Whig and tribune. [volume] (Jackson, Tenn.) 1870-1877, 1874-11-28

1t was to see that the laws were faith
fully executed, made no objection {
the sale of the bonds, and said moth
ing in any of his messages about tn
, illegal sale of bonds. In fact tw
] years thereafter, IN his message to tn
. Legislature IN 1865, he said: "OU
various works Of internal improve
ment are steadily and constantly ad
vancing by the timely and judiciou
aid of the State, developing our hith
erto hidden and latent resources ant
bearing off to the markets Of the Eorl,
at cheap rates, the mechanical, agri
cultural and other products of tn
country"
During the session Of 1855 and 1856
} the Legislature, IN conformity Will
these recommendations of Gov. John
nous railroads.
Whilst Andrew Johnson was Cover
nor bonds were issued to the amoun
of 81, 220, 900, and during Gov. Har
ris' administration, bonds 10 the a
mount of 1854 900 were issued. -
Nothing was said by either of thes,
Governors in regard to the illegal is
sue or sale of bonds during the ad
ministration Of either of them. The
Legislature of 1851 authorized the
appointment Of a railroad commission.
er by the Governor, whose business II
was specially to look after railroad
matters, and see that nothing wrong
was done. Gov. johnson appointed
/ r. G.. Payne, of Maury county, q
warm personal and political friend,
Railroad Commissioner, who faithful
ly performed his duties, SO far as We
know or believe.
Gov. Harris appointed II. T. Cum
Minis, of Henry county, one of the
best officers the State ever had. It is
fair to presume that Governors john
son and Harris, aided by the Railroad
Commissioners appointed by them
respectively, would not have permit
| ted an illegal issue or sale of bonds,
without communicating that fact to
the Legislature. To suppose that
they would have done so would be re-
! hecting upon their official acts in a
manner we are not willing to do, and
which would doubtless be very IN
Just.
Another fact which shows that
nothing wrong was done is that the
| the State in 1861, including the
State debt proper, was only 20, 105,-
COG, although all of the important
railroads of the State had been com
pleted except the Nashville & North
wastern, upon which much work
had been done. The legislature had
provided for the payment of the in
terest and of the principal of the
debts as they fell due, but the
war came on and caused securities
otherwise valuable TO be in some
instances worthless on account of
the destruction of the railroads aud
the accumulation of interest.
Even under all these disadvan-
tages the whole liabilities of the
State in October 1865 were only
So, ,277 ,466, of which only 1888, ,12l
were for insOlvent railroads. Had
the insolvent railroads been given
away, the debt for which the State
would have been compelled to pro-
vide would only have been $i0.677,-
$40.
These facts have been given and
these references made in order to
show that that the pretext now urg-
ed that the Internal improvements
were internal sWindles, and that
the disposition of the bonds issued
before the war was fraudulent and
in direct violation OF the laws au-
thOriZing them" is without found
alton in fact, and is merely invent
ed in order to excuse the doctrine
of repudiatiOn.
The subsequent issue of bonds to
insOlvent railroad companies is the
cause OF our financial difficulties.
Had no bonds been issued to any eX-
cept the great through lines with
important connections, they would
nNv0 hoan ahle to discharge their Ii,
abilities and have saved the State
harmless. The amount of debt
which the insOlvent railroads owed
to the State in October 1870
was $20,0O0,O0O. Had all the insolv-
ent roads been given away in 1865,
and no aid extended to other insOlv-
ent roads, the whole loss on rail-
roads by the State as before stated,
would only have been IS, ,953, 12l;
but unfortunately bonds were issued
TO insolvent railroad companies TO
such an amount as to deeply involve
the State without adding anything
of consequence 10 the value of these
roads. In this way the debt of the
State was increased from 1865 to
1870 under Republican administra-
ton sixteen millions of dollars.
In 1669-7O the legislature passed
an Act authorizing railroad compa-
nies to pay the debts which they
owed the State, in bonds of any Sc
ries except the Mineral Home and
Valley of Virginia Insurance Com
pany. The object of this Act was
to cause the railroad companies to
buy the bonds issued to the insOlv-
ent railroad companies during the
Republican administration, because
they were, on account of their sus-
picious character, selling lower than
any other bonds, and in this way all
of these bonds except 81, 800, 600
have been returned into the State
Treasury, and even those Outstand-
ing have been recognized by the
Conservative legislature of 1869.
In this way the debt of the State
was contracted, except s., 900, 600 of
Tennessee Bank notes which the
Supreme Court OF the United States
1t was this debt which Governor
Browns administration had to con-
tend with. The credit of the State
had been seriously impaired, capi-
tai had been drawn away by our
failure to meet our obligations,
since no State which fails TO meet
it's just obligations can ever be pros
porous. States that are either un-
able or unwilling to comply with
their contracts, do not present an
inviting field for either capital, la
Dor or immigration. Never did any
Governor have q more difficult task
to perform than Gov. Brown at that
time He comprehende1 the situ-
alton and acted with decision. He
found bonds and coupons TO the
amount of near six millions of dol
lars due and falling due, which the
people felt themselves unable to
pay, since they had to redeem i'm
mediately $2,0O0,0O0 of Tennessee
Bank notes. Either the credit OF
the State had to remain at its low
rate greatly to the injury of the
people, or a tax amounting 10 three
or four per cent. had TO be levied
or the bonds and coupons due had
| TO be renewed.
Gov. Brown preferred that the lat
/ ter plan, and so stated in his frs
message. In 1872 he was again nOm-
Z mated by the Democratic party,
with q full knowledge OF his views
on this question, as well as of his
action in regard TO the lease of the
Penitentiary; and they passed the
| following resolution:
"Inasmuch as the administration
of Gov. John {. Brown, by its pru-
dence, moderation and wisdom, by
the fidelity displayed in the dis
charge of every trust imposed by
| the Constitution, or by legislative
enactment, upon:the Executive, and