The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1877-08-20

MI. Cornell's Disregard Of the Presi-
dents Order Discussed.
Il III T. SYN DICAT L
How the Army Is Distributed and
Who Commands It.
FROM OUR REGULAR CORRESPONDENT.


WASHINGTON, August 10. 1877
THE syNDIcATE-AcTING SECRETARY Neon
MICK DNrINEs SECRETARY sHERMANs POSI-
TIoN.
Acting Secretary Of the Treasury Mccormick says
that Secretary Sherman had nothing to do with any
action OF Messra Morton, Bliss Co., bankers rela-
tive to the purchase sale OF bonds with
the Syndicate for tho negotiation Of the tour per
government loan In dealing with those who were
finally decided upon to compose the Syndicate Secrc-
tary Sherman took simply and severely into consid.
Grafton as his guido tho experience OF the Treasury
Department in the matter of negotiating loans even US
lar back us since the beginning of the war 1t was
demonstrated to MIN that tho efforts made hitherto In
the direction Of gcncrazipg the methods for
the disposal Of tho government loans had proved
partially II not indeed entirely cases failures
accompanied with vast expense, which was upsats-
factory to the American people. Mr.. Sherman found
that tho present Syndicate had been success in the
handling OF the TOUR and a half per cent loan and
therefore, upon consultation with them he como TO
tho conclusion that 1t best for The o. the
American people 10 take exactly the same combination
for the negotiation OF tho four per cents.
STANDING OF THE PRESENT SYNDICATE.
Since the present ndicato md been doing the
business OF the government not a single thing had
gonc wrong and not complaint had boon made
Their affairs managed with satisfaction to tho
officials and economy TO the government, who at the
same time there had been steady Improvement OF
the national credit, not due OF course entirely
them, but rather much to tho prosperous
resources Of the country amt the settling
down to specie standard In regard to
the dissatisfaction said to ba expressed by
certain national banks and private firms who had
and ,aoA a..
rotary Sherman could help 1t II they were not
taken In by Morton, Bliss 4 Co. He knew best whom
to select for the success Of tho Treasury It's nsru
mcntalies and OF course he could not open the door
10 every one that offered for II would produce confu
sion and defeat the aim Of the government. II would
render system In things to be done almost impos-
siole. AS to Secretary sherman being personally In
tercsted or controlled by favortsm, 1t is pronounced
absurd and only provokcs u smile
After tho supply just taken up in the demand Tor
tho four per cents will DO absorbed in the settling
down Of investments and tho placing OF trust funds
every confidence is let that the sales Of the four per
ccnts will progress with steadIess and strength
which will accomplish all that 10 desired for the
national credit.
Mr.. GARFIELD, OF OHIO, DOES NOT LIKE THE
PRESIDENTS POLICY.
Every effort has been made bring TO the attention
Ohio by Representative Garfield tho that there
be change In the ana policy followed by
President Hayes the support Of the republican party
is to DO counted friend submitted tho in forma-
ton 10 Secretary Schurz yesterday supposng It was
new and would interest him. He replied, sOh, yes,
know all about It; 1t was teleeraphed inc privately
tins morning from Ohio, and delivered at seven
O'Clock. before was up" II does not seem to max
any serious impression and tho friends Of the Prcs.
acnt say he will go right long he feels that he
right without swctving, regardless Of what SAID
about MIN In any quarter.
FEDERAL oTrICL-noLDERs EXERCISED BY NAVAL
OFFICER coRsELLs DISREGARD OF PREsI.
DENT HAYES ORDER.
Leading federal officials, who have been provoked
by being compelled TO resign their positions in tho
political organizations OF various States, are keeping
the TACT very prominently before the administration
that lion. A. ID. Cornell, Naval officer at New York is
tue only oihcis, holding Office the present
administration who has not complied with tho
Presidents order. II seems TO be taken for gran ted
here IN extenuaton OF his course, that Mr. Cornell Is
acting under the impression that he is be removed
from his present Office. aud hence he may
therefore, just well hold on to his position
In tho Republican National Executive Com
mitiee II lac resigned II and should DO sub
sequcntly displaced as Naval officer political
laugh would be raised upon him. But tho friends Of
the administration somewhat aroused at what they
call coolncss and contempt not to say positive In.
fubordnauon.
While there 10 no doubt that IN timc a change will
he made IN the Office held by Mr. Cornell It Is not
probable that any ncion viii be had before the meet
ing OF Congress, but tho President returns
the VAL be brought prominently before him in
order 10 test tho strength Of Mr.. Corncn's cquanimy
and 10 solve the problem positively whether no is to
reman Naval Ofccr not Whatever tho
administration has resolved upon has been kept
close secret, and the Treasury officials affect
to say that they not advised what will
be DONE Al ans rate they are just as non-commtal
a. rcsdcnt u represented to DO, and nothing pos.
tive Ice elected from them except that tho Prcs
den. IN not unmindial OF tho dilemma Mr. Corneii's
action has placed him ~, and whilo rot pleased Will
exercise iorbearancc.
No doubt Mr. Cornell VIII be called on to signify
directly what course he intends TO follow. There Is
latent Suspicion that he intends to mako hi case
test Que Hence spicy time may bs expected among
certain class of ranking republicans who sustain Mr.
Cornell Though Tot inimicai 10 President Hayes II
q thoaght not improbable that this discussion may
nni Is way 10 Congress