue Jacob, near the Hospital de la Charite. The police were unable to disperse the mobs. Eventually a Uirge detachment of cavalry charged and scattered the students. The disorder in the streets increased hourly. Students, with crowds of rou,?hs, filled the open spaces. Omnibu and tramcars were blocked by the mobs, the passengers were turned nut and the vehicles upset. More than 1.500 worklngmen marched eight abreast through the disturbed district. It Is reported that Nu.cer's body will be sent to Lyons tonlvht. An opportunity may be given for a demonstration at the funeral. Students are walking to the railway to thwart the plans. The keenest anxiety Is everywhere apparent. Gen. Sausxier. military governor of Paris, has prepared the garrison for the worst. Court Martial to Convene at Once. LONDON", July $. In the house of commons today Shuttleworth, secretary of the admiralty, stated Injresponse to Inquiries on the subject, that the admiralty had decided to convene immediately a court martial on the matter of the loss of the Victoria. The court martial would be held in Malta. Replying to a question asked in the house of commons teday by John Redmond (Parnelllte), Mr. Gladstone Intimated that it was the Intention of the government to appoint a Joint commission to Inquire into the financial relations between Great Prttaln and Ireland. Mr. Gladstone added that the sittings of the commission wculd not begin until the excitement in connection with the passage of the home rule bill had subsided. The Kaiser and Practical Polities. BERLIN, July 3. Emperor William today granted an audience to Herr Von Kosetelskl a. leader of the Polish party. His majesty learned from the Polish, leader that his party demanded in return for their support of the army bill, certain concessions in regard to national echcols. The emreror readily fell In with the views expressed by Her Kosclelskl and summoned Dr. Hosse. minister of instruction, who was directed by the emperor to prepare a scheme that would satisfy the Poles. Gladstone's Injnries Yery Slight. LONDON'. July 8. The accident that befell Mr. Gladstone yesterday at Ham house, Petersham, the residence In Surrey of the earl of Dysart. Is not at II serious. The spraining of his ankle was very slight. He returned to London from ham hoi'se tOv;y snd showed no sign of the accident. He looked well and walked erect and firmly. Why suffer with sich headache and biliousness when Simmons Liver Regulator will euro yea?

