St. Cloud Democrat. [volume] (Saint Cloud, Stearns County, Minn.) 1858-1866, 1858-12-09

as those held BY the State. Tho Comn. ,lIs
4 were respectively required to complete IN
miles before the close Of 1861, 100 miles before
lo64 and four ffths Of their whole lines before
y|sls.sb, but while this amendment prevailed. 4
anpther proposition by Mr.. Senator smith.
4 giving the mortgage bonds held BY the St.te.
g priority OF lien over all other bonds, vae
, voted q Down l Whenever proposed in either
4 shonse ], it shared the same fate-the friend, a
/ the mt2asure in and out of the Legislature nro.
claiming that such a restriction wa unneeen.
sary and would arrest, and not expedite The
construt ton OF the roads, = > ~ S -ssGT -
But it IS urged, that the Company NAV issue
an excessive amount Of first morteare honal.
Not SO. By a Trust Deed of July 3ist. 10aa
the Company has solemnly agreed. that no
bonds shall he issued except countersiened and
registered by three disinterested Trustees
that the total amount shall never exceed S35
900 per mile; and that even these shall not
issue except as the Eo.sk progresses in forty
mile sections, The Company has no other
interest except in selling the bonds at or near
par-hence the above safeguards. In addi-
ton, the Company, since tive decision of the
4 u
Supplemental Trust Deed giving the Cover
nor the right to act as Trustee, if necessary
for the security Of the State snd sell out the
whole road, charter, and lands of the Company
| III SIX y days, or in time to prey ent any de-
/ fault in ptJ ment of interest on State bonds.
! "aeaT both sides" is a good motto Your
correspondent deems the statement, that tho
State IS less secure now than befor>, the late
1udiclal decision, to be an error-,Ience the
present communication. Let there b., no at
tempt to prejudice this question. Every re-
4eeting man should read the opini GUS Of
Judges Everett and Flandreau, and judge for
11llsell. Ii, as government and people, We
can cooperate in pushing forward the railroad
enterprises, 1859 will be the most prosper GUS;
! year in our annals. ~ .7''1s
Our columns are always open to both
SIDES OF every question; and especially to
any side Of the railroad interest, but in
reading the letter Of our correspondent We
are not fully convinced that he is right
1'he fact that the Pacific road alone refus-
ed the State prior lien as security, goes
to prove that the Governor is right.
1t the Pacific road cannot negotiate
loans on second class mortgage bonds, how
shall the other companies negotiate them
Moreover we think the people of Min
nesota, in voting for the Loan Bill under
stood that they we're to be securcd.by first
liens, as we'll by the other two classes Of
security specified. The Bill was pressed
upon the people because. Of the unusual
nature OF the the securities The people in a.
greeting to accept '.:Jig:st mortgage bonds,:.'
had no idea that al the bonds Of the com
panies were to be first; and the disagree
men m3ent, at this early day, about the meaning
Of the Bill the haggling about the mcaa-
ing Of these 'uninportant looking words
can amount Of off, looks as if the Bill had
been framed on purpose toaentrap the peo-
pie. A. 1919 .:%.s5 - - - .z..
When a law is to he submitted to the
people it ought to be 50 framed that even
u woman could understand it. AZ
The Loan Bill says ...5 -. 4 ~
4 "Aa'd Is. fustler security an anoust Of
4,st mortgage binds on tic roads, lands
[osao franchises etMe ycspective companies
corresponding to lie State Bonds issued,
. &iaN be transferred to Tie Treasurer. Of
Tie State at lie time 9: tie issue OF tie
State Boa0s." rg I'LL r.
Everybody understood by this, that
these bonds were to have priority to all
other bonds, The legislative debates on
the Bill were not familiar to the mass Of
voters and going behind the bill to debates
looks like a trick lad the Bill been
brought before the people with a special
clause, granting OF recognizing the right
Of the companies to Issue seven times the a
mount CT bonds Oh. an equal footing With
those Of the State, we have no doubt they
would have voted for it, as it does appear
that.tae issuing Of such bonds. is impor-
tant TO the speedy completion of at least
one road, and their object was toaexpedite
the building Of the roads.
The Bin was an expression Of 4 gener-
GUS policy OF the part Of the people
They should have been generously and
candidly dealt with. The whole affair
now looks like a peice Of political clap-trap
instead Of a fair business transaction, in
=. 49,
which both parties were Of age and com
pes nscntes. s 100
t Doc sLED.-5Ve saw a dog, sled for the
] first time last week. Ono of the emf
grants to frazer river had become dis