The New Orleans daily Democrat., 1878-01-14
Y the large amounts already funded in this

by the large amounts already funded in this
scheme. 1t IL questionable II @ different plan
ofTers1 decided advantages, whether 1t would
be prudent or desirable TO adopt it, when any
substitute would again subject the community
to the agitation and doubt Of q new expert
ment that would put our city finances again
entirely at sea. The premium bond plan wits
adopted by. our city administration after very
mature deliberation, and 1t cannot be doubted
| that the sagacity prudence and experience Of
| those to whom it Is contided, carefully weighed
| ell arguments for and against o policy
| to which they have committed themselves,
and % the success Gees Of which entities them to per.
severe In perfeCting 1t in every detail. There
| Is no reason why compromise or adjustment
| OF all outstanding claims against the city, be
| they consolidated bonds or others, should not
| be made in conformity with and exclusively
| on the basis of the premium bond system. To
, abolish II in favor Of any other must reopen
many issues and settlements that are now
closed. !. Admitting that some claims have
been allowed OF questionable validity, it +
certain that our citizens, as class feel stffl-
cient confidence in the integrity Of those who
sition TO their acts, The position Of these gen-
tielnen has been .aIduU,ls. and 1t would be sim
| etilar II errors of Judgment upon exceptional
| II Is not positive that such has been the case,
| but II 1t has, any other plan Is liable to the
| Same mistake.
If the premium bond plan embraced exclu-
advantage in their being represented by bonds
bearing fixed rate Of interest, but as they ate
issued in amounts of twenty dollars, where
holders have n necessity for income the dis
posal 9f few 2 these sa Az series dt5ay YOU'D H.
same object. In the first place, bondholders,
as II class. are able to wait and take the
chances that constantly recur through the
various drawings; but should fortune not
favor those whose necessities require an in
come, economy WOULD restrain them from sell
Ing more than what their pressing wants re-
uuired. from an investment whose peculiar
characteristic is n constantly enhancing value
utter each drawing, by appreciation in aggre-
gated interest and greater chances as prizes
are distributed. ...
Some persons degrade the premium. bond
system by eonfounding it with the principle Of
an ordinary lottery scheme, but the idea is
proof That the result and practical working of
The plan Is positively and diametrically tho
reverse. A common lottery rests simply on
chance, with immense odds against those who
invest In 1T. The premium bond plan gives a
certainty of % positively ascertained amount,
determined in advance, for division among the
holders Of It's various issues. They are COM
PEELED to be the exclusive beneficiaries of these
appointments. and chance only determines
who among them shall be the fortunate partici-
pants. The servant girl holding single $40
bond stands the same chance Of being pro-
portionately benefited us the. e.banlter who may
hold million dollars
Ii Ia very desirable that conflicting interests
be reconciled at once, and they can he II par
ties Interested directly in their adjustment
will meet with a view to so desirable an end.
The time Is ripe and the occasion opportune.
while the Legislature Is In session, for happy
contamination Of some arrangement that will
terminate in securing unanirnty of feeling,
reviving confidence, and thereby strength In
our municipal obligations. II this can be
achieved the interest of all parties concerned
would be improved by steady appreciation
In securities, that only larlguish because Of
uncertainty engtatdered by the alternate hopes
and fears that different phases Of the struggle
assume, as various legal questions may be- de-
termined. A practical solution of these differ
ences would give positive value to large
amount Of virtually dead capital, which would
be resuscitated to lively activity, inviting
other communities to invest in the securities
we ourselves indorsed by unanmity Of action.
There appears to be a growing disposition to
settle this matter amicably, which should be
encouraged by every motive that appeals to
moderation, justice and patriotism Every in
forest should harmonze to accomplish SO do
sirable an end as that Of aiding our city ad4
mnistration to strengthen her resources and
relieve her difficulties by raising her credit.