CONVENES THE REICHSTAG

EMPEROR WILLIAM IM PERSON OPENS THE BODY And Delivers a Brief Speech to th Newly Eleeted Member Sjb the Military Standing of the Fatherland Maat he Properly Maintained. BERLIN. July 4. The relehstag was opened today by Emperor William 19 person. The emperor, attired la full military uniform, entered the salon, and proceeded directly to the dais, which was erected to the right of the press rallery. Bowing low. Chancellor von Caprlvi handed the manuscript of the imperial speech to the emperor, holding himself erect. His majesty, in a firm and clear voice, read as follows: "Honored Gentlemen Since you have been called In common to work for the federal government, I desire to welcome you upon entering upon your deliberations. A bill concerning the peace footing of the army, which was submitted to the former reichstag, to my regret, did not find approval. It was a unanimous conviction, shared by all my high confederates, that the empire no longer could afford to renounce the development of the army system necessary to guarantee the future of the empire. In the face of the development of military Institutions, the rejection of the army bill was bound to lead to the resolution to dissolve the reichstag and to order sew elections. "Since the first introduction of the bill the political situation in Europe has experienced no change. The relations of the empire with other powers are thoroughly friendly and free from all clouds. The proportion of Germany's organized military strength has, however, changed for the worse during the past year, when compared with that of our neighbors. If alheady Germany's gtographlcal pocition and historical development lay upon us the duty to maintain a relatively stsong army, then a further Increase in the miUtary strength of the empire becomes a forcible necessity to satisfy the dutiea laid upor me by the constitution. I consider that all the titans at our dlsP'sal must be utilized In order to establish an effective defense of the fatherland. "You will receive Immediately a new bill legardir.g the peace footing of the army, in which there will be taken Into account, es f-ir as possible, certain desires cpr"ssod during the discussion cf the late bill. Diminished demands are made upon thJ personal capacities and tax-be.irlng power of the people as far as possible, without er.dingering the efficiency of the army. The empire's interest requires, eppt'-ia'ly in view of tho end tf the septennate next spring, that the til! be passed with the utmost Iii1 patch, so thr.t th new reerult calls may be made In the autumn on the n w basis. With a v!w of cnnMlng you to JedScate your unMvivliled attention to the ds-F-l."r t'f the rilV, the pnvornm-'nt will not m trie meantime Introduce any otner ir.eas-ur-1. I end mv hUh confederate, remain c iiivin('l 'hat tr,e means Tor trie- new orChniratlor can be procured. wiio'i overburdening th" co'intry, on the basis of thl financial bill introrieel In the r?!ch?taf last autumn. At the opening of the. w.nter session a bill v. ill be presented di.ected to obtaining means, according o the capabilities r,f the tax-payers. I'ntil thn th lncreesej cot v.lll be covered by the federal ttnts throughout matriculation In payments. "ckntleuien. with great sacrifice Gerrr.anv has lecn united In one empire. Tht nnti!n honors most those who stakei their blood anl property on this work, which led th fntherl.ml to prosperity. To safeguard the glorious achievements with which God n.-vs blessed us in our battle for-independence is our most sacred duty. This duty we ean only fulfill if we make ourse'vf" strong enough to remain srrely for Europe's peace. 1 trust you will not fail to five m and my confederates your trtriotic sacrifices and willing support In striving for these nl-ns." It has Iven Hrmncel that the reichstag tomorow shall eiert Herr You LvetBoiv, conser ntive. prfs'lnt; I'ar'in Yon BjoIPerr nl-rr. rlo'rlc,l. list viee-prsl lent, and Prof. Von Mar-i i:ii-!spti. national liberal, second vi-'p-preMnt. TWO BANDITS CAPTURED. TUB XOTORIOI S ST AM R WO VADEIJ I1Y OFFICERS. Kid "Wilson, and Henry Starr Take Inuvrares While at Hotel In Colorado Sprinan -,Ot0 In Gold Fouoil Young Mrs.- Starr's Story. DENVER, July t Information has been received from Colorado Springs that Henry Starr and Kid Wilson, two members of the notorious Starr gang of train and bank robbers, who have caused the death of a dozen men and terrorized the Indian territory and Arkansas for months, were arrested there this morning. The men arrived at the Spauldln house at a late hour last night with Mrs. Starr. They registered as Frank Johnson and John Wilson of Joplin, Mo. The officers, after learning who the two were, were afraid to approach them outright and attempted to get the outlaws in a position to shoot on sight, but thejr separated. Henry Starr going into tha Coffee restaurant. The police followed him and Marshal Dana caught one arm and Math Wright another. Detective Atkinson covered hlra with a pair of sixshooters. He gave in without a struggle, but said to them: "It is a good thins; you got the flrop on me or there would , have been some corpses around here." The officers then went to Colorado City and captured Kid Wilson, another of the ganr. He was armed with a 45callber gun and would have made a desperate resistance If the officers had not got the drop on him. After the arrest the offlctrs went down to tha Spaulding house and woke the woman f who was registered as Mrs. Jackson, but who Is really the wtfe of Starr. She la about eighteen years old and rather pretty. She said that she was married to Starr about six months ago and that her home Is about 200 miles east of here. A search cf the room was made and under the pillow was found $1.460 in gold, which had never been used, and J5o0 In gold was found In a purse. She also carried a pearl handled revolver of 38caliber. She was closely questioned, and admitted that the men who were capI tUfSd were nenry marr uuu jvicj uoui. I She said it was done in self defense. With the money which the men had upon them fully 12,000 was recovered. AS A DRINK 1 FEVERS Ise HorsLord's Acid Phosphate. Dr. Charles II. S. Davis. Merlden, Conn., says: "I have used It as an aeC?scry in cases of melancholia and nervous debility, and as a pleerantand coollag drlrJc in fevers, and have been very much pleased with lu"

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