New Orleans Republican. [volume] (New Orleans, La) 1867-1878, 1873-06-29

T0tal. ,!3l 90
To provide for this large unliquidated debt there
is only the delinquent tax due the general fund,
and the amount of receipts from that source will
Oh the most favorable estimate. come very far
short of dschsrgng these liabilities. The receipts
into the treasury on account of this fund have
been Cor the past five months, @69. 342 D. and the
amount of warrants drawn against the same for the
same period. 5 Oa6 IS. OF this latter amount.
$ s363.a % have been retired leaving j $50 2D7 "a
outstanding. The collection OF the curren: taxes
being 20 a great extent inevitably deferred until
near the close of the year. tNe receipts into the
general fund. from that source. viii. without
doubt, De mach greater during the remaining
seven months than during the past five.
Still, from most careful estimate of these
cepts. due consideration bein. given to all reliable
information and data in my possession. find that
there is no reasonable probability that they will
equal the amount appropriated at the last session
OF the Legislature. and for which warrants must
be drawn. The deficit will be, as nearly can be
estimated. about $500, 00D-much less. 1t viii, be
seen, than that of previous years. out none the
less burdensOme on that account. Unless some
method of liquidation is adopted which will retire
these warrants in the course of the year. this large
overdra:t mus: be added to the already enormous
tota, OF ''outstaudus wsrrauts OF the previous
years.
1t is obvious that this process OF an annually
augmeutinS excess OF expenditures over receipts
must result in large increase over the present
onerous rate OF taxation, or in reputation or
bankruptcy. On the other hand, if the excess can
be avoided this year, the tide will 6e turned. and.
with proper management and economy Of appro.
priatoL. il need not recur in any succeeding year.
As long the general fund is Overdrawn. the
State warrants will be thrown on the market and
bough: and sold at discount-the extent of de-
probation being very fair index OF the excess of
warrant. over receipts. When the receipts into
that fund equal the drafts against it and warrants
are las contemplated by law) paid by the Treas.
soon issued, speculation in that class of
State paper must cease to the great credit OF the
State and to the great relief of the Auditors and
Trea.urev'S offices. harassed with many en-
barrassiDg difficulties.
OF the warrants drawn against the general fund.
q very large proportion are never paid to the
original holders. They sold to spectators and
BY them cashed as opportunity offers, the time of
payment dependin. on the vigilance of the broker.
and the pertinacty of his attendance at the Treas
urers counter 1t thus happens tina. when money
is paid into the general fund.- 1t is forthwith
claimed, and Of course paid, TO redeem this class
paying spectators at par for warrants which they
bought from the original owners at . large dis.
count.
The orr Snai payee. who is the mertoriOris claim
ant, gets NC benefit from the paymen: IN full.
Che State any benef. from the discount in the
market. Nor can parties holding warrants who
not willing not able to maintain a s,steln-
attic surveillance Of the Treasury. hope 20 obtain
payment in full. They will be constantly fore.
stalled by the more vSiant broker. and forced to
hold their warrants indefinitely. Or sell them at =
discount. This palpabe Injustice results from a
system which never contemplated the anomalous
condition OF affairs in which we find ourselves. 1t
IS my desire to remedy the evi! 50 far possible:
az least, if the Original claimants cannot receive
payment in full for their warrants 10 to the
State the benefit of the discount which they now
willingly pay 70 the broker.
I shall. therefore, til" fifteenth, dag OF july.
49,; ard on the second Tue sdav o: each mon.l.
thereafter. advertise for proposals for the pisr-
chase, with warrants Of TIE currency :hen On
hand beOngin. to the genera! fund; or in other
words SCI! the amount o! cash on hand at auction,
TO whoever vii. pay the most for il in warrants
issued subsequent to January |. :%.:.
lam aware 0! the nature OF the criticism which
this course is likely to invite. We shall te charged
tina: Is = refinement which the mone- market,
whose reinorseless rules are subject TO- take.
account of; and that it is far better: in any view
OF the case. to buy our own paper. j: By 60 doing
we can advance il to par without injustice to our
creditors, than to allow parties who car. little o,
nothing for the credit of the State to speculate in
it until its vaue and purchasin: ;~xer are reduced
10 nothing
II the law does not pres sly en Join this course
il does not forbid it. II it is objected that the law
does not contemplate this method of foundation
reply that the law did not contemplate the pre- sen.
condition Of affairs and ii anything Is to be pre.
slime! III relation to the duties of the G,ancia,
officers OF the State, it is that they VII! make the
hes; possible use of the assets placed IA ;i.ei-
hands whatever may be tt. circumstances TIN.
assets OF TIE general fund are no: Iow. nor viii,
they be during the current year. ell.,. to its cur,
Ken: liabilities.
l: is my desire 10 Ovid. tie a.s..s .,.,.vr
among tie creditors 0: ;ha: fuud So far from
1.JuTins the credit Of the State, I t,i., i.
vious that this course will improve il, The nro5H
able current receipts will if expended in the -
chase o: warrants at their marke. rai,,e ,s.i, IL
or nearly a: the issue OF the current year. ,eavi
L. .: lis close With little OK nothing to be addadH