The Rock Island Argus. (Rock Island, Ill.) 1877-1885, 1878-04-13
Sherman in search of gold for resump
ton purposes.

.
ton purposes.
So long as the Resumption Act remains
unrepealed upon the statute book, SO long
it will be necessary for the Secretary Of
the Treasury to shape his financial policy
with view to comply if possible with the
provisions of the law. Although it is well
known that the Secretary decidedly favors
the idea of resumption, and it is probable
will use all the advantages of his position
to make the measure success, yet it he
were not friendly to the law it would still
be his duty to make the necessary prepar-
alton, and in good faith, unless there was
strong probability of its repeal. Notwith-
standing the urgent demand 10 many quar-
tiers for the repeal of the law requiring
resumption the st of January next, and
Notwithstanding the further fact that q
majority of both Houses of Congress
would undoubtedly vote for its repeal, it liz
considered improbable that two thirds
vote could be obtained over a presidential
veto, aud it is we'll understood that veto
would be interposed in case of an attempt
to repeal the Act Those who favor the
repeal must therefore look the probable
issue fairly in the face, and If it is impos-
sible to accomplish repeal Of the obnox-
ious measure, they will regard with deep
interest the movements of the Secretary
to whom the matter is principally entrust-
ed, and through whose agency it is mainly
to be accomplished.
1t is reported, and no doubt truly, that
the present visit of the Secretary to the
city of New York is for the:purpose of Sc
curing in some manner the balance of gold
necessary for resumption. The details of
the conferences thus far held with Bankers
and capitalists have been carefully con-
cealed from the public, so far as possible,
and the various rumors afoat are probably
not reliable in some particulars. The
fact that the Secretary is interviewing
leading New York capitalists shows that
he has lurking fear that the resources Of
the government at bis command may not
after all be sufficient to meet the demand
for gold, should the resumption act take
effect. The amount required according to
his estimate is $l40,OO0,OOO, of which his
present amount ut command is about $780,
100000, leaving $50, 100000 to be obtained
10 addition between now and the lst Of
January next. He has on hand 10 the
Treasury a large amount Of four per cent.
bonds which the syndicate failed to place,
and these be is anxious to dispose of to
make up the necessary amount o! gold still
deficient. The bankers are understood 20
be averse to taking the four per cent bonds
but would agree to take tour and a half per
cent bonds, or FIVE per cents of 1881.
The banks will also require as a con-
dition of taking bonds and supplying gold
that it shall be retained in the treasury and
kept strictly for resumption purposes,
Should the secretary be successful in bis
present scheme, it will certainly prove al
that has been charged, namely, that re-
sumption would be artificial and forced, and
not the natural result OF a healthy anC
sound financial condition The locking VI
$l00,000,0G0 in gold. and depriviug thu
Industrial and commercial pursuits of thu
country of the benefits of purchase or US,
of that amount will be likely to create fresl
alarm among business men, and iDjuriousl.
affect the real and true interests of tn
country. Contraction and shrinkage o
values have already ruined thousands. az,
the boarding up OF such an immense sur
for use at future day so far ahead wi
tend 20 destroy confidence in any presen
relief and will therefore be received wit
dislike, aud as a measure fraughr with n
benefits TO any class except capitalists an
banking interests. The secretary ma
perhaps make arrangements @with th
bankers which will enable him to have o
hand the necessary amount of coin for n
demptiOn purposes, but it will be we'll iC
him and all other advocates of the measul
to remember that the people cannot bes
the strain beyond certain limit, az
though by special means he may accom-
lish forced resumption, unless the col
dition of country is such that it will nj
increase existing hardships it will awaken
resistance such as this country has nevC
yet beheld 10 opposition to government
measures and policy.
Since writing the above the telegrap
gives information that the Treasurer an
members of the last syndicate have on
tered into an agreement for the sa
for resumption purposes OF $50
100000 of U. S. AZ per Ger
fifteen year bonds at par aud accrue
interest and II per cent premium in col
coin, $l0,000,000 to be subscribed In
mediately and $4,000, 900 per month du
ing the balance Of the year. The sale Of
per cent bonds will be continue
by II, treasury department
heretofore under the conditions
the last circular, and the proceeds wi
be applied to the redemption of per Gel
5 20 bonds.
ItTthere is any one thing more than an
other which ought To damn the whole bus
ess it is Sherman's dealings with the synd
cate.
WASHINGTON LETTER.