New Orleans Republican., 1875-10-02
Our Finances in New York.

| Ino IOllOWlDH letVerb were iHtoiy loooiNcN
at the executive office. They disclose one
of the most potent causes of the depression
| of our securities in New York and England,
and the difficulties with which our well
wishers, like the writer from London, have
to contend. When those who have accu-
mulated sufficient means from Louisiana to
enjoy ease in London or the North devote
their leisure to the denunciation of Louis
iana and, with sufficient LEGAL knowledge
to disguise their malignity to their hearers,
tell prominent bankers such untruths. it is
not strange the credit of the State is low.
In short time, however, the expectations
of those who still believe Louisiana to be
great State, and financially sound, will be
realized. The prompt payment Of interest
will remove apprehension, and better
knowledge will give confidence:
LONDON, w, September Is, 1875.
| His E1cellency Governor Kellogg:
| DEAR SIR-Since writing our excellepcy
| recently l have received the inclostd from
friend in New York who is the head of a
| strong muneyed institution there. and who
evidently gathers his Information and ad
| vice from eX-cit'zens of your State, who
|
| bers and evidently bent on ruin, since they
can not rule. You will, however, please OBJ
| serve their maledictiOn is directed exclu-
sively to the post bellum issues, and which
can not now as l inter, be traced in the
consolidated issue.
| 1t is great pity, not to say misfortune,
that there are persons 30 utterly destitute
OF national and State pride and 30 deeply
bound up with the anmus of party as to
| advocate reckless ideas. ard strain SO per-
sistentiy to break down the credit OF your
State and destroy utterly the best interests
and prospects Of her citizens.
| Who can adequately measure or estimate
the keen, biting, cut ing, stinging disgrace
| OF such conduct, or the fearful damage that
may result from It if persisted in!
Is it not about time party and party
| issues were made subservient to the highest
interests of your pc ople; and the rights of
the blacks before the law recognized and
respected Would it not be wise for your
people to treat them fairly, justly and even
| generously, and go attract large numbers
of them within your border, 10 assist in
adding to the productive wealth of your
/ State. Is the bitter spirit of intolerance to
prevail alwayse Will not the time soon
| come when every man i'll your State will
| have learned to respect the rights and opin-
| ions of othere, as he wishes his own to be
repectedl If so, you may look for united,
| but ! fear not until then, and i'll the mean
| time your negro killers and croakers will
| be killed of utterly By the prompt payment
| of your consolidated debt interest, and your
| bonds, through that means, grow into favor
and confidence.
| AS matter of policy l postpone my
| scheme till the first OF January next, when
trust further prompt payment OF inter
| est will create better feeling in respect to
| your Stste credit
To return to the subject matter of the en-
| closed letter, may | ask you if the state
ments it contains in respect to taxes are
justs l remain your exceilency's most obe
dient servant,
The following is the letter inclosed in the
above:
AUGUST 2s, 1875.
MY DEAR SIR-I an duly in receipt of
your Several notes referring to Louisiana
bonds, tc.
Have made some inquiries in relation to
the bonds, of those who are conversant with
the affairs OF the State. My information is
substantially to the effect that none of the
bonds are really worth the paper they are
printed on, except those Issued prior to the
war; first, because no consideration was
given Tor Them, and next, because the State
is wholly unable to pay, and ought not to
pay them. For many years the State has
been in the hands of banditti acting under
the disguise of forms of law, but really by
tOrce and usurpat0n-a condition of things
little if any better than exists in Mexico.
One OF our stockholders built just as the
war was closing, on main street in New
Orleans, store which cost him $4,000 Ia
1873 that store was taxed five and a half
per cent on a valuation of $l5O,0OO,
or equal to eleven per cent of its
cost! Another gentleman of my ,ac-
quisntance, an owner of property south
of New Orleans, tells me that near him
was sugar estate of 600 acres, with brick
buildit gs, engines, etc, complete, which
went a begging for q purchaser at $50, 900,
or less than cost of buildings etc., and this
because the owner could not stand the gov
ernment of the ate and taxation. These
are specimen bricks. In my opinion
nothing but the power of the federal gov
ernment has prevented the outraged and
robbed citizens from exterminating, root
and branch, all the scoundrels who have
fastened themselves upon the resources
and credit of the State, and think it will
be impossible to collect either principal or
interest of the fraudulent issues made by
the harpies. Their utter reputation by the
honest citizens of the State would have
the sympa by of every one except those
interested in their collection.
This sort of thing is getting almost to the
end OF its rope in this country. All sec
tions have suffered more or less from it,
aad millions of similar issues by towns,
counties and States are in default on inter
eat and will, doubtless, be repudiated from
necessity, it not from choice.
Things are settling down here to first
principles, pretty fast. Duncan, Sherman
q Co.'s showing of 81 of assets to SO of liza
bilities, and that of the Bank of California
not much better, with sundry ''side shows"
of smaller concerns to the same tune, fully
explain to the thoughtful observer why
money is "knee deep" in Wall street at two
per cent per annum, and accumulatng at
that. People have no confidence. The big
ring schemes and bogus bond printing com
binations, operating in the names of towns,
counties, Statss, railroads and banking
houses. have silently sapped the founda-
tions Of commerce, till none but speculators
dare go into business or undertake enter.
prises. Time will cure some of the evil.
but l fear that the final settlement will moi
make much better showing than that uu-
der the bankrupt act of 1867, where the
average dividend was two per cent of the
total liabilities.
Am sorry to have to write you 60 gloomy
an account Of affairs, but it is the true one;
mofe's the pity.