The Milan exchange. (Milan, Gibson County, Tenn.) 1874-1978, 1877-01-11

OutrbAbulAS, ditpuHt 10 cZ-, OH, 4UU,
the bonds belong to East Tennessee
University, not required to be regis
tered, amount to sa96, 600; the fund
able bonds and coupons not presented,
amount to 1927, 600; the past due
interest amounts to 2,0sS, 756; these
sums constitute the State debt, and
amount to S26, 310,156: from this
sum Is to be deducted Sl,671,-
9l6, loaned to the Memphis and
Charleston Railroad 81, 1879, $50,
loaned to the Mississippi Central Rail-
road; s3l6,744, loaned to the Mis-
sissippi and Tennessee Railroad; S14,-
100 due from purchasers of the Ten>
nessee and Pacific Railroad ; $751;
l25, due from purchasers of the
Knoxville and Charleston Railroad,
and S204, 600, due from purchasers of
the McMinnville and Manchester
Railroad, aggregating SO, 45S, 145, all
of which will be paid, leaving as the
debt to be provided for, so, $50, 011,
less S95, 636. 10, interest from solvent
railroads due Jan. !, 1877. The out
standing warrant account amounts to
1929, 060.2l, and there is in the
Treasury the sum of s139, 800. 10, in
cash, with taxes due and unsolicited,
amounting to 81 .570,659. 80.
The borrowed money account due
at my Inauguration, the warrant ac-
count, the interest on the school fund,
and the interest on bonds of the State
held by schools and colleges, has been
paid from the revenues of the State.
, In June preceding the maturity of the
interest on the bonded debt, due July
1st, 1875, after it had been ascertain
ed that it was impossible to meet it
out of the revenue of the State, m-
der my direction the Comptroller of
the Treasury undertook to negotiate
/ the loan of sum sufficient for that
/ purpose; the terms offered to the
State were harsh and unreasonable,
and the interest demanded was so ex-
orbitant that it was determined by
! the Executive officers to let the pay
ments 90 10y default, and 10 rely for
the future upon the revenues of the
State; since that time no money has
been borrowed for any purpose. De
fault was again made in the payment
of the interest due January 1st, 1876.
and again for the interest due Janu-
AIRY 1st, 1871. When the money for
the payment of the interest due July
lst, 1874, and January 1st, 1873,
was provided, there were balances
amounting to about $50, 900, not pre-
scented at the time, and the PAYNE mt
of these balances was deferred until
September 10Th, 1876; in the pre-
I ceding month the Comptroller of the
Treasury, under my diaection, an
: nounced the readiness of the State to
pay these balances AT the time, togeth>
err with The ilstaliment of the interest
due July 1st, 1875; the Treasurer
commenced the payment at the time
appointed, and all the coupons of
bonds registered to that date that have
been presented have been paid.
The present rate of taxation will
pay current expenses and meet the in
terest OH the State debt, and the de-
termination ON the part of the people
Is fixed and settled not to increase it.
This conclusion results from a want of
ability on the part Of the taxpayer.
The creditors of the State realize the
magnitude Of our difficulties, and will
. make such concession lis will make
future interest payments easy and GER
tain. Their readiness to adjust the
debt is disclosed in the following cons
munication:
NEW York, Dec. -, 1S76.--To
His Excellrnry James ID. Porter,
Governor of Tennessee; Sir-lhc UNI
der>igned holders of bonds of the
state of Tennessee, believing that
the hest interests of Tennessee
and of her public creditors will be
served hy an early permanent ad-
iustmcnt of the claims Of such crcdi-
tors, on Il basis honorable to the State
and equitable 10 them, respectfully
ask your EXcellcncy, in the full be
lief that such a settlement is practi-
cable, TO recommend that the Lcgis-
laturc of Tennessee, rs early as may
be possible at its ensuing session, APP
point commission to come To this
city and confer with the holders of
! bonds of the State of Tennessee, for
. the purposes mentioned herein.
We remain your EXccllcncy's
/ most.obedient servants,
GEO. SMITH, London, Eng,
"hv GlDDEs & SMITH, agents, dc.
! "BRowN, Bios. d Co., Agents.
DEEXEL, MORGAN d Co, Agt's.
az. ID. MorGAS & Co.,
! "WAED, CAMPBELL d Co.,
! "JANI.s q. kiNG's SoNs,
Agents for Holders,
"C;EoEGE ". STANTON,
"r. GEDpES.'
These partics represent several mill
lions IF dollars of the bonds of Ten
nessee, and are gentlemen authorized
to speak and act; aud | am assured
from my correspondence with other
creditors of the State, that this prop
osilion viii be generally acceptable
| earnestly recommend the adoption
Of the suggestion for Il conference With
the creditors of the State. The prop
osition comes from the largest holders
of Tennessee bonds. 1t had its origin
with them, and the State can enter
upon the negotiations with confidence
and without sacrifice of her good
name. 1t j. ofthe first Importance to
the State that this vexed question
shall be settled and removed from the
politics of Tie State. 1t is the one
great lariier TO present and future
! prosperity.
CRIMINAL. EXPENSES
/ renew the recommendation made
two wears ava Ia the Thirty Ninth