Marshall County Republican. (Plymouth, Ind.) 1856-1878, 1864-03-10

time had gone by fos making party capi-
tai out of their suspension, they were re-
opened and supported from the Treasury in
the ordinary way--proves that the origi-
nal act Of suspension was not necessity,
bn. partisan measure of the must repre-
hcnsible character. The Benevolent Insti-
tutions Of the State are provided for in the
Constitution OF tho State--and are regu-
larly organized by statute-tlie people of
the State have been taxed for their sup-
port. and have paid their money into the
Treasury, where it now is. Whether these
constitutional and legal provisions, and
the collection of the money, constitute an
authority for its application, | will not
undertake to determine. / can only say
that in 1858 they were held to be suffi-
cien warrant--after the October election.
Whatever might be the true aspect Of the
legal question, determined to procure. If
possible. sufficient money to carry. on all
the institutions of the State. and keep the
machinery of the government in motion
This would devolve upon me great and
novel responsibilities, but they were moth.
ing compared with those l should have
assumed by suspension and failure. Mon
ey was procured from various sources
from the proceeds Of the arsenal, from va
rious countIes--private persons-from one
hank and one railroad company. until, j
l believe. sufficient funds have been secur-
ed 10 carry forward the State Government
until the LIST of February. 1865. l am
grati6el to state that when the increased
cost Of all articles Of food, clothing and
materials of every kind consumed in the
Benevolent Institutions shall have been
considered, it will oe found that they have
been carried on at diminished cost Of
ten or fifteen per cent. as contrasted with
the expenditures OF former years. For
this / am indebted to the vigilance and
economy OF the superintendents of these
institutions, the members of the Board Of
Trustees. and especially to Andrew Wal
lace; President of the Board.
INTEREST on Tue STATE DEBT .e
now approach the history of a transac-
tion the most remarkable in the financial
records of the State, and one which will
bo read hereafter with mingled Indignation
and astonishment.
Shortly after the adjournment of the
Legislature it was bruited about that Mr..
Ristine. the State Auditor, would decide
that there was no existing appropriations
by which the money could be drawn from
the Treasury to pay the interest on the
State debt. and shortly afterwards the
opinion of Mr.. Hord. ,he Attorney Gener.
al, to that effect, purporting to be address.
ed to Mr.. Ristine. was published in the
! papers. This grand discovery was sur.
prise to everybody. and the purpose Of il
could not be mistaken--which was to drive
me to call an extra session OF the Legisla
turc. The proposition itself was an insult
to public morals and good faith, and il
utter disregard Of the usage and practice o.
TIE State for many years. In lS4l, the
State having contracted large debt fol
the purpose of internal Improvement, and
the system having proved disastrous. fail
ed to pay the interest upon her bonds. tht
credit of the State was at once prostratet
in the money markets ofthe world. hcl
hitherto good name everywhere effected
and her fair prospects for future prosperity
and greatness biigh.ed Her reputation
for bad faith and bankruptcy for man,
years cansed the current Of immigration t
sweep around her and over her to States
in the north and west, and for series o
years her growth in population and wealtl
was retarded. In 1916 the people of tn
State declared imperatively that measure
must be adopted to restore her credit an,
do Justice to her creditors. AccordingI,
compromise was finally agreed upon an,
adopted by which her creditors surrender
cd and cancelled one half Of their debt
amounting to over seven millions Of dol
! lars, in consideration of which the Stat
transferred to them the Wabash Il Fri
: Canal and issued new stocks to them fo
the other half. upon which she solemnl
pledged hersel. to pay the interest semi
annually on the first dsys of January an
duly in each year. until the principal q
the debt should be paid. The arrangement
8 was highly advantageous TO the State an
did much for the immediate restoration Z
her credit. For the creditors it was ba
: one, for the Wabash & Eric Canal in
: few years became worthless. and b:s sine
been practically abandoSsG. and they ha
surrendercl and lost one half Of their er
!. tire claim. Legislation had in 1916 an
! lS47 in completion of the arrangemer
> was regarded as perfect and continuin
I, appropriation. from the Treasury of a
: amount Of money sufficient to pay the il
terest from time to time, according to I'll
5 terms of the new agreement. 1t was
= regarded and acted upon throughout Il
remainder OF the Administration of Go,
srnor WAitcomb, throughout the two Az
ministrations of Governor Wright, an
II the late Administration of Governor Wi
e lard. In 1857, the Legislature haviu
i failed to make the usual appropriation
l. Tor the support OF the State Governmen
o the Hon. Joseph Z. Mcdonald, then A
y torney General of the State, gave il as b
: official opinion that while there were q
II appropriations authorizing the payment
: money from the Treasury for the surpo
: Of Benevolent Institutions. there was q L
d gal and continuing appropriation for Il
n payment of the interest on the State deb
'e and in accordance with this opinion G
'e Willard, in 184S, borrowed from Il
1t Sinking Fund enough money to pay Il
le July interest, the Treasury at that time b