The Dallas daily herald. [volume] (Dallas, Tex.) 1873-1887, 1878-04-12
Noon Aroelnlea rress IIeportl

Noon Associated Press Heportl
NEW YORK, April ll,--Secretary
sherman made the sub'treasury Office
his headquarters yesterday, where he
was called upon by financial men. lie
had formal conference with repre-
aontatives OF national banks aud bank
ing firms The secrotary, said u leads
lug banker, who came here FOR the
purpose OF securing aid from banks In
the resumption Of specie pay
ments, wns not 10 he dies
tated TO nor advised IN To his precise
plans. He stated TO the officers of the
national banks that he required one
hundred aud forty million dollars IN
gold, to resume specie payment OIL
January /. lie had on hand about
ninety million dollars, and desired the
banks, II they were willing, 10 assist
him 10 subscribe for hfty million dol
lars Ia bonds, which would make up
the full amount OF Que hundred and
forty million dollars. lie also OK
pressed his Willingness 10 dispose Of
one hundred million four per
cent bonds ut par with u com.
mission of fourteen per cent.
After "a general discussion, which was
not favorable TO the proposition in
regard TO the four per cent. bonds,
siecretars sherman made an offer to
dispose OF fifty millions at four and
one-half per cent and requested banks
and bankers to submit IA proposition
TO him for the full amount or any frac.
tlonal part thereof II Is understood
the national bank presidents held IA Sc
cret meeting on Tuesday night, to
consider the proposition OF Secretary
Sherman. His proposition that banks
should subscribe for four per cents. was
voted down, and II committee appoint
ed to prepare and submit new prop.
osltion, which would be satisfactory TO
the banks. The proposition IA decided
upon IL accompanied by arguments
setting forth, among other things, that
the banks assembled wish to render
all the aid possible gratis In securing
resumption OF specie payment, but in
doing 80 certain things must be con.
sidered.
The banks are willing to subscribe
for the full amount OF fifty million
dollars In bonds and 10 sell them ut
the same price paid for them, asking
and requiring no profit; but they
must have something to say In regard
to the classes OF bonds issued AS for four
per cents, they cannot use them at
all, as their sale Is entirely too slow
and uncertain. They would be willing
to accept four and half per cents or
five per cents of 1881, which could be
placed more readily. We know that
a large number of bonds which have
been returned to this country from
abroad, on account of the remOnetiza.
ton of silver, are now held on specu-
latiop or have not been disposed OF,
and that banks generally have more
government bonds now on hand than
at any previous time since they were
Issued. Banks cannot assume very
great risks in subscribing for the
bonds proposed, and the market must
be reviewed perspectively as well US
It's present features. Should the
market become flat, with demand
for bonds that are held over, they
will require guarantee against loss
in order to protect their capital.
With this guarantee from the secre-
tary, the banks are willing to subscribe
for the fall amount OF fifty million dol
lars of four per cents OH new fives OF
1881 at market quotations, crediting
the treasury department with their
equivalent In gold. This proposition,
II IL understood, was presented to Sec.
retsry Sherman. A meeting was held
of the late four per cents syndicate,
composed of the First National bank,
August Belmont, representing the
Rothschilds, of London; Drexel, Nor
gan d Co., Morton, Bliss a Co., j. &
w. Seligman Il Co., at which 1t was
decided to make bid for the entire
amount offered by Secretary Sherman.
H. G. Fahnstock, George Bliss aud
August Belmont called on Sherman
and had al interview with him. They
informed him that they did not come
as syndicate, but as representatives
Of banks and banking firms, and tC
render substantial aid to the govern
ment In its efforts to secure speedy anC
permanent resumption Of specie pay
ments. Sherman said he felt con
fident of the ability OF the treasur,
department to resume by Januar,
first, II not before that time, |