The Sun.
London, England, 1842-06-06 00:00:00

MEETING OF SPANISH BOND-

HOLDERS.
A meeting of Spanish Bondholders was held this day
at the London Tavern, 13ishopsgate-street ; JosEPH
TASRER, Esq., in the Chair.
The CHAIRMAN said that the amount of Spanish bonds
supposed to be in circulation not exceeding a quarter of
a million, it was not surprising the meeting was not
better attended. But, though, a great number of Spanish
Bondholders were not directly, they were indirectly, in-
terested in the payment or non-payment of those very
sacred securities. Although it was not long since they
met before, it was essential they should meet at this
time with regard to the treatment which Senor y Rull
threatened them with. It was absolutely essential, after
the political and financial demise of that Minister, to
whom in vain they addressed themselves so frequently,
that they should convene a meeting, and let them hope
that the course he pursued towards them was one among the
many causes which led to his dismissal from office.. Now
what was their case ? After the solemn pledge of hav-
ing their principal and interest of 5 per cent. thereon
paid, they were called on to surrender the guarantee for
the payment for an irredeeinable 3 percent stock. Was that
guarantee given them for the purpose of trifling with
them. Was that the manner in which such documents
were to be interpreted ? Why, it was worse than any -
thing which had been done heretofore by the Spanish
Government. If Senor y Rall took the trouble of look-
ing through the documents he would find the question
had been amply discussed in London and Madrid in 1836.
The borne creditors having paid their dividends in hard
cash it was thought necessary to give the other some-
thing approaching as nearly as possible to cash
payments. At first they were offered Cuba
bills payable in four years, but the offer was indig-
nantly rejected. This took place in 1836, when
civil war was raging in Spain, and Don Carlos
was almost at the gates of Madrid, and a second offer
was then made by Mendizabal of Treasury bonds, pay-
able in one year with interest ; and if that offer were
not made with good faith and full knowledge, it proved
that he was the most ignorant or unprincipled Minister
with whom Spain was ever cursed.—(Hear, hear.) The
face of the bond showed that he knew the meaning of
its contents, and they found, moreover, the Cortes em-
powering the Finance Minister to treat with them. The
models for them was taken from the Exchequer Bills of this
country, and it was such bills that Senor y Rull intended
to haVe executed when he wanted an issue to the amount
of 1,600,000/. There was everything they could have
desired in these bonds ; and. if they were to draw them
up themselves, they would not wish to have them altered
from what they contain. But notwithstanding all this they
did not, after the lapse of six years, receive any of that
capital which was to have been in their pockets in 1827.
It was impossible to conceive anything of a more stringent
nature than those documents, and yet they were disre-
garded. What could be expected from a Government
which could proceed in that manner. He would express
his feelings of indignation and contempt for men who
administered the affairs of a once great and proud
nation in such a manner. They must feel that a flattop
capable of acting in so dishonest and false a manner were
not yet ripe for a constitution. It was nothing less than a
piece of Spanish constitutional bullbonery, or a high consti-
tutional swindle. But if they were only true to themselves
and adhered to their rights they would succeed. The
public press never would desert them.—(Cheers.) It
was the press which first circulated that long series of
addresses which elicited their conndence ; but the Edi-
tors of The Sun, the Chronicle, the Times, the Herald,
and the Post would never have inserted them if they did
not believe they would be fulfilled to the letter.—
(Cheers.) Men of the highest character were treated in
the same way. Sir I. L. Goldsmid was treated most
cavalierly, and he must be disgusted with the treatment
he received. He must have doeumentr in his possession
which would be of the greatest importance, end he did
not think it would be too much to ask for theta. This
was what had occurred up to 1842, when Don Jose
Borraco appeared and acted his part. When he
came to this country, he (the Chairman) felt it
his duty to call on hint and inquire if he had
received any orders to pay the principal to the holders
of the Bonds, tc which he replied that he bad
not. He then made the same Inquiry with
regard to the interest and received a similar answer.
But this gentleman, notwithstanding he said he had no
instructions, asked them to take three per cent. stock,
thus adding insult to injustice.--(Cheers.) These were
crooked and dirty proceedings, and would in the end be
the ruin of Spain. "I have no order" said he, " but it
you wish to take three per cent., you may." He
did not think such conduct ought to be tolerated,
because it brought the Cortes and the Spanish
Embassy itself into contempt. He wrote last
week t 3 the Spanish Ambasador on the subject,
but he was referred to the Finance Committee. He
hoped no psrson would accede to the terms proposed by
M. Borraco. How differently had Portugal acted, which
paid up her coupons. But he could hardly believe that
the conduct he had complained of was to be attributed to
the Spanish nation, once so proud of her credit and her
honour ; but rather to the ignorance and incapacity of
the Minister of Finance. He troubled the meeting, he
was afraid, too long ; and he would now proceed to read
the address to the Regent of Spain on the subject.
Colonel BRADLEY suggested that it would be better to
send a petition to the Spanish Parliament.
The CHAIRMAN said he considered it would be better
to send it in the first instance to the fountain head.
Captain BRITTON regretted the absence of Sir Isaac
Lyon Goldsmith, whose presence at their meeting was
so desirable. It was not necessary for him to say any •
thing after the full manner in which Mr. Tasker
stated the whole case. If the Spanish Govern-
ment were disposed to rob them there was a
last resource left them—an appeal to their own
Parliament, which he was sure would not allow them to
be robbed.—(Hear.)
The following resolutions ware unanimously agreed
to by the meeting .
"TO HIS HIGHNESS THE DUC DE VICTORIA AND REGENT
OF SPAIN.

