The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1879-03-08
TIE BONDED DEBT.

To the Editor Of tho Democrat:
There must be something very fascinating
In the garments Of ETor, to create the temp
tation to worship her instead of her palmer
clad sister Truth, Your able correspondent
"Spes,' worships the GODDESS Error when he
says ID. q. H. has eIdeavored TO invest the
acts OF the Returning Board with particle
"of validity" beyond the results which our
own State authorities saw proper deber-
ately to adopt, for reasons then thought Just
and beneficial, and by which IN taW and good
public morality, the State Is forever estopped
from afterwards disputing. "Spes' thinks
fraud vitiates everything based on it," and
wonders at I'D. c. LIS maintaining other
wise. Now, his proposition Is a "glittering
generality" by no means universally true In
law or the practical affairs Of government. 1t
was the fact that there existed doubts as to the
validity ofthe post betlum debt" of the State,
that led to the passage of the amendments
and the funding act of 1874, and all right to
urge fraud was compensated or obliterated
In the 40 per cent deduction when the
Board OF Liquation recognized its validity,
and when it did not, the disputed bond had to
pass the scrutiny Of our own incorruptble
cleansing process or judicial publication,
does" Spes" mean to contend that the origi-
nal fraud" still remained TO furnish valid
legal ground to contest the new issue? The
law of merchants Is the law Of honor, aud
the law of honor is the law Of States.
The Democratic party, after pledging its
faith to pay the new debt, elected its candi-
dates on that political decalogue, and the leg
islatiye department and its chosen Executive
re-endcted the act of 1874, with few amend
ments. and made its provisions claw unto
u.s." thus inviting the confidence of capital
lists In this country and Europe to security
deemed unquestionable in any forum legal,
equitable or conscientious. Fraud. therefore,
may vitiate a contract, but not for all time,
If the party defrauded voluntarily issues new
obligation in lieu thereof, either for the whole
or q part Of the fraudulent debt "Spes" I'M
fairly charges that ID. u IT," quotes "Lude-
Ina to sustain his position" 1t so happens
that "Ludeling, in the case of the State VS.
Dick Taylor, was the only dissenting Judge.
He thought the State was not estOpped by its
own conduct and Interpretation of d contract
and his attitude Is identical with "Spes" Oh
this question. | called it the "Ludeling
court" and anticipated "Spes" would deny its
authority, but its decree was based upon the
law of other States and OF the Federal court,
and entitled to respect because it was not
pronounced under any political influences.
s'Spes" ingeniously dlsposes Of the case in 16
Wallace by saying 1t is never too late to
question an invalid bond in the hands
OF the guilty party But cui bono?
that such deduction be true in law? The
onats of proof would be then upon the State,
and he would have to meet the practical diff
Gully of proving at1irmatiyely that such and
such bond was held by the guilty party,
which is a proposition even ''Spes" would
shrink from, and labor only comparable
with that OF Hercules. When 1t cannot be
disputed that each bond now on the market
represents and evidences valid debt, solemn
~ acknowledged by the State OF Louisiana,
under the rule Of our own people, by virtue
OF legislation held out to the world, as un-
questionable, the bad faith of such an assault
upon the public credit at this time is trans
parent ana must, If sanctioned blast the
financial credit OF any people forever Inc
notice that "Spes" speaks Of preceding the
funding OF the liabilities OF the State into the
present bonded debt performed its intended
mission, and cannot again be resorted TO to
reproduce any good faith in assailing the
plessei aI oohqs q the State. The, facts are
State Raced those bonds fnrtv nar cent and
concluded herself from any further exonera-
loa, whether wisely Or not is a "thing adj
judged f1trw anu forever
apes, though undoubtedly infallirent has
erroneous views as to the n0war ~ aryieIa
lures over courts. 1t was 4 s.Nichn,Ia Ta5ia-
lature' that reenaCtad tina clausa ssrh M IA
court court OF ~ Judge thereof shall have power to
any bond issued under this act - and ol %
that 1t was contract between the State and
the bondhoder, and in perfect accord VIII vii,
llelr power oyer The courts and is not dead
letter Any lawyer sin months did Ill, qt ta,i
MN 50. II does not interfere with the idioil
ary department OF the State. 1t "marshsis
tIem the way that they should go" with an
without such statute. 1t was insertsd ~ ~.
i,ldetstffd TO strengthen the public faitn
1ouTIs are constantly controlled Nv the vii
q Inc Legislature eonstitutonally ex pressed
ahueed, us peculiar province is to mako Law,
Tor the judges. The idea is novel that ir Nv
are not TO have their personal views of = :, =
uneonfoned by the express will of the T,egis'
azure, and when this principle is disputes
1 attention has Just been called to al act +