New-York daily tribune. [volume] (New-York [N.Y.]) 1842-1866, 1853-03-03


beng placed upon permanent oasis.
Texns and her Creditors under the Boundary
Act Of 1850.
The following are Mr. seward's remarks, made in
the United States Senate laie hour las; evening,
and which were unavoidably crowded cut Of our
morning reporl-
Mr. President: AT the epoch Of Annexa-
ton, ls45, the Republic Of Texas possessed some
property in public defences, large domain Of unao-
Iroprsied land. and revenues derived from customs.
II owed considerable debt which had been incurred IN
establishing Independence AMI Organizing civil Govern
meut That debt divided INFO two classes. Frs
what has been called q domestic debt not distinctly
charged on the revenue q customs See1Hd-Nlat
was secured 70 creditors by pledge Of their
Texas came into the Union S,s;e, under stipula
tons concerning her properly and debts A. follows:
She ceded b the United all public edi6ces fora
cstiops and other property pertgnngto the public de-
tense She retained al her funis, and all OF her public
domain, but under covenant that it should be applied
to the payment of her debts with the absolute n m 20
any surplus her domain after paying her debit, while
il agreed hat IN event should her ie1ts become
charge on the Government Of the United states. Thus
did the United States in the very act OF union win
Texas bind her TO pay her creitors ~ least as ir as
her domain would rnirh resources for that purpose
In 1850 five years after the annexation OF Texas 70
the United StIcs all those debts remained unpaid AMI
adding interest thereto they stood on The Is; OF July IN
that year, a. follows:
Doutstc - 50
Debts secured by Customs pledsed......... S2nsf 81
Total. il25S y
During that Intervening period, there mad been war
between the United States and Mexico, which had ~
suited in the Annexation b. conquest and purchase Of
New.Mexieo sStaie adjacent TO Mexico. border dis
puie existed between that State and Texas, and Il
supposed by Congress necessary 70 adjust thai dispute
in order to give civil Government 70 NewAexico,
and prevent armed collision between Texas and
the military force Of the United States. which, IL
apprehended, might terminate in general civil war.
subversve Of the union Of the States.
In the midst Of their dispute the creditors oi IsVls
appeared here and urged the settlement OF their claims
condition Of the proposed djusiment They pl3d-
ed that tie Unired states have become liable for those
debts BY absorbing he sovereignty OF Tcxs Ant that,
AZ least they had become liable for them - the extent
Of the value OF the accruing revenues from nports
which. although they had been specifically pledged 70
the creditors had been diverted into the Treasury of
the United States by the act OF Annexation. Thus the
dctt Of Texas became element OF the controversy
which Congress undertook 10 settle In $50 Congress
settled i; ~ cornpromise. Texas ceied her clln
Of the lands before insisted on ndaccommodatd
her boundary 10 the demands OF the United States.
Second Texas relinqui-hed al claim upon the United
States for the debs OF Texas and all other claims for
indemnity.
Third: In confederation Of these concessions the
United States stipulated 70 psy sl0Oo0OOO 70 Teva in
5 per cent. stock offouTteen years. But
Fourth The United states should not pay 20 Tevas
more than s30O0O00 Of said 0OO0oO0, un the crei-
ioms Should have fled releases with the Secretary O.
tie Treasury Of the United Siaies.
Thus il appears that there three parties % this
cou pro misehc United States TcxRs aBi the creditors
Of Texas. The United States and Texas bound them
selves, theu. The consent Of creditors, whos' del-s
were secured ty customs although pCsfpJno was new
ortheless necessaTy, and they were third party.
The dome sic credtors who had no speciac len AMI N
whose behalf the United States made no stipulation,
dismissed 70 the justice OF Texas alone ani they
disappeared from this capital
This IL the starting point In the present II is
manifest that il cardinal object and design of that
compromise that the creditors OF Texas whose debts
secured by pledge Of tn customs should be sat
shed by the cXtingiishmcnt Of their claims The way
in which L b be done by Masking tia, eNtn-
guishmeEt, through the agency OF Texas, CONDITION
precedent @; the payment her OF the last hall OF the
ten millions Of dollars.
Its manifest also now, that the compromise hsi in
hercnt detects. which were thee, viz
FHst: That 1t did not ascertain and tx the amount
which 10 be paid 70 the creditors.
Second: That i left that amount open 10 dispute be-
tween Texas and tie creditors thus preferred.
Nevertheless the ascer;aiHing and stabl.hng this
amount indispensable TO the execution OF the com
promise The United States obliged 20 sscer,ain
1t before they could pay the I'VE millions aud Texas 70
ascertain IT, and eXtia gUshed before she cOulI
demand the tive millions
Each party therciose, undertook 20 ascertain and TX
the amount
Texas has sscetained and fixed II s395j350 >
W hich would leave 10 Texas VI the tive mil
lbilhJ -
On the other hand the United states ascertain
and TX the amount '............... 1901 81
those creditor .............. s, zooG 2
1893 81 n
Ii is manifest also that Texas holds the initiative in
the acton necessary 10 carry the compromise into Of
and the United sYes. Moreover not only cannot the
United States pay all the creditors thus secured, bat
they cannot pay over until all Of them shall, by the
agency OF Texas, have been brought 20 file reeases
Ii al N.IN 70 to-
and Of Irritation between the United states and Texl
Is row years old The debt the creditors grows
chiefly the of ten per cent while the fund il ia
the Treasury, drawing interest against the United
States Of 1--WE per cent
II manifest now tina, it is time high time that the
controversy should be settled, and the compromise
RED into effect II k equally clear that unless Congress
shsl intervene II Will not be settled for indefinite
period.
The Committee on Finance propose plan o. settle
meni which L. that in lieu OF the s5s00O00 per
Of IA years the United states issue stock the
Of e. s 33 e at per cent, redeemGble In 20 years
and deliver II % the CREDITOR taking assignments for
Their claims one small eSeess oi iher clsims being paid
money the Treasury and that they hold their
signed claims bar 20 the claim Of Texas for the ave
millions.
consider thi. plan commended by its coarsaiSsoe
In the trq place the creditors OF Texas for whose
protection the United States with her consent has
sieryened, viii be promptly paid, their claims will BE-
exirn guished, and this Is a cardinal point.
Soondly: The whole clarn Of Texas on the bnited
State under the Compromise Of ls5o vail be virtually
paid which i another cariinsl point
In any event, and by her own showing Texas will be
paid to within the sum OF sll6i6s - the difference
which VII remain " be adjusted any, vii be one be-
the nit1d States and TeSas, which viii involve
no injustice TO iniiVduak-anothere cardinal point
Tlrdy' The expense 10 the United sts;e- will no, |
be materially increased The interest Of 900 900 at
per cent and OF 8 gS333 a. per cent. are equal
There vii be sl the difference OF 81 1s3 6S3 between
the principal suns be borne by the Treasury But
We have now, and for some lime - come likely to
have. surplus in the Treasury and buy I'd this
= 0co0OO; or you please, TIE whole ais 900 90 IN
one or two years and go Indemnify ourselves in great
degree Tor the additional sum advanced 10 se,;e the
controversy.
Svord: IoOasiGer re paE IN 'As aez pace con4ead