New-York daily tribune. [volume] (New-York [N.Y.]) 1842-1866, 1865-09-18
The Confederate Lean.
From The London Daily News. Sept s

A meeting OF the holders OF the seven per
Cent Cotton Losn Bonds Of the Confederate States was
held yesterday at the London Tavern. Ito consider
their altered position that the Government OF the
United Sales has become the de facto Government OF
the Confederate States and II deemed expedient to
appoint committee to protect their rights and In
terests and generally to take such steps as may DO
thought advisable"
Admiral Sir p Wallace was voted to the chair, and
Mr. eChamberlain. of the firm Of Terrill, Chamber
lain and Blake who as solicitors to several OF the
bondhoders lad called the meeting stated that ne was
not In position at that moment 10 lay petore tne ponu
holders the result Of any investigation which had oecn
instituted rs the legal rights OF the oondhoihers
that being question which the committee II appoint
ed, would have te consider and determine. i. was,
however, question for the meeting TO say Whetnef IL
was worth while considering or not The real question
for their consideration was whether the bonds hey ned
were worth the paper they were written on ae price
they Ind given for them their nominal amount or any
other amount Hear hear Any one who looked at the
matter in prely legal and international point oil view
would SEQ that there questions OF the ghest mo-
ent and the gravest character involved IN TINS oan
First thew had 10 ascertain whether the contractors.
Messrs Emile Erlapgpr and Co. OF Paris, OF theif
agents here Messrs Schroeder, had money In hand 70
pay the coupons now due. Hear, hear He nad no
official communication TO make on the SUBJECT Dut ne
had heard that there was sum OF money In mana
which, if the parties holding 1t could be properly m
IDENTIFIED, might be made applicable TO the o.
amount was he did not know. This however, was one
of the points TO be inquired into If committee were
appointed. The conduct OF the contractors py WHOM
the loan originally issued was another grave
question. to which he would only ilrtner
allude by saying that II might be found al
visable for the bondhOlders TO ascertain Nhat
were the arrangements made with the CONTRACTORS
by the parties for whose benefit the money was
raised for bringing out the loan at the price al whcn
II was issued, and what arrangements were maae 10
protect the interests Of the subscribers Another ques
Ut. xrha
States had property whatever on which the Dcnu
holders might be considered to have preferential zen
against the Federal Government, which bad taken
possession Of the whole Of the property OF the late Con
federate Government and the Confederate STATES
This very important question, and one that would
require careful Investigation for there might pe prop
erty In England or on the continent upon wnich the
bondhoders might be legally held 10 have the hrst
claim. Upon this point he might just alude to the
decision Of Vice-Chanceor Wood IN the case of the
United States against Proli In which the conrt up
held the right of Messrs. Proli to loan OF eooooi
upon certain cotton that had been consigned to this
country from the Confederate States against
defeat it, and this decision Of Vice Chan
ceor Wood was he believed universally admitted to
be good law Another question was as TO the liability
Of each State forming the Confederate States TO It's ar
proportion Of the liability; and then to the liability
Of the Federal Government which had taken posses
sion Of the property Of those Confederate States and
the property of the Confederate Government to dis
charge the debts which attached to the property He
had hoped 10 lay before the meeting the opinion OF one
Of the most able Queens Counsel upon this point but
although owing TO the absence OF that learned gentle
man from town and other circumstances. he had not
received his written opinion be was authorized 10 state
that having given the matter the gravest consdeIa
ton. the learned counsel 10 whom he alluded was
prepared TO advise that the several States which
formed the late Confederate Government we're
all Of them sovereign aud individual States
and as such each liable for Its pro-
port!onate share OF this loan. Hear. hear And fur
Their that looking ut the Federal Constitution Of the
United States the Confederaes had not forfeited.
could they forfeit thor individual and sovereign rights
that they could be considered TO have been in
such state OF rebellion 10 make the loan void and
that the Federal Government as de fdcfo Government
having taken possession Of another de Jaoto Gov
eminent was morally and according TO all IN
ternational law legally bound To this loan upon
itself He CMr. Cbambcrlain) would not attempt
TO argue the question TO give bis own impressions
upon it one way the other. He was not bond
holder and therefore not personally Interested lie
was merely the agent OF number OF gentlemen who
were bOndholders 10 considerable extent. and who
considered that these questions ought TO De looked into
aud they thought II might be well to appoint commit
20 investigate and consider them. lie ought TO add
that he had received several letters from bondhoders 10
large amount. who did not wish their names 10 be
known in connection with this loan urging the appoint
ment Of such committee. and with this explanation
he begged TO leave the matter IN the hands oil The meet
ing.
| Mr.. Wells inquired II any representative Of Messrs
Erlanger Messrs. Schroeder. their agents, who is
sued the bonds, PRESENT.
Mr.. Chamberlain not aware. Iie had applied to
Messrs. Schroeder 10 allow him 10 tie contract but
be had not yet succeed He had also applied To Mcssr
Erlanger the contractors at Paris but yet he had
not had the facilities afforded him which be required
He bad however, reason 10 suppose that II a CON-
mittee were appointed. Messrs Erlanger or Messrs
Schroeder would Withhold from them the fullest inorna
ton
Mr.. Green thought good ground had been shown for
the appointment Of a committee, but suggested that
representation should be made TO The President OF the
United States and to Mr.. Seward Of the position Of tho
bondhoders and OF the justice and policy OF the Federal
Government taking the debt upon Itself oh aud
leughi II there was any money In the hands Of the
agents IL ought 70 be divided among the bondhodefs
in payment, 80 far as it would CO. Of the interest.
Mr.. 5. Herapah observed tha; the only claim they
could have upon the Federal Government IN respect
OF the property seized by them which hypohecated
to the payment Of this loan To that extent, 10 doubt
they had equitable claim but II was not reasonable
10 suppose that the Federal Government would hold H.
self liable for Their claim against the States
for whose use the money had been raised and upon the
property belonging 10 those States which lad fallen
into the hands of the Federal Government.
MI. Joseph thought they onght TO have information
TO the terms Of the contract the parties TO the
tact and the parties by whom the money 10 meet the
dividends had been paid These things could be ascer
tained more readily by Committee than by large
body OF shareholders and therefore he likewise sup
ported Mr.. Chamberain's suggestion.
Mr.. Chamberlain had prepared a resolution. which
would test the feeling OF the meeting upon the subject
IL was TO the effect that considering the position In
which the subscribers 10 the per cent cotton loan Of
the late Confederate States placed 1t was adysa
bic that committee should be formed 10 investigate
INC TbHls anu OF thkc
steps 10 protect and enforce the same MS might be
deemed expedent. His own opinion that the Fed
erai Government must be looked upon an indcpend
ent State cOnquerng another independent State and
therefore internationally and morally bound TO take
upon itself the liabilities of the conquered State. Ac
cOrding TO the Constitution Of the United States there
were means Of trying the question as TO the lien OF the
bondholders upon the property bypothecaed to the
payment Of the debt and which had been since seized
by the Federal Government but whether bondh0lder
would have chance OF establishing his claim In
pffa fof1 1a pFaQ Ia
This however. would be question for the committee
TO consider.