The Sun.
London, England, 1823-07-15 00:00:00

FRENCH LOAN.

(Front the Journal 4u Commerre.l
then, the science of calculation become
hypothetical or conjectural, like politics and medicine ? One
would be tempted to believe that such is the case, when four
monied houses, composed of, or• waisted by, the most correct
and practised calculators; offer a price so different from the cur-
rent quotation of the fund's on the exchange. How does it hap-
pen that fur Messrs. Latitte, Sartoris,. and Lapanouze the loan
of 23,000,000 should be worth 17. 75., the rente being at the
time quoted at 09. 1i5., and that it should be worth 09. 35. to
Messrs. Rothschild ?

The means of supporting an operation of this importance, the
difference in his own favour which each bidder may he induced
to make, might easily cause a variation of ftem 50e. to 73e. in
the offer ; but a diff-erence of 1.80. between three of the bidders
and the fourth,.—thut is to say, more than 2 per cent. between
the one offer and the other,—is what cannot be financially and
mathematically explained.
According to either of these bases, it is easy to calculate very
correctly what the loan is worth in proportion to the current
price of the stook on the day of the contract. The rente pur-
chased on the exehange•bears an interest of 2. 50. payable
on the 22t1 of September; the- payments in 20 months of the
loan bears interest only front the 22d of September next.
Reckoning the deferred payments at an advantage of 25e. per
I mouth, they are equivalent nearly to 2. MI., which the existing
rent, produces, isn't thus equalizes the value of the loan and
the stuck.
nut it is proper and just todedoet from the vane attributed
to the 23 millions dr mete, whatever advantage, is contingent,
and the profit given to those who purchase wholesale, in selling
by retail. These considerations were calculated in making the
last' loans by' MAI, Deleseert, Hottinguer, and Baguenault,
who obtained for it 2;50., having given 84.55. the day on which
the route was 88. 5. This price was, nevertheless, thought very
high ; it was nearly t. M. above the other biddings. We were
In perfect peace, no war was apprehended, and the issue of
remits was only 110500,000, whereas now it is 23,000,000.
The three houses offering for the Loan have,lhent on this oc-
casion, been more favourable to the Government;, since, under
very different cirettnistanees, and fur an amount nearly double,
their offer was only 1..80. below the price of the mite.
Hence the general surprise expressed at the offer of Messrs.
Rothschild, as soon as it was known—a surprise which spread
from the Ministerial Bureau to. the Hall, and from thence to
the Exchange.
A circumstance which much augmented the wonder in one
case, and lessened it in others, .was that the Minister's mini-
mum was 89f.
We do not dispute that Messrs. Rothschilds possess great
means for conducting such an operation, inasmuch as it can be
sustained, portiettlarly with the assistance of a Government,
which, without appearing so to be, is perhaps very seriously
interested ; for there is no other guarantee for the sale just
made, except the two-first payments, paid in advance by the
contractors, valued at about 0 per cent., which may annul the
loan if the price falls below 110 f., or what it was worth on the
sth of April last.
Messrs. Rothschild had to manage five or six months ago an
operation of much lest importance, it is true,—the petty loan
for the ICing of Naples, which they took at front 7.3 to -74 per
cent., and which they still could not prevent from falling to 60.
'!'lie sacrifices which events imposed on them at that period
must have coat them very dear. They supported them nobly ;
but what disasters occurred around them to which they could
apply no remedy, and which ought have suggested to them a
little more reserve in the colossal operation they have just under-
taken. It is a fine thing to be a Loam-Contractor-General to
all the Courts of Europe ; but one ought to Put a high price
upon this honour for ourselves, that others may not be made to
pay for it too dearly.
There are, indeed, no means sufficiently powerful to prevent
or suspend the disastrous crisis to which the Paris Emehange
may yet be exposed, while from +5O to 80 millions of floating
renter, ready to be augmented by from 12 to 15 millions arising
from the loan, may he seeking purchasers at the same time.—.
Besides, the scrip of the loan cannot have the same elasticity as
the miler in the speculations of the Exchange, because money
cannot be raised on one with so much facility as the other;
and this, in a period of difficulty, would greatly increase the
embarrassment. How long is it, then, ago, since the ranks.
fell from 9.l to 76 ? • •
What is, then, the real cause of to high price ?—Evidently
the speculation, eventual or conjectural, on the transaction.
If the minimum of the Minister was, in fact, 89f., what be
had anticipated has been eothpletelrverified. •
" Had not (says the writer of the article) the contractors con.
sidered the Peninsular .enterprise as concluded at the moment
of the contract for the Loati,,it is possible that it would not have
been made ; tor the Minister?* Antininstenteltaving for its basis
the opinion expressed le all his agents and instruments, that
the war was a thing already ended, it was naturally higher than
the offers of parties who iloubtleas have entertained a contrary
opinion. Had all the bidderabsOn in this situation, the Loan
could not have been contracted.' This, indeed, must have
happened had not MM. Latittei Sartori*, and Lapanoure been
the only bidders. We confess, however, that ak to the last
party, our conjectures play' be less well-founded then with re.
speet to the others ; hut how could it he anticipated that a
Deputy of the Right Side, who, it was to be expected, would
estunete the value of the Loan according to the same considera-
tions as a Minister, should fix Upon predsoly the same value..
tion as the Deputy of the Left ? This is not all; the same
rummer of viewing the subject is shared by another house, which
may be regarded as representing the two centres. May it not
be thence inferred, that the Loan, contemplated with the cool-
ness *lath usually prevails hi the examination of question!: of
profit and lots. has in That mmther been politically tried in
France by all the different political opinions ?
" According to Messrs. Lafittc, fiartoris, and Lapanouze,
there ought to be deducted from 89- Gbh the value of the loan,
1. 80. for the unfavourable chances which the war in Spain still
presents.
" According to the Messrs. Rothschild, I. 80. should he
added for the decisive and happy results which are to be imme-
diately expected from the war, and which will be their bonus.
" These two very different opinions have occasioned the offer
on the one part of 87. 75., and on the other of nn. 55,
Such is the only rational explanation we can give of the
enormous difibtence between the two prices offered for the loan,
and the resul t may perhaps be thus expressed :--
'6 In the (labineta of Vienna, Berlin, and Petersburgh, the
loan is valued at 00.55. 1p France it is thought to be worth
only 87. 75." . . ,

