Lexington union. (Lexington, Miss.) 1838-18??, 1841-08-07
For the Lexington Union,
Mr.. EDITOR -

Bond question at Richland, on the cath
uIr., about which, much has been said by
both parties.
Doctor KERN opened the discussion
with short speech; ia which he urged
that, if the Bonds were sold in violation of
the Constitution and laws of the State,
the people were too slow in repudialing
them, and were, therefore, honorabIy
bound to pay them; that there was plenty of
land on this side of the Rocky Mountains
10 pay tue Bonds, and, therefore, the peo-
pie had no cause OF alarm and finally,
that the General Government was about
to distribute the proceeds of the Public
Lands amoog the States, which would 90
far towards the payment of these Bonds.
Mr.. griffin followed in an argumen;
Of some length; in which the first point he
assumed was, that there was two distinct
cases, under the Constitution, in which the
ialrh of the State might be pledged first,
as principal; and secondly, as security.
After impressing on the minds of the peo-
pie, the important distinction between the
two cases, he proceeded to show that the
faith of the State was pledged as security
.or the Union Bank, ard not as principal;
and that too, on the conditions stipulated
in the original charter, referred TO the PEG.
pie according to the requisition of the
/ Constitution. He read several sections
OF the original charter, showing that it was
clearly and emphaticaly provided that
not Bond should be issued, until the
stockholders should have gwen mortgages
on sufficient amount of real estate to
secure the capital and interest; and pay
into the Bank half million of dollars.
After showing that these were the stipua-
tons between the Bank and people and
that the people, in the fall Of 1887, elected
agents to meet in 1888, and negotiate the
matter according TO the agreement be-
tween the two parties, as set forth in the
act charternS the Bank; he then procee-
ded to show, that when these agents met
in 1888, instead Of acting 10 accordance
with the will of their constituents, agitated
the propriety OF taking from the stocks
holders, the whole fifteen millions and
turning 1t into State institution. In
Pursuance of which, they referred the mat
ter to a joint committee of both Houses,
who reported to each House, that the Lo-
gisature only had right to amend the
! details of the charter, so as to carry out
the intentions Of the parties concerned,
bat had no right to altar or amend the pri-
mary conditions on which the faith of the
State was to be pledged, without again
submitting it to the people. This report
was read and agreed to by both Houses !;
after which, they became so infatuated as
to pass a supplemental bill, requiring the
Governor to subscribe for five millions of
stock, on which no security was even an
licipated thereby making the State
principal for that amount, without refer
ing it to the people; and authorized a sale
of the same amount OF Bonds. MIR. G.
then discussed at some length, the illegal
Ity Of the sale of those Bonds-cearly
showing that the transaction was fraudu-
lent, and that therefore, the State was
neither legally nor morally bound to pay
the debt; and also, made some very ap.
propriate remarks relative to its assump-
ton by the people. As an illustration.
said he, suppose, that A and Il, wishes to
borrow $500, and to secure the principal
and interest, was willing to give mort.
gage on real estate, on these conditions
Mr.. Doty agrees to endorse his bill to
facilitate HIM In negotiating a loan in a
foreign market. This agreement being
drawn up 10 due form, Mr.. ID. appoints
an agent to negotiate the matter between
himself, A and B, according to the stipu-
Ialons in the agreement. This agent, in.
stead OF doing so, while the plan was ma
turlog between the two parties, draws a
bill for $4,000, takes no mortgage, and
signs Mr.. DIS name only, and without
consulting him, sends off an agent to sell