Perrysburg journal. (Perrysburg, Wood Co., O. [Ohio]) 186?-1965, 1875-08-13
The Penalty OF Bad Faith.

Ex-Secretary McCulloch has recently
written from London to the New
York Tribune letter, the argument Of
which might proftably be condensed into
brief form and circulated as n campaign
document by the Republicans of this
country. The letter is, in brief, discus
sion of the reason why the United States,
notwithstanding their remarkable integrity
In disbandng their armies and beginning
the payment of the national war debt al
most heiore the battle smoke Of the rebcll-
ion had cleared away have to pay interest
at six per cent. on large part OF the ma.
tional bonds when the interest ought to be
only four or four and a half per cent.
Speaking from an intimate and practical
knowledge Of the facts, Mr.. McCulloch at
tributed the entire difficulty to the bad
faith exhibited by certain American States
and counties in repudialiOn of their railway
and other bonds. The spirit manifested
by the Granger railroad laws in Wisconsin
and other Western States, and the utter re-
fusal of certain Southern states to make
any effort whatever to take care of the
| principal or interest OF their State obliga-
| tions, has not only fallen like wet blank
railway investment by European capital
lists, but has stood as the most impregna-
| BILE obstacle in the way OF refunding the
national debt at lower rate of interest.
| When Mr.. King came back from London
| a few months ago after his unsuccessful ei-
| fort to negotiate the bonds of the Valley
Railway, his testimony concerning the IA.
tai blight that had been cast upon Ameri-
| can investments by reputation and the
Granger policy towards railway bondhold-
ers, was precisely in the line that Mr.. Nc
| Culloch has followed up with such un-
questionable logic.
The fact which gives this subject such
Importance in current politics is that
the Democratic initiation policy in Ohio is
the first step toward national repudiation,
and finds an active and practical support
in the Grnngerism of various localities in
the West, notable in the counties OF Pike
and Macoupin in Illinois. The latter of
these, for instance, has n debt Of some two
million dollars. Part of the money has
been squandered on an extravagant court
house and other Improvements" but il
was all done with the knowledge and con.
sent of the taxpayers, who now feel II
their duty and privilege to default on both
principal and interest. The county has
been sued and judgement obtained, but the
supervisors, with the enthusiastic consent
of the people, refuse to levy and collect
the taxes requisite to meet the liabilities
and satisfy the public creditors. The su
pcrvisor5 have thcrcupon been sued for will
ful neglect OF duty Judgement has beer
obtained and the fines paid, but the cour
has turned the fines over to the bond-hold
ers on account and new suits have beer
brought against the officers personally t,
enforce their fulfllment of duty. Th,
spectacle OF these voters of average intel
lgence thus banding together publicly tc
resist the payment of money that they haC
collected upon bonds and spent on the pub
lie improvements is one of the most seri
ous symptoms to be found in recent Amer
+ lean politics. Now, it needs no demonstra
tion to show that the reputation policy O
these Illinois voters is precisely in tn
spirit of the Democratic imitation policy q
D Ohio. Nowhere will the result of the Obi
1 election be watched with greater interes
and sympathy than by the repudiatior
counties of the Western States. If vii
) liam Allen is reelected the repudiatio
iniamy will receive an impetus which will
make it formidable power in Nationa
5 politics. Within two months of the cleo
ton of Allen and Cary, there would b
such reinforcement to the rcpudiat
e spirit throughout the country MS woul
strike blow at American credit abroa,
from which it would not recover for years
That which has kept our National secur
G ties afoat in foreign markets at all hO
e been the faith among Europeans that moi
, withstonding the bad faith OF ccrtai
States, the integrity of the United State
as a nation, might be fairly relied on. Let
= once be seen in the great State of Ohio ha
been carried on reputation platform
and that there is a possibility of an inn'
- ton majority in Congress, and our nationf
i credit would vanish like a morning mis-
!. Far beyond the limits of Ohio or the nj
, ton itself will the influence of our vote i
:, October be felt 1t is time for every hor
n est man to be alert, active and true.-C2cr
/ land Leader.