Knoxville daily chronicle. [volume] (Knoxville, Tenn.) 1870-1882, 1879-04-25
PAYMENT OF TENNESSEE BONDS.
A Conference With Bankers of this
City-Creditors Asked to
Take so per cent.
New York Times, April 21st.

y WHICH
is on visit to this city for the pur-
pose of obtaining the assent of the
bondholders to the scheme whereby
the latter are to receive about one
half the par value Of the securities
held by them, held a meeting on
Saturday evening, in which a num-
Der of bankers Of this city took
part Among those present were
x-Govs. Porter and Brown, Of
Tennessee Judge Whitworth.
President of the Fourth National
Bank of Nashville; Mr.. H. Baxter,
President of the Mechanics Nation
al Bank, Nashville; Mr.. Dempsey
Weaver, Vice President of the
Third National Bank of Nashville;
Col. Gaines, Comptroller of the
Treasury of Tennessee; Judge But
Ter, member of the Legislature;
Charles NJ. Fry, President of the
Bank of New-York Frederick D.
Tappen, President of the Callatin
National Bank !; James Buel.
President Of the Importers and
Traders Bank T. O. French, of
the First National Bank James NJ.
Morrison, President of the Manhat-
tan Banking Association VIM. II.
Hays, President Of the Bank of the
State Of New York T. II. Cossitt,
and others. Gov. Porter, Gov.
Brown, Judge Butler and Others of
the Tennesseeans explained fully the
present condition surrounding the
people, the status of the debt, the
efforts which had been made, both
by those who are opposed to State
credit and those who have advocated
a just and equitable compromise,
and gave history of the preceding
and the present legislation on the
subject,
Gen. Roger A. Pryor, who as an
attorney for the bondholders visited |
the Legislature of Tennessee at its
last session, said he had made care
ful inquiry and had come to the |
conclusion " that so per cent. was
the extreme amount that the peo- |
pie of Tennessee could be brought |
to undertake to pay" He added
Z" The thing for the creditors to con-
slider is not what ought to be done,
but what can be done. Be assured
the people of Tennessee will not do
better than they offer now. And .
they are not so much to blame as
we may think. They are very poor.
You have no idea of the poverty Of
the people in the farming districts.
And, moreover, while there is a re-
pudiation sentiment prevalent in the
State, it is not a consciously ignoble
sentiment. Those people do not
think they are repudiating a just
obligation, though some of the
demagogues doubtless do. But for
satisfactory to their judg-
ment, which I will not state, they |
have got the idea that there is not
very strong, if any, moral obiga~
tion to pay this debt. That, com
bined with their poverty, is really,
as | see it, the cause why there IS q
reluctance among a portion of the
people to pay this debt. Butt they have
come to the conclusion that they will
stand so cents on the dollar. 1t is
a sort of outburt of enthusiasm,
largely manufactured by Gov. Por-
ter and other able and honorable
gentlemen. Irather think the mass
of the people in Tennessee hope the
proposition will be rejected, If it
is rejected you will never get
another. It's of no use to argue it.
People get familiar with the non
payment of their debts, and the
proposition loses its monstrous char
acter." +" In conclusion, Gen. Pryor
said he had no doubt that the
agreement to pay the so cents on
the dollar would, if accepted and
ratified, be carried out.
Mr.. Tappen said: | believe that
it is utterly impossible for the State
of Tennessee to consider any other
than that which has
now been presented to the bond
holders; that if that is not accepted
no other offer will be made. |
therefore desire to offer the follow
ing resolution, and to say that it
my sentiment and feeling
as the representative of the holders
Of a very large amount Of these
bonds. They are willing to accept,
and I do accept on their behalf, the
proposition which the State has
made.
This meeting having been fully
as to the condition Of pub
lie sentiment in Tennessee respect
ing the Indebtedness of that State
by the committee appointed at
of State credit citizens
regard to party;
Resozved, That we do most ear
nestly recommend the creditors of
the State to accept the proposition
made to them by the recent Legis-
lature, to settle the debt at so cents
/