The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1879-03-29

1879. the serui.anguaI interest on which IS
,s5s7. 4s7. Estimating that all OF these VIII
ind their way into the Treasury within SIX
months after they fall due, We have the
following estimate Of the revenue needed
m meet our interest during the transition
perisd from the old to the new bonds:
J,nuory ], 1880. Interest On new bonds ooo
Ito wit. Sc 600. 0opI '------
Coupons due LIST July, 1S79------.......': oof'4o.
Am aga and 10 7s sc 1a pn 1880
Sas s,y l. .o oeGo ..----s a5. 600
c - Sue i Ct Jnuuarv lSSO--.---- 397.4S7
A ans Ist !, Jul % 1850.
January lssi. inefes. Oh 100000
Cou Sm due Isl July 2e7.4s7
Anssnt on 10 SC pann 1s'
ss sss asSi ;i.s:f:; ~ fss9e9
Amount 1aS Se1saa oe.seen .sl s54e4e7
y,nsar Son asez. an.eIes. o"
Coupons due ist July, ssl.......-.------ s7,4s7
AmSgns n Isnuarr oeIsn
Between the lss OF July, 1881, and the
LIST or January, 1882, all the old, COUPON
bonds will be taken in, If the funding Is
accomplished as proposed. 1t will appear
by this calculation that $3.50, 914 VIII DC
needed TO meet the interest on the new
bonds and the coupons falling due on che
old bonds from lst Jaly, 1879, to ast au1y-
1880, and that afterwards the anRual
amounts needed VEIL be much less, while
the State expenses will also become less
The Second Auditor reports that on Ssth
September, 1878, $954,e4S Of coupons were
outstanding--the accumulation OF past
years. These will come Into the Treasury
very slowly, judging by the past, for In no
one year, except the last, have as many
coupons been presented as fell due within
the year. Still, it is pessi6Aethat these past
due coupons may be hurried in, and that
the. funding may DC more rapid than
provided for in the. hill. To meet
this contingency an amendment was put
upon the bill which is 'kn0wn rs the
ALLEN amendment, by which, il need
be, the ,Auditor is dsrocteu TO borrow
she amount necessary ITO ;lpay promptly
Z the Interest on the new Sonds,and in case
he cannot borrow, then 10 sell ftst-recesi "
u bile certificates, distributing, them through
ont the State. at a price to be fixed By thu
Commissioners OF the sinkEngF unEs but no
to be less than seventy-fys,eents on the dol
lar, the proceeds to be applied soldig so the
payment ef tbs interest on bheipew bonds
These certificates to be for SANS OF toae dol
lar and multiples thereof. -
This amendment was intended tolpat be-
yond question the payment Of theiinssres.
on the new bonds, aud thus sacure'the re-
funding OF the debt. It has been 'calas by
some 3 force measure upon idea that
it will flood the State with tax1re-
ceivable scrip, which Will depreciate
the old coupon bonds, and thus force
their surrender. This Is enirely erroneous
l II every dollar Of tho interest on the new
bonds should have to be raised by the sale
OF these certificates, the amount: of eertifi-
cateS lSSuc4 COulS LlOG ESSCSeO VIC oi3 WV
pons retired by the issue OF the new bonds.
Take as an illustration the first issue: The
semi-annual interest OH the SS,000,000 will
be S120,o00. No more thas 100000 Of GER
tificates could be sold to RAISE this sum at
the minimum price fixed. But in The issue
OF the sS,o00,O00 of new bonds $685.
1928 of coupon bonds must be, retired
the senOi-annual coupons on which amount
to $3.50, 900. .
, It is thus demonstrated that no more tax
receivable scrip can be Issued than is now
falling due, and none whatever except TO
take the place OF the retired c0d.pcns,
and therefore no bondholder ear say
that his coupons VIII be. deprecated |
by their issue. As the minimum price
fixed, however, Is much less than tie
market price of coupons, ssnd the certiG-
cites must be. sold for the best price which |
can be obtained, it is certain that even II
alitie interest on the new bands should
have TO be met in. this way, the volume Of
scrip will be less than that of the retired
coupons, Nor is there any force i'd tie oh
lection raised Chat the Auditor may becom--ii
peeled By q fsandanas to issue certif cates,
We're such q thing possible, as the Commits
eiogers' OF the Sinkiie Fund mist fix ftaR