Clarksville weekly chronicle. (Clarksville, Tenn.) 1873-1890, 1879-04-26
TENNESSEE coMmIsSIoNERs
En Conference VvithrIhe BOndhOIsi
erx in New York.

Ina Conference Vvilh-Ihe BOndhOId-
erS i'm New York.
We give the following statement |
Of the conference of our commission
ers with some OF the leading bankers
in New York in reference to the
compromise proposed by the Ten
nessee Legislature recently in ses-
sion. 1t is derived from the report
of the Conference in the New York
World:
There was an informal meeting Saturday
evening between the Tennessee gentlemen
who are visiting New York with the desire
of obtaining an acceptance Of the PROPOSE
ton made by the late Legislature TO the
holders of the bonds of that state and some
of our lesding bankers.
Ex-Governors Porter and Brown, OF Ten
nesSee; Judge Whitworth, President of the
Fourth National Bank OF tennessee MI. II;
Baxter, President ofthe Mechanics National
Bank, Nashville; Mr.. Dempsey weaver,
Vice. President of the Third National Bank
of Nashville; Col. Gaines, Comptroller OF
the Treasury of Tennessee Judge Butler, a
member of the Legislature; Mr.. Rule, editor
OF the Knoxville Chronicle; Col. Fleming,
late editor of the Knoxville Tribune; MIR.
EnIOe, editor OF the Jackson Tribune and
sun, and Col. Burch, editor OF the Nashville
American, were among the TenneSseanS
rpenTesented by Charles NJ. Fry, President of
the Bank of New York; Frederick ID. Tap
pen, President of the Gallatin National
Bank James Buel, President OF the Import
ers and Traders Bank; +. o. French, of the
First National Bank; James NJ. Morrison,
President of the Manhattan Banking Asso-
citation; VIM. H. Hays, President of the
Bank of the State of New York; F. II. Cos
sit and others.
GOV. Porter, GOV. Brown, Judge Butler
and Others OF the Tennesseans explained
fully the present conditions surrounding
the people, the status of the debt, the efforts
which have been made both by those who
are opposed to State credit and those who
have advocated a just and equitable COM
promise, and gave history of the proceed
ing and the present legislation on the sub
Gen. Roger A. Pryor, who as an attorney
of the bondholders visited the Legislature
at its late session, was called upon Tor the
impressions which had been made upon
him in his visit and the views he enter
tanned as to the best course for the DondhoId-
ers to pursue. In reply Gen. Pryor said:
81 visited Nashville as the representative
of the bondholders and put myself in COM
munication with all classes of people in
Tennessee, and think got pretty clear
idea of the temper and attitude OF the public
mind in reference to tbs Indebtedness of the
state, and came to the conclusion that %
per cent. was the extreme amount that the
people of Tennessee could be brought to
undertake to pay. The modesty of Gov.
Porter and the other Tennessee men here
prevents their saying what now state, that
it is due to their weight OF character, energy
and Judgment that the people of Tennessee
have been brought to that figure. That
same weight of character and strenuous
effort will no doubt secure the Endorsement
HThe thing for the creditors to consider is
not what ought TO be done, but what can be
done. Be assured the people OF tennessee
viii 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 q reputation sentiment prevalent
in the State 1t is not consciously lgnoble
| sentiment. Those people do not think they
are repudiating a Just obligation, though
some of the demagOgueS doubtless do. But
| for reasons satisfactory to their judgment
which / will not state, they have got the
idea that there is not very strong, II any,
moral obligation to pay this debt: That
combined with their poverty Is really as l
see it the cause why there is reluctance
among portion of the people to pay this
debt. But they have come to the conclusion
that they will stand 30 cents on the dollar.
1t is a sort of Outburst of enthusiasm largely
manufactured by Gov. Porter and other
able and honorable gentlemen.
