Baxter Springs news. [volume] (Baxter Springs, Kan.) 1882-1919, 1895-05-11
coRNeRlNo THE GOLD.
Story That Bond Syndicate IL Corrallin
tho Yellow Metal.


tho Yellow Metal.
CHICAGO, May s.-A special to the
Post from Washington says: The dis
covery that there Is IN actual basis for
the report that the Morgan-Rothschild
bond syndicate Is conspiring for the
gold market has been regarded as u
foolish canard. II is fact. however,
that brokers representing this syndi-
cate have been paying premium for
the refined gold output of the private
refineries throughout the west during
the last two months and that they
are accommodating fine gold Mt the rate
of $4,000 or S3,000.0)0 per month,
which represents fully two-thirds of
the entire gold output OF the United
States. The attention OF officials OF
the treasury department was first at
tracted to this peculiar business by the
sharp falling OFF in the deposits of gold
ut the minis and inquiry soon devcl-
opcd that private parties were buying
the product of the reiineries.
Further inquiry revealed that the
metal was purchased and was drifting
to New York, where 1t is being put in
store to the credit of the Morgan
Rothschild syndicate. In order to di-
vert the stream from its usual chan
ncls leading into the United States
min,s the private purchasers have
been obliged to pay Il premium
Of TX to ~ cents. The premiums
paid for most of the gold was Is cents,
hut so anxious have been the
buyers to increase their lines and get
everything in sight that they have
marked up their quotations during the
last few days. At the present time
they are gettinr practically the entire
output of the United States, excepting
for the extreme western coast.
Many lnng-headcd men in Washing
ton and Wall street, who are familiar
with the methods of the parties COM
posing the syndicate, have jumped to
the conclusion that the foundation is
being laid for another bond deal before
congress meets again. The last bond
deal of S6a, 900. 900 has been pretty well
closed out. over Sjl ,00).OJ0 in gold hav-
ing been paid out of the sGi.OJD, 0O) and
il is generally believed that the entire
deal will be cleaned up before the first
day of August
Under the terms of contract with the
treasury department the Morgan
Rothschilds syndicate has an option on
any new bonds that may he issued by
the government prior to October next.
The treasury is absolutely in their
hands until that date. II from natural
causes or through chicanerv and
manipulation the administration is
obliged to issue another Latch of bonds
to maintain the gold reserve the sale
must be made to the syndicate that
took the last issue. There is no escape
from such action. II was nominated
specifically in the contract 81 ned by
direction of the president. The clause
in which the syndicate agrees 10 main
tain the treasury reserves lrivcS the
syndicate To he the ja lge rs to what 1t
can do in the promises or To what
methods it shall adopt. IL. in the car
rving out of that moral obligation tue
syndicate shall decide that the govern
ment must Issue another Si0l.0Ol, 900 or
5000. 900 in bonds. the administration
will have nothin! 10 do but comply
with the terms. II the president does
not want To issue any more bonds ut
the dictation of the syn iicate the re-
serve can he practically wiped nut in
ten days. AMI then. ii he should decide
in sclf-protection To put out more
bonds, he must sell them To the Nor
gan-Rothschild people and nobody else.
The new bonds are selling to-day in
open market ut l:i'i. They cost the
syndicate lOii!, which would show n
profit of II points in the operation.
amounting in all to SiO,ii0,0lh