The Charleston daily news. [volume] (Charleston, S.C.) 1865-1873, 1870-06-10
HOW TO CARRY THE CITY DEBT
The Equitable Rights of Debtors and
Creditors.
TO THE EDITOR OF THE NEWS.

TO THE EDITOR OF THE NEWS.
The burden OF complaint Is, that the city
debt requires such rate of taxation that
Charleston is in danger Of tagging behind other
rival towns in the race of prosperity; that she
must free herself from this debt in order to
compete with them. If the prosperity of
Charleston depends upon her violating her
plighted faith, she is hopelessly doomed. If
she has the elements of prosperity about her,
the debt will certainly he clog to her course,
but it cannot seriously injure her. If the debt
is to crush the city, it will extinguish itselfat
the same time; If the city can exist without the
debt and flourish, 1t can bear the burden of the
debt also. What the future may bring forth
no one may tell, but certainly no hope Of fll-
ture success can be we'll founded which relies
upon immediate faithlessness.
The actual condition of Charleston interests
her creditors no less than her debtors. II she
go down, their hopes go with her. 1t is, there
fore, only fair that they shall consent to an
equitable adjustment Of their claims. If the
Council will at once propose a. postponement
of the payment Of the instruments soon to be-
come due. in the hope that returning pros
perity will make 1t easier for the debtor,
doubt whether there would be any dissenting
voices. AS for the proposition that the debtor
shall not be taxed, there is o variety of opin-
ions-that corporation should tax Its debts is,
prima tacie, monstrous. 1t Is assuming
power to alter the rate OF interest which 1t has
solemnly promised to pay. But circumstances
Ia oI,x orip nj of tpctin
corporation debt becomes, from Its very ma
ture, property, and may not escape the liabil-
ties uf property. 1t is right, therefore, that
this kind Of property shall bear its share OF the
public burden; that it shall be taxed as much
and no more than other property. The credi-
tors should yield this, not of justice, but as
concession to the claim of the city to all the
aid that the citizens can give her. But when
this is Welded there should be something like
an assurance that their Interest shall be
promptly paid, and this can be done only by
solemnly pledging certain Of the taxes for this
purpose and religlously abstaining from using
them for any other purpose. II this Is done,
and properly done, city stock may not rise to
par-that will depend upon the general value
of money-bntit will have real value; like
other property, that value will rise anu fall
with the value of money, but 1t will not be
swayed by speculations upon the Integrity of
the city. 1t will not be tarnisled by stock
jobbing spectators.
If those to whom the government of the city
is committed are inactive; il they tremble be-
fore the appalling weight Of debt, and will not
move to arrange 1t, what can the creditors do
when payment is due but to resort to the
courts to have their claims satisfied ? This is
the course pursued with private debts, and
few debtors, who show an honest disposition
to pay, are ever harrassed or driven to bank
ruptcy by hard-hearted creditors How easy
would it be for the city, with her resources,
with the sympathies Of the debtors working
for her, to adjust their claims. Let the Coun-
Gil come forward 1t is due to the debtor, to
the creditor, to the reputation of the city and
to every principle Of JUSTICE.