Part 78 (1/2)
'I think contract of January 21, 1879, very plain. Subscriptions should be made April 1; but, if they desire, time will be extended to April 8.'
”With great respect, I remain, yours truly, ”Chas. F. Conant.
”Hon. John Sherman.”
I have set out in full this correspondence with Rothschild and his a.s.sociates and with Conant, to show that on the eve of complete success they were discouraged and asked for a postponement of, to them, the small subscription of $1,000,000, and did not even think of taking the option of $10,000,000 of bonds subsequently claimed.
With the 1st of April all stringency disappeared. Accounts were settled without difficulty. The amount of four per cent. consols sold to March 31, inclusive, was $473,443,400.
On the 4th of April, while attending a meeting of the cabinet, I was handed the following telegram:
”New York, April 4, 1879.
”Hon. John Sherman, Secretary of the Treasury, Was.h.i.+ngton, D. C.
”National Bank of Commerce in New York subscribes for forty million dollars four per cent. bonds. Particulars and certificates by mail.
”Henry F. Vail, President.”
I thought the amount was a mistake, that four instead of forty was meant. I replied as follows:
”Henry F. Vail, President National Bank of Commerce, New York.
”Before making call I prefer you repeat your subscription.”
A few moments after sending this telegram I received the following from Mr. Vail:
”I sent you telegram to-day, which from its importance I beg you will telegraph me acknowledgment of its receipt.”
I replied:
”Your telegram is received, and I have asked repet.i.tion of it before making call.”
The following telegraphic correspondence then occurred:
”Hon. John Sherman.
”Please enter to-day for us a subscription for ten million dollars four per cents. making, however, no announcement until we see you to-morrow.
”G. F. Baker, President First National Bank, New York.
”Hon. John Sherman.
”We have taken two million subscriptions to-day thus far, and more to follow.
”E. D. Randolph, ”President Continental National Bank, New York.”
”New York, April 4, 1879.