Sift together the first three ingredients, mix with raisins, and set aside. Blend together the next six ingredients. Gradualyy mix in 1 cup of sugar. Beta in eggs, 1 at a time. Add flour mixture alternately with milk. Beat batter 1/2 minute. Turn into a well-greased, loightly floured 9 x 3 1/2 inch tube pan.
Bake in a preheated moderate oven (350 F) 1 hour or until a cake tester inserted in center comes out clean. Boil the remaining 1 cup sugar and water together for 2 to 3 minutes. Remove from heat, add rum and dribble over cake. If cake does not absorb all the sauce, spoon on later. Let the cake standa day or two before serving. This cake is very moist, as it should be. Store airtight.