Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1878-05-02
AFTER SHERMAN'S SCALP,
HIS Late Sale of Bonds Not What 1t Hes
Taunted to Be--4 Batch Of Important In
terUietcs-- What the Secretary Has to say
for nselt--Rerisionary Opinions Of
General E,Ciny.

Pdunted to Be--I Batch or Important IN
tervie,cs-- JVhat the Secretary Has to Say
for Himself--Rerisiondry Opinions Of
General E.Uiny.
Washington Post.
dispatch sent to the Cincinnati Enquirer
on Saturday and published in its Sunday edi-
ton, reaching here this morning, charges John
Sherman with deliberate deception in the mat
ter of his contract with the syndicate for plac-
iIg the AZ per cent. loan. Buffers speech be-
fore the Middlesex Club, of Boston. published
in yesterdays Post, was of the same tenor.
This naturally impelled Post representative
in the direction of the residence of the secre-
tary on X street to see what he had to say, if
any thing, why sentence of impeachment
should not be passed upon him. Ringing the
bell of the modest mansion in which the great
resumer resides, the Post received from the
man on guard an assurance that MIR. Sherman
was not in.
where is he then?"
'Gone to see Mr.. Hale, sah."
Thanking the MISUNDERSTANDING servant,
the Post put for Hale's house, where it was
courteously received by both proprietor and
guest.
Handing the secretary a copy of the article
referred to, the Post said:
''Mr Sherman, have called for the purpose
tanned in that article, and to ask you if they
are true, and if you really think that you de-
serve impeachment, as this paper recon-
mends.''
The secretary seized the slip, cast his eye
over it, crumpled it up in his hand, aud re-
marked:
They have copy of the contract and can
go to hi, and bother me no more about it,
Not clearly understanding whether the longi-
tudinal fnancier's invitation to go hellward
was extended to the newspaper fraternity Or
the committee, the Post did not at once COM
ply with the request, but planted itself instead
in chair. got out its interviewing instruments,
and said:
What else have you to say about it,"
''Why this, said the secretary, as he nervous
ly walked around the table at which the
Post, like brazen statute of innocence, sat
and sweetly smiled. ''We are just as sure to
have that $780, 1000 gold coin in the treasu-
rry before the the LIST OF January as any future
fact can be-
Without stopping to ask Tecumsehs brother
what he meant by a future fact the Post
said: what about this option-I don't clear
ly understand it!''
Read the contract sententiously said the
secretary, with much the tone and manner of
the person who said: Search the scriptures -
to the impertinent inquirer of old. 1T only
contains the usual condition Of option, the
same that every contract for the sale of bonds
has contained since bonds were sold. They
have discovered great mares nest, and are
trying to make a mountain out Of mole hill, -
said the secretary, and without learning how
the discovery of mares nest would affect the
initiation of mole hill the bewildered branch
of the perennial Post withdrew.
GENERAL EwINGs OPINION.
After leaving the Secretary, the Post per
egrinated in the direction of the residence of
General Thomas Ewing, of Ohio. The General
was found in his usual pleasant and comm uni
cative mood, ready and willing to be bored for
the benefit Of the public.
General" said the Post, Il have Just left
Secretary Sherman, whom / have been inter
viewing on the subject Of the syndicate con-
ract. He referred me to the contract, which
he says is in possession of your committee,
and says that the option part of it is the same
as contracts, for the sale of bonds, have hereto
fore contained
1T may be the usual arrangement made by
the treasury department with syndicates, but
certainly in this compact there is no sale of any
more than ten millions"
what do yon understand by the option
clause in this contract?
II understand that the syndicate have the
option to take S., O0O.0 600 more Of the bonds in
May on the same terms they took the $4,000
600 on. and will have the same right to take
!, O00, 900 in June if they want them, and SO on
each month until the first of January. but
they may take any months allotment here
after or terminate its contract just as they
please. In consideration of their purchase of
the Sl0,000,0O0 they thus granted mere
buyers option to take So, 100000 in each sue
cessive month during this year. and the secre-
tary has further bound himself to the syndicate,
as consideration of their taking the S1O,000,-
GOO this month, that he will not sell any more
bonds this year for resumption purposes ex-
cept by consent of the syndicate
HDOeS this appear in the cOntractS
'Yes, and if he were offered gold for pei
cents at par he could not buy it for resumption
purposes until after the LIST of January. This
contract of the secretary with the syndicate
was misrepresented in the New York papers to
be a sale by which the secretary would secure
$4,000, 600 of gold, and thus would make re-
sumption certain"
''You think, then. that the syndicate will not
take the remaining $40, O00,0OO?"
II think their course will be determined by
the state of the market. If they find it to
their advantage to take the bonds they will
take them all, if not, not. They can, under
this contract, take just as many successive in
stallments they please, and quit taking
when they please, and in the meantime the
Governments hands are tied SO that it can
take no advan tage of any favorable conditions
of the market. For example. suppose that
four per cents could be sold next month at par
in gold, the option in the remaining $40 200, COO
of four and half per cents would probably
be worth $4,000, 600 or 81, goo 900 to the syndif-
cate. While, if the market grows unfavorable,
they will lose nothing exce.t, possibly. on
the 100000 900 they have already bought
"Doyou think there has been a purpose to
deceive in this NATTER"
II regard the studied Misrepresentation of
this contract in the New York papers, a
piece with the humbug advertisements of the
national banks in Chicago, Cincinnati and
elsewhere, that they had resumed specie pay
ments. They have resumed on their circula-
ton, knowing perfectly we'll that their notes
can't be gathered up and presented to them, as
Not one Of those banks would dare to advertise
that they would pay one-tenth of their de-
positors in gold. It is all clap-trap to deceive
the country snd prevent action on the repeal
Of the resumption law. Neither the banks
nor the treasury are ready, or can get ready te