CHAPTER VII.

MR. CLEVELAND AGAIN PRESIDENT

In the special session beginning August 7, 1893, a Democratic Congress

met under a Democratic President for the first time since 1859. The

results were disappointing. Divided, leaderless, in large part at bitter

variance with the Administration, the Democrats trooped to their

overthrow two years later.

During his second Administration Mr. Cleveland considerably extended the

merit system in the civil service. Candidates for consulships were

subjected to (non-competitive) examination. Public opinion commended

these moves, as it did the President's prompt signing of the

Anti-Lottery Bill, introduced in Congress when it was learned that the

expatriated Louisiana Lottery from its seat under Honduras jurisdiction

was operating in the United States through the express companies. The

bill prohibiting this abuse was passed at three in the morning on the

last day of the Congressional session, and received the President's

signature barely five minutes before the Congress expired.

[Illustration: Cleveland seated at a cluttered desk.]

Grover Cleveland.

From a photograph by Alexander Black.

At the opening of the Special Session, in August, 1893, the President

demanded the repeal of that clause in the Sherman law of 1890 requiring

the Government to make heavy monthly purchases of silver. The suspension

in India of the free coinage of silver the preceding June had

precipitated a disastrous monetary panic in the United States. Gold was

hoarded and exported, vast sums being drained from the Treasury. Credits

were refused, values shrivelled, business was palsied, labor idle. It

was this situation which led the President to convoke Congress in

special session.

Though achieving the repeal on November 1st, after Congressional

wrangles especially long and bitter in the Senate, President Cleveland,

pursuing the policy of paying gold for all greenbacks presented at the

Treasury, was unable, even by the sale of $50,000,000 in bonds, to keep

the Treasury gold reserve up to the $100,000,000 figure. Both old

greenbacks and Sherman law greenbacks, being redeemed in gold, reissued

and again redeemed, were used by exchangers like an endless chain pump

to pump the Treasury dry. In February, 1895, the reserve stood at the

low figure of $41,340,181. None knew when the country might be forced to

a silver basis. In consequence, business revived but slightly, if at

all, after the repeal.

In its first regular session the same Congress enacted the Wilson

Tariff. As it passed the House the bill provided for free sugar, wool,

coal, lumber, and iron ore, besides reducing duties on many other

articles.

It also taxed incomes exceeding $4,000 per annum. The Senate, except in

the case of wool and lumber, abandoned the proposal of free raw

materials, stiffened the rates named by the House, and preferred

specific to ad valorem duties. Many believed, without proof, that

improper influences had helped the Senate to shape its sugar schedule

favorably to the great refiners. The President pronounced sugar a

legitimate subject for taxation in spite of the "fear, quite likely

exaggerated," that carrying out this principle might "indirectly and

inordinately encourage a combination of sugar refining interests." In a

letter read in the House, however, he upbraided as guilty of "party

perfidy and dishonor" Democratic Senators who would abandon the

principle of free raw materials. But nothing shook the senatorial will.

What was in substance the Senate bill passed Congress, and the President

permitted it to become a law without his signature.

[Illustration: Portrait.]

William L. Wilson.

The Wilson law pleased no one. It violated the Democrats' plighted word

apparently at the dictation of parties selfishly interested. The Supreme

Court declared its income tax unconstitutional. The revenue from it was

inadequate, and had to be eked out with new bond issues. These were

alleged to be necessary to meet the greenback debt, but this need not

have embarrassed the Government had it followed the French policy of

occasionally paying in silver a small percentage of the demand notes

presented. Borrowing gold abroad, moreover, tended to inflate prices

here, stimulating imports, discouraging exports, increasing the

exportation of gold to settle the unfavorable balance of trade, and so

on in ceaseless round.

The Democratic management of foreign affairs was severely criticised.

Our extradition treaty with Russia, a country supposed to pay little or

no regard to personal rights, and our delay in demanding reparation from

Spain for firing upon the Allianca, a United States passenger steamer,

were quite generally condemned. There were those who thought that Cuban

insurgents against the sovereignty of Spain might have received some

manifestation of sympathy from our Government, and that we should not

have permitted Great Britain to endanger the Monroe Doctrine by

occupying Corinto in Nicaragua to enforce the payment of an indemnity.

The President offended many in dealing as he did with the Hawaiian

Islands' problem. Most did not consider it the duty of this country to

champion the cause of the native dynasty there, a course likely to

subserve no enlightened interest. Whites, chiefly Americans, had come to

own most of the land in the islands, while imported Asiatics and

Portuguese competed sharply with the natives as laborers. Political

power, even, was largely exercised by the whites, through whose

influence the monarchy had been reduced to a constitutional form.

[Illustration: Portrait.]

Princess (afterwards Queen) Liliuokalani.

In January, 1893, Queen Liliuokalani sought by a coup d'etat to reinvest

her royal authority with its old absoluteness and to disfranchise

non-naturalized whites. The American man-of-war Boston, lying in

Honolulu harbor, at the request of American residents, landed marines

for their protection. The American colony now initiated a counter

revolution, declaring the monarchy abrogated and a provisional

government established. Minister Stevens at once recognized the

Provisional Government as de facto sovereign. Under protest the Queen

yielded.

[Illustration: Portrait.]

James H. Blount.

The new government formally placed itself under the protectorate of the

United States, and the Stars and Stripes were hoisted over the

Government Building. President Harrison disavowed the protectorate,

though he did not withdraw the troops from Honolulu, regarding them as

necessary to assure the lives and property of American citizens. Nor did

he lower the flag. A treaty for the annexation of the islands was soon

negotiated and submitted to the Senate.