POLICY OF RUSSIA.

The Following Document contains an exposition
of the policy resolved, upon at- Verona with re-
gard to the Spanish Revolution

ST. PVICERSBURGII, JuwE,l2.

The occupation of the capital of Spain by the French troops,
and the restoration of order there,, seems, to fix, the point on
which we may prove to demonstration the correctness of the
resolution taken by the Sovereigns at Verona. What an ex-
tensive yet simple fre d. for the Imprejudieed'Observer, who
seeks only pure truth. Great objects have alreadrbeen ob-
!tallied ;:, others will be so shortly. -Serious apprehensions are
removed ; endure succeeded by the well-grounded hope that
the tranquillity so much desired will. be attained: . •
The judicious and unprejudiced ' observer could not • well
avoid, in the course of last year, seeing two causes of alarm,
which must be removed, unless Europe was.to.be replunged in
all the horrors of revolutionary war, and all the points to be
lost, which the purest wishes.and exertions for the happiness of
nations had produced and cherished' during the last eight years.
These two objects were the state of the Western Peninsula, and
that of France; the latter was doubtless the most important to
Europe, and therefore merited the most mature consideration.

What was France in 1822 ? A voleano4 over which one
. walked with trembling. What was to be feared from. France ?
That some accumulation of infernal ingredients would cause the
volcano to bUrst, anti that the all-consuming lava would issue
in a torrent,,like that of 1700. The Inevitable consequence
would havvbeen new wars, the duration and the issue of which
it was impossible to foresee. Nay, the Peninsula might'have
boined revolutionary Frances and, thus the east of Europe have
een engaged in a contest with the west, whiCh would probably
have made Germany the theatre of desolation and bloodshed.
If imprejudieol individuals could not avoid feeling such appre-
hensions th 1822, how much more roust they have engaged the
cabinets, which desired nothing so much as the preservation of
tranquillity, to which all their endeavours were directed.
Daily experience. showed that the elements of revolution
were spread. ip France, not only among the citiens, bnt even
in the army, which should be the free support of the Throne,
or the security. of the French nation.. The mild Sovereign of
France was compelled to rigorous measures, and saw with re.
get that his increasing efforts to make his children happy had
not the success which they' certainly would have had on other
nations. Hostile winds brought from the West principles and
!maxims which only served to kindle the fire on this side of the
Pyrenees. They even possessed the minds oft persons who
were called in the greet Council of Fiance to, co-operate on
its real happiness. In fine, they threatened to destroy the!
parts which the King pf. France was incessantly labouring to.
mature.

