Wilmington journal. [volume] (Wilmington, N.C.) 1844-1895, 1869-01-15

all intense anxiety to avoid the disrepute
of non-payment of interest, [ was forced
to seek for other securities which might be
available. sfzze-.H -1z ..lEszyt. rss.4
Twas assured that money might be raised
on a pledge of the interest owned by the
State in various Railroad Companies L
could not, and cannot now, see how such
transaction could infics a loss to the
State, procided the General Assembly intend
to pass an adequate TeUenae act. Nothing is
more common than to borrow money on
collaterals Indeed, this has become q
favorite mode Of effecting temporary loans
in all our commercial cities. Of course the
collateras ale required to be of greater
value than the amount of the loan. l was
bound to assume that after the General
Assembly had passed an act in August last,
directing me to begin paying interest III
October, and to continue thereafter with
out interruption, it was their bona tide in
tention to provide the necessary funds for
carrying into effect such directions. Aud
if the Revenue Act reported by Ele, or one
calculated to raise a like amount, should
be passed it is absolutely certain that I
would be able to pay the sums borrowed
out of The receipts from taxes. The bill
recommended by me was carefully guard
ed to prevent loss to the State. 1t provi
ded that money might be borrowed from
time to time, because in the first place the
interest matured from time to time, and
in the second place, if from any cause
money should not be in the Treasury eX-
act!y at the maturing Of any loan, sutf-
cieot to meet 1t, either an extension could
be procured or else loan effected with
other parties on similar pledge. All
danger of loss was averted (sapposing
always an adequate tax bill passed. by the
provision that no sale Of the stocks or bonds
pledged should take place before October 1st,
1869, by aohich time all the faces are papa
bic. I admit that if no revenue act is to
be passed there is danger under the bill Of
having the said interests sold, but surely l
was not presumpLuous in supposing such
omission to be impossible.
[ mention these considerations in eXpla-
nation Of my recommendation III regard 10
pledging the Railroad interests Of the
State, because much sharp criticism Of nay
action has been made. Certainly it vas no
part Of my intention Or expectation that
the public property should be sacrificed or
even endangered. The plan was offered in
the last resort as the only means Of avert
ing great calamity, still further prostra
ton OF the public credit. This evil has
fallen upon US and hope I may be par
doned for saying that unless it shall be
promptly removed, abundant reproach
will be heaDed upon ali responsible for it,
and upon many who have labored TO pre-
vent it,
I therefore again respectfully but ur-
gently press upon your attention the ne
cessity of prompt action to begin the restO-
ration of the public credit. Already have
uncertainty and distrust been engendered
in the minds of our creditors. Longer
delay will render it impossible to restore
their confidence. [ respectfully recon-
mend that part, perhaps one-half, Of the
taxes be made payable the 1St of April, q
burden which can easily be borne by the
people, as their crops will then be sold.
In my opinion, il will still be necessary
to authorize me to pledge as collatCrals "a
part Of tho interests owned by the State
in Railroad corporations. Il il be deemed
that the powers granted me- IN the bill
heretofore proposed were too great, let
amendments be offered making such re-
strictions as will, in your view, guard the
public interest. 1t is necessary not only
to provide the sum sufficient to pay the
January interest, but also that to become
due on the 1st of April.
Money is likewise needed to carry on the
State Government. 1t becomes my duty
to inform the General Assembly that the
Treasury is now nearly empty-in fact,
with the exception of the sums deposited
by delinquent Sheriffs to their credit the
Treasury is exhausted. Money is tight in
AL the fnancia! centres, and l must have
powers adequate to the emergency or it
will be impossible to provide all necessary
funds
/ have the honor to be,
Very respectfully,
Your Obedient servant,
d. A. JENKINS,
Public Treasurer. /
ELAn.:nL Il;snaa tch .. % lSalt i,nnnr Sim