Knoxville daily chronicle. [volume] (Knoxville, Tenn.) 1870-1882, 1879-03-04
Validity Of tl4 State Debt.
Report of tie Committee Of Invest,
CATION.
a New Way 10 Pay Old Debts---Charges
of Frand and Corruption--AIleged
Irregularities in the issuance Of State
Bonds---Has 4 Creditor any Rights
that State is Bound TO Respect?

/ Mr.. Sneaker: The Joint Select Commit
tee apDainted under Senate joint resolution
: No III and House joint resolution No. 90
comics of which are hereto attached, me
soon after It's appointment and organized
bv selecting S. <. Wilson as Chairman anC
L II. Smith as Secretary. 1t was lmmedi
ateIv seen bv the committee from the scope
of the resolutions. the work devolyed upon
II. if fully and intelligently perto med, was
simply immense, and with respect to some
of its features. could not be done at all per-
fectlv during the session.
DESTROYS, however, of investigating as
much of the subject as possible, and doing
it as soon as possible, and knowing that
most of the State bonds were issued in con-
nectiOn with the railroads Of the State, the
committee parcelled it out into three sub
committees, to investigate the records and
| evidence on file in respect TO railroads in
/ the three Grand Divisions Of the Stcte.
The committee have also assumed that it
was legitimate to use as evidence all official
reports. documents and testimony taken in
I ali previous Investigations, as well as any
( original evidence by the committee.
/ And we desire it to be understood that
! this report is thus based.
1t is proper TO observe that it was deem
ed advisable, in order to get all the inior-
nation possible, to take a number Of
depositions; and this was done, several
being taken here, some in Memphis, some
in Cleveland, and several in the City Of
Knoxville.
The dispositions taken by the committee
are herewith submitted, and it is believed
that the General Assembly viii find in
them "much indicative as well as illustra-
tive" literature, bearing upon the subject
of the legislative methods and corruptions
from which emerged the present burdens
resting upon the Commonwealth of Ten
nessce and her people. The committee
with these preliminary explanations, de
sire to submit their report consciou
that, although not as full as desirable, tn
have labored earnestly to ne end that the
truth might be discovered and established,
the wrongs of the people, if any had been
done them, righted and their honesty yiudi
Gated. 1t viii be seen that the Senate
resolution calls for responses to four rather
specific enquiries, and 10 one more geuer-
al in It's nature And as the House resc-
luton is general in its tenor, we will first
report in order, to the four special |
points of inquiry of the Senate resoIu- |
ton and then answer to the fifth de
mand Of that resolution, and the general |
tenor of the House resolution.
And first we are directed to investigate /
and raport: !. As to when and for What |
purpose were the bonds now outstanding /
against the State of Tennessee originally |
issued what amount of said bonds, when is
sued, were q part of The State debt properand |
what amount were railroad bonds. as they
were DISTINGUISHED in all official reports.
messages, etc. up t9thc late war, and what
part are most Je7lt1a bonds.
In answer, we beg leave to say: That
bore are oufstanding bonds of the State.
which have been presented. REGISTERED and
.enewed. to the number Of 20.2lO. amount
NO to S20.2Zl300, and that there are out
handing bonds which have not been pre-
arted. REGISTERED or renewed. to the num-
.cr of $50. amounting to S-S9.O0O.
The bond, were issued all along from
an. I. 1888. to 1873 or 1876. Under the
of of 1872. act of 1885. act of 1856.
ct of Jan. 80. 1850. act of lS5I-2 and
acts of Jan. 1852. and March.
95l. and also under The acfs Of 1919. 1850.
So. 1851. 1886 and 1860, act of 1866. :
S67. 1865 and 1873.
The State debt. prapar. as known before :
ne war, was composed of bonds issued for ,
he Stock of the State in turnpike GONNA
ies in railroads. in banks. for the con
traction of the CapisoI. for the purchase Of
he Hermitage, and to the Agricultural Bu- :
eau.
Specifically. there were issued 10 tie ,.
-nion Bank of Tennessee, for stock of the
tate therein, under the act of 1882, > per =
cnt. bonds to the number of 500. if
To the Bank of Tennessee. under act of
S38. per cent bonds to the number :
1880.
To build the Capitol, under the acts Of
SIS, 1850, 1892, 1881, 1896, and 1860, 6 ]
er cent. bonds to the number of l,l66.
To purchase the Hermitage, under the f
ct of ls5I-2, bonds to the number of 48.
To Agricultural Bareau, under act of {
S5l-2, bonds to the number OF 30. Y
For stOcl, IN various turnpike companies, 9
nder the acts os 1856 1898, 5, 81 and +
er cent. bonds TO the number of 1856.
For stock in the Hiawassee Railroad O
ompany, under act Of 1888, ) per cent. S
onds to the number OF ny, 90, ?
i 10 Tue I1''sl Ie'lIlls1ee q GGoIai', III.
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