Such a state of things which,. in its possible consequences,
aßcted all Europe, could not be disregarded. by the Sove-
reigns, and least of all could they escape the penetrating
eye of en Emperor whO is so devoted to France. The great
question, how this, state of things was to be remedied; must
of course be' discussed at Verona, and it deserved the
whole attention of the assembled Sovereigns.. Proceeding
on the fundamental principles of the `ldol y Alliance, to
uphold with a strong hand the restored order of things and the
happiness of nations, the whole diplomatic ai:senibly at Verona
already saw that it was high time to etop the sources which
threatened, from the west of Europe, to deluge the world will,
new eutierings, Only the means of obtaining this important
object were to be considered. . We et course arc not going to
recapitulate the proceedings of the Congress ; i
w
Jut we ee
now admire the profound views,. and the elevation of mind,
that were necessary um reach the goal where we now are : in is
few words, the problem was, to make use of a nation notsyet
tranquillized, to bring hack another nation, and with that till
Europe, to full nsolidated repose.foundation of the
proceedings adoptsd was a jug view of the history and character
of the French nation, which, in the noble occupations of win
and developed national activity, Always forgot the discords
which, spread by the evil-minded, threatened to destroy tile '
national, proaptity. The history of the last six months proves
the correcaless of this estimate of the French character, and the
wisdom of the meaSures adopted.
France, since the• march of its. army, has; as was foreseen,
returned to a state of tranquillity, in which a high.spirlted
people is flattered at seeing its victorious standards wave in the
territory.cf a foreign hull heroic nation. The people which
thought 'Well humbled, finds itself again raised to the rank of
independent nations, who are able to perform great deeds by
their own exertion.s. It sees the name, of its future King en-
relied tathalist of acnerals who Will:defend his owls kingilotrt
from attack. it saw a brave nation retire before its armies, and
the majority of that nation tame to meet them with wreaths of
victory. No more was necessary to attain the second great
object mentioned in' he beginning of these remarks. • . -
Let us turn our eyes to the Peninsula.
As long as the great truth is acknowledged, that consistency
is especially necessary in every government, statesmen and
future historians will call . the resolution of , the 'Sovereigns to
put an end to the disorders in Spain a wise one. 'Would not
the tiovernments of Europe have been guilty of the grossest
Inconsistency am! contradiction to all the conventions and reso-
lutions since 1816, if they had suffered the contrary to 'subsist
in some parts of leurope ?
lithe fire of revolution is to be quenched, it cannot be suffer-
ed to glimmer under light ashes, which the slightest breath may
carry away. . •
There have been persons who have found something great in
the revolution in the Peninsula, because it had not degenerated
into the horrors which distinguish that of Prance. Ilut must
we wait for the very worst, before we fend any thing to disap.
prove ?.. Ntrere' not the civil wars in Spada and Portugal suf.
ficiene to make its detest the revolution which produced and
supported them ? A people cannot be called happy, unless
every individual citizen, by his own fireside, can look without
i to the ensuing day. Did such a state of- thing;
apprehens.on . . .
~„the French
army I P lers-.
exist in the PittIIIIHUJII btriare
nut the blood of the citizens ailed by each othees hands ?
Was not the majority subject to the oppression of: a patty
Whiali despised all principle? Ilas not the French army been
received as a delivering angel ?
The advocates of the re-action beyond the Pyrenees, gene.
rally have the word Inquisition in their mouths, the re-estae
bliehroent of which, atter time restoration, they pretend to have
s
1 bivo the true cause of the revolution. But this is a tenet error.
—lt is an acknowledged. fact, that after the expulsion of the
French, the re-establishment of that tribunal which they had ale).
lished was considered
by the whole Spanish nation as one of the
main pinata of the Spanish monarchy: would not a thousand
voice ham
e been rattled against it on the King's return, htul not the
principles imbibed by the Spaniard* from their infancy made
them look on it as necessary e Would not the clergy, who were
"'wars etnesidered as a branch of the Inquisition, and who doubt.
less contributed to its re-establishment, havebeen the subject
of illeeintit persecution,
_irate nation had thought otherwise ?
No Person, unlees actually weak in mind, will consider this
se
as a defeats of the Inquisition and its frequent cruelties. The
light of reesion
,
too strong in our times to call things good which
it cannot typo**
The efforts of time Christian Sovereigns are
w° evidem to make tie lose a.word to show that they cannot'
be inclined ticrteet the- Spanish Inquisition in particular, as
it formerly e
rds
ised it* functions. W ,shoes
how mean only to my
how the Sp 4 in general
thought before the Ist of January,,
1820, and Prove that the insurrection in the Isle of 140,01) is by
.no -mean" to be attributed to the existence of the Inquisition.
But it may lias-replted In this case Spain may be long deprived
of the light of knowledge which other states enjoy; and this leads
us to the 01W/thin prinetple (d isputedbyman y mietaken persons)
that great
Pahitirchanges ought in reason to proceed fern the
legitninite government, He who will determine /of °lin, 0 Pe"
and corgtorehensire, must haven view ofthe whole, which cannot
be acgdired but by extensive knowledge of the various interests
or the state, anti by long . practice. Are there not thousaltds
of difficulties when all the Inhabitants of a single town are um
make resolutions; relative to the whole society and to essential
changes in the constitution ? Allot not these difficulties be far
history of our own time
greater In a large'empire? arid how can an individual—a mili-
tary character forinetanee—even with the best intentions, exe-
cute such complicated undertakings' without falling into is thou-
sand errors at every step ? If this could not be proved hythe
a heated imagination, some philosophical hypothesis against
it might be listened to ;but the ,events in Naples; Piccll3loil4
11d Spain; should put .theorists to silence. Great and
they originated in
poli-
tical" changes were suddenly introduced;
flamed zeal of some officers of considerable rank, while hired
owed their apparent progress to time in-
and deluded journalists throw a lustre over their enterprises,—
We should have thought the three nations would have sacrificed
property and life for the new order of things'. . But when the
n'" or trial citrite, the whole edifice sunk Into nothing. Why
did it fall ? -Beentete the maiority of three nations was con-
vinced that the old order of things was better than the new.
Lord
Liverpool has blamed Ferdinand for not having fulfilled
the promises resetxting
made in 1814 : but we apprdieral that his Lordehip did` not
the organization of the State which 'wad
weigh the difficulties 01' introducing into a colunry like Spain
new and'extensive changes, . after it had beat making every
sacrifice for it* did institutions. ..' .
Time mention of Lord Liverpool leads us to the apparently
important point of the Mints es in the opinion of the Minister

