The republic. [volume] (Washington [D.C.]) 1849-1853, 1851-04-03

Circular to tho Creditors or Texas.

Circular to tho Creditors OF Texas.
Treasury DEPARrMEsr, March 81, 1851.
Since the publication of the notice of the 22d
instant, TO the creditors of Texas, who hold
evidences Of debt for which duties on imports
were specially pledged by the late republic,
the letters Of inquiry which have been address,
ed to the Department on the subject have been
so numerous, and the object of that notice and
the provisions of the law of Congress granting
ten millions of stock to Texas being SO gene
rally misunderstood by the creditors, that the
Department deems it advisable to issue the pre-
sent circular for the more particular information
of the claimants.
The general impression of the writers of the let
tiers thus received appears to be that this Depart
ment will pay from the reserved five millions the
amount due to those creditors who hold that por-
ton Of the debt for which the duties on imports
were pledged, after they have signed and filed
their release of the United States; instead of
which, so all such creditors have executed
the releases aforesaid, the reserved FIVE millions
are then to be issued TO 1tras, when all further
ton by this Department respecting it will cease,
and the creditors look to Texas for the set
Element of their respective claims, "a will be seen
by the following conditions which the stock 10
to be issued, which will be found in the first Sec
ton of the act Of September g. 1850, usually known
| as the Boundary law;
" Fourth. The United States, in consideration of
said establishment of boundaries cession of claim
to territory, and REIMBURSEMENT of claims, will pay
to the State OF Texas the sum of ten millions Of dol
lars, in stock bearing five per cent. interest," and
redcemable at the end Of fourteen years-the inter
est payable yearly at the Treasury of the United
States.
| Fifth Immediately after the President of the
| United States shall have been furnished with an
authentic copy of the act of the General Assembly
the stock to be issued in favor of the State of Texas
provided for in the fourth article IF this agree
ment Provided, also, That no more than five mil.
lions of said stock shall be issued until the creditors
of the State holding bonds and other certificates Of
stock of Texas for which duties on imports
specially pledged, shall first file at the Treasury of
the United States releases of all claims against the
United States for or on account of said bonds or
| certificates, in such form az shall be prescribed by
| the Secretary of the Treasury, and approved by
| the President Of the United States
In order to obtain full information on the subject
the Department has called upon the authorities Of
Texas to furnish it with authenticated copies Of all
the laws respecting the debt; specimens Of all the
different evidences of debt originally issued by the
| republic renewed by the State, whether in the
form of certificates of stock, bonds, treasury notes.
or otherwise; and certified list of the creditors,
! with their names, residences, &C., far they
| can be ascertained. These documents will enable
the Depar tment to ascertain what portion of the
debt comes under the class for which the five mil
lions of stock is to be reserved; and. by comparing
| the names and amount for which releases may be
filed with the list which is to be furnished by Texas
the Department will be able to determine when tho
whole of them have been thus presented, that it
can issue the reserved five millions of stock to the
| State.
| been received, the Department will be unable to
determine as to the amount of the debt which will
| be applicable to the reserved stock; and, in the
| mean time, it will rest with the creditors them
selves to decide whether the evidences of the debt
| which they may respectively hold, in whatever
| form these evidences may exist, come within the
description alluded to, and to file their claims and
releases accordingly, as the Department at pres
ent is not prepared to give any opinion on that
point.
In case claims are filed for larger amount, or
for different kinds of debt, which the holders may
think applicable to the reserved five millions,
but which may not BIO included in the list to be
| furnished by Texas coming within that particu-
lar class OF the debt, such increased amount such
other species OF debt thus filed, will be submitted
to the authorities of Texas for further information,
and for their views respecting it. The present OBJ
ject of the Department is to obtain from Texas and
her creditors, respectively, statements on the sub
ject of this description of cIaims which statements
shall may, by further explanations, be made to
harmonic, 30 as to enable it to act advisedly in
| issuing to the former the reserved five millions
1 For further information to the views of the
Department in connexion with this subject, the
creditors referred to the annexed correspond
ence between it and the Comptroller of Texas.
WIN. l.. HODGE,
Acting Secretary of the Treasury.