The Providence news. (Providence [R.I.]) 1891-1906, 1898-06-24

OuerAuBs lOr DOuub OF tne new WAR lOlu
In small blocks either Of $500 or less
have been made in New York. The rec
ord ct the subtreasury is reported to
show moro than 5000 offerings of this
kind, but that is not an accurate record
at least. some of the offerings are in
formal, imperfect or clearly lacking in
good faith, 90 that IL the whole number
Of offerings be [, 5000, some allowance
must be made for these defective ones.
Assuming that each Of these is for $500,
then through the subtreasury the secre-
tary has been able to place at least
81, 600, 900 Of these bonds in the manner
which he earnestly desired. But sub.
scriptions are received at many of the
banks and in other responsible places,
the number of which no man can esti-
mate, but an inquiry made the other
morning leads to the impression that
the amount subscribed In this way may
perhaps be as large as that offered
through the s~ubtreasury.
In fact, 1t is assumed that at least
IS, 900, 900 of these bonds will be taken
by people Of moderate means who are
citizens Of New York, and if that pro-
portion is kept up throughout the Unit
ed States. then il is fair to assume that
the whole issue will 60 to those who
have subscribed for small amounts, and
thus the loan will be technically pop
ularized." For even though there be a
premium, as now seems certain. never
theless it is doubtful whether, except
in the larger cities, o majority Of those
who bid for small amounts for bonds
will care to sell them at a premium.
They will get them. put them away in
q safe place and feel that they have
some share in the financial responsible
ties Of the government and In n certain
way take a place which only tho great
CT capitalists and the banks have here
tofore occupied.
It must he said that the apparent sue
cess Of this loan, 70 swiftly consummat-
cd that the answer to his appeal reached
the secretary Of the treasury before the
echo Of bis call died away, has given
bankers in New York something to
think about. Many Of them have pre-
sumed that in floating q great loan the
agency either Of a financial institution
or some prominent ~hnancier, like those
who floated some of the loans made in
civil war days, was essential. The sim
gle attempt heretofore made by a secre-
'tary of the treasury to popularize o
loan was q failure, and 1t has been as
sumed that the same causes which com-
PEELED Mr.. Sherman, when secretary OF
the treasury. to abandon the attempt to
popularize q loan would prevent the
success of q like effort made by Secre-
tary Gage.
So certain were some Of the men who
are accustomed to operations of this
kind that Mr.. Gage would not fully
succeed that at least three groups Of
~financiers and financial institutions
were organized here prepared to take
the whole or any part of this Issue Of
bonds. Besides these offerings, subscrip-
tions In large amounts running from
81, 600, 900 to go, 900, 600 and aggregat-
ing probably 5000, 000, 900 in all, have
been made by single corporations or in
situations in'New York.
The experience Of the past few days
seems to show already that, notwith-
standing the rather crude or unsystem-
attic method necessarily adopted by
the government to get these bonds d.
rectly to the people, these obstacles
have been overcome and the bonds
are to go TO the people. 1t should
be remembered, however, that some
thing of sentiment, patriotic and war
like, is responsible for this condition.
The banks and other institutions and
corporations have offered facilities for
subscriptions, free Of cost, and are will
in the transfer without any commission.
This is due to the desire to make il
clear to the world that the American
people responded instantly and over
whelmingly to an appeal from tho gov
eminent for O loan. Bvt it is doubtful,
If there are to- be other loans by and by
whether these institutions would feel
justified in undertaking this work free
Of cost. II. has been made clear, how
ever, that the people will subscribe to a
popular loan and have probably over
subscribed at this. the hrst opportunity
they have had for investing in govern
ment bonds direct. Therefore il is pre-
sumed that the treasury department
may undertake to perfect hereafter q
better means for direct communication
between the people and the department.
Il is now known that even before Mr..
Gage was absolutely certain that the
senate would accept a. var revenue
measure built substantially upon the
lines adopted by the lower house he
was assured that IL no had occasion to
ask for a loan he would meet with in
slant response. That pledge was given
70 him by some Of the capitalists OF
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