New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1869-02-09
BANKING AND FINANCIAL.

eTATE or MINNESOTA, 81, PAUL, Jan. -, HCo.
To the Senate and House Of unprecedented respect
fully transmit for the Information and consideration
of the Legislature tho accompanying letters and
memorials which have received from holders Of
Minnesota State Railroad Bonds" whish memorials
and letters pray that some action may be taken to
adjust and pay said bonds.
Every year since have been connected with the
State Government have received similar letters and
petitions 1t is proper they sLould be laid before you
The only appeal is you, All creditors OF foreign
State are forbid entrance to the Courts 1t is not
statesmanke to ignore this question.
have heretofore indicated to the Legislature that
it seemed TO me expedient that the five hundred
thousand acres Of internal improvement lands
should be devoted to the payment of these bonds
Time serves to strengthen this conviction. When
the disastrous experiment of issuing these bonds to
secure the construction of our railroads failed, it
was time of such general financial distress as left
no alternative but TO postpone the adjustment OF the
liability until the State should have the means,
without hardship to the people to equitably and
honorably discharge the just Obligations OF the State
i'm the premises The great OF the Rebellion fol-
lowed during the continuance OF which the utmost
of the State were taxed 10 meet It's oDlga-
tons to the National Government. All that has
passed. and prOyideDtially The State has III these
lands the means of providing for whatever Is justly
due to the holders of these bonds
In my judgment, the duty OF the State to enter
upon an adjustment of this suspended debt begins
tile moment the State has the convenient means and
ability to do so.
fore US, in which suspended debt twice greater
than ours and essentially of similar character, was
equitably and satisfactorily adjusted.
We have the example oil the State OF ILLINOIS, when.
in the attempt to build railroads and canals by use
of her State credit, broke down with not mile OF
railroad completed, and with debt $l5.WOOOO-slx
times greater than the nominal debt of Minnesota
and for years the State Of Illinois did not pay dol
lar of interest yet when prosperity returned TO her
she promptly met the holders of her bonds ana made
satisfactory adjustment of the last d0llarOt hei ob
cations SO that it the boast OF her 0i1cialS,
That the honor Of that people be said not,r1stane
ina the magnitude of the debt and the IN uhich u
contracted the messes Of the people rose up ana Sd'd
the debt should be pad and the honor Of me State mann
tanned That action challenged the respect Of The ,corld.
and from that period forrdfd zee entered career %
\ prosperity tcithout a parallel IN history"
1t is thus ever true that the invisible forces OF
public advancement and prosperity are on the side OF
public Justice and invioate public faith.
| We have before us-with the single dlshonorable
exception Of Mssissppi-the example OF every state
| in the Union ultimately redeemng IN some just and
eouitable way its public securities, matter how
| improvidently or unwisely issued. know that
| Minnesota will not abandon the honorable company
| of all these iustrOuS examples, TO fellowship In
| nfamy with the only dark exception III American
| history. =,
| Finally, tho whole American people have. in the
late election, turned away from every proposition OK
| repudiating in whole or III part the National ueDt,
and decreed that the public faith with creditors
shall be maintained invoate in spirit and IN letter.
National Government, and in this State, ~ pledged
to equity and justice in respect to all peeunlary obll,
Cations less than in respect TO civil and political
| rights.
IL will enhance the proud record Of the party now
In control of the Government of Minnesota if il shall
add to its achievements the just and honorable dis.
charge of the liability of the State on account OF
these bonds, thus removing public reproach, as 1t
has already that of unjust Discrimination against
class of its people in respect to political rights.
| therefore urge the propriety and wisdom OF your
| using the means which at hand, without taxa
ton of the people, TO provide for this liability tha'
| must, sooner or later. be met.
| should be unfathful to my trust, unfaithful to
| all the people if refraned from recommending thai
| the burden of taxation that Will otherwise surely
como upon the people. be forestalled by appro-
priating the internal Improvement lands to the adj
| justment of the bonds.
1t will be recollected that the regents of our State
| University with the proceeds of fourteen thousand
acres of land were successful in adjusting a sus
| pended debt of the University, amounting to one
| hundred and twenty-five thousand dollars This is
very encouraging example IN onr'own history OF
| what we may hope to accomplish with the five
| hundred thousand acres of internal improvement
| lands IN adjusting this railroad bond liability.
| w. r. MARSHALL.