Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1842-12-06

the State succeeded too well in doing so-hat, Tor the
State to borrow money for internal improvements, was
for her 10 incur no risk, the improvements would
yield revenue as they progressed adequate TO meet
The interest the loans and, as soon as completed
would yield income enough 10 pay both principal and
interest The smaller portion Of The party insisted that
the revenue 10 be derived from the works IN an UNI
nished condition too uncertain TO be relied upon
10 meet The interest upon the loans and that the taxes
ught be increased TO at least The probable demand
upon the Treasury. These arguments, unfortunately,
proved insufficient 10 convince, and loan alter loan was
made without any means being provided 10 meet Inc
interest annually, pay the principal when II should
fall due.
BY the foregoing means, debt amounting 10 about
seven millions Six hundred and fifty thousand ooliars
created, of which individuals IN The STATE hoio
about two millions six hundred thousand DOLLARS The
Banks of the State about hundred and seventy
thousand dollars three hundred and fifty thousand oil
which is the temporary loan, and the STATE end o'a'e
institutions about million four hundred thousand
dollars; in ALL about four million seven hundred and
seventy thousand dollars owned by the State and her
citizens By cilzsns OF other States IN the Unlled
States and the District of Columbia, about SIX hundred
and ten thousand dollars is held, and about two millions
three hundred thousand dollars, the balance OF our debt
is owned by subjects Of Great Britain France, Germa-
nv and Switzerland The Stale Of bank and
other stocks about twelve millions five hundred thou
sand dollars. Tie internal improvement cebt oil Inc
State during the past fiscal year was increased abonl
three hundred and fifty thousand dollars, OF when TWO
James River and Kanawha Company, and one hundred
thousand dollars the balance, was paid by The board OF
Public Works in compliance with contracts previously
entered into by that Board under direction oil the Legs
lature.
HAVING stated the debt of the State and its resources
the question naturally presents itself TO one unncquaint'
ed with the fac,s-how is H. that State, with resources
nearly double its liabilities independent OF oil taxes
should be embarrassed in its financial condition!
The answer is plain one The interest upon the
debit of The State is CERTAIN be called for, when 1t be.
comes due and must be paid The funds held by The
State, {and which constitute her resonrces) except her
bank stock Weld very little or no revenue Scarcely
any thing goes into the Treasury from 'hcm
Some of the States, in consequence as they ailese,
or their having been cheated, refused 10 pay lie ME
rest upon money which it alleged they borrowed; ana
capitalists seeing they could resort TO no remedy 10 Gu
force payment, became suspicious OF the credit oil Inc
States Many holders Of State bonds forced the into
mark. I: and being sold whilst dstrust rested upon
them. they fell much below their nominal value.
Several Of the Legislatures of The States have iaeo
or refused 10 tax the people 10 meet Tue interest oil e
State debt; and all have shown The greatest reluctance
10 do So Monied men see this and very nationally con-
cude tia; il Tie Legislatures refuse TO lay taxes or
provide in some other way Cor the payment oil The IN.
iere 81 of the State debt will be difficult ever TO induce
them even to tax the people to pay The principal :
am much inclined to think, that the Legislatures OF
the States have by the creation Of private JOINT STOCK
companies and other acts of private con
tributed more the present state CT things 'hah d
other causes combined BY the incorporation oi man
of these companies, opportunity has been ahoFoed
| many base aud dishonest men 10 rob and cheat ON
ueople 1t ia very true, that the hfst projectors
some of these acts of private incorporation have De@,
torether with all who had any thing TO DO WIN men,
ruined But it is equally true that many acis OF ~
vale incorporation have been obtained by nd'viauas'
that they might under the sanction oil law, WIN ne
greater facility perpetrate the grossesl frauds upon ne
| community. BY the investment ct money IN 'hessa
rous schemes a vast amount OF capital was olvdeo
from It's legitimate channel, which has not yet iunu
/ its way back. Confidence between man ana uia oe
came shaken by these frauds, and "hen suspicion
was aroused as TO the debts Of The States the demand
for money increased, and under the effects oil lie pa
mic thus created, States and individuals ai'he
Thousands of the active business men oil the ca'htfy
sunk under the times the disappearance OF eau oie
only increased the gloom, and the people
aloud to Their respective governments Tor reiief
| The Government Of the United States was looked
~ Inv many. and the tables of the two Houses Con.
gress were almost pressed down under The @'Sn' u
The petitions which were heSped on 'hem
Congress took the subject up, and resolved on 20
;no onehinp-truly fortunate would IL Eareeeen, II
| they had done no.hIhs. NJ,
The result OF their labor YVES The passage ola Bank
!upi law, which has entirely prostraed every ning IKE
confidence and credit There never mas oeen,,h 'ee
ne yer can be any legislation devised by whih incV
dual debts can &c paid. No Government his ever ex-
ised dishonest enough 10 tax The thrifty an ihdos'fi-
GUS for the sole benefit Of the slohiu and Icy Sucn
law would be more odious than all agraraiia"i ioi,
nv il the deserving would have al least ti:ir ralnoe
share in common with all, without entirey removing
the incentive honest industry whilst theaW 10 ahe
from the industrious citizen the far produf OF ms ID
Dor would remove every inducement to lsnesl nous
try lie who looks to the Government tofay MS oeotS
or provide the means do So will surely disappoih.
ed and in The end ruined The Government cannot,
whilst il acts only within the sphere for 'hlch all goou
Governments are formed, do any thingto benefit one
portion of the people TO the inconvenience Oh INJURY
the other. All good citizens are entitled 10 lhe p1oec
ton OF the law; class that another ana
hence have always looked upon all elIet ana "e'ay
| laws" as wrong. What benei. reslt TO commu
nity from Stay law; None literally nne unless u De
purchased at the sacrifice OF justice Stay law Ge
merely TO defer the payment odeos, II can 10
no good on the contrary, think it would be produc
tive of harm If the payment of debt De Deferred the
amount will most certainly be increased oy interest, ano
probably costs also hold that Their is not more .nan
one man in fifty engaged in bushes, VINO can siofu
to nav six per cent interest for mory and hence IL
seems to me, that the effect of UGH la" wouio
be the ruin Of the debtor class.
| Having briefly pointed out wha conceive 10 De
some Of the of our present 'ondton' you may
and 10 doubt do feel little curious see, what remedy
recommend TO improve the situation OF the State anu
neone: and confess that have, with the greatest anx
iety reflected that question uhacqua'nted as am
with either the science philosophy OF inance ieel
entirely unable to do more than tdpresent 10 your con
sideratlon the following, as PLAINLY when puohc ere
DIT can IN some measure ne leStoFu =
10 the public as an nallibe panf for all the ills OF
life nor am vain enough to view it as speelhc "
which the present condition of things is TO De changeu
and bettercd, as nstantaheonslyns magician "ou'u
change his toy Of deceit Believing that the situation
of the State and its citizens lever be bettered, "n
confidence be restored and that can be done only ny
giving to the world practical evidence, that the legsla
lure will do all it pOce lie State in condIton
of ono determined be honest, have 10 recommend
to your consideration, the polly and proprety OF IN
creasing the taxes so as caus the supply of funds 10
the Treasury TO be certain ard equal TO the demand
upon it. This will only requie very small increase
from taxes are now sG50O0O Independent of dividends
upon stocks The regular derand upon the Treasury
for all purposes during The present. fiscal year, Will no,
be more Than about S9C60og exclusive OF The sum OF
$500, 900; loan which made under the authority
Of law Of the last LEGISLATURE, TO the demands
upon the Treasury would suggest The pfopreyyo OF