The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-05-18
RVS CLEVELAND n0ND issrES.
Essaepspsentaitte Cevmba NJ nreohitn
Gives DETAILS fsReernins Ihem.

elves Dptails VOteefU'ttn IHetHs
To rms Epftoa NJ THE sUs-sir; Tho
editorial In yesterdays suS ~rcferrins 90 Mr..
BFyan's tardy tribute 20 President Clcveland's
patriotism IN hla issue % bonds In February,
ises. for tho purpose ~ maintaining the sup-
Gig % gold In the Treasury. leads met believe
that you will no, object 10 the publication ~ a
memorandum irving accurate details Of tho
circumstances surrounding that transaction
was q Member Of Congress nj the tim"
and found 10 necessary 10 defend Mr.. Glove.
lands action upon the floor Of the Hous" Of
Representatives.
In a special message to Congress President
Cleveland had called attention 10 the perils OF
our supply Of gold l., tho Treasury. He stated
that existing laws which permitted him to sell
bonds 70 meet emergencies we're inadequate.
az they did not tempt foreign buyers. and
begged them, In view Of the peril. to put aside
partisan prejudices and save the nat ions credit
by authorizing a stipulation that they should
be paid in gold instead Of coiu.
question for three days. February 5,,6 anti Z;
and declined. his request by a substantiai
majority. when the decision was announced
there wore wild manifestations OF delight.
Meantime the run upon the gold In the
Treasury continued. In the ten business days
f hsd sc sanS %isSdi "a to f Sissq tSye close 4 s@ 81 Sa'si.
ness on February 4 1t was ascertained that ne
total supply q free gold the property Of the
~sub+Treasuries and mints from San Francisco
to Washington. did not exceed $40, ooo,OOO,
IS, zoo, 34i Of which was held by the ~Sub-Treas;
ury In New York. The remainder gould
not be gathered In time TO be avaiiable.
Consequently. II the run had continued Tor
three days more at the same rate as the pre-,
vious ten. the Government would have been
obliged TO admit its Inability 70. meet the DC,
mands upon 1t and slipped on from the gold
basis.
TO grant his request. the President had entered
into negotiations with o syndicate OF forpign
bankers for the purchase Of gold bythe sale OF
coin bonds to an amount slightly In excess Oh
sixty millions.
On that day, February 1. announcement was
the arrangement. causing a decline In the with
drawsls for the five days February to9 TO
the Insignificant sum OF 1901, 1923.
On February . announcement was maze OF
the completion OF the Arrangement. when the
run upon the Treasury ceased: o,,a,,,
that II CONGRESS within a certain speciiiel
period would reverse it's decision and insert
the word gold" In the bonds a saving might be
effected OF about sixteen millions Of dollars
This, in turn, WAS denied by Congress. r..
l have desired TO put this upon record LOT
the following reasons: l have of late heard
sighting illusions to this transaction by which
the credit OF the Government was saved when
showed an absolute misunderstanding oil the
sltuation; and. Furthermore. to express, my
dependence Of the man who, deserted by
Congress, took. upon himself the Responsible
ity OF an act that preserved the financial In
tegrity OF our nation, and saved IL from the
losses that would have been %inevita-
BILE In the process Of again crawling back upon
WILLIAM ]. cooMBs,
BROOKLYN, N. Y. May II.