The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1879-02-21
THE QUESTION OF THE TINE.

| Inn VUhSI hun VI Iub IlMb,
In another place we reproduce from severa
of our country contemporaries editorials ant
communications on the State debt. some o.
them demanding Its readjustment on the
basis Of the elimination of the fraudulent
portion and the reduction of the rate OF inter.
est to four per cent, and others demanding a
| sweeping reputation. We have previously
| reproduced articles Of the same tenor from
| other country papers, while from gentlemen
from the parishes farmers, planters, mer-
chants, professional men and members Of the
Legislature whom we have seen and talked
with, we have but one expression Of opinion,
and that is In accord with what we print this
morning. In the city there seems to be
greater diversity of opinion. But we
have taken pains TO Inquire into the
real views of the great mass OF
the voters here. and we find them
to be In accord with those Of the country. The
vast amount Of the capital represented by
the bondholders, or rather by the spectators
In State and city bonds and the monopolies.
enable them to make q formidable display and
to control able and influential professional
aid; and we have no doubt tremendous
movement is on foot to control the city dele
gates In the convention, by able counseIors
among the delegates, and, by other means, the
convention itself, In the interest OF the hold
ers of the State debt and the spectators In
State securities. But we see little prospect
oil the movement succeeding. The interests
concerned In maintaining the State debt may.
1t Is true, represent twenty-five or thirty mil
lions OF organized capital, and that Is ire
mendous power, invincible. indeed, under or
binary circumstances. But, on the other
hand, the interests which are oppressed by
the debt. and which are being enormously
taxed to pay the enormous interest on 1t.
aggregate over one hundred and seventy five
millions OF property besides the industries
and trade OF the State
The owners of this one hundred and seven
ty-iive millions Of dollars taxed eleven mills
to pay the running expenses OF an extrav-
agant governmental system and q cruel in
terest on debt largely fraudulent, have re-
belled. or are about to rebel against this sys-
TEN OF legalzed confiscation. This is In q
nutshell the issue presented between the tax
payers Of Louisiana and the spectators In
Louisiana bonds.
The holders OF Louisiana consols will claim
that the so-called constitutional amendments
ofts74, which scaled the debt forty per cent and
extinguished the contingent debt, constitute
contract which cannot be abrogated and that
the reputation of the debt will faint the
honor and damage tho credit OF the State.
This la the case of the bondholders How
will the people answer Thus 1. The ante
bellum debt, amounting to something less
than ten millions, was created on the basis
of property assessed at over six hundred mil
lions OF dollars. The vicssitudes of war,
followed by arbitrary and robber govern
ment have reduced the property OF the State
to less than one-third of that sum. Hence
the ante belium debt should be reduced instead
of forty per cent, as was done under the So
called amendment of 1874, to one-thrd OF
its original amount. Q. The debt created
since the war was I'm large part
created by carpet-baggers against the
almost piteous protests Of the taxpayers; the
State has derived not one dollar OF benefit
from 1t. and the only monuments it has Gre
ated are not railroads, or public edifices, or
charitable institutions sustained, or public
schools maintained, but fortunes for carpet
baggers and scallawags and poverty and
ruinous taxation for the people. g. This post
beiium debt must be thoroughly Investigated.
sifted and reduced to a sum which will repre-
sent what the people Of Louisiana have derived
from It, a. The money power of the country,
OF the national banks, the holders
u national bonds and the holders Of State
md city bonds, were the bone and sinew OF
The party which Inflated the currency: dur
ng the initiation era the debts OF Louisiana
md of New Orleans were created and the
present enormous rate OF interest they bear
liked. Now. having inflated the currency,
hen having overrun Louisiana with troops
md robbers, who, to pamper and enrich |
themselves, created q vast debt, and having
adjusted that debt at seven per cent interest
Indor the shadow of the bayonet and through
he instrumentality Of returning boards, |
hese same persons have combined with the
present administration to resume specie pay
nents; and having reduced all values to a /
yold basis, they still insist that the people of
louisiana and OF New Orleans shall pay the
fraudulent and honest debt alike, interest /
nd all, on the specie basis.
We have watched this question with great
interest. We have looked at 1t from the bond
lolders' standpoint and we have considered
from the standpoint OF the people, and we
re forced to say that we believe the people
re in the main right Simple justice de-
hands that the convention shall readjust this
tate debt; the ante bellum debt should be
educed In accordance with the deprecated
tate of property; every fraudulent bond
,sued since the war should be eliminated and
he residue of the debt funded in four per
ent bonds.