The Cleveland Administration reversed this whole policy with a jolt. The

treaty withdrawn, Mr. Cleveland despatched to Honolulu Hon. James H.

Blount as a special commissioner, with "paramount authority," which he

exercised by formally ending the protectorate, hauling down the flag,

and embarking the garrison of marines. Mr. Blount soon superseded Mr.

Stevens as minister. Meantime the Provisional Government had organized a

force of twelve hundred soldiers, got control of the arms and ammunition

in the islands, enacted drastic sedition laws, and suppressed disloyal

newspapers.

[Illustration: Portrait.]

Albert S. Willis.

So complete was its sway, and so relentless did the dethroned Queen

threaten to be toward her enemies in case she recovered power, that

Minister Albert S. Willis, on succeeding Mr. Blount, lost heart in the

contemplated enterprise of restoring the monarchy. He found the

Provisional Government and its supporters men of "high character and

large commercial interests," while those of the Queen were quite out of

sympathy with American interests or with good government for the

islands. A large and influential section of Hawaiian public opinion was

unanimous for annexation, even Prince Kunniakea, the last of the royal

line, avowing himself an annexationist with heart, soul, and, if

necessary, with rifle.

A farcical attempt at insurrection was followed by the arrest of the

conspirators and of the ex-Queen, who thereupon, for herself and heirs,

forever renounced the throne, gave allegiance to the Republic,

counselled her former subjects to do likewise, and besought clemency.

Her chief confederates were sentenced to death, but this was commuted to

a heavy fine and long imprisonment. After the retirement of the

Democracy from power in 1896 the annexation of the islands was promptly

consummated.

Walter Q. Gresham, Secretary of State in the early part of Cleveland's

second term, died in May, 1895, being succeeded by Richard Olney,

transferred from the portfolio of Attorney General. In a day,

Cleveland's foreign policy, hitherto so inert, became vigorous to the

verge of rashness. Deeming the Monroe Doctrine endangered by Great

Britain's apparently arbitrary encroachments on Venezuela in fixing the

boundary between Venezuela and British Guiana, he insisted that the

boundary dispute should be settled by arbitration.

[Illustration: Portrait.]

Richard Olney.

The message in which the President took this ground shook the country

like a declaration of war against Great Britain. American securities

fell, the gold reserve dwindled. The President was, however, supported.

Congress was found ready to aid the Administration by passing any

measures necessary to preserve the national credit. In December, 1895,

it unanimously authorized the appointment of a commission to decide upon

the true boundary line between Venezuela and British Guiana, with the

purpose of giving its report the full sanction and support of the United

States. The dispute was finally submitted to a distinguished tribunal at

Paris, ex-President Harrison, among others, appearing on behalf of the

Venezuelan Republic. While Great Britain's claim was, in a measure,

vindicated, this proceeding established a new and potent precedent in

support both of the Monroe Doctrine and of international arbitration.

In 1894 a ten months' session of the famous Lexow legislative committee

in New York City uncovered voluminous evidence of corrupt municipal

government there. The police force habitually levied tribute for

protection not only upon legitimate trade and industry, but upon illicit

liquor-selling, gambling, prostitution, and crime. The chief credit for

the exposures was due to Rev. Charles H. Parkhurst, President of the New

York City Society for the Prevention of Crime. A fusion of anti-Tammany

elements carried the autumn elections of 1894 for a reform ticket

nominated by a committee of seventy citizens and headed by William L.

Strong as candidate for mayor. At the next election, however, the

Tammany candidate, Van Wyck, became the first mayor of the new

municipality known as Greater New York, in which had been merged as

boroughs the metropolis itself, Brooklyn, and other near cities. As was

revealed by the Mazet Committee, little change had occurred in Tammany's

predatory spirit. In 1901, therefore, through an alliance similar to

that which elected Mayor Strong, Greater New York chose as its mayor to

succeed Van Wyck, Seth Low, who resigned the Presidency of Columbia

University to become Fusion candidate for the position.

[Illustration: About fifty men standing in a Court room.]

The Lexow Investigation. The scene in the Court Room after

Creeden's confession, December 15, 1894.

[Illustration: Portrait.]

Charles H. Parkhurst.

Copyright by C. C. Langill.

A recrudescence of the old Know-Nothing spirit in a party known as the

"A. P. A.," or "American Protective Association," marked these years. So

early as 1875 politicians had noticed the existence of a secret

anti-Catholic organization, the United American Mechanics, but it had a

brief career. The A. P. A., organized soon after 1885, drew inspiration

partly from the hostility of extreme Protestants to the Roman Catholic

Church, and partly from the aversion felt by many toward the Irish. In

1894 the A. P. A., though its actual membership was never large,

pretended to control 2,000,000 votes. Its subterranean methods estranged

fair-minded people. Still more turned against it when its secret oath

was exposed. The A. P. A. member promised (1) never to favor or aid the

nomination, election, or appointment of a Roman Catholic to any

political office, and (2) never to employ a Roman Catholic in any

capacity if the services of a Protestant could be obtained. A. P. A.

public utterances garbled history and disseminated clumsy falsehoods

touching Catholics, which reacted against the order. The Association

declined as swiftly as it rose. Chiefly affiliating with the

Republicans, it received no substantial countenance from any political

party.

[Illustration: Portrait.]

William L. Strong.

History of the United States, Volume 5 · 第 7 / 19 章