The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1877-11-01
THE FUNDING ASSOCIATION OF THE
UNITED STATES.

A day or two since the dispatches of the
DEMOCRAT gave the outlines OF gigantic
scheme Of certain New York capitalists and
rings ters. under the ostentatious name Of the
Funding Association OF the United States"
to scoop up oil the State, county and munich
pal bonds In tho South and West, which were
the creations of fraud; to legalize them
through acts of the Legislature, and fund
them at par In bonds bearing low rate Of
interest.
This morning we devote q large portion Of
our space to the full details of this five
hundred million job, as detailed In the pages
of the New York Herald.
This organization is called a syndicate, In
the euphonous language Of our modern finan-
ciers. in plain English. 1t Is gigantic ring
organized to buy up State Legislatures, and
by corrupt measures TO impose Illegal and
oppressive burdens upon the people.
The men concerned in this scheme admit
that they hold large amounts Of State and
city bonds that have defaulted or which
have been virtually repudiated, because of
their corrupt origin. These men purchased
these bonds fully understanding their rotten
ness, and by doing SO gave did, comfort and
character to the swindling governments that
for SO many years lorded it over the South
ern States. They now propose to use money
TO obtain the passage of Legislative acts which
will give validity to their worthless securi-
ties. In other words, they propose to buy
Legislatures to make rotten bonds. for which
they paid few cents on the dollar, worth
dollar for dollar, and to fund them at very
fair rate of interest.
These eminent and Christian capitalists,
urehasers and holders of fraudulent bonds.
are about, to use classic expression. to
nut their foot In It. The day Is past when
Southern Legislatures could be bought up
like sheep by every ring that could command
few thousand dollars for corrupt purposes.
Be fore their plan can operate in Louisiana,
for instance they will have to obtain the
election of O Legislature they can buy up.
They will have an opportunity to try that
dodge In November, 1878. II they succeed
and buy the Legislature they will have to
wait until 1880 to elect = Governor whom they
can purchase to sign their bill; II they Sue
eeed in that, they will then have to effect the
organization of a Supreme Court that will
recognize the fraud.
But why discuss all these points II they
were to elect Legislature in this State that
would pass such an act, half the members Of
1t would be swung to the lamp posts by an
indignant populaee before any Governor
could get chance to sign 1t.
SO far as this State is concerned, 1t has
dealt fairly with It's creditors; ii has even OBJ
ligated itself to pay bonds we know to be i'm
20 sitions. But our people prefer TO stand by
the bond they will pay every dollar. princl-
pal and interest, of the debt as 1t now stands
But eminent New York capitalists" with
their pockets stuffed with rotten bonds that
stink In the nostrils Of the Southern people,
had best not attempt f5<ontrol our Legis-
latures for tho purpose of fixing upon us the
responsibility for bonds which are fraudu-
lent. and which they knew were conceived in
wickedness when they purchased them.
We know, understand and appreciate our
public obligations. and we do not need the
aid or council of Northern holders of rotten
Southern bonds in the management of our
financial legislation.