The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1877-05-24
STATE BOARD OF LIQUIDATION.
RESOLUTIONS ADOPTED

The State Board OF Liquidation met at the
State House yesterday. q quorum present.
Speaker Bush offered the following series OF
resolutions. which were adopted
NO. 1-ooNsTRU1Ne ACT NO. IL OF 1875.
Whereas, act No. IL, approved April II, 1875,
entitled "An aot supplemental to act No. 0, sp-
proved January "a, 1874 etc.. provides, among
other things, that the Board of Liquidation is
prohibited from funding obligaiions OF the State,
and from issuing any outstanding bonds OF the |
state or warrants, or coupons uutll such bondt,
or warrants, or coupons. sha j first, by hnai de-
cree II the Supreme Court OF the State OF Louls1-
ana have been declared legal and valid Jbliga- |
tiops az ainst the Stats Of Louisiana; that the !
same were issued in striet conformity TO law, not
in violation Of the constitution OF this state, or |
OF the United states, and for valid consdera- |
tion;
whereas, by the said act No. II certain issues |
of bonds and warrants were specifically df olared |
dues ioned and doubtful rs to their legality and
validity, and the said Board OF Liquidation ex. |
pressly prohibited from issuing consolidated
bonds in exchange therefor until their validity, |
legality and consideration had been tested under |
the provisions OF said act and fiaal decree rem
dsred az 10 their validity, legality and considera-
ton, a statement OF which questioned bonds
enumerated in said act, numbered IL, is herein |
after given, /
Whereas. The Supreme Court OF the State Of
Iouisians did, on April 80, 1877 decree ard order
that al bonds questioned by act NO IL, extra
mined by direct action before being fundable;
Whereas, none OF said questioned claims have.
80 far as we informed, been tested and passed
upon az re- tired by said act No. IL OF 1875, and
the said decision oil the supreme GouEb oI tAe
State; and
Whereas, this Board, under and by virtue OF
said law aud the ruling OF the Supreme Court,
has no discretion, and must obey the legislative
and judicial mandates;
Therefore. II is now ordered, that sll the bonds
and cIains enumerated in said sct No. IL, here
after gwen in detail, are hereby declared not
fundable until they shall have been adjuaioated
and passed upon by the Suprtm Court OF the
state. in direct action insti uted, IN which they
shall have been questioned, and the said court
shall by final decree, declare such bonds and
claims legal and valid obligations against the
Atata ng Lanisiana: that the same we're issued in
strict conformity tn law, not in vioiation OF the
constitution OF this State or OF the United States,
and for a valid consideration, to wit;
FIRST GLASS.
| The bonds considered aud held as belonging
| TO the redemption of the State debt funds, and
the tree school funds, especisly the latter, which
| arc held by this board as insipnaole, because
they were made such by article 81 of the cons IL
tuition Of 1852; by section 81 of act 30, approved
| March 15. 1885, page 429, Sta utes OF 800, ana
bv article 144 constitution OF 1864, and by article
139 Of constitution OF 1868; and, therefore, could
| nnt bs sold or converted ordered by act 81 of
| 1972-that ia to FAY, bonds OF tbe State Of the
various issues whioh had been redeemed or never
issued. and which have been reported by the
| Auditor # Public Accounts as m ss.ng. or which
| were soId un ier act II, approved May rs, 1872,
and issued or reissuei, comprised in the first
class, viz:
i. Bonds of the New Orleans and Nashville
Railrosd COMPANY.
q Bonds of the Mexican Gulf Railroad Com
80 8 Bonds Of the N. o., Jackson and Great
Northern Railroad Company.
| a. Bonds If the N. o., Opelousas and Great
| u pa,f
g. Bonds of tie vicksburg, Shreveport and
| Texas Railroad Company.
| 6. Bonds Of the Baton Rouge, Crosse Tete and
Opelorlsas Ra;lroad Compsny.
