Red Wing sentinel. [volume] (Red Wing, M.T. [i.e. Minn.]) 1855-1861, 1859-10-08

WHULE NUMBER lb6,
eer, (Mr. Bakery last week, neve,
knew our Republican friends transla.
ted this ~ l do. Baker plainly AYERS
that the Democratic party is in favor
of taxation. Yet in the next breath
he says the Legislature cannot pass
suoh law. He tells you with regard
to the constitutional amendment,
adopted on the $4,000, 900 loan bill,
that the State is, by the terms of the
loan itself, exonoratcd from the pay.
ment Of those bonds that the State
was, in fact, only the trustee of the
securities the companies gave her
those bonds! Again, he vcntnred to
say that the treasury of the State was
to be exonerated from making any
further advances. On reference to
their bill, however, l find that the State
is pledged to the meeting Of all In.
debtedness against it. 1t is expressly
stated by them that the faith and cred.
it of the State is pledged for the pay
ment Of the interest and the redemp.
tion of the principal of this five mil.
lion loan. That is the language of
their bill. Yet in the face of this fact,
they dare to assert that the Legislature
is to be called to make no more ad.
vances. 1t is just as if in course OF
business, I lent a Mr.. Hall my note
secured on real estate, getting in ex.
change from Mr.. Hall a negotiable
note Of which could make immcdi.
ate usc> Now if failed to meet my
note, could the holder Of Mr.. Halls
note be held to be affected by my en-.
gagement with Mr.. Hall? Would i,
affect Mr.. Halls obligation to dis,
charge his note ? Such an illustration
is sufficient to show the absurdity OF
Mr.. Bakers position. The fact is tha,
the State pledges itself to pay the in.
terest Each coupon issued reads like
this: estate of Minnesota promise to
pay" Does this look as if the State
was simply guarantor for the rail.
road companies? The position was
too absnrd to require augmentation.
Through the ACKNOWLEDGEMENTS
paper-the citizens were informed that
Baker, in his speech, met the thir.
teenth and fifth resolutions, fairly. Fo,
my part, 1 candidly admit that he did
meet the fifth resolution frankly. HI
contended that it meant, from the out.
set, fiat Reputation. But in other
neighborhoods the Interpretation va.
ries. We have "littlc JOKER" under
another name. My friend Mr.. Cole,
the anthropophagous who carries his
head beneath his shoulders-(Laugh
ter)-says it means Taxation, and tha,
all further Legislation on the subject
shall be opposed until default and for-
feiture shall have been made on the
part of the companies. Then, and
then only, the Republicans pledge
themselves to legislate on this subject.
| say, that is the enunciation o. a pol.
icy which leads to inevitable and i'm.
mediate Taxation. Now let us see
when. The first payment of interes,
falls due in next October, and the next
payment on the first of December
Now, the prevalence of policy such
as that just noted, must result iu max
ing bankrupts of the companies, il
they were not already bankrupt. Even
though they were not forced thereto
by necessity, the policy of the compa
MES would be- to default on the first Of
October. The law provides for the
foreclosure of the securities in sixty
days. We would thus have the de-
fault, if any, occurring OH the first Q!
October. The securities the State had
received from railway companies
would be foreclosed OH the first ot
December, and then-if these resolu
tons meant to affirm any policy.--ca,nt
taxation. The law expressly provide:
that all such foreclosure of such com
panies shall be only for, and on &C
count Of the default occurring; anc
that all such foreclosure shall be BY
public sale of all the properties ant
franchises pledged in such mortgages
All these securities would, therefore
have to be sold in such an event t
pay the paltry sum Of S2l,5o0, which
will be the amount of interest due a
the time from each of the companies
Now, suppose the Governor. or an,
other party, was authorized to- bid fo1
the State, should bid to the extent o
the bonds issued, one million and .
quarter dollars, where would the sur
plus 80, after paying the amount du,
to the State on account of interest
That surplus would go to the compa
nies. Therefore it is, l maintain, tina
this policy not only results in inevita
ble taxation, or inevitable loss Of al
the State securities, which, accordin.
to Mr.. Bakers statement the othc
night, are worth $6,O00,0 900 at least
(Hear, hear.) The fact is, they sa,
taxation, and mean it but when the!
arc at loss, they say theil pledg'
amounts to nothing. But, they tel
us, "Oh, we will have 4 new bill :
We will have seven devils worse thai