The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1871-12-07
Virginia's Debt and Our Relations
10 It..

Virginia's Debt and Our Relations
TO II.
We print this morning another interest
ipg letter from our correspondent &c" on
the subject OF the Virginia debt. The
obligation assumed by Virginia to the
creditors in the funding bill" and the
grievous burden it Imposes on Virginia in
her present condition, are explained in u
very forcible ond perspicuOus way, that
would be even more interesting to Viz
ginla readers than 70 our own. In regard
to West Virginia's relations to the fund
ing done by Virginia, We do not sec them
in quite the same light as &C." five un'
derstand his suggestions on that point
lie says; "ThG new contract superseded
the old one, and thereby released west
Virginia from liability. Virginia in bind
ing herself has released us us to all her
debt save this deferred one.third." Our
understanding OF the case Is this;
that the new contract, as Mr. W"
states 1t, has superseded the old one;
but that the new contract embraces the
whole debt Virginia took upon herself
a settlement OF the whole. For twO-thirds
Of it she gives new bonds; for the other
third she gives certificate of indebted
ness, which she binds herself to replace
with bond when u settlement between
herself and West Virginia has been CT,
fected. The creditors surrender the old
bonds and accept instead these new bonds
and certificates. They accept Virginia's
obligations for the whole, two thirds be-
ing, as VIC may say, present and one
third o deferred obligation. Thus, taking
Virginia alone for the entire debt, the
creditors give up their right to look to
West Virginia for any part Of it, The
only relation West Virginia now has to
them Is that the time when they will
get Virginia's bonds for their deferred
one.third will depend on when we settle
with Virginia.
But there has been no change in the
obligation of this State tolVirginia. We
are exactly as much bound rs before to
settle with her Tor Our equitable proper
ton OF the debt, whenever she Is ready to
settle. Her action in funding the interest
that accrued during the war, and thus
swelling the debt some eleven millions
above what it was in 1860, may Compli-
cate that settlement. It Is held by SOM
that interest on public debt, under the
common law'of nations, cannot be claimed
for the time the debtor was engaged In
war; but To release us from our part of
that interest IL will have TO beshOwn that
State in insurreCtion is such party to
war rs is contemplated by that rule.
We do not believe II can be shown. But
whatever may be the detaHePr difficulties
Of our settlement with Virginia, that set
Element must be made, whenever she de-
mands 1t, and In that settlement we must
account to her for an equitable share OF
the debt, for the whole of which she has
bound herself to the creditors.
If Virginia does not choose to ask us for
settlement, VIC have no interest in
forcing one on her. unless We think there
would he o balance in our favor. She
may not choose to ask for one. She may
nnd land certainly willy that what she
would get from US would not be com.
pcnsation for funding the remaining one.
third; and she may choose to postpone
funding 1t indefinitely by deIcrring her
settlement with West Virginia. This
view Of the case has apparently presented
itself to the present authorities of Vir.
ginia; and that may explain their indil'
ference about responding TO the action Of
this State in appointing commissioners
For the future VIC should not be sur.
prised IL Virginias policy in reference to
settlement with us would be one Of
mastery inactivity. 1t will be no fault OF
West Virginia, however, II one Is not
speedily concluded, Tor she Is ready to
proceed with Il at once.