IS
ME
JnlILLSB6R
IIILLSBORO, OREGON. THURSDAY, DECEMBER 5. 1895.
N O. .'17.
PRESIDENT'S MESSAGE
Foreign Relations and the
Financial Question.
RETIREMENT OF GREENBACKS
Proponed the Roto Remedy for th.
Pre.ent Flaeal and financial III.
of th. Country.
Washington, Doc. 3. President
Cleveland' first message to the Fifty
fourth congress wan presented to and
read in the two bouses today. It is as
follows:
The present assemblage of the legis
lative branoh of our government occurs
at time when the interests of our peo
ple and the needs of the oountry give
especial prominence to the oondition
of our foreign relations and the ex
igencies of our national finances. The
reports of the beads of the government
departments fully and plainly exhibit
what has been accomplished within the
scope of their respective duties, and
present such recommendations for the
betterment of our country's oondition
patriotic and intelligent labor and
observation suggest
I therefore deem my executive duty
adequately performed, at this time, by
presenting to congress the important
phases of oar situation, as related to
our intercourse with foreign nations,
and a statement of the financial prob
lems which confront us, omitting, ex
oept as they are related to these topics,
any reference to departmental opera
tions. I earnestly invite, however,
not only the oareful consideration, but
the severely oritical scrutiny of the
congress and my fellow oountrymen to
the reports concerning these depart
mental operations. It justly and fairly
examined, thuy will furnish proof of
assiduou and painstaking care for the
public welfare.
I press the recommendations they
oontain npon the respectful attention
of those oharged with the duty of leg
islation, because I believe their adop
tion would pro mo to the people's good.
FINANCIAL QUESTION.
A DLoiiHlon of the Situation and Soma
Recommendation..
At we turn to a review of our na
tional ftuanoial situation, we are im
mediately aware that we approaoh a
subjeot of domostio conoern more im
portant than any other wbiob oan en
gage our attention, and one, at present,
in such a perplexing and delioate pre
dioament as to require prompt and wise
" treatment. "We may well be encour
aged to earnest effort in this direction
when we recall the steps already taken
toward improving our eoonomio and
financial situation and when we ap
preciate how well thn way has been
prepared for further progress by an
aroused and intelligent popular inter
est in these subjects.
By command of the people a customs
revenue system, designed for the pro
tection and benefit of favored classes,
at the expense of the great mass of our
oountrymen, and which, while in
efficient for the purpose of revenue,
curtailed our trade relations and im
peded our entrance to the markets of
the world, has been superseded by a
tariff policy, which, in principle, is
based upon a denial of the right of the
government to obstruct the avenue of
our people's cheap living, or lessen
their comfort and contentment for the
aake of according especial advantage
to favorite, and which, while encour
aging our intercourse and trade with
other nations, recognizes the fact that
Amerioau self-reliance, thrift and in
genuity oan build np our country's in
dustries ami develop its resources more
urely than enervating paternalism.
The oompulnory purchase and coin
age of silver by the government, un
checked and unregulated by businee
oondition and heedless of our our
renoy needs, which for more than fif
teen year diluted our circulating med
ium, undermined confidence abroad in
our financial ability, and at last cul
minated in distress and panic at home,
has been reoently stopped by the re
peal of laws which forced this reokless
scheme upon the oountry. The things
thu accomplished, notwithstanding
their extreme importance and beuefioeot
efteots, fall far short of curing the
monetary evil from which we suffer
a a result of long indulgence in ill-ad-Tiled
flnanoial expedient.
The currency denominated United
States notes, and oommonly known as
greeenbaoks, was issued in large vol
ume during the late oivil war and was
intended originally to meet the exi
gencies of that period. It will be
seen by a reference to the debates in
congress at the time the laws were
passed, authorising the issue of these
notes, that their advocates deolared
they were intended for only tempor
ary use and to meet the emergency of
the war. In almost, if not all the
law relating to them, some provision
was made contemplating their volun
tary or compulsory retirement. A
large quantity of them, however, were
kept on foot and mingled with the
. currency of the oountry, so that at the
olose of the year 1874 they amounted
to 1381,999,078. Immediately after
that date, and in January, 1875, a law
wa passed providing for the resump
tion of speoie payment, by which the
seoretary of the treasury was required,
whenever additional qiroulation wa
issued to national banks, to retire
United States notes equal in amount to
80 per oent of saah additional bank cir
culation until suoh notes .were reduced
to 1300,000,000. This law further
provided that, on 'and after the first
day of January, 1879, the United
States notes then outstading should be
redeemed in ooin, and in order to pro
Ida and prepare for tuoh redemption
the secretary of the treasury was au
thorized, nut only to use any surplus
revenues of the government, but to is
sue bonds of the United States and dig'
pose of them for coin, and to use the
proceeds for the purposes contemplated
by the statute.
