Shepherdstown register. [volume] (Shepherdstown, Va. [W. Va.]) 1849-1955, 1877-07-07
SHEPHERDSTOWN, JEFFERSON COUNTY, WEST VIRGINIA. 81
sherman's Financial Jobbery.

The New York Tribune and others
gold-bug organs are urging Secretary
Sherman on TO the consummation OF
some financial jobbery between the
National Treasury and the New York
bank ring, tina. ought to and would
disgrace the whole of them in the eyes
of the nation if the patient ass, known
as the people, could ever be walked up
to the realization OF their misery. The
point is to at once fund greenbacks into
Understanding bonds. The scheme
for accomplishing it is to make pre-,
tense to sell 1-2 per cent bonds tor
gold coin TO "prepare for resumption in
lS79," aud this preparation they say
will be complete by taking in the green
backs for the gold and holding the
greenbacks against .he day of resump-
ton. They reason that if the green
| backs are taken in now, they will not
be out to be redeemed when January l.,
1879 comes, hence to take them in now
is preparation. The following are the
actual facts, and the mode in which the
lob is to be worked:
The law requires that the bonds shall
not be sold tor less than par in coin.
Gold bears a premium of about Z per
cent. The New York banks have
about S2O, 100000 boarded greenbacks
that they refuse to loan to business
men, but want to put them on interest
at 1-2 per cent. at the expense OF the
people. These are the facts; now they
propose to work it as follows: The
banks take s5,OOO,OOO of gold to the
sub-treasury in New York City. and
pass it over the counter and take So
100000 1-2 per cent. bonds at par.
Then they pass over $5,OOO,OOO green,
backs and take the gold in exchange.
Then they pass in the gold again and
take in exchange another $4,000, 900 OF
4 1-2 per cent. bonds. Then pass in
another s5,OOO,OOO of greenbaeks and
take the gold. When this is repeated
four times they will have $20,oOO,OOO
of 12 per cent bonds and their S5,-
100000 of gold, and the government
would have the $2O,OOO,OOO of green
backs The result accomplished is, the
banks have exchanged their greenbacks
for nterest-bearing bonds. The same
thing would have been accomplished by
handing over the S2O,OOO,OO0, of green
backs and taking the bonds; but the
gold is used simply to play the shuttle
cock in the swindle.
The further result is, handsome
speculation is made. The premium on
gold is about per cent. This premi
um on $20,0O0,0O0 makes 81, 400, ,OOO
which could be conveniently divided
between the banks and Mr.. Secretary.
OF course Mr.. Sherman is above sus
picion, and no one would accuse him oi
engaging in swindle of the kind. Hi:
record is such that he could appeal to il
for purity. 1t is true, as Wendell
Phillips says, "the only thing that car
be said of him is that he entered Con
gress poor and left it rich" But he
could explain perhaps that millions o.
dollars of wealth was obtained by say
ings from his salary of $4,000 year
when it cost him $4,000 to live. Or
dinary minds, it is true, could not figure
a saving but man of the Secretary's
experience could make a better show,
ing than one not accustomed to Con
gressional ways, because he had, at the
same time he was drawing the salary,
been acting as the attorney for the bond
and gold rings.-IadidnapoHs Sun.