The Kootenai herald. [volume] (Kootenai, Idaho) 1891-1904, 1894-12-01
Syndicate Headed by U. S. De-
post Company Takes 1t.
R, P. BLAND'S VIEW OF 1T
The Gold Thereby Secured viii Raise
the Reserve Fund to About
SII6,OOO,OOO.


Isle has decided to accept the Stewart
syndicate bid for the entire issue of
$5O, OOO, 900 in bonds. The figures offered
by the syndicate was $1,17.077 The
following official statement was made
at the treasury:
1.-THE secretary of the treasury has
accepted the proposal of John A. Stew
art, president of the United States
Trust Company, and his associates, to
purchase the entire issue of per cent.
bonds amounting to $50,000,000 at
$1,17.077 and accrued interest from No
vember /. The proceeds of the bonds I'M
der this bid will be s49,517.62 greater
than they would be if the other highest
bids were accepted. A very important
advantage to the government in ac-
cepting this bid is the fact that all the
gold will be furnished outside and none
drawn from the treasury. 1t is also
more convenient and less expensive to
the department to deal with one party
rather than with many"
The gold reserve balance, which is
now in round numbers $57, 100000, will,
if the expectations of the officials re-
garding the deposits of gold bonds
are borne out, be advanced to about
SIG, 000 900. The conditions on which
the bonds are accepted is shown by the
original proposal of the syndicate which
is in the following terms, minus the
names of the companies composing the
trust and the denominations wanted
New York, Nov. "a, 1S94.-We hereby
propose, under the terms of your cir
cular of November 10, 1894, to purchase
the United States per cent ten-year
bonds described in said circular of the
face value of $50,0OO,OO0, and we agree
to pay therefore at the rate of $1.17.077
and accrued interest from November 1.
This bid is for the whole $50,000,0 900,
but not for any lesser amount.
1--WE further agree, upon due notice of
acceptance of this subscription, to de-
post the amount thereof in gold coin or
gold certificates with the United States
assistant treasurers at either Boston,
New York, Philadelphia, Baltimore,
Washington, Chicago, ST. Louis, New
Orleans or San Francisco. In accord
ance with the terms of said circular,
we desire registered or coupon bonds,
and wish them to be delivered to us as
follows: $4O,OOO,OOO at New York, 49,
100000 at Boston, $3,000,0 900 at Philadel-
phia, So, 600, 900 at Chicago and 100000
at San Francisco, or other United States
sub-treasuries, as may be approved by
the treasury department"
BLAND'S VIEW OF 1T.
st. Louis, Nov. 26-In response to
a telegram to R. P. Bland asking an
expression on the bond issue, the fol-
towing was received by the Post Dis
patch today;
Lebanon, Mo-, Nov. 26.-To the Ed
itor of the Post Dispatch: If the sec
rotary of the treasury would exercise
his option to pay out silver for green
backs and treasury notes issued under
the Sherman law there could be no
drain of gold from the treasury. The
government of France does this and
keeps all her money at par. This bond
issue business looks like attempting to
force congress to retire our treasury
notes and submitting a system of ma
tional bank currency. The fight is
still on between the advocates of free
coinage of silver as the true mode of cur
rency reform and the adherents of ma
tional banks. 1t is proposed by the lat
ter to farm out to corporations the
power to control the value and volume
of money. Surely the money monopoly
of this country now thinks it is in the
saddle, but time will tell whether the
people or monopoly is to rule this coun-
try"
1t is the understanding of the treasury
department officials that the Stewart
syndicate will not take advantage Of
the delay offered by the secretary Of
the treasury to pay for bonds, but OF
the other hand, payments will be made
promptly.
Already the treasury officials have
been in communication by long distance
telephone with parties representing thu
syndicate, who desire to know whel
they can deposit the gold for the bonds
The officials replied that they could d.
so at the sub-treasury at New York III
to the close of business today 1t viii
be some days, however, before the en-
tire amount can be paid, as some of l
will find it's way into the sub-treasurie
at Chicago and San Francisco and othe
sub-treasuries. The total sum that tn
government will receive for the issu
will aggregate about S5S,OOOOOO and a
the understanding is that the syndi
cate will not take gold out of the treas
ury to pay for the bonds, healthy in
crease in the gold reserve will be tn
result.