Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1858-04-13
NO DANGER OF REPUDIATION.

NO DANGER OF REPUTATION.
The Baltimore "Patriot" contains the following nc
| tce of a late article in the Enquirer:
RESUMPTION IN vIRGINlA-THE BANK ACTS
REPUTATION SPOKEN OF.
The Richmond Enquirer" OF yesterday, cup
rather gloomy apprehensions regarding the state o
finances likely 10 result from the recently enacted
bank acts One law fixes the first day of May next
for the resumption of specie payments by the banks
of Virginia, the other requires that the banks shall
prepare for a revolution in their mode Of redemp
ton. With these two causes, says the enquirer ~
operating simultaneously it is evident that the banks
can extend but little specie accommodation during
the next few months.
ct 10 further stated that the State Government will
quire the st Of July about o. 900 ofspece pay
the interest on the public debt the banks cannot sup.
ply this then the State mast repudae by suspendng the
payment of her debts The passage OF the tax bill has
been delayed, till commissioners Of the cannot
have their work prepared for the sher before the lat
late In the fal-perhaps none before December.
1.-THE Executive is again driven devise neans unpro
should his ingenuity prove unequal task the State
which drives the banks to immediate resumption must IT.
self suspend.
Virginia bonds will fall towho knows what Even II
the money shall be raised in time it will require such
evident effort as TO produce favorable impression on
the stock market. State bonds remain below par
The appropriations to internal improvements cannot he
applied"
This ia rather dreary picture, and the Enquirer
thinks there is every probability of its realization.
The "Patrot" " ia informed, that in commenting on
the bank ao,s We were following out our own retec-
tions. We did not undertake to speak for Governor
Wise, and were not even informed, at the time OF the
resources and e1pedients still left in the hands of the
Executive, in spite of bad legislation.
Wehave since acquired information which leaves
no doubt that notwithstanding the injurious operation
of the bank acts on the interests of the people of Viz
ginis. the State creditors have no cause for ALARM
careful outstanding of available means, during the
past year. leaves nearly sS0OUO Of convertible funds
at the command Of the treasury. Fortunately, the
redemption act does not 20 into effect until the spring
Of 1859. Hence it is possible that the banks can,
if necessary, suppy also the other 5000 OO0 required
to make up the sum needed on the lat July. If not,
sufficient amount of license taxes can be collected
to make up this residue. The peculiar legislation
with regard to this species Of tax makes 1t partial
exception from the taxes generally, the collection Of
which will be delayed by of the late consde
ration which the subject received at the hands of the
Legislature.
Thus we have certain assurance, that the inter
est on the public debt will be paid. Butt is a close
fit, and stretches all the combined reaources Of the
Treasury and the banks The State is just able TO
satisfy her creditors and that is all. Indeed it is
matter of some surprise that accidental condolences
have interposed to obviate the difficulties created by
Legislative omission and commission. The whole
thing furnishes another proof Of the extraordinary vi
tality of our State credit Virginia credit has bent
indeed, under the many heavy burdens purpose
ly and unnecessarily imposed upon it; but it has
borne and continues to bear burdens sufficient entire
y to PROSTATE any but the most vigorous combination
of natural resources with constitutional guarantee
State taxation, with all the crudl,ies and contra
diction with which it has been united, furnishes,
nevertheless, quite large surplus over the expenses
of government, including the interest on the State
debt, and the sinking fund TO be applied to it's e1'
tuction Here is the security which Virginia affords
her creditors. Undisurbed by oontravening legisa'
ton, it would place State credit at premium in the
markets of.the world.
The tax which is imposed upon ii. would sink al
most any other credit fully twenty Ave per cent. II
depresses Virginia credit only ten per cent. Under
such state of affairs the State creditors ought to
ceve their interest out Of an overowing treasury
By the operation of the Bank acts, the treasury il
driven to every variety Of Rna resort to pay the in
terest on the public debt.
There are two conclusions to be drawn from these
evident considerations. The State creditors have
just cause for apprehension. The Legislature have
done everything that could be done TO produce moi
only apprehension, but absolute risk and disaster tc
the public credit. Constitutional provision has ia
ken care to preserve the inviolsby of State faith
Legislative maneuvres against internal improve
ments, have pushed their efforts agsinst the value o
State credit to such extent, that they have almost
involved the State treasury in a temporary suspen
sion of the payment Of The public debt.