The San Francisco call., 1896-07-21
BANKERS TO THE RESCUE
Will Subscribe $2o,ooo,ooo to
Protect the Treasury Gold
Reserve.
No Immediate Cause for Alarm, but
Another Bond Issue May
Be- Necessary.

NEW YORK, N. Y, July 2O.-Steps
were taken to-day to unite the principal
National banks of this city in movement
to protect the Government gold reserve
Recent large Withdrawals of gold from the
sub-Ireasury tor shipment tc Europe, the
disposition manifested in certain financial
quarters to hoard the yellow metal and
the panicky condition of the stock market
have caused some serious discussions
among observant and public spirited
hnanciers within the past few days.
Although no formal conferences were
held, some of the leading bank presidents
exchanged views and the conclusion was
reached that the situation warranted ac-
tion on the part of the banks, such as
would allay public fears and revive con-
fidence in the stability of values.
Therefore, an earnest effort was made to
get the New York banks to put $50, ,0o0, 900
of gold into the sub-treasury in exchange
for legal tenders.
f. d. Tappan, president of the Gallatin
National Bank, called at several of the
banks downtown this morning, and pro-
posed that as many of the banks as possi-
bic enter into an agreement TO supply
gold enough to the sub-treasury to carry
the reserve above the S100, 600 900 mark
Mr.. Tappan's mission was eminently sue
cessful. He found nearly all of his fellow
DdnA u6dTGllY III accord with
the proposition submitted, and at noon he
was able to say:
81 am surprised and gratifed at the
readiness with which the requests for gold
contributions have been complied with"
For the reason that all of the banks
called on have not yet acted, Mr.. Tappan
and the bank presidents who were most
active in their cooperation were disin-
cllned this evening to say how much gold
had been pledged to the sub-treasury.
~ ou may say, said one the presidents
'that there will be no trouble raising $12,-
000. 900 or $16, 900. 600, and perhaps $20, ,OOO,-
600, to aid in maintaining the Treasury
gold reserve. Pledges were secured for at
least $15, 900. .0O0"
Henry w. Cannon, president of the
Chase National Bank and formerly Comp
troller Of the Currency, in an interview
tonight regarding the large Withdrawals
OF gold from the sub-treasury, said:
81 regret to see gold shipments at this
time, but there is no need of people get
ting nervous or sacrificing their securities.
With $50, 100000 in the treasury gold re-
serve see no cause for worrying. Mr..
Cleveland will be President until March
next, and am satisfied that so long as he
is President he will not permit this coun-
try to suspend gold payments. We have
low range of prices at this time, but we
have an easy money market
WASHINGTON, d. c., July 20.-The
gold reserve to-day declined to $50, ,761, 1886,
with Withdrawals at $3,706, 300, of which
IS, ,O3O,0O0 was for export. The large
amount of S676, 900, taken presumably for
''hoardlng" purposes, was regarded I'M
favorably by treasury officials.
a reassuring rumor which reached here
to the effect that the New York National
banks have formed a pool aud Will turn
into the treasury large amount in gold
for legal tenders was well received at the
treasury. 1t was pointed out that they
were amply able to do so
In view of the fact that the treasury has
lost, since July l. $13, 1000 in gold, and
present indications point to further with
drawals this week, officials who have had
confidential relations with all former bond
issues say that it Will be much easier and
more advantageous to the Government, if
bond issue has to be made, to do it be-
fore the gold reserve reaches the limit of
$60,000,000. If the National banks come
TO the relief of the treasury bond issue
may be averted, at least for the next few
months