The daily morning journal and courier. [volume] (New Haven, Conn.) 1894-1907, 1896-01-16

A'ihs tip1 Setln iiAQ PtbppeSN w NfSA NSNN N+'~
business of the syndicate, The broad,
comprehensive plans for the first time
disclosed were contrasted with the nee
essarlly haphaZard method OF indls-
eliminate bidding under the popular
method, Another point dwelt upon
was that while the London market was
close to us Mr.. Morgan, through his
agents, had found no difficulty in ar
ranging to place large amounts of the
| bonds in Germany, France, Holland,
Belgium and Switzerland.
lit was very generally known in the
higher financial circles yesterday that
formal notices would be sent to the
members of the Morgan syndicate an
| nouncing it's dissolution some time to-
day. The notice, of course, releases
the members from all further reispon-
siblity so far as the syndicate is con-
cerned. Wall streets chief concern
| hereafter will be the steps taken by
| the Individual members of the syndi-
cate to make the loan a success so
far as it cam be under the methods
employed I'M it's issue. Nobody believes
that on so-called popular lines the
main purpose of the issue, namely, the
! lSSuOId ltUH auQ llStiukSlleihN6 Va tAAS
| gold balance of the treasury, would be
achieved. Wall street men, therefore,
! generally turned with relief to Mr.. Nor
! gan's statement that he was bound to
see the issue a success and that he be-
| lieved the busineiss would be success
| fully handled.
The fact that gold continues to be
| dealt in at a premium is evidence
! enough that there is a strong demand
| for subscription purposes, and it is
| known that gold Is being accumulated
| from all possible sources outside of
! the sub-treasuries. The gold that is be-
ing withdrawn there lis the direct re-
| suit of the popular offer. Under the
| syndicate agreement its members
| bound themselves mot to obtain gold In
that manner, but the public were under
no such restrictions, and every day
| there are more or less large amounts
withdrawn. 1t is believed that the gold
imported from Europe and that bought
by bullion dealers is for the account of
members of the late syndicate, and to
this extent the treasury will be the
direct gamer. Just how much has been
accumulated I'M this manner it is not
| pOoSlbiG W sd DQl lliC ooiiy OttSAiASSs'
that has been conducted has often run
up into the millions.
| In spite of the dissolution of the syn
| dictate, it is known there will still be
more or less concert of actions among
| them ais large individual bidders for
| the loan as, however unbusinesslike
| the method of issuing the loan was,
the members of the syndicate are men
| of experience, and are not apt to do
| anything likely to injure the prospects
! of its successful flotation. Probably,
also, the strongest pressure will be
| brought to bear on the administration
/ to extend the periods of instalment pay
4 ments on the loan, as the money market
| will be seriously affected if the pay
ments are made every ten days, as pro-
| vided in the secretarys circular. In
! fact, all the details of the enormous
| business which the syndicate would
have been able to take care of will
| row be made more difficult
| The dissolution of the bond syndicate
may be said to have been under dis
cussion ever since January g. when the
new<government loan of 500, 600, 900 was
offered for public subscription. Opin-
! lCIi was IiOl ultdHllIlOu~ DIS 10 lliG UGS
ways and means of bringing this about,
| nor was it the unanimous belief that
/ the syndicate should be dissolved prior
/ to February 5, which date was, fixed
by Secretary Carlisle in his circular is
| the time limit of subscriptions Toward
1 the close of last week, however, the
| feeling became stronger in favor of
/ dissolution, and members Of the SYM
| dictate openly discussed with each other
and with outside friends the wisdom of
| withdrawing. 1t may be said here that
/ the members of the syndicate were un4
der no restraint as to remaining in.
| especially as the method of Offering
| the bonds made it necessary that the
| agreement should be reformed.
| lit was through these discussions
that the rumors of dissolution first
| became current, though they were set
| at rest to some extent by Mr.. Nor
| gan's diplomatic announcement on Sum
day that the syndicate was still intact.
The statement was one of fact and
it may be added that until the mem
bers of the syndicate received to-day
Mr.. Morgar's circular note the syn
| dicate was entirely intact. There had
been no Withdrawals in tho real sense
of the term Some of the members had,
as stated, discussed the wisdom of such
action, and had made public statements
| to that effect, but that was an
| zimmerman G. Forshay, the bullion
/ dealers of II Wall street, announced
| this morning that they would contract
| to furnish gold to intending subscrib.
ers to the new government loan and
would carry the gold until February
with interest.