The herald., 1896-01-18
SATURDAY. JANUARY IS. 1906
DISTORTING THE FACTS

morning contemporary attempts to
negative the statement in President
Cleveland's recent letter to Senator
Caffery, shat no banker or flnancier,
nor any other human being, has been
invited to visit Washington for the
purpose of arranging in any way or
manner for the disposition Of bonds to
meet the present or future needs of
the gold reserve" by quoting from Mr..
Morgan's circular to the bond syndi-
cate the assertion that that gentleman
was invited to Washington for con-
Ference" and by showing that while
there he learned that bond issue
would be not negotiated.
Now, then, any fair-minded person of
reasonable intelligence could read the
presidents letter and Mr.. Morgan's
circular, side by side, without finding
q single instance of conflict, or of
where one epistle contradicted the
other. Mr.. Morgan states that he was
invited to visit Washington, but he
does not state that he was invited to
visit that city to confer about a loan u.
or to confer with the president, or any
representative of the president. or his
administration, about any subject ap-
pertaining to governmental affairs.
He says: "During my visit there no
negotiations for loan were even sug-
gested; nor was there then or since any
agreement or request that I should
take any steps preparatory to making
the contract"
This statement amply confirms that
of the president that no negotiations
have been held with the bankers about
floating the next issue of bonds. The
same day that Mr.. Morgsn's letter was
published, our contemporary published
in common with other papers receiv-
ing the Associated Press dispatches,
statement that while Mr.. Morgan was
in Washington the president refused
to see him, and that she did not confer
with any member OF tho cabinet at the
presidents suggestion"
The fact that "Mr. Morgan ascer.
tanned while IN Washington that gov
ernment loan of not less than 100000
600, nor more than $200,000,000, would
be negotiated in the near FUTURE" has
nothing startling or strange about it.
An enterprising press had informed
the whole country some time bsfore
Mr.. Morgan went to Washington that
such loan was in contemplation, and
would most probably bs negotiated in
the near future" Mr.. Morgan knew,
for the same reason that a majority of
the people did, that the president
would exert his power to the utmost to
preserve the credit of the government
by maintaining the gold reserve. And
r also knew, just as everybody else
@id, that it was 'certain that no relief
oould be obtained from congress-" Like
q good business man ne fastened
back to New York and prepared a
:yndicate to handle the bonds that he
:elt sure would have to be issued. He
did not undertake the formation of the
syndicate on sentimental or patriotic
grounds, but on the same grounds that
people are now bidding or getting
ready to bid for the bonds; he consid-
cred the handling of the issue good
business proposition for himself and
his clients. And if the syndicate thus
formed could take the entire issue at
better price than they can be sold by
popular subscription, the sale of the
Issue to the syndicate would he good
business proposition for the people of
the United States.
But because Mr.. Morgan went to
Washington to attend conference at
about the time government loan was
contemplated is no sign that he con-
ferred with the president or his cabi-
net ficers about t hat loan.