Washington telegraph., 1850-11-13

as the native politeness and the gentle
manly bearing of her worthy Secretary
may prompt him to crafty the curious
and enlighten the public History, prior
to this da,e, unfortunately, howevers ioI
the State, reminds Us OF few facts in
connection with this mystic monument
OF modern banking.
In 1886 and 1887, the State of Arkan-
sas issued 1880 bonds of $1,000 each,
which were sold by the Real Estate
Bank, at their par value; subsequently,
500 other bonds, for the hike amount,
were issued to this bank, and by her
hypothecated for the sam OF Sl22,309 IT:
realizing in all, for the sale OF these bonds,
$l,G52, 369 II: which was to constitute
her capital for the purpose of banking.
We also know, that after discountlng
heavily for time, she suspended pay
ment, closed her doors, and made an as
sigument of all her assets; appointed
trustees TO take charge of them, with
clerk TO keep the accounts, and an at
torney to advise aid counsel them, and
then provide for their payment.
Here the authentic history of this in
sttution ceases. What accounts may
have reached us of her transactions since,
wear more the gaudy apparel of romance,
than the plain habllments of reality.
Aud, although the State has such a deep
interest in the correct mana cement and
fnai settlement of this institution. she
sets her authorities at defiance, and claims
tue right to close her doors, in the face
Of her officers, acknowledging that when
she shall be compelled 10 lay down the
heavy debt which she has contracted,
the State must take ii up.
From the Auditors report to- the Legis-
lature, we learn that there were outstand-
ing, Oh the st of October, 1S4S, bonds
and interest thereon, sold by the Real
Estate Bank, to the amount OF 80, l0o,-
80 90. W hat amount of notes was then
III circulation, we are uulniormed. 1t Is
fair, however, TO presume II, IN SIX years
after her assignment, the bank had not
absorbed her circulation, she will not, i'll
the remaining time allotted her. under
the deed of assignment, be enabled 10
collect in the residue of her outstanding
circulation, together with all her bonds.
This, however, must rest upon conjecture,
i'll the absence of authentic Information.
If this bauk shall have been managed
as we'll as the State Bank has been, (and
we have no reason to presume that IL has
been managed better,) she will leave a
debt Of about 81, 200. 900, 10 be paid by
the State.
BY this method, we arrive at tolera-
BILE correct estimate OF the amount OF .he
State debt, when all the resources of the
two banks shall be exhausted; and, ioI
convenience, we will set down ;he
amount, in round numbers, to 81 1000, 600
In order, however, that more authentic
conclusion may be arrived at | would
recommend that you cause OF posslble) q
thorough investigation, 10 be made lnto
the affairs and condition of the Rea.
Estate Bank, to the end that,the State
condition. If wise counse.o have prevail
ed, it is cue to those having the manage
ment of this institution, that it should
be made known. If the contrary, Sc
much the greater reason that the State,
the party most Interested, should cause
the Investigation 10 be made, and steps
taken to secure herself against farther
injury.
l have set down the State debt a:
81. .000,O 900. 1t may be more; it can
scarcely 5e less. There is not d citizen.
| appreheud, in the State of Arkansas,
who is not prepared to acknoM ledge It's
business, aud concur with me in say ying
that the State is bound, 10y every prlncipie
governing contracts, To use all the means
III her power TO pay it, to the last cent.
The spirit of reputation can iind no ad-
vOcates III Arkansas no resting place III
the hearts of her cltiEeus But the dis
position and the ability TO discharge our
liabilities, are Two things: one We have
let us see what are our prospects for the
other.
We possess no other source of revenue
than that arising from taxation. BY re-
ference 20 the Auditors report, it will APP
pear that the total amount of taxable
property IN the State, is valued at So L.
93o oOo, and that an assessment of one
fourth OF Que per cent, is now necessary
to deiray the ordinary expenses of the
State government, aud an equal sum is
levied Tor county purposes: making one
hall OF one per cent, or 80 cents on every
$l00 worth OF property owned III :he
State-a tax already oppressive upon the
people, and submitted TO alone from the
necessity OF the case. This amount of
revenue, 1t must be understood, is con-
suned IN the ordinary expenses of the
State government; not ole dollar being
to educational purposes, i'll
ternal improvements, or other improve
meutS OF our social or natural conditions;
and not Que dollar, i'll justice to the State,
can be appropriated to the payment OF
lhe accefulnS interest upon our State debt.
10 pay the interest Oh this debt o. So