The Anderson intelligencer. [volume] (Anderson Court House, S.C.) 1860-1914, 1869-12-02
HOYT & CO., Proprietors

of their action, 1usti1es your course in re-
fusine to comply with their demands. 1t
is to be hoped that the same care and the
same course will continue to characterize
the action of the General Assembly.
rnn CREATION OF A SINKING FUND.
There are in the State Treasury s2,-
754. 600 of Railroad Bonds and other Sc
curities, which I recommend be held, and
: ultimately used as sinking fund for the
liquidation of the State debt, as they are
of a class and character which must in
crease in value. In addition to this, L
would suggest the propriety of taking In
to consideration the very able plan de-
vised byJ. g. Holmes, Esq, of Charles
ton, to provide for a small sinking fund,
by which the entire State debt may be
paid off by the redemption annually of a
small amount of State securities. 1t is
believed that this plan would enable us
TO paw our entire debt in few years, and
would convince moneyed men, at home
and abroad, of our determination to pro-
vide for the prompt payment Of all our
securities as they become due. The State
being sovereign, no action can be brought
against it to enforce payment of claims
against her. Its credit, therefore, and the
price of its bonds, depend upon its re-
sources, the honor and good faith of the
State Government. The credit of the
State should be regarded as a sacred trust.
RESUMPTION OF SPECIE PAYMENT.
A large part of our debt was incurred
before the passage of the Legal Tender
Act. The creditors of the State loaned
their money when gold was the legal ten
der of the country. The creditor was
promised, and expected to receive the
equivalent of his loan, both in principal
and interest. Were this and the other
States of the Union to take this view of
their responsibilities, and decide to pay
their obligations in gold, it would be a
great step towards the resumption of spe-
Gle payments, and assist very materially
the policy of the present able Secretary of
the Treasury, in bringing gold and cur
rency on par. 1t would also prevent
the possibility of a recurrence in the great
moneyed centres of wild and reckless
speculations in the gold of the country.
regard it as q matter of the highest i'm
portance, that you should take into con-
ssideration the propriety of authorizing the
State Treasurer to meet in future the in
terest due on the State debt in specie, be-
lieving that but short period must elapse
before it will cost no more to pay in spe-
Gle than in currency. On the other hand,
capitalists seeking ACKNOWLEDGEMENTS
of their surplus funds will be assured that
| it is the intention and determination OF
this State to make its bonds equal as an
investment to those of any State in the
Union, even to those of the General Gov
ernment. BY the adoption of this plan,
we at once fix the value Of our securities
where the resources of the State should
place them. This measure would attract
foreign capital, encourage emigration, and,
as our credit increases, individual proper
ty will enhance in value, and the general
prosperity of our citizens be promoted.
One important reason why the interest
should be paid in the medium originally
intended, and one that will strongly COM
mend itself to your judgment as an act of
Justice to our creditors is that some ofo
liabilities become due dnring the coming
wear 1870, for which provision must be
made. 1t is therefore for the purpose of
arranging these liabilities with the credi-
tors as they become due, that it is impor-
tant that we should offer them security
equally as good as the original investment.
Not only is this to our interest, but good
faith and justice demand it. 1t will be
the means of meeting claims falling due as
the original obligation contemplated. To
meet these liabilities at present, would in
volye the necessity Of so large an add
tional taxation that it would impose too
heavy burden upon the tax payers
Not to provide for these liabilities might
lead holders to infer by our silence that
we neither feel nor intend to take any in
terest in their redemption, and they would
necessarily become an undesirable and un-
sought investment. Should such an i'm
preston become current, these securities
will be thrown upon the market, and the
credit of our State bonds will suffer from
seeming indifference or carelessness of
our credit. l trust, therefore, that you
will take this matter under earnest and
careful consideration, and your favorable
action may be the first step in assisting
the financial men of the country in the So
luton of the gold problem. No section
of the country is so we'll prepared to both
pay in gold and demand gold in return
for the products of the soil, furnished the
markets of the world. If our business
men could adopt the specie basis for all
transactions, they would at all times be
prepared for the financial crash that may
come when the General Government de-
termines to return to specie payment
| INSURANCE COMPANIES.
With the increase of commerce and in
telligence, insurance upon both life and
property has become favorite security.
Much of this business is carried or in this
ctoto br oononon;oa In No WISE suhiect to