The Morristown gazette. [volume] (Morristown, Tenn.) 1867-1920, 1881-03-16

In the Senate, on Tuesday, Mr..
Duggan introduced a bfff to settle
the State debt at 60 cents on the
dollar and 6 per cent interest. In
the House Mr.. Butler introduced a
billion the same subject, which is
said to be endorsed by a majority of
the legislature, and the generalopin-
ion is that the main features Of the
bin will become a law. We copy the
full text Of the bill:
AN ACT to compromise and settle the bonded in
debtedness of the State.
Section 1. Be it enacted by the
General Assembly of the State Of
Tennessee, That all the legally is
sued bonds Of the State Of Tennes-
see, and all outstanding and unpaid
coupons thereof, up to and including
those falling due on the first day Of
July, 1881, may be funded at the
rate Of sixty cents on the dollar,
upon their face value, in coupon
bonds of the State, bearing interest
at the rate of per cent. per annum,
and dated on the first day of July,
1881, the interest payable semi-an-
nually on the first day Of January
and July of each and every year at
Nashville, Tenn, and in the city Of
New York, at such place in said
cities as the treasurer of Tennessee
may designate by advertisement in
one or more of the leading newspa-
pers of said cities, giving twenty
days notice of the same in said pa
pers.
Sec. 2. Be it further enacted, That
said bonds shall be known as the
compromise bonds of the State of
Tennessee" and shall not be due
until the first day of January, 1922,
but may be retired by the State at
any time after the first day of Jan
uary, 1887, by the payment Of the
principal and interest.
Sec. 3. Be it further enacted, That
said bonds shall be in denominations
Of $50, 500, $500 and 81 900. That
is, there shall not be less than 3 per
cent. of the whole amount in bonds
of the denomination of fifty dollars /;
5 per cent Of the denomination OF
one hundred dollars, and 10 per cent.
Of the denomination of five hundred
dollars, the remainder to be Of the
denomination of one thousand dol
lars Ito be prorated by the funding
board, hereinafter provided as said
board may deem just and equitable
between those who may present
their bonds and coupons to be fund
ed under this act. But the funding
board may issue bonds Of the small
er denomination aforesaid, to any
amount in excess of the amounts
heretofore stated, if the holders of
the bonds and coupons who present
them to be funded so desire.
Sec. 1. Be it further enacted, That
the Secretary of State, Comptroller
and State Treasurer shall constitute
a board to be designated a funding
board, any two of which shall con
stitute a quorum for the transaction
of any and all business for which
said board was created. The board
may sit or. hold meetings for the
transaction of the business created
by this act, such times and places
as they may deem wise and proper
to enable holders Of Tennessee bonds
and coupons to fund the same under
the provisions of this act
Sec. 5. Be it further enacted, That
when any of the legally issued bonds
of the State, or outstanding and IN
paid are presented to said funding
board for funding under the pro
visions of this act, they shall eX-
anime and audit the same and, if
found to be genuine, shall prepare a
compromise bond or bonds, as may
be necessary for the purpose, and
when said bond or bonds have been
signed by the Governor and coun-
tersigned by the Secretary Of the
State, and the great seal Of the State
of Tennessee is affixed thereto, and
the original bond or bonds have
been registered in the Comptroller S
office and a full memorandum Of the
same made by the Comptroller, and
the same signed by the party re-
ceiving the compromise bond or
bonds, said board shall deliver said
compromise bonds to the party en-
titled to receive them, taking full
and ample receipts therefor them
the party so receiving. But in fund
ing the provisions of this act, the
State shall not receive or account
for any portion Of bond or coupon
in excess of the bond demanded,
and if the amount of the bond or
coupons presented to be funded be
less by a fractional part of coupon,
the party applying may pay the
same in currency.
Sec. 6. Be it further enacted, That
az soon as practicable after the
passage of this act, there shall be
prepared, under the directions Of
the Governor and the Funding
Board, a sufficient number of we'll
engraved bonds to take up and fund
all the unpaid bonds and coupons Of
the State, and upon each coupon Of
the bonds so prepared, the sigma
lures of the Treasurer and Comp
troller shall be engraved, and the
said coupons shall be numbered with
the number of the bond to which
they are attached, and shall state
on their face when they fall due,
and the amount Of interest due on
each. The cost of engraving and
said bonds and coupons
Shall be paid out of the treasury
upon the warrant of the Comptrol-
Ter, based upona the certificate Of the
Sec. Z. BE it further enacted, That
the Funding Board is authorized to
demand and receive as compensa-
ion for their services in carrying
,ut the provisions of this act, the