Evening star. [volume] (Washington, D.C.) 1854-1972, 1895-12-26
COMING TO LIGHT
The Facts in Regard to Russia's
Offer of Gold.
MAY AFFECT The NEXT LOAN
What is Said About It by Con-
pressmen.
CLEV VELAND CRITICISED

The facts in regard to Russias offer in
1893 to supply this government with gold
with which to meet the emergency existing
at that time are gradually coming to light.
1t can now be stated on unquestionabIe au-
thority that during the panic of three years
ago, which resulted in heavy Withdrawals
of gold for export, the Gar of Russia,
through his minister here, Prince Cantacu-
zene. formally rendered to this government
a loan of $60.O00,O0D for the term of three
years. No specific rate of interest was
ramed nor were any details as to terms of
repayment entered into. the proposition not
passing to this stage. 1t was simply a gen.
erous offer Of a nation on particularly
friendly terms with ours, and was not
coupled with any hard conditions, such as
might have been reasonably expected from
power en- a less friendly footing with the
United States. Mr.. Cleveland after due de-
liberation, very courteously declined the
offer. He recognized the unselfish gen.
erosity of the offer, and the very friendly
feeling that prompted it, but he was unwili-
ing to accept 1T, fearing that at some future
time it might result in entanglements with
other European nations, which 1t always
has been the policy of the United States to
avoid. The offer has not since been re-
peated.
The Next Bond Issue.
ever, it possibly may result in the loan being
placed with Russian capitalists, and 1t is
probable the President has given some
thought to the advisability of proposing
terms with them rather than with capital
lists of other European nations, in case all
OF the bonds are not placed in the United
States. At present, however, the matter of
bond issue Is occupying secondary place
with the President. as the more pressing
matter selection n
the Venezuelan boundary commission is
consuming practically his entire time.
Mr.. Morgnn's Visit.
The rumors that Mr. ]. Pierpont Morgan
of New York came to Washington early in
the week to tender to the President, in case
of another bond issue, financial aid from
London bankers. are not credited here 1t
can be stated on excellent authority that if
Mr.. Morgan was in Washington he saw
neither the President nor any of his cabinet
advisers, nor did he hold any communicable
with them on that or any other subject
MI Morgan is not expected in Washington
Discussed by COngressmen.
The offer of Russia to furnish the United
States with gold was very widely discussed
among members of the House today. With
out going into the details of the story mem
bers generally believed it safe to assume it
to be true that any amount of gold neces-
sary might be had from Russia The anti
English feeling being strong in the House
much satisfaction was expressed on ac-
count of Russia's friendly attitude,
The discussion generally took the turn
OF antsgonism toward any proposition to
sell bonds in England when they could he
disposed of in Russia for gold. In some
quarters II was declared that for Mr.
Cleveland to negotiate for the sale of bonds
IN England. as he did with the famous
bohd syndicate, would be construed as a
change Of front on the Venezuelan question
one member of the House. who has heen
ahc the Venezuelan question, declared his
opinion very emphatically that if bonds
Wele issued again through the Rothschilds
syndicate II might be expected that the
Venezuelan commission would be more
friendly to the British claims than the
Venezuelan message gave reason 10 artici-
pate. Ihe feeling against any negotia-
IONS with the old bond syndicate is very
strong IN Congress. J. Pierpont Nor
gans visit here is therefore still specu-
lated on with considerable interest.
Mr.. Morsnn's Pronosftion.
1t is said that there is to be a bond issue
before long, and that there will be no agree
ment as to where the gold is to come from
Mr. Morgan, 1t is said, proposes an agree
ment between the clearing house banks or
New York to regulate interest rates and by
that means to prevent the flow of gold from
the United States. This proposition con-
templates an issue of bonds to be sold in
TINS country, to replen.sh the gold reserve
after which he contends that the banks will
De aple 10 Keep most of the gold here by
marking up interest rates when necessary