The Black Hills union. [volume] (Rapid City, Pennington County, Dakota [S.D.]) 1889-1904, 1895-05-03
I STARTLING BOAST.
BOND ISSUE CANNOT BETTER
THE SITUATION.

BOND ISSUE N BETTER
THE SITUATION.
Government OfBcials Have Been Like
Clay In the Hands OF the Morgan
Rothschild Syndicate - We Are the
Slaves Of This Push
The following from Matthew Mar
shall, the Wall street financier, con-
firms the truth that the arch-consplr-
ators of two continents have e at
work to rob and enslaye the people OF
the United States.
Not the least gratifying circum-
stances attending the success of the
new loan, is to me, it's confirmation OF
my often expressed favorable estimate
OF }. Pierpont Morgan's financial abll-
ity. In the hands of the experienced
and skillful negotiator our govern
ment officials seemed to have been like
clay in the hands of the potter n 1T
is a question whether it would not be
worth while to employ them at any
salary they asked to manage the ma
tional finances, instead of the politi-
clans now charged with the duty.
Naturally the immense profits upon
the loan which, at the present quota
tions are assured to Messrs. Morgan,
Belmont and their associates, have
excited much hostile comment, both
upon them and upon the government.
That bonds which were purchased at
1041a should within a week eagerly
demand in the neighborhood OF l2O,
does indeed show that the terms of the
transaction were highly favorable TO
the purchasers; but to this it may be
announced, first, that as | have said,
government, being in dire straits, had
to take whatever price was offered it,
and second, that congress, if it had so
chosen, might have authorized a 6 per
cent gold bond upon which no such
premium could nave accrued as has
accrued upon the coin fours. When,
too, i. is considered that only sixteen
years ago these same 4 per cents were
sold by the hundreds of millions of dol
lars at 99k to a favored syndicate of
New York bankers, in which the secre-
tray of the treasury was accused of
being interested, and that, ten years
thereafter the government itself was
buying them back at 100 or Whereabouts,
the profits on this recent purchase of
$62, 400, 900 at 1041a shrink into insig-
%nificance. That, with shrewder men to
manage the transaction on it's behalf,
and with legislation to support it, the
government might, under every dis
advantage, have got a higher price than
it did, is possible; but it has not COM
mitted an unprecedented blunder.
A heavier accusation awaits the ad-
ministration, when, as is probable,
even this shall have demonstrated not
only that it has made a disadvanta-
geous contract with the buyers of the
bonds, but that the transaction has
merely postponed without averting the
catastrophe of a suspension of gold
payments which it was intended to pre-
vent. At present everybody almost
takes it for granted that this recent
loan is the last one that will be re-
qrired, and that henceforth the con-
tinuance of gold redemption is assured
beyond question. I am not so sure OF
this, and [ fear that the general ex-
ultation over our apparent safety is
premature, as was the exultatiOn in
1893 over the supposed final settlement
of the silver controversy.
Unless the national revenues shall
henceforth equal the national expend-
itures S that all the legal tenders re-
deemed in gold can be held in the
treasury and thus effect a contraction
suspension of gold payments from
which we have three times in a little
more than a year been rescued by a
sale of bonds, will eventually recur
for a fourth time and then no fourth
bond sale may be possible. If, too, the
agitation in this country in favor of
silver should continue, not only will
foreign investors continue to sell their
other American securities, but they
will return those same new govern
ment bonds which they have just pur-
chased to so large an amount in the
London market. | regret to see a dis
position eylnced in many quarters to
treat the abandonment last week by
the silver senators of Senator Jones
free coinage bill and of Senator VOL
colts free silver resolution as a proof
of the weakness of the cause of silver
IN congress. On the contrary, the pre-
Hminary votes taken on Senator Jones
bill very clearly showed that a major
lty of the senate were favorable to it.
That they refrained from forcing it
through at once demonstrates no more