Saint Paul weekly Minnesotian. [volume] (Saint Paul, Minn.) 1858-1859, 1859-02-12

by the Legislature. Suppose law is passed
to " empower " them to tissue bonds in the
name of the College," and empowering"
them likewise as specific security to mort
gage their buildings and farm "in the name
of the State" in whom the title rests. Do
the Trustees of the Agricultural College be-
come therefore State officers, and we can call
the bonds issued by them State Bonds? Would
not the responsibility of the State on a failure
by the Trustees to pay the bonds, be limited
entirely to a sacrifice of the buildings and
lands? If on foreclosure, the property was
not sufficient to pay the bonds, could the
State be required in equity to make good
the deficiency? Certainly not: for there was
no faith of the State generally pledged to re-
deem beyond the specific lien. Take another
case: A borrows money on a note for $4,000.
His friend B agrees to allow him to mortgage
his house and lot, to secure its payment. The
note becomes duets holder forecloses and
sells the houseand lot, but which only brings
$4,000. Can B, the friend, be then made to
turn out other property to pay the $4,000 bal
ance still due on the note? Every one knows
that he cannot. Nor can the State be held
responsible for any deficiency if the Universe
ty Bond holders should hereafter foreclose and
sell the $3.50 acres of University lands for
less than their Bonds call for. And we as
sure the holders of these bonds, Mr. BERRY's
opinion to the contrary Notwithstanding, that
whenever that test comes, they will find the
lands are all they will ever get for their mo-
ney! Let them be assured of that!
The wasteful extravaganza Of SIBLEY,
FRANK STEELE, ATwATER and Company, in
the management of this University Fund, has
evidently swamped and swallowed up the
whole concern. Well, let it got will never
be worth while for the State to expend mon
ey,-supposing we ever have any to spare
from paying the interest and principal on the
$500, 600, 900 loan-to clear their record only
to have the operation of plumber and extrava-
gance repeated over again. State Universe
ties have always been failures: always pivots
for peculation and speculation. In private
hands the institution will command a higher
character and do infinitely more good;
There is still another point of objection,
which the cable" Mr.. BERRY does not ap.
pear to have examined. This is, that if the
Minnesota State University Bonds are to be
considered State Bonds, the law by which
they were authorised is unconstitutional, fol
the following reasons:
1st. No public debt can be created by the
Legislature, beyond the extent of $25O,OOO
(see Article 9, of the Constitution) which
amount at the passage of this act, had already
then been created.
End The credit of the State can never be
given or loaned in aid of any individual asso
citation or corporation. See same Article; ano
remember what the law says about the Uni
versity Bonds being issued "under the Cor
PoRATE SEAL"
Sd. The act does not levy State tax fol
the purpose of paying the interest and crea
ting sinking fund to reimburse the principa
in ten years after its passage, as is required
by the same Article of this Constitution.
4th. The act did not pass the Legislature
by the two-thirds vote, required by the Con
stitution for the creation of public debts.
The conclusion from all this is, that thu
Executive and State Auditor, whatever thei
motives-that Attorney General BERRY, not
withstanding his i" ability" and whatevel
were has motives-are acting wrong in con
senting to this swindle upon the people in is
suing currency upon an illegal and unconsti
tutional Banking Basis. Beneath all thi'
scheme Of making University Bonds out to b
State Bonds, we assure the people there is :
nice Moccasin game Of private plumber yet II
be developed. Stand from under!