In May, 1878, and before the day
thus appointed for the redemption and
retirement of these notes, another stat
ute was passed forbidding their fur
ther cancellation and retirement
Some of them bad, however, been
previously redeemed and cancelled
upon the issue of additional national
bank circulation, a permitted by the
law of 187S, so that the amount out
standing at the time of the passage of
the act forbidding their further retire
ment was $34(1,081, 016. '
The law of 1878 did not stop at dis
tinct prohibiting, but contained in ad
dition the following express provision:
"And when any of said notes may
be redeemed, or be received into the
treasury, under any law from any
source whatever, and shall belong to
the United States, they shall not be
retired, oancolled or destroyed, but
they shall be reissued and paid out
again and kept in circulation."
This wa the oondition of affairs
January 1, 1879, which bad been fixed
upon four years before as the date for
entering upon the redemption and re
tirement of all these notes and for
wbioh suoh abundant means bad been
provided.
The government was put in the an
omalous situation of owing the lend
ers of its notes debts payable in gold
on demand, whiob could noither be re
tired by receiving suoh notes in dis
charge of obligations due the govern
ment, nor oanoellod by actual payment
in gold. It was foroed to redeem with
out redemption and to pay without ac
quittance. There had been issued and sold $95,-
600,000 of the bond authorized by the
resumption act of 1875, the proceeds
of which, together with other gold in
the treasury, created a gold fund deem
ed sufficient to meet the domand
which might be made upou it for the
redemption of outstanding United
States note. This fund, together with
suoh gold as might be from time to
time in the treasury available for the
purpose, has been sinoe our gold re
serve, and $100,000,000 has been re
garded as an adequate amount to ac
complish its object This fund
amounted, January 1, 1879, to $114,-
198,860, and though, thereafter, con
stantly fluctuating, it did not fall be
low that sum until July, 1893. In
April, 1893, for the first time since it
establishment, this reserve amounted
to loss than $100,000,000, containing
at that date only $97,01 1,830.
In the meantime, in July, 1890, an
act had been passed directing larger
government monthly purchases of sil
ver than had been required under pre
vious laws, and providing that in pay
ment for suoh silver, treasury notes of
the United States should be issued,
payable on domand in gold or silver
ooin at the discretion of the secretary
of the treasury. It was, however, de
clared in the act to be "the establish
ed policy of the United States to main
tain the two metals on a parity with
eaoh other, upon the present legal ra
tio, or such ratio a may be provided
bylaw."
In view of this declaration it was
not deemed permissible for the secre
tary of the treasury to exercise discre
tion in terms oonferred on him by re
fusing to pay gold on those notes when
demanded, because by suoh discrimina
tion in favor of the gold dollar the so
called parity of the two metals would
be destroyed and grave and dangerous
oonsequenoes would be preoipitated by
affirming or aooentuating the constant
ly widening disparity between their ac
tual values under the existing ratio.
It thus resulted that the treasury notes
issued in payment of silver purchases,
under the law of 1890 were neoessarily
treated as gold obligations at the op
tion of the holder.
The note on November 1, 1898,
when the law compelling the monthly
purchase of silver was repealed,
amounted to more than $155,000,000.
The notes of this description now out
standing, added to the United States
notes still undiminished by redemption
or cancellation, constitute a volume of
gold obligations amounting to nearly
$500,000,000. These obligations are
the instruments, which, ever sinoe we
have had a gold reserve, have been
used to deplete it
The reserve, a ha been stated, had
fallen in April, 1893, to $97,011,830.
