Public ledger. [volume] (Memphis, Tenn.) 1865-1893, 1868-12-14

| SAVINGS Bank and Humboldt Rolling
Mill were introduced IN the House.
Tho following is the communication OF
| Controller Blackburn above referred 70
CoxraoLLrn's OprcH,
| NAsnyILLk. TEN. Dec. ii. 1905.
Gentlemen Of tho House Of Representatives
| brought with me into this Office a firm
determination TO discharge the duties
thereof 10 the best Of my ability. This
determination do not propose 70 relin-
quish, nor willfully to fail In the faithful
carrying Of II out. These truths, taken
in connection with my duty under the
law. to provide for the payment OF the
January interest, imperstlvely demand,
in Justice TO myself, as well as 70 the in
terest of the State, that should call the
attention OF the Legislature TO the follow
ing statement Of facts:
II will be remembered that the act Of
September s, abolishing the Board OF
Finance" etc, specially makes Il the
duty Of the Controller ito provide for
the nayment Of the interest accruing on
The State debt" The Legislature will
alse remember that | favored the enact
ment OF the law, and said that IL the Cot
troller's office was cut loose from the en-
tauglemonts of Board Of Finance, the
interest could be surely and easily paid.
In coming TO this conclusion, rea-
soned from what | supposed to be fixed
| facts, first, the resources Of the State,
which / understood, and sesondly, the
universal pledge, from the highest to the
lowest las understood it), that the State
debt would not be Increased, but, on the
contrary, a number Of our roads would
be sold for the bonds of the State, and
the liabilities of the State thus lessened.
Clothed with the authority confirmed by
The fact above alluded to, and with assn
RANGES that no more bonds would be
Issued to railroads, etc, | went 10 New
York. and. as Controller of the State,
gave unqualified assurances from His
Excellency, the Governor, and the State
Legislature, that the public debt would
not be increased, but lessened. This
statement was believed to be true. and,
on the strength of it, borrowed $780,
600 at six per cent per annum, when
money there was worth seven per cent.
in gold on call.
Beside this, many parties in New
York, through the influence Of the friends
of our State there, we're influenced to in
vest heavily in our bunds, not for pur-
poses of speculation, but permanently.
The condition of our credit in New
York nep must be inferred from the fol- |
lowing, which give as j, is:
Since the introduction of the bill pro-
posing to increase the State debt nearly |
three millions of dollars, / have received |
dispatches and letters from parties who |
had advised invest ment in our bonds, |
severely censuring parties here for de- |
ceiying them, and from others who, being |
advised by the friends of our State TO in |
vest, did so, asking what to do with |
their bonds; and in answer to PROPOSE
tons to arrange for the payment of the
January interest, am informed that the |
negotiation of u loan is conditional and
awaits the result of the proposition to in
crease the debt of our State, while some
of the best friends the State has in New
York, and those who have done us great
service since july, 1866, write me posi-
lively that New York will carry our State
no longer, if we increase our liabilities
now BY issuiug mere bonds to railroads.
This is the state of the case this morn
ina, and in view Of the near approach of
the January interest, and being unwil-
lug for the blame to be laid at my door,
if our State credit goes by the board aud
cur interests take downward tendency |,
instead of steadily rising, hasten to lay
it before your honorable body.
And close by remsrking, that desire
to defeat the passage of the Omnibus bill
does not call forth this communication,
but higher duty than thst--the placing
before the Legislature the facts, on the
proper management of which depends,
in my opinion, the salvation or the
destruction of the credit of the State.
Your obedient servant,
G. w BLACKBURN. Controller,