The Kosciusko star. (Kosciusko, Miss.) 18??-1898, 1895-03-15

Correspondents va :" Jul IL al
Washington, Feb. 25.--As soon
a. the President and the Secretary
Of the Treasury had succeeded in
restoring the public credit, the
Senate, which is no longer Demo-
cratic or Republican, but Populist,
SET about to impair that credit.
Mr.. Jones, of Arkansas, brought
forward his unlimited coinage bill,
nearly as vicious as free coinage.
and it was evident that it would
have passed the Senate, had the
senate been a body that could leg
islate except by unanimous con-
sent Mr.. Villas killed the bill,
and for that he deserves well of
the whole people.
There has been q great deal of
living about the contract made by
tie Secretary Of the Treasury and
the representatives of the London
bankers, Rothschild and Morgan
It has been persistently asserted
that Mr.. Carlisle threw away &c.
5000, and even had he done so,
that would have been q mere song
compared with the saving of the
public credit, and he did save it.
But for that much maligned con-
tract the Federal Treasury would
have been forced to suspend specie
payments and that would have
prccipitated panic from enc end
Of tile country to the other.
On the 18th day Of January
there was begun a regular run on
the treasury, and bv the 18th day
Of February, l. the treasury had
paid out S3S, 1852, $40 gold, which
practically exhausted the gold
coin On hand, the remaining gold
being bullion. 1t became necessa-
ry to act and to act promptly.
Twice the administration had sold
bonds at home, and as soon as the
gold reached the treasury the very
men who loaned it to the Govern
ment drew it out. As shrew1 a
fnancier as Russell Sage was con-
WINGED that specie payment would
be suspended, and he accumulat-
ed some millions gold. holding it
for rise. Many New York bank
ers did the same thing. Mr.. Car
Isle determined to block this little
game, and he did it. And what is
more he is the only Secretary in
forty years who has shown himself
greater than Wall street.
The Secretary went into the
market and bought gold. He
went where the gold was to be had
to London and bought it for
the least sum its owners would
part with it for But that was not
all he did. He entered into con-
tract with Rothschild and Morgan
that they should see to it that no
more net gold was exported across
the ocean for six months. which
they could do by establishing such
rate of exchange as would render
it Improbable to export it. From
the day that contract was signed
expectation ceased. Gold came
this way and the run on the treas
ury ceased.
Rothschild and Morgan parted
with their gold for 9A per cent
gold bond. They SAID: "We receg-
nize only gol as money; we fur
nish you gold and expect you to
repay gold. If we thought you
would return us silver for our gold
we would not take your bonds at
any price. We are business men,
and as you are only authorized to
issue coin bonds we charge you
Of l per cent per annum additional
interest, which in thirty years will
amount to upward of SIG, 100000.
If you are authorized by Congress
to do so, make it a gold bond, and
we charge only 3 per cent interest
and thus our treasury will save,
ultimately, above SIG, 100000 in
The matter Of interest"
The appeal was made to Con-
gress, and Congress, like team of
wild asses it is, rejected it, and so
the bonds remain 3 81 per cent,
instead Of 8 per cent.