The Hillsborough recorder. [volume] (Hillsborough, N.C.) 1820-1879, 1874-01-14
SPEECH or
Senator John w. Norwood,

BIT, lFtStueR!. L nave Two UuyectuhS
TO the bill under consideration, which in |
my opinion, ought to prevent its passage.
Other objections to i, lreserve for gene
ral view of the whole subject. which | de-
sire to take, in support of the amendment.
which I had the honor to offer as a substi-
tute for the bill.
First. This bill assaai'tg the State to be
issolceat. proposes with Sc. 600, 900, to pay
of something over s22. 900. 900, Of our
debt, which reaches nearly 1000, 600
and for that purpose, II divides the holders
of our bonds, for that amount. Of debt in
TO three classes.
The FIRST and favored class. holding bonds
to the amount OF So ,632. 200, arc to bc paid
fifty cents in the dollar. The second class.
holding bonds to theamount of 1853. i6O.
are to receive thirty cents in the dollar, and
the third Class, holding bonds to the a.
mount of sll,171,6s9, are to receive twen-
ty cents in the dollar.
Now as the entire debt of 1000. 900
consists ofStato bonds Of 81. 900 each and
as by the provisions Of this bill. each and
every one Of these bond holders, is allow
ed 10 come in separately to your Public
Treasurer and demand and receive new
good bond for bis old one, according to the
per centage allowed to the class, to which
it belongs: Now suppose, only one half Of
the bonds making this So. 900. 900 of debt.
shall thus DO presented and exchanged !;
what ! ask, will be the consequence to the
State? Simply this. You will have in
CURED new and valid debt stronger even
than the special tax bonds Of s.. 0OC 900.
and you will have imposed an additional an
nual tax Of $780, 600 upon the people |;
which will be already levied BY the law ere
ating IT. and beyond your power to recall.
alter. or change and yet there will remain
against US outstanding and unpaid. Sill
600. 900 or one half Of this sane debt. For
one am not willing TO make such bar
gain. And | cannot believe the people will
sanction such financial scheme.
Sir, let the friends Of this bill amend it.
By requiring all The bonds representing the
entire debt, Of $50. 600. 600. to be irst fl
ed with the Public Treasurer, before he Is
allowed to issue single new bond. 0rat
the very least, let the State be protected
BY q satisfactory guarantee. that sll the
bonds shall come in, and be exchanged on
the terms iofered by the bill. We will
then have some security against cruel dis
appointment; heavy burden Of increased
taxation and an entire failure to restore the
credit Of the State, in the money markets
Of the world. The Senator from Randolph
has no hesitation in assuring Us that all
the bcnd-holders will agree 10 the compro.
mise. then they are al ready to come for.
ward with their bonds. Let them do it.
Sir, there is another objection Of lik.
character. to this bin. but far more impor.
tant and fatal.
There is another large class Of State bond
outstanding against ns, which are not EN-.
braced IN this bill st al. I mean the spe
cial tax bonds. amounting in principal mo-
meg alone 70 sil.4OO.0OO. With severa
millions ofpsst due interest upon them. ans
increasing annually at the rate Of 1884. 600
In The very fOrcible speech which the seDs
cor from Randolph tair. WORTH made il
support Of bis bill, be denounced these spe
cial tax bonds as fraudulent and void, an.
had no fear that any court would ever co
force them against Us and therefore be lei
them out Of sis bill. The Senator from
Mectlenburg lMr. WariDg) asks me IL
think. there y any mode By which thes
special tax bonds can be collected and
80 how itcan be accomplished. / bad jos
reached that very point. and viii procee,
TO answer ,be inquiry. Assn individual,
believe these bonds 70 be demonstrations
and void. and join in the condemnation Z
them as fraudulent snd infsmCas. But Ill
my opinion or the solemn declaration Z
tbs General Assembly to that effect vii
mot relieve rs IN this great emergency.
issquestioD for the Courts 70 decide. An
The Courts have already spoken. In ih
Supreme Court Of North Carolina. 10 II
ease Of University X. X. Co.. against 10
den Cos. reported 10 GS vol. Of n. q. Il,
port, page 40. four Judges Of that Coul
against the single opinion Of Chief Justis
Pearson % the contrary. LeId these bond
70 be valid. ! have the case before n
and refer senators particularly 70 The opir
ion Of Judge Settle. 10 which he condens,
the opinions Of the other three sssociai