St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1892-12-18
MONEY FOR The WAR.
Che Story Of How a Chance
Meeting Helped to Save
the Union.
Fifty Millions Of Gold Volun-
teered to the Government
at Washington
1t a Critical Period When
Gold Was Needed More
Than Men.
this Timely Aid Resulted
From a Street Car Con-
vePSation.
es@Aa N SPITE of [
W. fact that all
M world knows
81 story Of
M rs { "a swiftness W
MIS Nv which the volt
w. GN3fTSM teer army "
T&IFl[ {SsJ ~ put into the fit
XEi4Y X N47 - soon after
MI " V NISA RAT outbreak of I
H( 4 MStA ~ civil war in Is
\93,,zZNTS TX very few peol
~ - .z5@<2 ever heard abe
Hc--~>~~~ tba naOupr

which another force was raised at thai
lime, which was perhaps of more I'M
portance to the federal cause just then
than that great army was.
When Roscoe COnkling. then young
man only little past thirty, delivered
speech in the house of representatives
soon after the fall of Fort Sumter, he
aStonished men who were even older
than himself by declaring that war in
these times was without romance, was
cruel and humdrum proceeding. and
that it was determined not so much by
men and battles as it was by the power
of money. Other things being equal,
Mr.. ConKling declared. that side whic h
has the most wealth, the greatest re-
sources, will win in modern wars, and
he asserted that it was of more i'm
pOrtance to the federal government tina
gold be secured just then than that
armies be raised.
Mr.. Conkling knew what the country
did nOt-that President Lincoln and his
cabinet were very anxious at that time
because the government had no money
to speak of, and it was not very clear
how money could be raised. The credit
of the government was not as good then
as it is now, and it was well known
shat it would be very difficult TO borrow
gold.
Salmon p. Chase was secretary of the
treasury, and many an anxious night
did he spend i'll trying to devise some
plan TO raise money for the immediate
and unexpected excuses which the out
break of the war was causing. There
was a troubled look on Mr. Lincoln'S
face at that time, which was believed by
those who saw it and did not know the
reason to be entirely caused by the
great responsibility which the coming
of the war and the placing of the army
in the field had put upon him.
But that was not what gave Mr.. Lin
coin his greatest anxiety. He knew
that volunteers would be plenty, but he
wondered where the government was
going to raise on the instant the gold
which it needed. One day gentleman
called upon the president and said to
him that II was inspiring to see nen
come from the farms and the shops in
response to his call for volunteers, and
this man added that such spectacle
ought to convince any one tnat the war
would be Of short duration.
"Ah," replied the president, sit is
MOI men that we need now so much as
1T is gold. We want gold Immediately,
and | confess that it is a greater prob
lem how to get it than it is how to Sc
cure volunteers"
~ Qdy vi lWO ldlCl lillS RCllIlGlIl1Il was
riding OH street car in New York city
with a banker, now living, to whom
this conversation with Lincoln was mar
rated. 1t was an accidental meeting
and chance conversation, but it proved
TO be a fortunate accident. The banker
thought good deal about this anecdOte,
and some days later he went among his
banking friends and he said to them:
Nov, it seems to me that we have a
very important interest in this matter
aside from any national feeling. If this
war should prove failure for the North
our property would be deprecated, and
very likely many Of our banks deS-
tToyed. Therefore, think we ought to
take some risks. | think so outside of
any other consideration as purely bust
ness proposition" aud he found that
nearly all the bankers with whom he
talked were of the same opinion.
So they agreed to send indirectly
hint to the secretary of the treasury
that it might be we'll if he paid visit
to New York and chatted with some of
the bankers. Mr.. Chase was very glad
of this hint. He hurried to New York,
and on certain evening he met in the
luxurious parlors of banker on Fifth
avenue eight or ten bank presidents.
These men controlled many millions of
Capital anu VI EOIN. w I'LL MI. OlluS6
they talked the matter over till dawn.
They agreed with him that they ought
to take some risks, perhaps great ones,
TO aid the government, even from purely
selfish motives, if for DO other reason.
And before the meeting adjourned
these men had agreed to raise $40, 600, 900
in gold and to loan this wealth to the
government Immediately, taking in re
turn therefor the obligations of the gov
ernment to pay it back with interest.
Now, that was great risk. If the war
failed nobody could tell what the obli-
cations of the government would be
worth or how soon it would be able to
pay them off.
A few days later the newspapers pub
Iished a report that some of the banks
of New York, Philadelphia and Boston
had sent to the treasury the enormous
sum of $4,000, 600 in gold. TO the pub
lie this paragraph was of little interest.
because popular excitement was at fever
heat on account of the assembling of
the soldiers and their departure for the
seat of war. Yet really this news was
of far more consequence than the story
of the gathering OF the armies was.
1t revealed to the business world that
the great bankers of the nation
had decided to give support to the
1eOtldl CAUSE. anu III EuIOpG lHc SlcdL
men said. "Ah, if the bankers are will
ing to put up their gold to support the
government, then Mr.. Lincoln has
greater power than even bis armies can
give hm." And this proved to be the
case. Within year the banks had
loaned S100,000,000 more in gold, the
credit of the country was established,
and it was evident that, as Conkling
had predicted, the greater resources of
the North would be likely to prevail in
the end.
SO it may be said that perhaps the
result of that colossal war was deter
mined on that night when the bankers
met in parlor with the secretary of
the treasury and promised to loan the
government $50,000,0 900; and maybe but
for the chance meeting of the banker
with gentleman who had chatted with
President Lincoln the course of affairs
in that critical time would have been