Knoxville daily chronicle. [volume] (Knoxville, Tenn.) 1870-1882, 1878-12-03
Bank OF Commerce Binding.
New YoRK, Novembor 8, 1873.

AT meeting OF the Committee OF mold
ers of Bonds ofthe State ofTennessee, held
this day it was;
ResoLcGd, That the Secretary publish in
six or more newspapers in Tennessee the
call for a meeting Of Bondholders Of the
| State of Tennessee and the proceedings Of
The large meeting held in pursuance Of said
call Also, these proceedings as an offer
of the numerous holders of very large
amount of Tenn essee's debt represented by
the Committee to accept sixty 600 per cent.
of the same in settlement, and relinquish
forty (f0) per cent. Of il forever to the peo-
pie of Tennessee, in accordance with an
award which resulted from a conference
between q Commission sent to New Iorl,
by the Legislature of Tennessee ana
Committee of Arbitration which had
appointed at a meeting of citizens Of Ne"
York, held in the New York Clearing
House;
Resotucd, That the Committee having
received assurances from Tennessee that
many Tennesseeans to whom compromise
or partial payment OF their State debt Is
very obnoxious would prefer to pay it in
full at reduced rate Of interest, rs being
more in harmony with modern usage, de-
cidedly better for the interest of the people
of Tennessee themselves in the end and
likely to be far moro acceptable TO EXecu-
tors, Trustees, Savings Banks, Insurance
Companies and Eleemosynary Institutions,
do therefore respectfully suggest that the
creditors of Tennessee be offered in settle
ment the award Of the aforesaid Committee
of Arbitration or at their option, bonds
similar to those described in that award for
the full debt, but bearing interest At four
"a per cent. per annum instead Of six, tn
have fifty years to run TO maturity instead
of thirty, but to be redeemable at any time
after six months notice and TO be renewable
at the pleasure Of the State.
Rcsolred That the Committee are graft
fed to learn that there no longer exists in
Tennessee any good reason why the OPP
tional settlement herein suggested, or 40
least a settlement in conformity with the
award of the Committee Of Arbitration,
shall not be perfected by the next Legisla-
ture of the State, and the faith, honor and
good name of Tennessee, which have been
so solemnly pledged for the payment OF her
bonds be vindcated.
NOTICE.
The holders of the State of Tennessee
Bonds are earnestly requested to moot a.
the office OF Jonn b. Manning, No. II
Wall Street, on Wednesday, January 10Th,
at II o'clock.
L. ID. MORGAN & Co.,
Brown BROTHERS n Co,
EUGENE KELLY,
GEDDEs & SMITH.
JAMES q. KING's Sous,
A. III. PoMERoY,
GEORGE w. STANTON,
&, AMoRY STEVENS
At meeting of Bondholders Of the State
of Tennessee, held pursuant to the above
call, the following Preamble and Resoiu-
tions were adopted =
Whereas, on the SLh March, 1877, nj
meeting between "a Committee of FIVE mem
bers of the Tennessee Legisl AZURE lOf which
Col. John ii. Savage was Chairman), and
a Committee Of Arbitration (ot which Mr..
George S. COe was Chairman), 20 whom
had been referred the question of a fair and
equitable adjustment between the Southern
States in default and their bondholders, the
debt Of the State Of Tennessee was fully
discussed, with the view Of ascertaining
and determining what a fair and equitable
adjustment Of it would be; and
Whereas, at the conclusion of the con
ference between the Committee Of the Ten
nessee Legislature and the Committee Of
Arbters, the Committee of Arbters made
an award that the debt of the State Of Ten
nessee ought 10 be re-adj usted by tho issue
of new Bonds, at the rate of Sixty per cent.
of the total amount Of the debt and interest.
the new Bonds to bear interest at six per
cent, payable semi-annually, and the cou-
pons for interest TO be made receivable for
all taxes and dnes TO the State and
Whereas, The session of the Legislature
expired by constitutional limitation few
DAYS after the award of the Arbiters WIS
rendered, and there WAS no time TO enact "a
law to give it effect; and
Whereas, 1t was very generally under
stood that an extra session of the Lcgs!a-
ture would be convened TO accept propo-
sitiOn from the BOndholdeTs to compromise
the State Debt, on the terms Of the award
of the Committee Of Arbitration and 10
enact law to fully carry it out, the hold
ers of a very large amount of Bonds OF
Tennessee did make and send to the Gov
ernor propositions Of compromise on the
terms of said award, and the Governor did
thereafter convene the Legislature in extra
session to consider said proposition and
Whereas, During the sitting OF the Leg
stature, the intervention Of other parties,
proposing and advocating before it other
and different terms of settlement than those
considered by the Committee Of the Lcgis-
ature and the Committee of Arbitration,
and awarded by the latter Committee, and
agreed TO by the Bondholders, was prejudi-
cial to the interests of the State Of Tennes-
;ee and to her creditors, in so far rs it has
delayed a settlement; and
Whereas The BOndholders Of Tennessee
had neither an agent nor any other person
10 represent them before the Legislature,
but confded in the Legislature, anda fully
expected that the Senators and Represen-
.atives of the People Of Tennessee would
-atify and confirm the award of the dis
,inguish ed and disiDterested gentlemen who
lad acted as a Committee of Arbitration,
md accept the proposition Of the Bond
holders made in accordance Herewith, un-
lesitatingly; therefore,
ReSoLrcd, That efforts made by any per-
ons who purported to represent tho Bond
holders of Tennessee were entirely unau-
horized. and that tho declaration alleged
o have been made at Nashville that a set
lement could be effected with the Bond
lOlders upon lower basis than that pros
posed by the Committee of Arbiters, OF
10 foundation in fact, so far as il relates 10
he great body Of BOndhOlders.
Resotrsd, That while we deplore the at
itude assumed by the Legislature, while
assembled at Nashville in December to
wards the Bondholders, we believe that 10
esulted from the influence and unwarrant-
Ible interference of other parties than real
,ondholders, or their representatives.
ReS0,Ued, That we have an abiding be-
ief that the people OF the great State Of
Tennessee will not by the rejection Of hon
,st claims which they are abundantly able
o pay, suffer stigma long TO rest upon
hem the effect Of which will be TO para
we the prosperity of the State; subvert its
pest interests ; and engcnder that democrat
cation which must ultimately result in
osses to its citizens even far greater than
o its creditors.
ResoLUcd, That the people Of Tennessee
10 urged to adopt such legislation as will
UPHOLD the honor of the State, and evince
roper regard for the high integrity which
hithprtO pbarapfnrizoI bar cf4;ynrg