The Bossier banner. [volume] (Bellevue, Bossier Parish, La.) 1859-1952, 1877-08-16
State Reputation.
From the Boston, Post.

three states OF the Union is TO Ue
followed by any considerable mum.
Der of the remainder, we may truly
say that we have fallen upon evil
times, whose remedy is likely to BAT
fle the ingenuity and test to the ut
most the patience of craftsmanship.
Minnesota, by popular vote of four
to one, has resolved to reject the
proposition of her creditors to take
fifty cents on the dollar for her
bonds, preferring outright repudia-
ton. The Supreme Court of Arkan-
sas has decided that the bonds of
that State are null and void, on the
technical ground that the act auth
orizing their issue took effect from
and after its passage and simultane-
ously submitted it to the ratifica-
ton of the people. Tennessee offers
to pay forty cents for what she re
ceived full dollar, and lays the
lowest possible general tax in order
to show a poor treasury and thus
depreciate the now nominal price of
her bonds in the market. These
three States stand before the Ameri
can people to day in the attitude of
regulators. They have had the
money for which their bonds are
supposed to hold them, and spent
it in making public improvements.
Some Of it was loaned in gold before
the war. They have also paid in
terest on their obligations repeat
eddy. And they still retain the prop.
erty created by the money thus Dor.
rowed, and do not propose to part
with it. Yet they refuse to restore
what was lent to them on the
strength of their pledges of honor.
This is done openly, without appar
emit shame, in defiance of all the
consequences. An appeal to the
Federal Court in the case OF Mime
sofa has resulted simply in the de-
cision that nothing finally binds a
State to its creditors but its honor.
The debt of Minnesota is rail-
road debt. The owners of it have
for years been stability treated by
the State, which endorsed the bonds
and at last bid them in when the
railroad defaulted them. The State
refused even to compromise with
the creditors, and now the people
repudiate its obligations altogether
Money was borrowed in Arkansas
since the war for the purpose of de
veloping the resources Of the State
by railroads, and the State pledged
its honor for its payment with inter
est. The people are to day reapine
the full benefit of the Improvement
for which this borrowed money paid
Yet the Supreme Court of Arkansas
gets behind a paltry technically
and places in jeopardy the Stat
credit for all the future. It doe
not suggest, however. that the Stat
shall return the property to tn
creditors to whom it belongs. Ten
nessee's debt was created before tn
war, and she has had hard tim'
of it. For this she might reasOna
bly, ask and expect little indul
gence. She fell behind in her inter
est account during the war, ant
! since then it has been funded il
new bonds. Considering her mis-
fortunes and her rough experienc
her creditors voluntarily offered t
take new bonds in exchange of tn
old ones, at the rate of sixty cent
, for dollar. The Legislature treat
: ed the proposal with contempt, 81,
!. ting in the very capitol which thi
= borrowed money had erected. Pet
{ pie may well ask why a State shout
be allowed to do in this respee
mhak snd;uiduola NOV n0f-if