Benjamnin F. Butler, Butler's Book: Autobiography and Personal Reminiscences of Major-General Benjamin Butler

“ [763] more than all the gold I would have left if I should sell any more for the purpose of keeping the premium down. Should I do so, and should they make such large demands, it would bankrupt my treasury, and would of itself throw the price of gold no one knows how high. A long consultation was had upon these subjects, and nobody could suggest anything that could be done, or give me any direction or authority how to act. At last the President said: ‘The only thing I see that you can do is this: General Butler is in New York in command. I don't see exactly what he can do, but if anything can be done, he is the only man to do it, and I wish he would do anything that he believes will be for the benefit of the country. Say this from me to him.’ ”

I said to him: “Mr. Treasurer, what can I do? I have got no gold with which to ‘bear’ the market. It would be a very dangerous experiment to arrest all these men, even if I had the power, and it might give cause for an emeute at election time, which might not otherwise occur. This is rather a ticklish business. It is evident that the large amount of gold that has been thrown upon the market is Confederate gold. Do you know where any of it came from?”

“Yes,” he said, “there has been a good deal sent from Canada.”

“That may be English gold,” I said.

“I cannot say whether it is or not.”

“Is it sent to one man or many men?”

“It has all been sent,” he replied, “from Montreal to the firm of Lyons & Company.”

“Well, Mr. Treasurer, it is evident that the Confederates have got an agent here; have you any idea who he may be?”

“I have not,” he replied, “unless it is Lyons, for he has bought within a fortnight an amount exceeding twelve million dollars actual gold, and has received it all and sent it out of the country.”

I reflected a moment, and said: “Lyons — Lyons of Montreal; I rather guess I know who he is, and if he is the man I think he is, I know he is a Confederate agent. What do you suggest to me to do?”

“Well, General, I cannot suggest anything to be done; I don't know what you can do. It is a condition of difficulties beyond my comprehension of any remedy.”