It ha from that time to the present,
with very few and unimportant up
ward movements, steadily decreased,
except it has been temporarily replen
ished by the sale of bonds. Among
the oanses for this constant and uni
form shrinkage in this fund may be
mentioned the great falling off in ex
ports under the operation of the tariff
law, until reoently in force, whioh.
orippled our exchange of commodities
with foreign nations, and necessitated
to some extent the payment of our bal
ance in gold. The unnatural influxion
of silver into our oountry and the in
creasing agitation for its free and un
limited ooinage, whioh have created
apprehension as to our disposition or
ability to oontinue gold payments, the
consequent hoarding of gold at home,
and the stoppage of investments of for
eign oapital, a well as the return of
our seonritie already sold abroad, and
the high rate of foreign exohange,
whioh induced the shipment of our
gold to be drawn against, is a matter
of speculation.
In consequeneo of these conditions
the gold reserve, on February 1, 1894,
was reduoed to $85,438,877, having
lost more than $31,000,000 during the
preoeding nine months, or Binoe April,
1893. It replenishment being neces
sary, and no other manner of accom
plishing it being possible, resort was
had to the issue and sale of bonds,
provided by the resumption act of
1875. Fifty million of these bonds
were o'd, yielding $68,633,295.71,
which was added to the reserve fund
of gold then on hand. As a result of
this operation this reserve, which bad
suffered constant and large withdraw
al in the meantime, stood, March 6,
1894, at the sum of $107,446,802. Its
depletion, however, was immediately
theraftcr so accelerated that on June
30, 1894. it had fallen to $64,873,025,
thus losing, by withdrawals, more
than $42,000,000 in five months, and
dropping slightly below its situation
when the sale of $50,000,000 in bond
was effected for its replenishment.
This depressed condition grew worse,
and November 24, 1894, our gold re
serve, being reduced to $57,669,701,
it became necessary to strengthen it.
This wa done by another sale of
bonds, amounting to $50,000,000, from
whioh there was realized $58,538,500,
with which the fund was Increased to
$111,421,021 December 4, 1894.
Again disappointment awaited the
anxious hope for relief. There was not
even a lull in the exasperating with
drawals of gold. On the contrary, they
grew larger and more 'persistent than
ever. Between December 4, 1894, and
early in February, 1895, a period of
scarcely more than two month after
the second reinforcement of our gold
reserve by the sale of bonds, it had lost,
by such withdrawals, more than $69,
000,000, and bad fallen to $41, 340,181.
Nearly $45,000,000 had been with
drawn during the month immediately
preceding this situation.
In anticipation of pending trouble I
had, January 28, 1895, addressed a
communication to congress, fully set
ting forth our difficulties, and danger
ous position, and earnestly recommend
ing that authority be given the secre
tary of the treasury to issue bonds
bearing a low rate of interest, payable
by their terms in gold, for the purpose
of maintaining a sufficient gold re
serve, and also for the redemption and
oonoellation of outstanding United
States notes and treasury notes issued
for the purchase of silver nnder the
law of 1890. This recommendation
did not, however, meet with legislative
approval. In February, 1895, there
fore, the situation wa exceedingly
critical. With a reserve perilously
low and a refusal of congressional aid
everything indicated that the end of
gold payments by the government was
imminent. The results of prior bond
issues bad been exceedingly unsatisfac
tory and the large withdrawals of gold,
immediately succeeding their publio
sale in open market, gave rise to a rea
sonable suspicion that a large part of
the gold paid into the treasury upon
sales was promptly drawn out again
by the presentation of United States
notes or treasury notes and found its
way to the hands of those who had
only temporarily parted with it in the
purchase of bonds.
