The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1879-04-29
LET Us HAVE THE WHOLE TRUTH
On the twenty-sixth instant ex-Gov. War
moth introduced Id the Convention the fol-
lowing preamble and resolutions:

On the twenty-sfxth 1nstant eX-tov. war
moth introduced Id the Convention the fol-
lowing preamble and resolutions:
Whereas. bonds Of the State d. Louisiana
Gfeat Northern Railroad Company to the
amount OF 1884, 900 in the year 1853: to the New
Orleans and Naahy lIa Railroad Company to
leans, Opelousas and Great Western Railroad
Companyto the amount OF $65Do0o in 1863; TO
Company to The amount Of sa9s 300 iii 1868: 10 the
Baton Rouge and Gros Tete Railroad Cnmpany
To the amount Of $16o 600 LII 1853: to the Mexican
900; to the Citizens Bank Of New Orleans,
private corporation chartered In 1888. to the
IF and t. hs
eating the sum d. 500 sas 81: BE- #
Res0lred. That the Auditor Of Public Accounts
be requested to report to the Convention the
| amount Of said bonds yet outstanding: whether
| the confederation upon which they were issued
was valid or fictitious and whether the State
has any interest, lien or mortgage upon any of
the property, assets Or incomes Of any OF said
what extent and the estimated value thereof.
q. Whether any OF the bonds issued to the
said banks Or railroad companies have ever
| and railroad companies: and. II 30. how many
and to what amount
8. Whether the st,te has In any manner re;
| II so how many and to what amount.
| 4 Whether the State has ever realizad any
/
or property, Of any bank Or railroad to which
bonds have been issued. and II 30. to what ex-
| tent and Whnt sum.
| The preamble and resolutions are excellent
80 far as they 60. We fully and cordially
endorse them. Especially do we think that
the obligations Of the property banks to the
State should be inquired into and exposed
and the probability OF those banks maintain
ing their obligations to the common wealth
placed before the public.
/ But the Ex-Governor has not gone far
enough. The debts he proposes to investi-
gate are OF long standing. Several genera
tions have recognized them, and as little
benefit as the State may have received from
them, they were created when the people
were rich and In the multitude OF years that
have rolled away certainly some recognition
has been given them upon which innocent
holders have right to rely. Nevertheless,
we approve the resolution OF the Ex-Governor.
j But this is not enough. Indeed, 1t is but a
small portion of what must be done. It Is
singular that when Mr. Warmoth introduced
his sweeping resolution covering every debt
up to the hour OF his own accession to power,
he should have said nothing relative to that
mass OF fraudulent Indebtedness created under
his own administration and funded under
that Of his compatriot and fellow-partisan
! Mr.. w. Pitt Kellogg. When the delegate
representing Plaquemines introduced the
preamble and resolutions. excellent we re-
peat, 50 far as they go) we have quoted
above, why did he not also propose an inves-
tigation Of the proceedings Of the Funding
Board during Kellogg's administration; Of
the abolition Of the school fund by act No. 81
Of 1872; Of the appropriation Of money fol-
Ludeling's railroad, and the subsequent con-
version Of 1t into stock, by which the State
was robbed Of nearly one million Of dollars
We approve OF the resolution OF Gov War
moth 80 far as II goes. But we insist that II
should have covered the whole area Of the
!, debt and provided for an investigation OF that
. mass Of fraudulent indebtedness created IN
: der his own administration and funded by
. Kelloggs funding board.
We will take act No. 81 Of 1872, for instance
by which Radical Legislature peremptorily
abolished the school fund, which the constitu
= tion, In substance, says; we quote the Ian
guage Of the Supreme Court, "shall be anC
remain perpetual fund" This act was passed
!. by Radical Legislature, and was, the Su.
preme Court declared, fan act OF spoliation
intended and designed to deplete the treasury
OF every available asset or fund In It," 1--WE
therefore," continued the court, s'regard the
sale Of these free school bonds, held by the re-
lator, to be null and void, and that he acquired
his title to them by virtue Of the pretended
sale under section Of said act No. 81"
We have not, just at this writing the data
before lis to enable us to- say what the free
school fund. which was plundered by act No. 81
of 1879, amounted to; but we think 1t was over
> million OF dollars. Now, IL the Supreme
7 Court has rendered a just decision In this case
the State must protectitself against act No. 81
OF 1872, or 1t will owe doubtly the amount o
which the school fund was plundered by that
act.
In the first place. II the Judgment Of tht
Supreme Court Of the State of Louisiana
which Is composed OF our most learned ant
honored citizens, is to be accepted, beyond
. question the State of Louisiana owes the fre,
school fund Of the State-the poor, helpless
children of Louisiana who have no means o
education save the bounty OF the State-every
. dollar OF the fund which was plundered b,
act No. 81. In the second place. Ii the theor,
OF the bondholders Is correct, and 1t will reall,
be Infamous TO repudiate any portion or pro
portion of the funded debt, then the State ais
owes the holders Of these school bonds
!, stolen from the treasury, every dollar the.
= represent; and thus has debt of fully
:. million OF dollars been converted, by tn
W legerdemain of Mr.. Warmoth's Legislator
% In 1872. and Mr.. Kelloggs funding act Of 1874
= into double obligation by which the poo
children of the State and the taxpayer
,. have been robbed for the benefit OF the bond
- holders. This Is perhaps the most flagran
. fraud on record The innocent parties-th
school children ana the taxpayers bee
> robbed and no protest, cave that made by th
DEMOCRAT, has gone out, while the bond
: holders and other beneficiaries exclair
ii and are echoed by the country, the
% IL the Convention attempts to right TIL
4 wrong, and impair the value Of singl
y bond OF that fund held by the plunderers g
- their transferees. 1t will be Infamous repr