The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1881-01-27
ffor ,he Dispaleh.j



There IL no better settled principle OF
common law than that "tbe King c1n DO
no wrong" and Is, therefore, not amenable
10 the criminal law; neither IA he alnenable
10 the civil law. The embodiment OF the
sovereignty Of his State. his position Is
above the law. When the treaty VI peace
with Great Britain was made Virginia was
recognized 10 be an independent. sovereign
State. Her Legislature, II Is said, can e1er'
else complete sovereign power, except VA
so far as q written constitution limits OF re-
strains H.. But II has never, anywhere,
been held that this full power carried Witli
1t the legislative rIoht to abdicate and sur
render tie sovereignty OF the State. Inc
modern doctrine Is that when lbe state Is
sues tax. receivable coupons 1t s,oops TO Tue
level OF a private citizen, and enters ihio
"b,pd,pg contract" But, az stated above,
go long as the State Is sovereign, she
can't he bound by contract. III
therefore follows, IL she has become
bound by an irrepeslabe contract her
sovereignty has been surrendered. When
and BIZ what authority was that ever done
Here is the reason why many OF the ablest
LAWYERS OF Virginia Of the old STATES, .
rights school have always dissented from the
decision Of the courts holding legislation OF
the States Us to their public debts within the
terms OF the provision OF the Federal Con-
stituliou prohibiting the passage OF laws
"impairing the obligation OF contracts.
They insisted that a coupon receivable III
payment OF taxes when issued by Toe STATE
carried with it the necessarily'implied quall.
feation "during our sovereign VIII ana
Measure" The idea that an English Gov
eminent bond is based on anything more
than .'tbe plighted faith and houOr" OF the
sovereign, or that the holder has any
remedy to enforce its payment, would GER
,alnly be a new one. the government OF
Virginia succeeded the British Government
i'm sovereign authority here. But the late
decision Of the Supreme Court Of tie United
States, as the others before, ignores that sove-
reign quality; and perhaps since 1860 it were
better for us all TO forget that Virginia was
ever a sovereign State, and to realize that
her government is only one Of many dis
trict or provincial governments OF the great
American nation. Mr.. Justice Miller. how
ever, suggested that rs nothing was said in
The contract" about exemption from tax
alton, the State clearly reserved the right OF
taxation. Now, just here, before innocent
persons 60 to "speculatng IN The cOnsols
at a high figure, in consequence OF tins lale
decision, il may he well 10 consider that a.
they are rcdeemabe after July |, 1881, the
Legislature may next winter call them III
for redemption, and thereafter stop the in-
terest on the bonds. There is another dam
ger which might happen. The 5ondholder
i'm taking these bonds knew that ii the
coupons were paid in Is taxes they would,
pro tdntO, intercept the money-reVenue-
would themselves 20 in as "revenue." The
object of revenue" is threefOld: ~ To
support The Government ~ tlf YOU please
TO pay Interest on the deDt (3) to support
the schools. Now, in case OF deficiency OF
revenue, what is 10 be done! The cODsol
bOudhoIIer sees now, and for years has
seen, that by thrusling bis coupons in be
depryes those bondholders who have not
taX.receivable coupons OF the chance TO get
auy interest whatever. Is we'll as stops the
schools. Now, it so happens that there Is
nothing in "thc contract" between blm
and the State which prohibits The State from
uSiHq for reUenUe purposes what he bas
paid in as revenue. One tenth OF the reve-
nue. coming in, say, belongs 10 the school
fund. When IFS share OF the coupons Is
turned over TO il why may not the LPgisla-
ture order them to be sold for what they
viii bring and the proceeds be turned over
TO The schools? Why may not this be done,
also, to such extent As may be necessary to
support the Government? Ii the courts
all hold that a frst-mortgaoe upon Il
railroad must be subOrdlnated to open
account debts for labor, fuel, and supplies
to maintain aud operate the road, surely
the necessary means 10 run the Government
must be provided before the public creditor
receives his interest; for as in the former
case so in this-the very security OF his
debt demands that the necessary means
should be provided to preserve that on
which ii depends for its security and ulti-
mate payment. The inevitable effect OF this
would OF course be 10 depress the coupons
and the bonds to which they belong IN the
markets. So that practically coercion may
vet be in the bands OF the people. But why
drive them to it? They are very poor and
toilng hard under great Disadvantages. In
quire OF the truckiarmer, the grain-prO-
Queer, the tobacco.grOwer, and the cattle
raiser, and from every quarter OF the
State comes the reply, "Wm'e the
few make a little, The many find it hard
to make buckle and tongue meet" An
embarrassed merchant could compromise
at SOC. in the 81 without trouble. BE
liberal and generous To the old Common
wealth. Come forward yourselves ana OHer
TO take S20,000.000 debt. non'taXable, at
per cent. interest, running forty years Tor Tue
principal OF the present debt, and non-ln-
tere>t. bearing Treasury notes for all past
due interest, with | per cent. sinking
fund, applicable first to redeem these notes,
and next to pay off the principal OF the new
debts. The notes, being soon rcdeemable,
would circulate at zoe. or Doc. IN the 81.
Old unfunded bonds would be surrendered
at soc. in the 81. and funded bonds, whether
consoIs or peeIers, at 7jc. Infunding these
:3,33ttc. was deducted, one fourth off now
QGIc) Produces them to equality with the old
unfunded bonds. Ii you do this the new
bonds will goto par at once, the debt will
be out of politics forever, and the door long
shut will be opened wide TO the influx OF a
tide Of mining and manufacturing wealh to
revive and enrich the State.
A NIRGINIAN.