In this emergency, and in view of
its surrounding perplexities, it became
entirely apparent to those upon whom
the struggle for safety was devolved,
not only that our gold reserve must,
for the third time in less than thirteen
months, be restored by another issue
and sale of bonds bearing a high rate
of interest and badly suited to the pur
pose, but that a plan must be adopted
for their disposition promising better
results than those realized on previous
lea. An agreement was therefore
made with a number of financiers and
bankers wherby it was stipulated that
the bonds described in the resumption
aot of 1875, payable in ooin thirty
years after their date, bearing interest
at the rate of 4 per cent per annum,
and amounting to $62,000,000, should
be exohanged for gold receivable by
weight, amounting to a little more
than $65,000,000. This gold was to
be delivered in such installments as
would oomplete its delivery within
about six months from the date of the
oontraot, and at least one-half of this
amount was to be furnished from
abroad. It was also agreed by those
supplying this gold that during the
oontinuanoe of the oontraot they would
by every means in their power protect
the government against gold withdraw
als. The oontraot also provided that
if oongress would authorize the issue
of bonds payable by their term in gold
and bearing interest at the rate of 3
per oent per annum they might within
ten days be substituted at par for tbe 4
per oent bond desoribed in the agree
ment. On the day the oontraot was
made the terms were communicated to
congress by special exeoutive message,
in whioh it was stated that more than
$16,000,000 would be saved to the gov
ernment if gold bonds bearing 3 per
oent interest were authorized to be sub
stituted for those mentioned in the oon
traot Congress having deolined to grant
the necessary authority to seoure this
saving, the oontraot, unmodified, was
oarried out, resulting in a gold reserve
amounting to $17,671,330 Jnly 8, 1895.
The performance of this oontraot not
only restored the reserve, but oheoked
for a time the withdrawal of gold and
brought on a period of restored confi
dence and suoh peaoe and quiet in bus
iness oiroles a were of the greatest
possible benefit in every interest wbioh
affeots our people.
I have never had the slighetest mis
giving oonoerning the wisdom or pro
priety of this arrangement, and am
quite willing to answer for my full
share of the responsibility for its pro
motion. I believe it averted disaster,
the imminenoe of whioh was fortunate
ly not at the time generally understood
by our people.
If a fixed and stable standard is
maintained, suoh as the magnitude and
safety of our commercial transactions
and business require, the use of money
itself is conveniently minimized.
Every dollar of fixed and stable value
ha, through the agenoy of confident
credit, an astonishing oapaoity of mul
tiplying itself in financial work.
Every unstable and fluctuating dollar
fail a a basis of oredit and in it nie
begets gambling speculation and un
dcrmiuea the foundations of honest enterprises.
I have ventured to express myself on
this subject with earnestness and plain
ness of speech because I caunot rid my
self of the belief that there lurks in
the proposition for the free coinage of
silver, so strongly approved and so en
thusiastically advocated by a multitude
of my countrymen, a serious menace
to our prosperity and an insidious
temptation of our people to wander
from the allegiance they owe to publio
and private integrity. It is because I
do not distrust tbe good faith and sin
cerity of those who- press thi scheme
that I have imperfectly, but zealously
submitted my thoughts upon this mo
mentous subject.
I cannot refrain from begging them
to re-examine their views and belief in
the light of patriotic reason and famil
iar experience, and to weigh again and
again the oonsequenoes of such legisla
tion as their effort have invited. Even
the continued agitation of tbe subject
adds greatly to the difficulties of a dan
gerous flnanoial situation already
foroed npon us.
OUR FOREIGN RELATIONS.
Que.tloo. at I.u Between TbU and
Other Government..
By mandatory tariff legislation, in
January last, the Argentine Republic,
recognizing the value of the large mar
ket opened to the free importation of
its wools under our last tariff aot, has
admitted certain products of the United
State to enter at reduced duties. It
is pleasing to note that tbe efforts we
have made to enlarge the exchanges of
trade on a sound basis of mutual bene
fit, are in this instance appreciated by
the oountry from which our woolen
factories drew their needful supply of
raw materials.
The missions boundary dispute be
tween the Argentine Republic and
Brazil, referred to the president
of the United States as arbitrator dur
ing the term of my predecessor, and
whioh was submitted to me for deter
mination, resulted in an award in fa
vor of Brazil, upon the historical and
documentary evidence presented; thus
ending a long-protracted controversy,
and again demonstrating the wisdom
and desirability of settling interna
tional boundary disputes by recourse to
friendly arbitration.
Negotiations are progressing for a
revival of the United States and Chil
ean olaim commission, whose work
wa abruptly terminated last year by
the expiration of the stipulated time
within whioh amends could be made.
Chile is a step of great interest and
importance, "both in its direct oonse
quenoes upon her own welfare, and as
evinoing the ascendency of sound finan
cial principlejjgMVkBaOf tbe most in
fluential of the South American repub
lics. Chlneae Outbreak..
