The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1881-01-10

eVltRply Tue tGuemen ApPkoNeu W ~ SUI.
styled "Dsbt psyers" have fallen short 0i
that observance Of the inviolable sanctity
Of contracts Of which they pirate 80 much,
Atthe next session Of the Legislature the
whole business was leSpsned. 1t was then
that
M HUGH M'cULLocH
appeared upon the scene with his STAFF Of
SCENTS and attorneys, He rendered his
services to eject a settlement with the
creditors, and his bill for the purpose
(which he brought with him from New
York already prinled), like the COpServa-
tive platform Of 1877 and all the bills Of
settlement proposed since the funding bill
OF 1871, embodied the accepted proposition
otall parties that the industrial and pro-
ductivs interests Of Virginia could not
stand n increase Of taxation, and that
this must be acknowledged in any scheme
OF final adjustment. The representative
OF two syndicates, ole Of New York aud
the other Of London, and frankly confess.
log that he did not speak for our creditors,
Mr.. MCOulluCh proposed that II the exclu'
sive privilege and supreme power OF re-
funding the debt were conveyed 10 his
syndicate they would use their best exer.
lions TO bring the creditors to terms, His
bill, in form and purport, was an ire.
psslabls contract between Virginia aud
these associations OF brokers, by and
through whom alone the funding was to
proceed. The accumulation OF interest
upon the 'peeler and untunded bonds
(which in all the eight yeGTs from the pas
sage Of the Funding Bill had received hut
IL per cent? now R~ggrsgltlnR "a, OOO,O OO,
was 10 be capitalized at fifty osntS. on the
dollar, The old bonds were to be refund.
ed at par, In the proportion Of 81 In CON,
soils to 81 Ia 'psslsrsi and the new bonds
we're TO run for forty years at 8 per cent
interest for the int ten years, at 4 per
cent for the next twenty years, and B per
cent for the remaining ten years, with tag
receivable coupons, aud principal and in,
terest To be exempt forever from oil taxa.
ton within the State, Under the former
bill there had been no such exemption,
and the coupons had been sub!
Iected to tag which was
deducted from them whenever
they were presented In payment OF public
dues. IL also converted the whole Of the
debt, principal and interest, from n
payable In currency to one payable IN
gold, or sterling at London, at the option
OF the creditor. A further provision was
that II at any one Of the Bemi ANIMAL
periods for the payment Of interest there
should no. be money III the Treasury for
that purpose 1t should DO borrowed, or
there should he issued certificates Tor
sums OF one dollar and ils multiples, re.
CeiVAble Tor all taxes, to he hypOthecated
Or sold ut not less than seyenty'ave cents
on the dollar. The funding wga 10 pr0'
coed by iustallmsnts, not less than 5 $780,
600 by the let nj January, 1880, and Of
not less than s. 100000 within each sue
ceedlng six months such were the main
features Il the measure as 1t was periecr
cd and came from the syndicate. That
this WAp
MERE BROKERS JOB
was obvious upon It's face, and 1t was soon
developed that the 'peeler creditors were
10 be atrociously victimized.
In looking at this process, with respect
to the holder Of the 'peeler bonds, the
question naturally arises that II he were
not an u unwilling
VICTIM or FORCE,
what Is meant by force In this connection
He was certainly no voluntary party TO the
arrangement which excluded him from q
fair participation In the bIndlng,which re.
pudlated absolutely one.halt Of his inter.
est, and which gave the syndlcates such a
complete mastery OF his bonds. His cor
sent was not sought, although he was Rs
meritorious as any other Of the creditors
Of the State; his bonds resting Ia the faith
Of the same people, being part Of the same
debt, and calling foI the same rate Of 10.
terest as the "COuRols." But he
was marked as MCCulloch's game,
and when he was forced TO accept
&24 from the syndlcates for bis bond and
accrued interest, fundable at $ll8, the
syndiCales f. lded the same and sold the
new bond at market rates for $50 40, there.
by realizing q profit OF $35 40 on an invest.
ment OF $24, It Is easy to see that, by q
like process with the whole ten millions
Of the 'peeler debt, the syndicates could
have Noted $500 900 on tbat alone, with.
out raCkOningth their commissions and profits
from other sources 10 this funding job. OF
which they had the complete monopoly,
without restriction as to per cent. They
were Ia no sense the agents Of the State.
10 effect, the assiguees. Tho bill was not
only fortible in thg hands Of the syndlcates
as against the 'peeler creditors, but also as
against the Consol creditors and the Stats
herself,
TnR RlpDLEBERdER MILL
on this basis, and upon these principles,
proceeded by legal methods to enforce
equity between the State and The creditor
and between all classes Of the creditors.
II makes the principal In round figures
500 900, 900, interest three per cent both
payable In currency. 1t refuses 10 Vislate
The express terms OF the Constitution Of
the State by expmpting this class Of prop.
erty from the common burden. IL rests
the whole obligation upon the good faith
Of the people, the highest pledge q sover.
eign State can offer and ought to give.
Had the bill, passed bV the Legislature,
been approved by the Governor, II was 10
have heen submitted to the people