New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1896-06-19
,1p BELMONT DID NOT TELL.
>.n SYNDICATE SECRETS NOT RE-
VEALED.
WILLIAM GRAVES.

rIMoNY OF FRANCIS LYNDE
sTETsoN AND OF
WILLIAM GRAVES.
subcommittee of the Finance Committee
..o limited States Senate yesterday began to
Oh y" testimony in this city to the sale of Gov
'a"D mi bonds since 1893 and three witnesses
e'"', heard at a public session in the Hoffman
N" W. August Belmont told the Senators some
~ about the formation Of the Belmont Nor
' srndcate. which bought the bonds issued
90. the contract OF February s. 1892, but he
...od ~ tell who purchased the bonds from the
-ucate or how much profit was made in the
".soction. There was a broad hint by the
-.-,,,,ee that proceedings may be taken to
.,r,sh him for contempt.
'r.orc,s Iynde Stetson, the former law partner
prss,dent Cleveland. gave some testimony
-, the drawing of the contract for the syndi-
W.. but said he did not know who the
- AZ the syndicate were. William Graves,
W. h,a for bonds of the issue Of February last
W." ,oosd 10 get them because he did not have
49, oo,a TO pay for them in time, told his story
- committee. To-day the committee Will
W. tho testimony of ]. Pierpont Morgan and
~ examine several persons as to the allotment
:, ,,s bonds for which Graves bid.
Tho subcommittee consists of Senator Isham
r Harris. of Tennessee, chairman; Senator
c..rss G. Vest. Of Missouri; Senator Edward c.
wo,,ba,l of Mississippi; Senator John p. Jones'
Nevada. and Senator o. ii. Plat. of Connecti-
-, They are proceeding under the authority of
rssolution offered by Senator PETER. and
..sssd By the Senate on May T. Testimony has
,..r ,aken by the committee in Washington.
.na IN Monday last Secretary Carlisle and As
S.,ant Secretary Curtis. Of the Treasury Depart
nent gave their evidence.
CALLED TO THE STAND.
All the members of the subcommittee were
.-ssAnt IN Room No 300 of the Hoffman House.
:, II a. m Yesterday when August Belmont.
a. head of the banking house of August Bel
ont g. Co., of this city. was called TO testify.
r. Davis. the stenographer for Senator JONES'
,ted as the stenographer for the committee and
,,ok down the testimony. while Mr. Dur1ee. one
a; the clerks of the Senate Finance Committee
,eted as sergeant-at-arms There Were few other
persons present except newspaper men, Senator
Stewart was there to hear the testimony Of Mr.
Belmont and Senator Brce looked in While MI
Belmont was being examined.
Mr. Belmont in reply 10 questions by Senator
Vest. said he went to Washington on January
the financial situation. He had a general talk
with the Secretary in his office. and found him
keeny alive to the situation. He said to the
Secretary that he would try TO find out what
could be done In the way Of. selling United States
bonds In Europe.
reiary Carlisle the necessity OF selling bonds
abroad? Mr.. Belmont did not. That was pub
ODD you go 10 Washington 10 urge him TO sell
bonds? 40. wanted g do what l could to id
Odd you not 90 to Washington to impress upon
induce the Secretary 10 sell bonds did not for it
was evident hat there must be IA, Issue Of bonds
The method Of disposing OF bonds so as to keep up
.Q-You thought that the bonds ough. TO be sold
ssrasa Ayes;
4. so b., been ss y a and Mr.
Ut time.
Mr. Belmont went on to testify that five days
liter his visit to Secretary Carlisle in Wash
.gton he had talk In his own house in this
ay with Assistant Secretary Curtis He had
promised Secretary Carlisle TO try to ascertain
the temper Of foreign capitalists. and after COM
nuncating by cable with some Of his corre-
gondents abroad he had written to the Secre-
AIRY that the outlook for floating United States
bonds abroad was not favorable
THE RoTHsCH1LDS WERE CONSULTED.
Senator Vest wanted to know who were the
foreign correspondents with whom Mr.. Belmont
had communicated, and after some hesitation
W. Belmont replied that the principal CORE
pondents were the Rothschilds.
You can draw your own inference from that"
be said
Going on to speak Of the visit Of Mr.. Curtis
% the evening of January 80. 1885, Mr.. Belmont
aid he told Mr. Curtis what he had learned by
cable about the prospects for selling bonds
abroad Mr. Curtis said he bad come TO New
York with instructions to get information Mr..
Belmont's testimony continued in substance as
follows:
met Mr. Curtis. Mr. Morgan and Mr.. Jordan
y the sub-Treasury In Wall-st. on me followng
cay The conversation there was s t nh net
with Mr.. Morgan previously. Mr.; Morgan and
b doubt hs, the make oSer De
~ cable Immediately. The conversation In the Sub
Ny SGs rE place and S0u m ad1ss
abroad Our correspondents indicated tnat they
would consider taking the bonds on three ana
mree-quarters basis.
Mr.. Vest drew out the fact that In the dis
patches something had been said about per
cent gold bonds TO the amount Of $lOO.OOo'ooO
=. -" tnlrty years on oasis OI oN pei VIM
nj curtis had gone back TO Washington IN the
ai'ernoon with the Information that the bonds
pIooaoy could be sold abroad on that OASIS
a'' Morgan had given that Information to MI
"u'us' Mr. Belmont said. After the Information
vas communicated to Secretary Carlisle by Mr..
Nu'ts In Washington, the Secretary wrote 10
-Ar. Morgan that the terms were not favorable
when the letter Of Mr. Carlisle was received
"a this city, Mr. Belmont said, Mr.. Morgan and
NC decided that they would go to Washington
'rd talk with the Secretary. Mr.. Belmont
"arted for Washington Immediately. Upon his
uflyal in Washington he saw Secretary Lamont
na told him that the situation IN New-York was
most serious
u said We were on the verge Of panic" the
"ness explained.
TALK ABOUT A PANIC.