Public ledger. [volume] (Memphis, Tenn.) 1865-1893, 1874-03-25
The other side of the Coupon CUES
tton.

| To the Editor of the Ledger;
In two separate articles of a recent
date YOU have taken issue with Mayor
League as to the justice of his policy in
purchasing past-due coupons, instead OF
paving them in full. am not an apollo
gist for Mayor League, nor do | conceive
| that he needs any, or that you have any
other than the reasons given IN your
articles for your opposition TO this
measure. Therefore, come to reason
Nth you" and to discuss the abstract
question of justice, under all the cir
cumstances, of this measure. 10 do so
| intelligibly we must use few figures to
point out facts, and make ourselves I'M
| derstood, for we will talk for the benefit
of all who are interested. The bonded
debt of the city is 100000. The an
nual interest is $4,000. The taxable
nrouerty. all told, is about $3O,OOO,OOO.
| The interest tax levied is lc, or a gross
sum of about 100000. Of this amount
there is still due and luncollected
1896, s36, divided between the AID, 44th,
45th and 46th corporate years. AS
understand, every effort has been made
to collect these taxes, but without avail
There is of coupons, past.due, $33o, $40
Of this sum $4,000 are prior to 1871,
and $l6,SOo for 1872, and for 1873 $685.
500. There are already due for 1874
| sos, $40, and to come due duriHg the
year about $4,000, making a grand
total for Mr.. League to provide for in
1874 OF $46s, $40. Then, on January LIST,
| 1875, there will be due another sum OF
Sl2OO0O. Within the coming twelve
months there is $58s, $40, not calculating
the interest on past-due coupons, which
will swell the sum to over 100000.
Now to meet.this Mr.. League has the
taxes Of the current year on interest ac-
count, amounting to about $500, 900, as
assessed; but for the average of errors
and insolvencies, as taken from the past
four years, we must allow $S4, 900, which
only leaves S2l6,000 to meet $500, 900.
But let us 60 further, and suppose that
Mayor League should collect all the
back taxes due for interest land we
know he is famous as revenue collec-
tor J, still he will only have $3.50, 600 to
pay 100000 with This is bad show
ing, but is is true. Now, Mr.. Editor, is
it not better to do, as Mr.. League is
doing, and say to the holders of the cou-
pons, Il cannot pay you all. 1t is un-
fair to prefer one over another. II
hold my money to get $500, 900 together
l lose all the interest that have to pay
on the coupons, for they bear interest
after due. Therefore will let you who
hold the coupons elect who is to be paid
first by saying who will take least for
them"
Your articles hint that it is not HON.
oRABLE and FAIR. Now, Mr.. Editor,
are you not drawing it little fine2 Do
not some Of our best merchants and
richest 90 into the market sometimes
and pay q per cent. per month for
money? Don't they charge it daily to
planters2 Is it not fair to do so2 You
would not dare to say nay. The ex-
ploded ideas of usury are not for wise,
active, live men like yourself Then if
merchant must sell his note at q per
cent. per month discount when he is in
need, is it not fair to buy it back at like
rates when be is better circumstanced2
Then If a merchant may do it, why not
the city of Memphis? 1t is. a matter Of
history that Memphis once funded her
debt with bonds in manner that was
equal to giving two for one. The holders
of Memphis bonds hold them at an
average Of fifty-two cents on the dollar.
They can afford to sell the coupons at
sixty cents on the dollar, and still make
money. II is, however, optional with
them to.sell to Mr.. League or net just
as they please; there is no compulsion.
Then, where is the wrong in Mr.. Leagues
policy? If that policy had been inaugu-
rated by the city and the State of Ten
nessee ten years ago instead of the
abominable funding schemes that have
been forced upon us our taxes would
not be 30 near six per cent. today, nor
would our business be dragging and
tagging under the murderous depression
that weighs so heavily on every branch
of trade. Our merchants are as shrewd
and as wide-awake as any in the land,
and yet they are not able to meet such
taxation, and if long continued they
will withdraw from its reach by seeking
other locations. If you will put to them
the facts and hgures as have given
them to you, and ask what they think of
Mr.. Leagues policy, they will say TO
man that he is RIGET. Now, would it
not be well for you to own up also, Mr..
Editor EQuITY.