The olose of the momentous struggle
between China and Japan, while re
lieving the diplomatic agents of this
government from the delicate duty
they undertook, at the request of both
countries, of rendering such service to
the subjects of either belligerent
within the territorial limits of the
other as our neutral position permit
ted, developed a domestio condition in
the Chinese empire whioh has paused
much anxiety and called for prompt
and oareful attention. Either as a re
sult of a weak control by the central
government over tbe provincial admin
istrations, following a diminution of
the traditional governmental authority
under the stress of an overwhelming
national disaster, or as a manifesta
tion, upon good opportunity, of the
aversion of the Chinese population to
all foreign way and undertakings,
there have occurred, in widely sepa
rated provinces of China, aerious out
breaks of the old fanatioal spirit
against foreigners, whioh, unchecked
by the local authorities, if not aotnally
oonnived at by them, have culminated
in mob attaoks on foreign missionary
stations, causing much destruction of
property, and attended with personal
injuries as well as loss of life. Al
though but oue Amerioan citizen wa
reported to have been actually wound
ed, and although the destruction of
property may have fallen more heavily
npon the missionaries of other nation
alities than our own, it plainly be
hooves this government to take the
most prompt and decided action to
guard against similar, or, perhaps,
more dreadful calamities befalling the
hundreds of Americans in that oountry.
The demands of the United States
and other powers for the degradation
and punishment of the responsible
officials of the respective cities and
provinces who, by negleot or otherwise,
had permitted uprisings, and for the
adoption of stern measures by the em
peror's government for the proteotiion
of the life and property of foreigners,
were followed by the disgrace and dis
missal of oertain provincial officials
fonnd derelict in duty, and the punish
ment by death of a number of those
adjudged guilty of participating in the
outrages.
China will not forget either our
kindly servioe to her oitizens during
her late war, nor the further faot that,
while furnishing all the facilities at
our oommand to further the negotia
tion of a peaoe between her and Ja
pan, we sought no advantages, and
interposed no oonnsel. Tbe govern
ments of both China and Japan have
in speoial dispatches, transmitted
through their respective diplomatic
representatives, expressed in a most
pleasing manner their grateful appreoi
ation of our assistance to their oitizens
during the unhappy struggle and of
the value of our aid in paving the way
to their resumption of- peaoeful rela
tions. The Waller Incident In France. -
The customary oordial relations be'
tween this country and France have
been undisturbed, with the exoeption
that a full explanation of the treatment
of John L. Waller by too expedition
ary military authorities of France still
remain to be given. Mr. Waller, for
merly United State consul at Tama
tive, remained in Madagascar after his
term of office expired, and was, appar
ently, successful in procuring business
concessions from the Hovas, of greater
or less value.
After the occupation of Tamative
and the declaration of martial law
by the French, he wa arrested
upon various charges, among them
that of oommunicating military in
formation to tbe enemies of France;
was tried and convicted by a military
tribunal and sentenced to thirty year'
imprisonment Following the course
justified by abundant precedents, this
government requested from that of
Franoe the record of tbe proceedings of
tbe French tribunal, whioh resulted in
Mr. Waller' condemnation. This re
quest has been complied with to the
extent of supplying a copy of the of
ficial record, from which appear the
constitution and organization of the
court, the charges a formulated and
the general course and result of the
trial, and by which it i shown that
tbe accused was tried in open court
and was defended by oonnsel; but the
evidence addnoed in support of tbe
charges, whiob was not reoeived bv tbe
French minister for foreign affair till
the first week in October, bas thu far
been withheld, the French government
taking the ground that it production
in response to our demand, would es
tablish a bad precedent The effort
of onr ambassador to secure it, bow-
ever, though impeded by recent changes
in the French ministry, have not been
relaxed, and it is confidently expected
that some satisfactory solution of the
matter will be shortly reached. Mean
while it appears that Mr. Waller's con
finement bas every alleviation which
the state of hi health and all the other
circumstances of the case demand or
permit.
An agreeable contrast to the differ
ence above noted, respecting a matter
of common concern where nothing is
sought except such a mutually satis
factory outcome as the true merits of
the case require, is the recent resolu
tion of the French chamber favoring
the conclusion of a permanent treaty of
arbitration between tbe two countries.
An invitation ha been extended by
France to the government and tbe peo
ple of the United States to participate
in a' great international exposition at
Paris in 1900, as a suitable commem
oration of the close of this, the world'
marvelous century of progress. I
heartily recommend its acceptance, to
gether with such legislation a will ad
equately provide for a due representa
tion of this government and it people
on the occasion..
