The morning news. [volume] (Savannah, Ga.) 1887-1900, 1895-06-26
UNCLE SANS GOLD RESERVE.
THE AMOUNT NOW ON HAND FOoTs
Up SIOO,s3O,555.

The Bond Syndicate sim n Debtor
20 the Extent of 0,OOO,OOO-Thc
Bonds That sold Mt IO4.06 Now
Quoted at 1884 Did-Part of the
Syndicate's PROFIT Lost in supply
ing Foreign Exchange.
Washington. June 25.-The treasury gold
reserve. as the result of the Belmont Nor
gan syndicate paying in sl.ooO.OOO OF gold
became to-day intact again for the first
time since Dec. IA. 1894. 1t stands now at
800. so S55. There is still owing from the
syndicate 100000 in gold. Under the
agreement entered into Feb. s, 1895. the
syndicate paid $s5.OOOOOO in gold for s62.-
10000 in per cent, United States bonds
The price paid averaged slOi. 1916 per $780,
The bonds were yesterday quoted at 1874
bid. In addition to the bond purchase the
syndicate agreed to protect the gold re-
serve. and in doing so have. II is said, sup
piled foreign exchange at a loss. materially
cutting down their apparent margin Of
profit from the entire bond transaction
Now that the gold reserve is intact
question that comes up to vex the treas
ury is the issue of gold certificates against
gold deposited. Under the law while the
gold is under the 100000 coo limit gold Ger
tifcates cannot be issued against gold de-
deposited but when IL exceeds that limit
the law directs the Secretary of the Treas
ury 10 issue such certificates on the deposit
Of gold. The treasury. it is understood,
will discourage the issue OF such certih-
Gates. but will not, of course, refuse to do
so if demanded The cause of the disin-
clination TO issue gold certificates at this
time is that the margin of free gold is
small and necessarially viii be so for
some time to come, and any such action
now looking to the issue of gold certh-
Gates might have to be revoked within
few days, and would have to be rescinded
should the gold reserve again fall below
500, 10000.
Washington, June 25.-Considerable
doubt was expressed at the treasury de-
partment as to whether the Belmont-Mor-
gan syndicate had secured a modification
of the contract to the extent that the syn
dictate would not be compelled to import
100000 of foreign gold. Assistant Sec
rotary Hamlin in this connection made the
following statement;
There has been no modification of the
contract, the provision that one-half of the
gold for the total amount of the loan shall
be brought from abroad is to be carried
out. Some of the importations of foreign
gold were made in advance of the time
stipulated IN the contract pul lHlS ulu hoe
involve any modification of the contract"
1t is understood that the government
bond syndicate yesterday paid over TO the
treasury the balance of the gold remaining
to be paid on foreign account and the sec
rotary of the treasury certified
for the last of the bonds to
be issued. The syndicate has now
completed its payment for the whole
issue of the bonds. II is evident from this
that the secretary of the treasury has
modified the contract with the syndicate
requiring the Importation Of one-half Of
the gold to be paid for the bonds. In ae-
cepting the payment of about one-half OF
the foreign subscription in domestic gold
and directing treasury officials to receive
this and certify for bonds as against IL,
it is obvious that the syndicate is released
from it's obligation to import gold against
these bonds.
The surplus gold reserve Of the treasury
will be SlO7, $4,000 within twenty-four
| hours. This will settle the operation OF
the syndicate so far as payment for its
bonds is concerned. but 1t may be that the
syndicate will import more sgold later.
Treasury officials VIII NOT discuss Thfs, nor
can any information be obtained. from the
members of the syndicate.