New-York daily tribune., 1858-11-17
GOVERNOR CONVAYS MESSAGE.

The Message Of the Governor Of Arkansas COM
mences with some information which, though il can
hardly have the eject to quench the thirst may yet
operate like a drop of water il cooling the burning
tongues and moisening the husky throats OF the hold
ers Of Arkansas bonds. The Governor informs the
Legislature that notwithstanding payments hitherto
made, amounting to $2li6,i ISL 30-some hundred
thousand dollars of that sun, not by any act or
any consent on the part Of the authorities the peo
pie of Arkansas but simply by the act Of the United
States in retaining the moneys accrung to Arkansas
from the sale of public lands and applying the same
in of the interest Of Arkansas bonds held by
the UntedlSates in trust-theIe still remained DUE
the LIST of October last the of e. 0J4S3i 80 made
up Of the sum Of 81 ,Sl5,307 -, account of State
bonds sold by the Real Estate Bank, ana of the
Of 81 239 j2l 81 for State bonds and the unpaid inter-
est IN them sold by the Bank ofhe State cf Arkansas
both which banks, chartered in 1884, and the only
Ter chartered by Arkansas failed and went to smash
a few years after.
The assets Of the Real Estate Bank are told, and
the lands mortgaged by stockholders, u honestly and
prudcnay 1nan0god-ah there's the rub, for seeing
how the affairs Of sick aud deceased corporations
mansged here in New-York, what is to be expected Of
Arkansas will be more than sufficient TO pay the
liability Of the state account OF the Real Estate
Bank But the Governor is wide awake to the danger
Of leaks, and earnestly recommends that no legis
L" lation whatever be had whereby these mortgaged
{" lands might by any possibility be released, OF the
security to the State and bondhoders in any
"ieopardzed." For the debt incurred on account of
the State Bank half of which consists Of principal,
and the other half of unpaid interest the assets held
by the State and likely to be productive DO not much
exceed 100000. This State Bank, it is to be OBJ
served, belonged wholly to the State, and no other
stockholder ever had any interest in it.
The Governor does nct make any recommendation
as TO providing means to pay this debt. lie hopes
however that it will prove o solemn warning TO the
State against charteriDg any banks-and 80 do
we at least until the good people Of the State acquire
little more financial knowledge and also somewhat
greater disposition TO pay their debts. Instead of sug
eesiipg means 10 pay this acknowledged State debt
incurred wholly State account, the Governor re-
commends an amendment to the Constitution proposed
at the last session Of the Legislature TO prohibit suits
against the State in ts own Courts, which il seems
by the existing law, may bc maintained in Arkansas
and which, brought on OF the unpaid bonds have
caused considerable annoyance, though hitherto
STAYED Of by the help of the Supreme Court and of
act of the Legislature. He also urges a law forbid
ding the circulation Of bank notes under fifty dollars
lie CONSTITUTION dIehOv pIonU.ls lne incorporation OF
banks. The Governors total neglect 10 suggest any
steps toward paying of this debt is remarkable
in connection with the fact stated by him. that there
was on the lst of October last, in the State Treasury
in gold and sver-words italicised by the Governor
the Of $23 19i 80 subject to be used for the oTdi-
nary purposes Of the State.
The only State funds hitherto applied to the promo
ton Of common school education appear to have been
$77si6 % from the Seminary Fund produced by sales
of part Of the seyenty;wo sections of land granted
by Congress the Territory of Arkansas for eiuca-
tional purposes and t7,6ll 80 from the Saline Fund,
arising from tie sale Of seyentytwo additional
tions of land embracing twelve saline springs granted
10 the State Of Arkansas by the United States. Be
side the unsold lands belonging to these two funds
there is in the Treasury unexpended balance of
$li,59s % belonging to the Seminary Fund, and like
balance Of So 697 l6 belonging to the Saline Fund.
Bv tie law Of Arkansas the sixteenth section Of land
in each township granted 10y tie United States for
mon schools placed under the aud control of the
several counties in which il lies. Ii is also provided
| by law that tie acc,uing annual interest on money
arising from the sale of these sixteenth sections shall
be perpetual fund TO be appropriated TO the support
Of school or schools in the respective townships and
that 10 par. Of the principal shall ever be expended
lor any u-pose whatever a. The Governor puts tls