Clarksville weekly chronicle. (Clarksville, Tenn.) 1873-1890, 1879-06-21

by revolution.
SHOULD THE DEBT SETTLE
MENT BE SUPPORTED
We publish with pleasure the
following letter from Col. Sykes, of
Columbia. In advocating the pro-
posed settlement, arguments have
been too exclusively addressed to
low tax men. Col. S. bears in mind
that large number of State credit
men need to be convinced that they
can vote for it consistently with
their principles, and to such men is
this letter addressed:
Whilst have no desire to engage, to any
extent, in the discussion IF the 5e-4 settle
ment, yet the unfair use which is made of a
portion of letter written by me, ana pub
fished in the Nashville American of the nth
of April, makes il proper and necessary that
/ should write this letter. A paragraph
from that letter, in which the Indebtedness
of the state is set forth, is published, sepa-
rated from its context in such a manner as
to create an erroneous impression. In that
paragraph stated thai our State debt was
debts, SS00O,000; our county debts, 81 ,0OO,O0O,
and our portion of the national debt, S5O,OOO,-
600. This is very nearly correct statement
of our public Indebtedness. This much IS
published, but the remarks which preceded
and which followed this statement OF in
debtedness are omitted. Now IL should be
remembered that the letter from which this
extract was taken was written in defence OF
the people of the State from the tndiscrimi-
nate, wholesale and, as l thought, unjust
attacks made upon them by certain lead
ing journals in New York City. My object
was to show that although the bonds of our
State were valid, having been issued by all
of our Governors since the days of Newton
Cannon, having been recognized by all po-
litical parties, by all the departments of
Government, and having been again ana
again sanctioned by the people, yet there
were reasons why our creditors should not
be harsh in dealing with us, and why they
should be liberal and generous In making
settlement, and to sustain this view l gave
the facts contained in the letter. In the
very sentence which follows this extract
said, "under these circumstances we think
our creditors should be liberal in dealing
with us, and not exact the last cent We owe,
and not denOunce us Unfortunately, be-
cause we desire TO make, Uhdt many
Of our citizens consider, a fair settlement"
And just before that had said, Il was one
of those who favored higher rate of settle
ment than 50-4, because not only believed
it to be right, but because 1 believed the
people, upon full and fair discussion, would
Tatify and approve il, but l must admit
some of the best and truest State credit men
in the State differed from me in opinion"
My object certainly was not to show that
the people of Tennessee were unable to COM
ply with the very liberal terms offered in
the bill which had passed the Legislature.
Because we were unable to pay the whole
debt at six per cent. interest was no reason
why we could not pay half of ii at four per
cent. interest. Because we had sustained
such losses, and because we had such heavy
| Indebtedness was the reason why thought
we should rejoice to save $4,000 OF the
/ est each year. Our portion of the national
debt has to be paid by indirect taxation, but
nevertheless il is a debt. and although il
may not be quite as large as stated it to be,
/ though If IL is not it is nearly so, yet it is
i grievous to be borne. Other States also have
| that does not excuse them from paying or
! settling on fair terms their State debts,
neither does it excuse US. Virginia's portion
| of the national debt is as great as ours, and
| her annual productions are less, and yetshe
| has agreed to pay and secured a State debt
| of S34, 600 Alabama has a much larger
| state debt, in proportion to her wealth and
production, than ours will be under the debt
| settlement submitted TO the people. L be-
/ licve the longer we put off settlement, the
/ less we will be able to pay. As said in a
] letter not long since published:
! 81 have been satisfied for some years that
| the longer we put off a settlement the worse
/ paying policy, getting weaker and weaker
| every year, and money matters are, on the
| same account, getting worse and worse with
] us We could more easily have paid sixty
| per cent. of our debt with six per cent. inter
| est two years ago than we can pay fifty per
cent two years hence, if a settlement is not
! made before that time.
| 1--WE are steadily going down as the result
/ of our non-paying policy, and if we do not
! settle this year we will be in a worse cOndi-
| ton next year. / am for settling on some
/ terms. This will be better for us and for our
| / thought the people of the State would
! gladly accept the terms proposed. My fear
| was that our creditors would refuse it on
| account of the extreme low terms offered.
