Grand Rapids herald. [volume] (Grand Rapids, Mich.) 1892-1959, 1893-04-26
BOND ISSUE IS SURE.
Bankers Say They WIN nsss b
% 4 Per Cent?
calIlcisE joaoAn's ofrEa
Ysoo ~ Aposasaseas ososssasy cas-
nsas KneUs View lisa1s Ahous
Whss = Gaisg O..

wAssrseros. April A-rhs nsws
froa New York telling a Assistant
Tressstrer Josdans Efforts to secure .
t60.o0e. 900 lnsn on pes cent tsn-y year
bonds on 3 per cent basis simply con
firms ths belief IN financial circles here
~ the governments intentions Ia Issue
boni-- The assistance from hanks IN
dsihlets has been regarded - only ten
yofary postponemsnts and makeshiffs.
and an failing not only to get At the
cAns- % the gold oulgo. but 10 even
keep pace With il. SO long ~ the
balance - trad. is against this country
and the present vicious silver
l4s 10 IN force. gold Is bound
~ 20 abroad. And a. no i'm
mediate change Ia either the bal
snce of trads or the sayer Law is ex-
pect-d. an issue u bonds as and Is con
ssd.red not only prudent but inevitable.
Secretary Carlisle declined tn talk about
the Jordan n-gotis'iona IL is under
stood that he knows nothing about
them. and several think that JordAn's
act was entirely bis own But the mA
!ofsty think that the president knew u
hi- every movement, ~ II 10 not ecn-
sisiered likely tha. Jordan would make
such q proposition 10 bankers at such .
critical time on his own responsibility.
IL - known. however. that no conmuni-
cation has been received at the treasury
department
An Illegal Point
But little doub. q the truth of the re-
portin the main IL expressed. Yet il
seems IN old financiers here absurd
that Jordan should have suggested that
the government should have the option
of calling the bonds In one year or at
any time after one year. when its re-
serve ~ IN better shape. Such . course
would hs purely illegal. The law under
which the secretary can issue bonds 10
- follows:
To enable shc secretary of the treasury ~
prepare aud provide Tor the redemption he
h satnorixet To ls>ue. sell or disyose Of. at
not Ic-- than par In coin. either of the de-
scfiptl"as Of bonds 81 the United States de-
certified in thu act of congress approved July
~. l.9o. entitled: An act authorizing the
rofundirs cf the national debt. With like
quali,i~-. privileges and exemptions to ths
sstent necessary 70 earry this act inso full
effect and to u-e the proceeds thereof foe
the purIo-e aforesaid.
The issues of the tiss and 81 have
been exhausted and opinions differ q to
the legality ID issuing more of them.
But a. sl.0oOU0.0oO of the 10 werc
aushorized and only s7io.oOO.0oO have
been issued. there Is no doubt II the
s~cretary's authority Ia issue. should he
desire. xzo,uono Il Per c-nts. But
they would not expire before 1907. and
90 ask that call loan bc accepted indi-
GATES. one prominent banker says. that
the proposition must have come from an
amateur and not from an experienced
banker.
Virginia Wants Bonds.
Offers ~ gold continue to come in
hut the shipments today leave in the
treasury only Cocoon above the reserve
when all accepted offers are counted in.
The financial situation vas discussed
At iength at the cabinet meeting today.
Ut the conclusion II transp.red that on
Saturday last the New York bankers
made . proposition to Secretary Carlisle
He rejected u and made counter prop
oSitIou- This morning n letter Was re-
ceiyed stating that they rejected lis
proposition aud submitted one IN return
The secretary has rejected II. IL is ex
psi.ted that al agreement will be reached
soon.
Representative Wis~ % Virginia called
on the president this morning and pre-
sented petition signed by bankers and
business men q Richmond. asking the
president 20 issue bonds % relieve the
financial situation. The president re.
crsycd the petition. but gave no indica
tlou q what his purpose vii be- in the
direction of following the suggestions