“(Signed) Derby.”
Hardly had the foreign envoys departed from the capital, and the doors of the great hall at the Admiralty been shut behind them, when the Palace proposed to put the match to the mine that had been carefully laid for the reformers.
Within a fortnight of the departure of the Plenipotentiaries, matters were brought to a climax. Two subjects of contention between Midhat and the Sultan had been reserved for further discussion when the Conference should be over: the position of Galib Pasha and the question of mixed schools. Either would serve for a casus belli.
Midhat had resolved on the dismissal of the complaisant Minister of Finance, who had, proprio motu, doubled the amount appropriated to the Civil list by the simple device of paying it in gold; there were other counts, too, against the Minister which necessitated this measure. One was the specific charge of irregularities in the accounts of the Treasury, which, although Midhat did not attribute them to malversation on his part, were nevertheless, in his opinion, proofs of great negligence in the supervision of the business of his office. The other was a general charge of incapacity as Minister of Finance, especially revealed in his tactless method of issuing Treasury bonds, thereby causing an excessive and alarming depreciation in the paper of the State. The Sultan had agreed to the dismissal of Galib, but he desired to have him forthwith appointed Senator, whereas Midhat insisted on a preliminary examination of the accounts of his office. It will be perceived at once that there was a great deal more in this dispute than met the eye, and that it accounted for the bitterness of the feelings entertained against Midhat at the Palace. The following letter, if read between the lines, will throw some light on the questions at issue:—
To the First Secretary of His Majesty Saïd Pasha.
“Excellency,—By an Irade of our august Master, the nomination of his Excellency Galib Pasha as member of the Senate has just been adjourned. The delay on my part in making you acquainted with the motives which have determined me to remove Galib Pasha from the Ministry of Finance, whilst abstaining from any reflection whatever on his personal integrity, only emphasises the responsibility of Galib Pasha in the matter of finance. It is manifest that that faithful servant of the State, in conformity with the orders of our august Master, would not hesitate to admit his share of responsibility, and in order to put an end to a discussion which has no precedent, he should certainly claim an investigation, and submit to its consequences, whatever sacrifices it might entail; but since explanations are demanded of me, I hasten to give them as shortly as I can. In order to judge whether or not Galib Pasha is competent to administer the Finances of the State, it seems to me sufficient to refer to the fall in the value of paper money.
“The paper of the State, fifteen years ago, amounted to twenty millions (£T), and yet its depreciation never reached more than 50 to 60 per cent, compared to gold, although its circulation was then limited to the radius of the town of Constantinople, and it was not received in payment of taxes. At the present time, although the amount issued does not amount to four millions, and there is no limit imposed to its circulation in the Empire, and it is accepted in payment of taxes, the depreciation amounts to 70 per cent. This state of things is the result of the carelessness and neglect on the part of the ministers of Finance. The depreciation, moreover, has given rise to venality and corruption on the part of functionaries in the Provinces, and to excitement and unrest, in consequence, in public opinion.
“We have no accusation to make against the probity and honesty of Galib Pasha, nor any complaint on the score of the obligation under which we lie, of issuing bonds to realise the sum necessary, in gold, for exportation to Europe for war purposes. But seeing that an issue of paper money, to an amount necessary for the realisation of £T100,000 only, is sufficient to cause a still further depreciation of the paper and rise in gold, the Minister of Finance is in duty bound to take such steps and employ such means as shall, as much as possible, prevent or mitigate this consequence. For instance, he should take a portion of the sum required from the receipts of the Treasury, in gold, and issue the remainder of the sum in paper, with such prudence and precaution as to avoid financial panic by all means in his power. But Galib Pasha seems incapable of appreciating such measures, and the finances of the State have suffered in consequence.
“Such a state of things implies a grave responsibility, and as it is somebody’s duty to fix this responsibility, the functionary on whom devolves these particular duties would necessarily be the person to assume it. But it is also the duty of the person who happens to be Grand Vizier to superintend the general march of affairs, and to take steps to prevent all maladministration.
“In the report made by Galib Pasha, which was read before the Council of Ministers, he declares himself incapable of finding a remedy for this state of things. And when an official makes such a declaration, it is impossible to keep him in the exercise of those functions without sharing the responsibility with him. It is on these grounds that we have based our opinion as to the necessity of replacing him.