| / have some apprehension of that kind yet
| but when they consider our condition, the
! extreme difficulty we have in getting so
| good settlement as even that, and when
| they remember that it is better to have a
| settlement even less favorable as to terms
| upon which our people are agreed and which
/ can be and will be carried out with Scrupu-
| lOus good faith than one of q higher rate
| which is more difficult to be executed,
| hope they may all yet conclude to accept
| the terms Offered. A failure to settle the
l.debt does not eXtinguiSh 1t. The proposition
now offered may be rejected, but the debt
exists in all its force. have no anticipa'
! ton of ultimate Reputation. By rejecting
liberal or fair terms we may incur all the
Odium of fepudiation, but still in the end
have the debt to pay, perhaps in whole
| with its accumulated interest, or nearly so
States in former times have detaulted and
| vet finally paid their debts after years of re.
/ fusal. We may put OFF the day of payment
but it will come upon us or our children
| with terrible force. The storm which has
I been RathSFing for years, and which now
lowers above us, will finally break and will
| almost Oyerwhelm us with its terceness. II
is to escape this that am now in favor OF
| making a reasonable and fair settlement
which we can carry out without serious in
jury. 1t is as friend of slow taxes" TO use
u catching word, that favor such settle
ment as will prevent "high taxes" in future
and for years to come. The pretence thai
we do not owe the debt is unworthy of Ser1
Gus notice. The idea that such men a,
| James X. Polk, James G. Jones, William
Trousdale, Aaron V. and Neil =. Brown
William j. Campbell, Andrew johnson anc
| Isham q. Harris were either ignorant o.
corrupt, or that they issued bonds to thu
amount of millions OF dollars which are nov
outstanding, in violation of Law, is prepOS
ferrous and will not deceive anyone who y
/ nj all acquainted with the history of Ten
| nesSee or with her financial legislation. The
public Judgment of the world is made NJ
fully that we owe thR debt, and If we fail e
pay or settle on fair terms, We will not b'
| excused on that ground.
AS early as 1874 | was in favor of securing
/ favorable terms from our creditors. In
speech at GAINESVILLE, in September of tina
Year after speaking of the stringency il
money matters and the depreciation II
. I property, ] said, 'in view of these things j
it not FighI and Just that our creditors should
be liberal and generous in dealing with
noble people striving 20 meet their obl1ga
lions under the most adverse eiroqIpstan
I ces ." such has been my Language eve
since. / am not now for presenting thes
as an ultimatum, with the Unreal Una ~ on
! creditors do not accept them they Will &c
nothing. / am for leaving them Tree to nc
! as their sense of Justice, feelings Of hberality
I and views OF tlelr own DeSJ lulSItastS lltil
| prompt. We make this offer, hoping thel
NAV ACCEPT il freely and voluntarily;
| they reject it, we cannot say what Will ID
1 the result but we will do the best we can.
As / said in the opening of this letter,
l have no wish to engage in the discussion.
/ do not think the SOL settlement is what
| should be, but under the circumstances 1t /
! the best that can be done for many years
. | and in my opinion IL is the interest OF tn
| creditors OF The State, and also of the people
! 10 agree ul+on these terms. do not suppOS
| thai ANYTHING l may say viii have any
. ! effect or do any good, but that l may no
| have my opinions misconstrued, / have
thought proper % make this publication
| TWENTY-FIVE years ago / was against Great
| ing this debt so hastily, despite the popular
/ elau1or of that day in its favor, and even
1 Fef4sSed to vote for "A resolution pledgihg the
! faith and credit ri the State for the pay.
1 ment of these bonds, Bgt CftCr, in Obedi.
| dienoe TO the popular demand, they Were
! issued aud the faith of the state pledged,
deemed il my duty 10 support the public
/ credit and TO advocate the preservation OF
fhe faith which had been pNghied, Time
has Shown the wisdom of the course pursued
~ me then. and am now satisfied that if I
seffIement of this debt Is not now made
fbe Tins will come when IL VIII be regrette(
mar fhe warnings of the state credit mel
were not regarded, aud that their counsel
were not needed. Yours, -