7 Bonds Tor the relief OF the Sta o Treasurer.
s. Bonds issued for the free school fund.
SECOND GLASS.
o. Bonds ssued under act No. 35, approved
December 23, 1865 for expenses OF building
evees.
10. Bonds issued under act 1l5, approved
. March 26, 1867, for expenses OF bulldog 1evees.
IL. Bonds issued under act No 81, appI owed
February 25, 1870, for work done or to be done
| on he levees.
J IL. Bonds of the New Orleans, Mobile and
Texas Railroad, issued under act No. rs, ap
13. Bonds ,sstied to the New Orleans. Mobile
and Texas R,ilroad Company under act No. 3d.
approved April 20, 1871.
ia, Bonds issued to the North Louisiana and
Texas hailroat Company under act No. 81, ap
prt we'd April 10, 1870, aud act No. l0S OF 1868
) l5 Bonds is .ued to the Mississppi ami Meri
can Gulf ship Canal Company. under act No
. l16, approved N. rch 8, 1869.
16 Bonds issued for relief OF P. ]. Kennedy
under act No 105, of March rs, 1870.
II. Bonds purpurting to have been issued foI
redemption Of certificates Of indebtedness unde
set No. s, 1866
is Bonds ipsued under act No. LAG, approved
Q January 8, 1870, FOR aid to the Beat and Croco
l die Navigation Company.
NO. 2-NEw ORLEANS MOBILE AND cHATTANooa
= RAILROAD COMPANY.
Whereas, act No. 5G. approved April II, 1915
! page 1870, Statutes af 1876, prohibits this boar
! I ON funding any OF the guafante ed bouds Of tn
New Orleaus, Noble q ID Chattanooga Railr0a
Company, and Of the two and q half millions {
bonds issued for stock In said company, on th
grounds that said bonds are invalid, illegal an
= unconstitutional and that the funding theret
: would v.ol4te the letter and spirit of act No.
approved January "a, 1874, impair the credit {
J. the State, and thereby lessen the value OF th
:, state securities to the prejudice OF the holder
= | thereof; aud, whereas, the said act No. S6 is in
IL perativs and leaves to this board no d1scretio
wnateOeveI;
i 1t is now ordered that this board will not re
y ceive f,r funding, and will not fnad any CT tn
9 st cond mortgage guaranteed bonds of the Ne
l. Orleans, Mobile and Chsttanooga Railroad Con
:, pany, pretended to have been i-sued under &C
No. 26 approved February II, 1869. nor any po,
tion Of the Two and half millions OF bonds pr
tended to have been issued for stock in said raj
~ | CDmpaHys uUueT hCt No. ID, hpptOfcu hpt
i 20, 1871, the said act No S3 dsclariDg and pr
l. claiming that the State had received no couis
Grafton whatever for said issues VI bonds; th
they had been illegally issued, indorsed and d
- livered, and that they had been issued in dire
lo violation Of ha consti ution.
NO. 3-RELATIvE To THE KELLOGG BOARD.
Whereas, we are informet rumofs are circ1
lated to the fleet that this board will review al
attempt to cancel and nuliify conso lated bono
10 issued By the old board, whereof Wm. Pitt K
of logg was president, in exchange for bonds, va
ill raots or coupons, in the category Of thoee sbo'
% enumerated, and likewise OF other series ar
%, issues; aud whereas this board is by law entire
OF confined to a reyi W and examination of Il
nd bonds, warrants and coupons not yet funde
n. and to an exchange Of these, when declared fun
:: able, fnr consolidated bonds authorized to
AZ issued by act NJ. 8 of 1874;
i'm Il ls now dered thss this board will coDfl
ii their &C ion exclusively to the conslderagi n
oe and act u Don ruca unfunded bonds, warrants
% % coupons as may be presented to them for fun
., ing, and will NOT investigate or go behind u
h .h action OF the preceding Board of Liquidation
lG to bonds already funded, or in any manner call