The weekly pioneer and Democrat. [volume] (Saint Paul, Minn. Territory) 1855-1865, 1859-09-23

BILE sacrifice of every available security held
by the State, from the Railroad companies,
is a proposition that can be clearly demon
strated and it is equally clear, that the
language of the resolution in which that
policy is put forth, was intended to deceive,
and to conceal from the people the real OBJ.
jects sought to be attained.
That resolution was concocted by few
spectators in Railroad securities, mostly
non.residents, whose object is to secure
possession of the roads, without being liable
to the State for the loan of its credit. The
terms of the resolution were acceptable to
the Minnesotian, and the rest of the repudia-
tors proper, because it seemed to them prob
able, that if ever the people could be in
duced to repudiate, it would be after they
had been swindled out of the securities
given to the State. The resolution was
also unobjectionable to the crowd of hungry
republican Office seekers, because it seemed
to be both for and against reputation, and
to them, therefore, promised political sue
cess. And to many others, it was doubt
less thought right, simply because they
did not understand what was meant by it.
The resolution itself, when properly dis
sectA5, will verify all we have said. 1t is
as follows:
RESOLVED fifth, That however men may have
originally differed upon the adoption of the
Five Million Loan policy, we all unite in de.
termination to preserve the plighted faith of
the State from the stain of Reputation, by
meeting all our obligations to the entire extent
OF our honest indebtedness that in regard to
the question of the taxation of the people to
pay the interest on the State Railroad Bonds,
we hold that the Constitutional Amendment
itself points out the mode by which that inter-
est shall be met; that we will faithfully carry
out and abide by that amendment, and shall
hold the railroad companies to strict compli-
ance Herewith; and that we shall oppose all
further legislation upon the subject until default
and forfeiture shall have been made on the part
of the companies.
That is to say
Frst-1hat the Republican party will
not repudiate the payment of such of the
State Railroad Bonds as were honestlu
obtained.
Second-Tbat the Constitution provides
amply for the payment of the interest, and
its provisions shall be rigidly enforced
against the companies.
1hird-That there shall be no further
legislation upon the subject, (being satisfied,
of course, with the law as it now stands)
until after a default and forfeiture shall
have been made on the part of the com.
panies.
The first of these propositions is couched
in high sounding language, in order to catch
the ear of such of their party as would be
startled at the idea of reputation while
the regulators are Modified by the use of
the term honest Indebtedness" which still
leaves them at liberty to insist that all the
State Railroad Bonds are dishonest, and
should, therefore, be repudiated. Here,
however, the corrupt combination placed
the party in a difficulty; for as no
company could obtain any portion of
the State bonds without having literally
complied with the constitution, by &C
tually constructing and completing, ready
for placing the superstructure thereon,
ten miles of its road for every hundred
thousand dollars of bonds asked for and
as it has never been claimed that any COM
pany has not completed, according to the
letter and spirit of the constitution, the re-
quisite amount of road to entitle it to every
bond it has received, it follows that every
State Railroad Bond issued was honestly OBJ
tained, and is, therefore, an honest indebted
ness of the State. If the roads afterwards
squander these bonds, or even put them to
unworthy or fraudulent uses, we may regret
it, but we cannot in honor refuse to pay any
one of them. The faith and credit Of the
State is pledged to the payment of both in
terest and principal, and if she is not prop
erly secured by the companies, it is her mis-
fortune but it certainly is matter of no
Importance to the holders of the bonds, for
the bonds have, as it were, become CONNER
cial paper, and there is nothing on the face
of the bonds themselves to advise purchas-
ers that their payment depends in any de-
gree upon the availability of the collaterals
given to the State, by the companies to
whom they were issued originally.
The second proposition is intended to
soothe the people, by telling them that the
State is we'll enough secured, and we had
better let well enough alone" The OBJ
ject, however, Of that portion which insists
on rigid enforcement against the compa-
MES, will be better understood when we come
to consider the consequences of such a
course, without some further legislation to
protect the State.
The third proposition of the Republican
resolution is the one fraught with the great
est dangers, and the one of all others, neces-
sary to carry out the schemes of the specu.
lators in Railroad securities. In order fully
to understand the object of opposing all
further Legislation, until after default and
forfeiture on the part of the companies, it
will be necessary to refer to the law as il
now is-the law directing how the Governor