In our preceding columns 'we have inserted
copious extracts from the Paris, Bayonne, and
German Papers received since our last, The
Journal du Commerce contains an ingenious ar-
ticle on the new French Loan, which, however,
does not remove the impression upon our mind
that there has been some juggle in the• trans.
action. The Bayonne news represents Madrid
as being in a very gloomy and precarious
state, in. consequence of the insane and des-
potic proceedings of the Regency. The let-
ter of a superior Officer serving under Bar..
,LASTEILOS admits that the army of that General
has been redneed more than one half by the de-
sertion of the new recruits and conscripts ; but
it edits that his force still consists of ni►nr or ten.
thousand me►t who are 44 firmly resolved to fol-
low the General every where, and to die for the
Constitution."—The intelligence from Trieste,&c.
leads us to expqct shortly the news of important
events between the Turks and Greeks. It is said,
that the Tdrkish lleet had sailed towards An.
dross and Negropont, and that the Greek divi-
sion stationed off Hydra had gone to meet it.
All the accounts from Greece have for some time
concurred in representing that the greatest exer-
tions have been made for the vigorous pro-
secution of the wur of independencel—that
there is greater harmony and unity of effort than
ever amongst the patriotic leade;s,—and that the
continuance of the struggle is looked to without
any apprehension of its, result.

The,Seniiotileial Article; or 'Manifesto, from
St. Petersburg!), on the " Policy of Russia," and