Serenity at Germany. -
Our relations with the states of the
German empire are, in some aspects,
typical of a condition of things else
where found in countries whose pro
ductions and trade are similar to our
own. The close rivalries of oompeting
industries, the influence of the delusive
doctrine that the internal development
of a nation is promoted and its wealth
increased by a policy, which in under
taking to reserve its home markets for
the exclusive use of it own producers,
necessarily obstructs this class in for
eign markets, and prevents free access
to the products of the world; the desire
to retain trade in time-worn ruts, re
gardless of the inexorable law of new
needs and changed oondition of de
mand and supply, and our own halting
tardiness in inviting a free exchange
of commodities, and by this means im
periling our footing in the external
market naturally open to us, have
created a situation somewhat injurious
to Amerioan export interests not only
in Germany, where they are perhaps
most noticeable, bnt in adjacent coun
tries.
The Protection of the Sealing Herds.
Our relations with Great Britain,
always intimate and important, have
demanded,, during the past year, a
greater share of consideration than is
usual. Several vexatious questions
were left undetermined by the deoision
of tbe Behring sea arbitration tribunal.
The application of the principles laid
down by that august body has not been
followed by the results they were in
tended to accomplish, either because
the principles themselves laoked in
breadth and definitness, or because their
execution has been more or less imper
fect. Muoh correspondence has been
exohanged between the two governments
on the subject of preventing tbe ex
terminating slaughter of seals.
The insufficiency of the British pa
trol of Behring sea, nnder the regula
tions agreed on by the two govern
ment, ha been pointed out, and yet
only two British ships have been on po
lice duty during this season in these
waters. The need of a more effective
enforcement of existing regulation, as
well as the adoption of such additional
regulations as experienoe ha shown to
be absolutely necessary to carry out
the intent of the awards, bave been
earnestly urged upon the British gov
ernment, but thus far without effeotive
result. In the meantime, the deple
tion of the seal herds by means of pel
agic bunting has so harmfully prog
ressed, that, unless their slaughter is
at onoe checked, their extinction,
within a few year seems to be a mat
ter of absolute certainty.
Veneiuelan Boundary Dl.pute.
It being apparent that the boundary
dispute between Great Britain and the
republic of Venezuela oonoerning the
limits of British Guiana, was approach
ing an acute stage, a definite statement
of the interest and polioy of the United
States, as regards the controversy,
seemed to be required, both on it own
account and in view of it relatione
with the friendly power direotly con
cerned. In July last, therefore, a dis
patoh was addressed to our ambassa
dor at London for communication to
tbe British government, in whioh the
attitude of tbe United State waa fully
and diitinotly tet forth. Tbe general
conclusions therein reached and formu
lated are in substance that the tradi
tional and eatablihsed policy of this
government is firmly opposed to a
forcible increase by any European
power of it territorial possessions on
this continent; that this policy is a
well founded in principle a it is
strongly supported by numerous prece
dents; that a a consequence, the
United State is bound to protest
against the enlargement of area of
British Guiana in derogation of the
right and against the will of Vene
zuela; that, considering tbe disparity
in strength of Great Britain and Vene
zuela, the territorial dispute between
them can be reasonably settled only by
friendly, impartial arbitration, and
that the resort to such arbitration
should inlolude the whole controversy,
and is not satisfactory if one of the
powers oonoerned is permitted to draw
an arbitrary line through the territory
in debate, and to declare that it will
submit to abritration only the portion
lying on one eide of it In view of
these conclusion, the dispatch in ques
tion oalled upon the British govern
ment for a definite answer to tbe ques
tion whether it would not submit the
territorial oontioversy between itself
and Venezuela, in its entirety, to im
partial arbitration. The answer of tbe
British government has not yet been
reoeived, but is expected shortly, when
further communication on the subject
will probably be made to congress.
Lynching of Italian. In Colorado.
The deplorable lynching of several
Italian laborers in Colorado was nat
urally followed by international repre
sentation, and I am happy to say that
the best efforts of the state, in wbiob
tbe outrages occurred, bave been put
forward to discover and punish the au
thors of thi atrocious crime. Tbe de
pendent families of some of the unfor
tunate victim invite, by their deplor
able condition, gracious provision for
their needs.
