The New York herald., 1871-09-16
GAMBLERS IN GOLD.
Wall Street LOckers-Up in O.
Quandary.
Plucky Judge Bedford Challenges Clique and
Calls Them to Account.
What the Lookup Means-What Is Intended
and All About It-Interview with Broad
Street Bull-How the Bull Beloved.

Quito Q stir was Occasioned In Wall street yester.
day afternoon when the evening papers appeared
with the charge OF City Judge Bedford TO the Grand
Jury for the last sharp trick OF the bull clique re-
suited badly for many Of the persons who were en-
gagged In IL, as they placed trial, tried and
found wanting in moral recttude. The charge OF
the fearless City Judge was ominous OF coming woe
to many and was unmistakeable In It's terms 1t
will be found in another column.
1t appears that clique has been formed In Wall
street
TO LOCK GOLD,
enhance It's price, and OF course, embarrass bust.
ness. II is alleged that Daniel Drew Is the head OF
the combination, though others are OF opinion that
1t Ia concerted attempt on the part OF the Syndl-
cate to sustain themselves In their pos,tlon apd :"
control the market for gold and governments.
ever this may be, there are enough facts to show
that well-cOncelved conspiracy is on foot to
paralyze business and place the money market at
the feet OF the clique who, for some time past have
been trying to "bull'' gold.
Very few people understood the situation. Tho
war between Prussia and France drained the c0un.
try OF from Afty to seventynve millions In specie,
gold being OF more value there than 1t was here.
Last spring gold was quoted here at ITO; but a
clique formed in the bull interest and that rate
could not be reduced. This clique indulged In the
idea that gold would continue to rise. Tho
SCARCITY OF THE PRECIOUS METAL
caused by the enormous imports encouraged the
clique and they kept on buying gold. secretary
Boutwell,, in noating his new loan, tried to keep
gold down. ana the clique were stimulated to buy 1t.
The operators were better nnancers than Mr.. Bout
well, and the market was ''miked." The clique
had and held $6,O 900 OF gold and laughed at the
Secretary They hold that sum now There were,
on the other hand, some men In the street who be-
lieved that gold would fall In sympathy with tho
went short OF gold In the expectation Of buying 1t
cheaper. These parties sold gold at Ill 10 lib, and
since that gold has been rising and the bears have
lost heavily. Under these circumstances the bears
had to do something, and it Is suspected on the
street that the District Attorney must have been
well
PRIMED D WITH PRIVATE INFORMATION
eliminating the bulls. Hence the charge OF His
Honor Judge Bedford. However this may be, the
fact remains that much alarm, not unmixed With
Indignation, exists In financial circles 1t must be
remembered, however, that the lookup clique have
made no movement as yet and are perfectly pas
slve; until something Is proved against them they
are
NOT DISPOSED TO sQUEAL.
They are now charged with the intention OF re.
moving gold from the market and 1t Is to be be seen
whether they will carry out the programme pre-
pared for them.
the gold from the market and paralyze business and
yet laugh at the officers Of the law. The old Con-
spiracy law does not cover such cases sufficiently
to enable the District Attorney to prosecute with
any hope OF conviction. Aman has a right to put
by his gold and bank 1t II he likes without the Inter-
ference of the law officers and fifty men Of wealth
can do the same thing the same day and
WHO DARE SAY Boof
It would be hard to prove conspiracy. What the
law officers can do Is to indict the holders Of gold
who charge usurious interest The rate for the use
OF gold one day last August 365 per cent per an
num- Lenders at this rate and are liable
to conviction for usuy as OF course they are for any
rate over seven per cent
A HERALD reporter paid visit to the ONCE OF one
OF the most prominent bulls In Wall street yesterday
and heard
A STATEMENT OF THE CASE,
which was Interesting and new.
Said this gentleman to the reporter:-"At the
opening OF our war there from s35o.0OO 900 To
s4OO 600, 900 gold In circulation. Then during the
war it was estimated that the entire amount was
sen abroad in coin. Since the war was concluded
the gold IN banks and In the hands Of the people
has been reduced to 100000. or this the govern
ment holds seven eignts II It does not actually hold
oil. And 1t Is Boutwes fault. He mas been
FORCING DOWN THE PRICE OF GOLD,
ana has been endeavoring to make 1t cheaper than
the products OF the country. Sec how we are. Our
national securities held In Europe sum up
ST. 0OO, 600 0O0, which Is an actual mortgage upon
this country. The Europeans hold other mortgages
on US In State and local bonds to the extent Of an.
other $l,ooO 900, ,OOO-$2 O0O, 900 In all. This
requires to pay $l2O 900 900 interest in gold to
foreigners annually. So, Sir, you see how we stand.
We are bankrupt and really without credit. Our
imports exceed our exports by $7oOoo,oOo, which
n dodc of I IN ha
nually either by shipment OF coin or additional Oh.
''e WHAT WILL BIZ THE RESULT
When our securities are stopped Through any
convulsion abroad) we shall have to draw upon our
reserve ana our reserve does not amount to much.
We have not coin enough In the country to sustain
such demand for six months. The people are not
blind, and certainly we on the street have not our
The he financial condition, and We know what's
what The he .,n,1J majority Of poT US are buls"
policy or is compelled to change 1t. The ideas
have given you govern us In dealing in gold. We
expect gold famine before long; depend upon It,
sir it cannot be avoided. Boutwell, made great
mistake In not holding the reserve money in the
stead Of paying it out to redeem bonds which We're
not due which you know he did. Then he was
ridiculous in permitting gold to be shipped out OF
the country-gold that he might as well have kept
OWING TO BouTwELL's POLICY
the foreigners can draw all our coin away In day
and leave US crippled. They can do this by the re-
Shipment OF our bonds suppose by "conspracy'o,
What chance would Boutwell, have contending with
the financial men OF EurOpe his $1oo OOO 900 against
their billions, eh2 Um
"And all this has to do" remarked the reporter.
"with tho alleged conspiracy to look up goldr
"Certalnly, II has," replied Mr.. Bull. "The coun'
NO CONFIDENCE IN THE SECRETARY,
and the Secretary has no confidence in the coun.
tryat least ne acts II he had not and so we move
to bankruptcy. Everybody who has gold VIII lock
IT up Just now and await events. Thats my opin'
lon.n
"Tnen am safe In asserting" remarked the re.
porter, that o lookup lne'Napie la y iew,
days.n
aYes,n was the reply III think that within O few
days every man on the street who has gold VIII
lock it up and keep locked until Grant or Provl
dence gives US q Secretary OF the Treasury who
CAN SPELL THE WORD FINANCE"
The reporter then took his leave, iully satisned
that Judge Bedford showed commendable energy,
and that there was occasion for his Interference.
as vet there has been no disturbance In the money
market consequent on the charge OF Judge Bedford,
and the gold rate Is easy. The money article u
another column will explain the situation.