Il rather think the mass OF the people in
| Tennessee hope the proposition VIII be re-
Iected. If is rejected you will never get
another 1t is of no use to argue 1t. People
| get familiar with the non payment OF their
debts and the proposition loses Its nonStrous
The next point that arrests the attention
of the creditor is, VIII this offer be carried
out? Well, there is no doubt about that. i
have not a shadow of a doubt that II TINS
proposition is accepted and ratified by the
| people of the state of Tennessee 1t Will be
held sacred and inyiolate.
| 1.-The interest on this debt is a very small
| proportion of the burden that the people
have to bear. The creditor haq always bet
| ter take a dividend that the debtor can pay
| than have him undertake one too heavy tol
| him to bear.
| al tried to come to the conclusion that the
/ Vs1f lV1.of Do war rEazF
| statutes of the State bearing upon the sub
| iect. But came to the conclusion that any
| resources against the railroads is altogether
| illusOry. So that am forced TO the opinion
| that the bOndhOlder must take the % cents
/ or run the risk of never getting another
| offer"
| Mr.. Frederick d. Happen, President of the
| Gallatin National Bank, said: Il believe
| that it is utterly impossible for the State OF
| Tennessee to consider any other pfoposltioA
| than that which has now been presented e
| the bondholders; that If that IS not accepted
| no other offer will be made / therefore de
| sire to offer the following resolution and tC
| saw that it expresses my Sentiment and feel.
| ing as the representative of the holders OF 8
| very large amount of these bonds. They art
/ willing to accept, and do accept on theil
| behalf, the proposition which the State mas
| made:
| 'EThis meeting having been fully informed
| as to the condition of public sentiment N
| Tennessee respecting the Indebtedness o.
| that State, by the committee appointed at 9
/ meeting of State credit citizens without re-
Resolved, That we do most earnestly
! recommend the creditors of the State &c
| accept the proposition made to them by the
| recent Legislature, to settle the debt at d
| cents on the dollar of the principal and
| accrued interest payable in new bonds oi
! the State, running thirty years. ana bearing
| ( per cent. per annum interest.
| The resolution was seconded by Mr.. Cos
| slit, and Mr.. ChaS. NJ. Fry, President OF the
! Bank of New York, before putting it TO vote
| expressed himself TO the same effect as Mr.
| Happen. He spoke of the poverty OF the
| JOuth which he had personally seen in re
/ cent visits and said that if the bondholdeTs
| action depended upon MIN he would say
| accept il at once. The question was then
! put by Mr.. Fry, with the request that no one
| but citizens of New York should vote upon
| it, and it was unanimously adopted
Gov. Porter in conclusion thanked the
| New York gentlemen for their presence al
the meeting and expressed the gratitude o
| himself and associates from Tennessee fol
| their sympathy and goodwill.
We give in addition Gov. POrter's
views as expressed in letter to the
EnlOe-B Baxter Committee who were
commissioned by Gov. Marks
These gentlemen had addressed q
letter of enquiry to Gov. Porter re,
questing his opinion of the prospects
of acceptance:
/ commercial and financial men and such
| holders of our securities as we could identity
] We are gratified TO report a more favorable
| sentiment for the adjustment of the debt Of
! Tennessee. on.the basis proposed in the act
| recently passed by the Legislature, than We
/ anticipated. While we find some of the
| largest hOldeaS of our bonds heSitatinE tC
! accept the offer, vet we believe the very lib.
/ eral spirit which pervades the commercial
| and financial circles of New York on this
| subject justifies the hope that large major
| ity of the holders of our securities will accept
/ the offer made by the state, at an early day,
| and that finally all the indebtedness of the
State will be adjusted on that basis. There
| are a respectable number of the holders OF
but anxious TO refund the bonds on the
| terms proposed. We think they should be
offered an opportunity of doing so. What
/ opposition exists to the settlement lies less
| against the amount offered than the absence
of special provisions guaranteeing the
prompt payment of interest. Our bonds are
| more largely held elsewhere than in the city
/ of New York, but we find the same senti-
/ ment prevailing among Others as with the
holders in this city. Our purpose has been
| to impress the facts as they exist upon the
holders of our securities. After that has
been done, the responsibility of adopting or
[ rejecting the proposition is in their hands,
We derive the Cove from the
correspondence of the Nashville
American. The same correspond
ent concludes his letter with the
following expression of opinion:
The only opposition seems 10 be Mr.. Ged-
des, representing holders of a million dol
# he prnHS y-hn have determined 10