The daily union., 1854-07-30
THE TEXAS DEBT.

The intimate connexion of Senator Pearce of Maryland
with that feature in the Compromise OF 1860 which settled
the Texas boundary gives peculiar weight to his opinions
questions growing out of that legislation The bill for
the of the Texas creditors presents such ques
ton, and therefore deem particularly proper to lay
before readers Mr. Pearces views the subject His
remarks were made in the Senate, the 10th Of July
follows:
ssMr. PEARoE The money appropriated by this bill
not sufficient pay all the claims of the creditors 1t pro
poses distribute the amount and there will not be
more enough moneyndeed there win not be money
enougto pay the whole of these debts and the interest
upon them the time when by the legislation of the State
of Texas the interest that it will really make
difference. In regard to the bill ITSELF situated
the subject that it does not become to detain the Senate
by any long discussion at present J. however, beg leave
say very few words.
The obligation of the government Of the United States
under the act of 1885, is TO the State Of Texas and not to It's
creditors That certain 1t is obligation to issue to the
State of Texas s50ooooo bonds taking fourteen years
and paying five per cent interests bnt this issue
be made according to the act of 1885, until all the ced
tors of Texas to whom their duties customs pledged
for the security of the bonds other evidence of debts shall
have released any claim which they have against the
of the United States and filed such releases at
the treasury That is the provision of the net of 1850 1t
intended to compel arrangement between the State Of
Texas and her creditors 1t has failed in its effect No
has been made Texas has not paid these ced
tors her debts; and except very small portion Of
them has paid Of hem The releases have not been
filed the treasury and the bonds be issued until
the releases of all the claims fled
That being the condition of things it is evident that
settlement of the matter between the creditors Of Texas and
the State of Texas and the United States against whom
these creditors also claim that they have demand be
made without further legislation; and do not how til
possible for to adopt further legislation except by the
Texas because 900 the stock proposed
be issued by the act of 1850 to be issued her, and
to her creditors.
az the time the creditors suffering The delay
in eecting settlement between them and Texas is running
them. Many of them citizens, and they think
and without reason--hat besides the claim which they
have upon Texas they have claim the government of
the United States The from Ohio Mr.. Chase thinks
that they have claim because appropriated the funds
pledged by the State Of Texas to the liquidation of these
debts
.Ttere others who think they have claim. What
the precise extent of it is, whether ii is perfectly right
whether it claim for perfect and complete indemnity
from the United States is not necessary for argue
They believe they have claim and they have under the
laws of nations think good authority for asserting that
they have such claim. But do propose,hc bill does
not proposeto pay the creditors in full 1t proposes
rangement which be considered release Undoubtedly
the bill proposes to appropriate larger of money than
due upon these bonds if you include the
which has been mentioned in the argument The amount
be given staedby the senator from Indiana is the amount
of the So 600 900 bonds with interest the calculated up
to the time of their maturity and therefore is MANIFEST
adopt this BILL shall be giving the OF
between So ~ 700 600 more than is now
upon the bonds.
" The only question: therefore, is these millions
Will the United States give the two millions beyond what
they actually to the State Of Texas set
tie this vexed question, order to relieve ourselves of the
perpetual demands of the creditors of Texas ample and
full indemnify upon the treasury of the United States and
in order to relieve them from the consequences the delay
which is ruinous to them
20 think have often made appropriations upon grounds
vastly weaker than those which this bill is urged For
myself shall not hesitate TO give il vote, upon the
ground that we are under strict legal obligation pay this
money but because under liability to Texas to pay
her So 600 900 with interest upon it, which in about
years. would amount to the precise mentioned in BILL
and because the what now indispuny
think, small consideration pay the settlement
question likely to harass long, and which, in all
probability, at some day, if not will be acknowledged
And should also be done for the relief of the individual
creditors whose safety from ruin depends upon we
take this bill. If we do pass it, or some other bill like
it, the question will remain unsettled until the expiration Of
the fourteen years. the time for which these bonds con
sidered as issued.
Mr. SHIELDS. Before the honorable senator sits down de
sire to ask him he has calculated what the debt and inter
est and premium, up to this time, would be
Mr.. PEAsoE. The debt and the interest upon it, up
the l Of January next will be Sc 00o As to the pre-
mium which the Secretary of the Treasury win not pay
these bonds issued and redeemabe by him according the
practice pursued it, according the statement of the
oabe senator from Indiana, be fourteen per cent that
would be $500 900 more that would be So that
the Senate are to consider whether they viii advance
of this disputed question: sum of 600
over and above what actually owe think We
should be cheapy rid of the question by passing the bill TO
rescue the creditors from ruin and satisfy the State OF
Texas"