Evening star. [volume] (Washington, D.C.) 1854-1972, 1879-02-08
Rankrupt States and Cities.

The financial difficulties OF cities and states
are coming 10 attract the attention and 10 orcu
py the newspaper space formerly devoted to
individual failures. Bankruptcies of the latter
KIND, being, as the greenback papers were free
TO remark, the fiendiSh work OF John sherman
did not, however, afford the same room for dis
cuSSlon as the present municipal bankruptcies
concerning which the idea has. Inconsistency
enough, arisen that the falling parties are in
some way responsible for their failures. II is
not heid sufficient now, as before the success n;
resumption, TO merely mention the fact of a
bankruptcy and to refer the responsibility. re-
specially or diSreSpectfuly 20 the Secretary
OF the Treasury. Each state and each CITY.
struggling against financial difficulties is
now directly admoniShed, reproved or praised
as TO It's course. Among the cities Memphis has
ALREADY yielded up its municipal LIE and Eliza
beth City is among the breakers OF a sea OF
financial troubles. Elizabeth failed to take
warning by the charge to fling away ambition.
she decorated herself as fine lady instead az
retaining the garb OF humble village maiden
ana now tlndS herself unable to Day the dress
makers bills. The states of Tennessee, North
Carolina. Louisiana and Virginia are afflicted
WIN large deDtS and with class of citizens.
representing certain percentage of the popl-
iatlon, who show no disposition to nav them
Ihe state treasury OF Virginia is entirely de.
pleted and the general assembly must devise
means 10 raise funds for current expenses
Nevertheless Virginia. speaking generally.
shows disposition to meet her liabilities in a
business like way, and this fact will tend Tn
quicken the development OF those internal
resources from which the means to paw her
DEBTS must finally be derived 10 comparison
with inc course OF Virginia. unfayOrable COM
hlent has been passed upon Tennessee for its
continued evasion OF the problem of meeting
us liabilities, an evasion which tends towards
virtual reputation by causing creditors TO aban-
don their claims in despair or obtaining even a
percentage of their face value. East Tennessee
processes 10 wish to pay its share OF the debt
ana set up for an independent state leaving
the reputation half 70 its fate The governor
OF North Carolina considers the state debt of
s2',oot0t0 exclusive of special tax bonds which
IL Is proposed 10 repudiate entirely. as much
TOO great an amount TO be paid in full, and pre-
poses compromise. When a debt becomes
hopeless IL is TO the interest OF both creditor
and debtor that IL should be compromised but
" should first be aScertained with safety that
the debt Is hopeless consideration of the i'll
Jury which Is done 10 state by a failure to meet
It's Obligations in fun should serve TO encOu-
rage good citizens to believe that with industry |
and economy every dollar may be- paid states /,
should not Imagine that they are hopeless OF /
paying their debts. when, in too many cases. |
not looking to the end, they are merely careless
about paying them. These southern states.
however, are not the only ones that have had
occasion to resist temptations to repudiate a
heavy Indebtedness. Pennsylvania Indiana.
Illinois and Michigan have been in financial
straits and have been delinquent in paying in
terest on their debts. In Pennsylvania the
state property. 1t is said. was once offered for
sale at AUCTION.