New-York tribune., 1896-01-10

stated that payment for the bonds will be required
In instainents-oO per cent and accrued interest
upon receipt of notice of acceptance or oids' anu
20 per cent and accrued interest at the end OF each
ten days thereafter. OF course. 4 purchaser may
pay In full 70; the bonds at once.
At any rate. as the circular now reads the
bonds must be paid for entirely in forty days.
The sudden contraction of the currency 10y
$50 COO 0oO every ter days. making SO0OOOo IN iorE
days. would convulse the money market. IL Is con-
tended, and greatly interfere with general o"s'
ness In fact financial and commercial, interests
could not stand il. Representa- tons VIII De Haue
70 the Administration by New-York fnanciers 70
show the necessity for spreading out the payment
for bonds over a longer period and their recon-
mendat!ons may be adopted
The surp.us reserves OF the associated banks OF
Nev.york stand AZ 100000 As the larger part
Of the bonds will In any event be taken oy New"
York banks and their ieposltors. ii IS apparent
tha, the parment of one irstalment on the bonds
would practically wipe on; the surplus ana 'he
pavrlent of The second would force the calling ot
loans 20 keen the reserve up TO the legal require
,nerts with tho result of terribly high rates for
money.
/. was the Original pan OF The syndicate to ar
range for srnal. payments the purchase price
Of the bonds runnins ior some time so as not TO
create a stringencv n money. 1t was also pro-
posed to place syndicate gold In certain banks
DESIGNATED as repositories that whi.e it could
not be- paid ont it could b. counted in the reserves
OF the banks and thus have enabled them to u,N-
,zc other forms of moNsy held in the reserves
in this way only moderate sums Of money would
have been taken of circulation at different in
tcrvals ard there would have been no particular
disturbance OF ne money market
Some people believe that il is the earnest desire
Of the Administration that the popular loan" shall
he success Banks. including those in the synd!-
cate. viii facilitate subscriptions by making ad-
vances 20 such Of their customers as desire TO buy
bonds Furthermore they will. 1t is authora-
.lvelv stated loan gold to the Government in case
the necessity for rcplenishment of the Treasury
reserve arises before the date set for the opening
Of the bids for bonds.
Conditions for the bond issue vastly different
now from what they were a year ago Then the
banks had 800 900 Oo0 more money than at present
and money ruled at per cent. For another thing
OF the issue of 100000 of bonds in February 1885,
one-ha,f placed abroad. 1t is now proposed
10 sell in the United States alone over three times
as many bonds as sold here last year. The
banks and other financial institutions realize the
need of aiding in the marketing of the bonds and
Say they will do So
The Chemical National Bank has withdrawn from
the bond syndicate. The explanation by President
George G. Williams of its action is as follows:
.nhscr!p,ion simply Represented those Of our de-
posi,ors, and we do not want 10 tie them up to the
merely wished to get the bonds, pay for them and
use them. while the syndicate deals with the sell
did not wish to stand in the way of any public de-
sire for the success of popular loan
Assistant United States Treasurer Conrad y. Jor-
dan who went to Washington on Wednesday after
noon on summons from the Secretary Of the Treas
ury was back In New-York yesterday morning, but
he would not tell the for his hasty trip He
said the calls for blank proposals for bonds were
large.
The withdrawals of gold from the SubTreasury
during the day were $25.000 OF this amount $1,000
was secured by j a w. Sel.gman CO. The stock
rlyot frAn
which was interpreted to mean that gold exports
tomorrow would be lighter than expected.