Japan has furnished abundant evi
dence of her vast gain in every trait
and characteristic which constitute a
nation' greatness. We have reason
for congratulation in the fact that the
government of the United States by the
exchange of liberal treaty stipulations
with the new Japan, was the first to
recognize ber wonderful advance, and
to extend the consideration and con
fidence due to her national enlighten
ment and progressive oharacter.
Nicaragua'. Internal Trouble.
In last year's message r narrated, at
some length, the jurisdictional- ques
tions then freshly arisen in the Mos
quito Indian strip of Nicaragua. Since
that time, by the voluntary act of the
Mosquito nation, the territory reserved
to them has been incorporated with
Nicaragua, the Indians formally sub
jecting themselves to be goverened by
the general laws and regulations of the
republic, instead of by their own cus
toms and regulations, and thus avail
ing themselves of a privilege secured
to them by the treaty between Nicara
gua and Great Britain of January 28,
1860.
After tbe extension of uniform Nica-
raguan administration to the Mosquito
strip, tbe case of the British vice-consul,
Hatch, and of several countrymen,
who had been summarily expelled
from Nicaragua and treated with con
siderable indignity, provoked a claim
by Great Britain upon Nicaragua foi
pecuniary indemnity, which, upon
Nicaragua's refusal to admit liability,
was enforced by Great Britain. While
the sovereignty and jurisdiction of
Nicaragua was in no way questioned
by Great Britain, the former's arbi
trary conduct, in regard to British sub
jects, furnished the ground for this
proceeding.
Relation. With Ru.ala.
The ooronation of the czar of Russia,
at Moscow, in May next, invites the
ceremonial participation of the United
States; and in accordance with usage
and diplomatic propriety, our minister
to the imperial court has been directed
to represent our government on this oc
casion.
Correspondence is on foot touching
the practioe of Russian consuls within
the jurisdiction of the United States to
interrogate citizens as to their race
and religious faith, and npon ascer
tainment thereof to deny to Jews au
thentication of passports or legal docu
ments for use in Russia. Inasmuch as
suoh a proceeding imposes a disability,
whioh, in the oase of a succession to
property in Russia, may be found to
infringe tbe treaty rights of our oiti
zens, and which is an obnoxious in
vasion of our territorial jurisdiction, it
has elicited fitting remonstrance, the
result of whioh, it is hoped, will re
move the cause of complaint.
The pending olaims of sealing vessels
of the United States, seized in Russian
waters remain unadjusted. Our re
cent convention with Russia establish
ing a modus viveudi as to imperial
jurisdiction in suoh cases has prevent
ed further difficulty of thi nature.
Control of Samoa.
In my last two annual messages I
oalled the attention of oongress to the
position occupied as one of tbe parties
to a treaty or agreement by whioh we
became jointly bound with England
and Germany to so interfere with the
government and oontrol Samoa a in
effeot to assume the management of its
affairs. May 9, 1894, I transmitted to
the senate a special message, with ao
oompanying documents, giving infor
mation on the subject and emphasizing
tne opinion I nave at all times enter
tained that our situation in this mat
ter was inconsistent with the mission
and traditions, of our government, in
violation of the principles we profess
and in all it phase, misWvouftfanUrS
tor suon legislative action, or expres
sion, as will lead the way to our leliei
from obligations both irksome and un
oatnraL
The Cuban Revolt.
Cuba i again gravely disturbed.
An insurrection, in one respect more
active than the last proeeding revolt
which continued from 1868 to 1878,
now exist in large part of the east
ern interior of tbe island, menaoing
even some population on tbe coast, be
sides deranging tbe commercial ex
changes of the island, of whioh onr
oountry take the predominant share,
this flagrant oondition of hostilities, by
arousing sentimental sympathy and in
citing adventurous support among onr
people, ha entailed earnest effort on
the part of this government to enforce
obedience to our neutrality law, and
to prevent the territory of the United
State from being abused as a vantage)
ground from which to aid those bear
ing arms against Spanish sovereignty.