" May it please your Highness.—As Chairman of the
public meetings held here on various occasions, of a
class of the foreign creditors of your honourable nation,
termed the Treasury Bondholders, I take leave to address
your Highness in explanation of the painfully anomalous
position in which these unfortunate persons with whom
I am a sufferer in common find themselves placed.
" This I propose doing, with as much brevity as the
case will admit of, and I will commence by stating what
was the origin of our claims.
"In the autumn of 1836 the Finance Minister of the
day, Senor Mendizabal, nothwithstanding the severe
pressure upon the Madrid Treasury, caused by the civil
war, paid the interest accruing on the domestic debt
in the October of that year, punctually, in hard cash.
." His Excellency's attempts to raise funds sufficient
for a like punctual payment of the interest of the foreign
debt due in London and Paris, Nov. 1, 1836 failed. It
became necessary in consequence, in order to uphold
the credit of Spain, to make an arrangement for that
portion of the public engagements.
" After one or two propositions were rejected, the
offer of Treasury Bonds payable in full in six months.
I and 12 months from the time of their issue (boll&
cipal and interest) at 6 per cent. per annum, was made
and 'accepted by the creditors in London.
" The civil war was then at its height, the
Carlisl army was at the gates of Madrid, but such was
the confidence entertained that good faith would no ob-
served in the matter, that the Treasury bonds were pur-
chased at fonr times the market value of the ordinary,
or active stock.
" The pledge entered into under the auspices of the
?Minister acting in concert with the best accredited capi-
talists of this country, had the express sanction of the
Queen and Cortes.
" Its perfect sufficiency, as an instrument of security,
' was accordingly undoubted. An obligation was, per-
haps, never issued under guarantees so apparently bind-
ing ; but to render its validity the more unquestionable
as to the day for the payment of the first instalment, ap-
proached such payment, was formally announced in the
English newspapers as provided for, and this by a no
less exalted personage than his Excellency, the Chevalier
de Agnilar, then Ambassador of Spain at the Court of
London.

-------
" Many foreign demands upon the Treasury of your
distinguished nation, have been recently put into a train
of settlement ; but although the claims to which the at-
tention of your Highness is now earnestly invited, are
of an earlier creation, as welt as, of a character incom-
parably more sacred, the latter remain to the present
hour unredeemed, and utterly disregarded. Not a far-
thing, either of the interest or, the principal, ,has been
upon the Treasury-bonds in question. •
" To give additional currency to the s'ecurity,,it was
stated by the Minister at the time it was }issued. that
war itself should be no barrier to its punctual discharge
at the period stipulated. and that by this test should the
honour of Spain and the integrity of her Government be
proved. It seems inexplicable beyond expression, there- '
fore, that no attention should have been paid to them '
since the restoration of peace—now so happily effected
through the instrumentality of your Highness.
" To your Highness, who have shown yourself fa-
vourable to a simple appreciation of pecuniary questions,
it cannot fail to occur at once that the fair lame of your
country is in danger of being seriously compromised by
a dogged neglect of claims arising to friendly strangers,
out of circumstances such as_form the basis of those of
English Treasury Bondholders.. The validity of these
claims, in the very strictest sense, is not disputed by the
Spanish authorities.
"The present Minister of Finances, Senor Surra y
Rull for instance, admits it to the fullest extent, as does
Senor Zulueta the late President of the Finar,,oe Com-
mission in London, yet no measure of relief is affbrded
us, and our only consolation is to be found in the
fact, that we have the recorded assurance of
Senor Surra y Bull, that the arrangement or
capitalization of 1836, will not be in any manner
interfered with to our prejudice, as the enemies of Spain
at one time prestinted to give out. The Exchequer
paper of every Government has been respected, even that
of Portugal and Mexico does not form an exceptit.n.
" Your Highness is now in possession of tie main
features of our lamentable case' and I dare to hope that
through the powerful medium of your Highness's autho-
rity, the inequitable treatment it exposes of a small, but
not the less deserving body of the creditors of Spain will
be speedily redressed.
My apology. for troubling your Highness personally
on the subject is, that I have repeatedly, but in vain,
appealed to the justice of the Executive.
" I have the honour to remain,
your Highness's most obedient humble servant,
rnAe,SIKB4E2I.I.
" London House, Chiswick, Middlesex,
H "
P.S. 1 also enclose crertain resolutions passed at a
public meeting of the holders o, f Spanish Treasury Bonds,
held in London on 6th June.
RESOLUTIONS passed at a Public Meeting of the Holders
of Spanish Treasury Bonds held in London on the 6th
of Jun.
1. Resolved, That the letter to the Due de Vittoria,