The daily phoenix. [volume] (Columbia, S.C.) 1865-1878, 1874-10-21
COLUMBIA, S. c..
Wednesday Morning. October 81, 1874
The Pablo Dubt.

We have statement from New Or
leans that duly commissioned repre-.
sentative OF European capitalists,
holding upwards OF $500. 900. 900 OF
bonds Of the Southern States, had ef-
footed an arrangement with the States
OF Virginia, South and North Carolina,
Alabama and Arkansas, through their
respective Governors, by which the
bonds are to be funded, principal aud
interest, to draw interest at four or
five per cent, aud the time of their
payment to be extended to thirty
years. It is stated that, in considera-
tion of this indulgence, the States are
to enter into agreement to provide, by
taxation, q sinking fund for the re-
deEip:ion of the principal and pay
melt of interest. The amount thus
settled on account of South Carolina
is put down at SlO.00O.0OO. It is fur
ther added, that her 5000. 900 fraudu-
lent debt has not been settled, but ne
gotiations looking to an adjustment
are in progress.
There may be commissioner sent
ont here authorized to treat upon this
subject, but it must be mistake that
any arrangement has been made with
She authorities Of South Carolina to
settle 100000 of foreign debt.
South Carolina owes no such foreign
debt, and not the half of it. Nor is
the fraudulent debt, consisting of con.
version bonds, bonds hypothecated
contrary to law, and bogus pay certiA-
Gates, held abroad. Foreigners can
have nothing to do with it, except.
perhaps, to get it out of the way of
their own just claims. Upon the whole,
the statements from New Orleans OF
these transactions are improbable in
several respects. They are acceptable,
however, il they may be taken as IN
indication of leniency to be exercised
towards us by the foreign bondholders.
Tho Act passed last winter to reduce
the volume of the public debt, and to
provide for its payment, is viewed with
. good deal of complacency by some
persons. It is claimed as O positive
denunciation OF the debt. and sported
as feather in the cap of the State ad.
ministration. The portion OF the ACT
which threw overheard the conversion
bonds, amounting to nearly six mil
lion, as put upon the market with
out any authority of law" was just
and necessary. It branded fraud with
legislative oondemnatiops, although
the legislative valuation of these
bonds two years. before excites our ap-
p.ehensions that it may be attempted
again. The other part of the Act, by
which it is proposed to issue to hold
ers OF bonds and stocks, upon theiy
surrender, other bonds and stocks, in
the proportion of fifty per oentum OF
their face value, is very good to think
about, but we must remember that it
takes two to make bargain. If the
creditor should cay nay to such
proposition. We could not help our
selves. We have never thought, there
fore, that it would amount to much,
except with those parties who had
dabbled in our stocks to their cost, and
find themselves left in possession of
bonds of doubtful validity, or who
have connection with some of the
bond or other plundering rings. Such
peopie as these would be glad TO get
even less than fifty cents for bonds in
their hands. which, perhaps, cost
them nothing. or which they hold in
the interest OF dissolving ring, de-
slrous TO realize upon almost any
terms. The time has not come to set.
tie the public debt yet. The parties
are Lot in power in whom confidence
can be placed as to my arrangements
they may enter into. The more they
tinker at the debt, the less confidence
they inspire. Distrust would be felt
OF any present adjustment, as the work
OF weak and unprinoipled men, not an.
thorized in their character and capa-
city to stand between the honorable
men who have gone before them. and