Whatever may be the traditional
sympathy of our countrymen, as indi
viduals, with a people who seem to be
struggling tor larger autonomy and
greater freedom, and a such sympathy
naturally must be in benall of our
neighbors, yet the plain duty of their
government is to observe in good faith
tne recognized obligation of interna
tional relationships. The performance
of this duty should not be made more
difficult by a disregard on the part of
our oitizens of the obligation growing
ont oi tneir allegiance to their oountry,
which should restrain tbem from vio
lating a individual, the neutrality
whioh the nation of whiob they are
nr ember is bound to observe iu it re
lations to friendly sovereign states.
Though neither the warmth of our peo
ple's sympathy with the Cubap insur
gent, nor onr loss and material dam
age, consequent upon the futile en
deavor thn far made to restore peaoe
and order, nor any shock our humane
responsibility may have received from
the cruelties, whioh appear to especial
ly characterize this sanguinary and
fiercely conducted war, have in the
least shaken the determination of the
government to honestly fulfill every in
ternational obligation, yet it is to be
earnestly hoped, on every ground, that
the devastation of armed conflict may
speedily be stayed, and order and qniet
restored to the distracted island, bring
ing in their train the activity and
thrift of peaceful pursuits.
Guatemala and Mexico.
The boundary dispute which lately
threatened to embroil Guatemala and
Mexico, has happily yielded to paoifio
counsel, and it determination has, by
tbe joint agreement of the parties, been
submitted to. the gle arbitration of the
United State minister to Mexico. Tbe
commission appointed nnder the con
vention of Februray 18, 1889, to set
new monuments along the boundary
between the United States and Mexico,
has completed its task.
American MUaionarie. la Turkey.
Occurrences in Turkey bave con
tinued to excite alarm oonoerning the
reported massacre of Christians in Ar
menia, and the development there and
in other distriots of a spirit of fanatio
hostility to Christian influences nat
urally excited apprehension for tbe
safety of the devoted men and women
who, a dependent of the foreign mis
sionary societies in the United States,
reside in Turkey nnder the guarantee
of law and usage, and in the legiti
mate performance of their educational '
and religions mission. No effort have
been spared in their behalf and their
protetoion in person and property ha
been earnestly and vigorously enforced
by ever means within onr power.
I regret, however, that an attempt
on our part to obtain better informa
tion concerning tbe true condition of
affairs in the disturbed quarter of the
Ottoman empire, by sending thither
the United State oonsnl at Sivai, to
make an investigation and report, wa
thwarted by the objection of the Turk
ish government Thi movement on
our part wa in no sense meant a a
gratuitous entanglement of the United
States in the so-called Eastern Ques
tion, nor a an offioious interference
with the right and duty whioh belong,
by treaty, to oertain great European
powers, and wbioh called for their in
tervention in political matter affect
ing the good government and religions
freedom of the non-Mussulman sub
jects of the sultan, but it arose solely
from or desire to bave an accurate
knowledge of the oonditions, and onr
efforts to care for those entitled to onr
protection.
Thepresenoe of onr naval vessels,
wbioh are now in the vioinity of the
disturbed localities, afford opportuni
ties in a measure of familiarity with
the oondition of affairs, and will enable
us to take suitable steps for the protec
tion of any interests of our oountrymen
within reach .of our ships, whioh might
be found imperiled.
The Ottoman government has lately
issued an imperial irade, exempting
forever from taxation any American
college for girls at Scutari Repeated
assurances have also been obtained, by
our envoy at Constantinople, that simi
lar instituion maintained and admin
istered by our oountrymen shall be se
cured in the enjoyment of all right,
and that onr citizen throughout tbe
empire shall be protected. The gov
ernment, however, in view of existing
circumstances, is far from relying npon
suoh assurances as the limit of its duty.
In conclusion, I speoially entreat tbe
people's representatives in oongress,
who are oharged with tbe responsibil
ity of inaugurating measures for tbe
safety and prosperity of our oommon
oountry, to promptly snd effectively
consider the ills of our oritical plight.
I have suggested a remedy whioh my
judgment approves. I desire, however,
to ' assure oongress that I,m pre
"pared to co-operate with them in ner-
fecMntfal'OjfrtWa measure promising
every
patriotic endeavor-to lurtner the Inter
aits and guard the welfare of our ooun
trymen, whom, in onr respective plaoes
of duty,' we bare undertaken to serve,
Gaovji Cuvvuur.