Staunton spectator. [volume] (Staunton, Va.) 1849-1896, 1882-02-28

Al
The Foreign B0ndholders to Contest the
"a "Riddleberger Readjustment,v
from the Money Market Review.l
It will be seen with satisfaction from
the following communication, a,,dI essed
by the Chairman of Corporation of For
etgn Bondholders TO the Governor of
Virginia, that unc0mpromisinr opposi
ton will be offered to the threatened at.
tempt on the part of that State 10 disre
gard the rights OF the bondholders as al
ready s0lemnly affirmed by the HIGHEST
Judicial authority in the United States.
COUNCIL FOREIGN BONDHoLDERs. \
II MOoRGATE STREET,
LONDON, E. c., January Is, 1882
" HIS ErceNency ". E.. Cameron: Gov
esnor OF the Comm ns0eaith of Virgin.
ia:
"Sir,-The ACKNOWLEDGEMENTS Bond
holders Committee sitting here have
viewed the position taken BY yourself in
your recent message to the General AS
sembly of the Commonwealth with feel.
ipgs alike OF regret and SURPRISE The
committee represent various classes oil
the creditors of Virginia, some of them
still retaining the ante 6ellalm securi-
ties of the State, some of them holding
securities into which they have convert
ed the former class of holdings, greatly
In diminuti0n of their original just
claims, but having post bell,so sanction
Of the supreme legislative authority Of
Virginia. These various classes are
known to your Excellency, and they are
comprised in the following list: The
unfunded bonds, the sterling bonds, zne
funded bonds of 1871, the .'peeler bonds
of 1872 and the ten forty bonds of 1879
ION the onte-beltune securities not
one cent has been paid by the State
since July, 1874. though I need not re-
mind you the money was lent to it for
the purpose Of making public works
and Improvements, of which the State
has had the full benefit, and which II
still possess.
And AZ regards the post bellun secu-
rifles the committee wish to observe thai
the creditors who hold them, accepted
them In lieu of the ante -bellum securl
ties they previously held, in the full be
your Excellency, that the people of Vir.
GINA would be glad to meet their solemn
engagements to the extent of their pow
er, aud might be relied on to pay regular
interest on an amount Of debt largely
and voluntarily reduced by their credi
tors in consideration of the losses and
sufferiDgs inflicted by the civil war.
ut has hitherto been believed here by
ho 1fU In . hui = I'd
ruled in the State aud its people would
0e in favor of the observance of good
faith and ordinary honesty to its credi
ciety mankind have been supposed to
have some respect for these moral quail
ties, but because the mere pecuDiary in
terest of State with great undeveloped
resources and great need for capital t.
bring them into full production require
that Its public credit should be on .
sound footing.
1.-The present credit of Virginia is NIL
and deservedIy.
1.-THE committee ere very confident
that all those who are directly interest.
ed In the progress and prosperity of Vir-
GINA in her trade aud in her industries,
agricultural, mining, and commercial,
to insist that the name of Virginia should
not be made q by word or contempt and
ridicule among the capitalists of Europe,
in the reputation of her public engage
meDts.
1.-THE committee also take leave to
protest ia the strongest manner against
the doctrine your Excellency sets forth
that the present rate and measure OF
taxation must be the necessary linlta.
ton of all that Virginia can afford TO
meet the charge of her pubic debt, after
paying the other requisltesof civil gov
eminent. The committee were under
the impression that the great Republics
of North America were animated by in
telligent and enlightened views of State
obligation, and claimed to set an exam
pie to the older European States of q
higher morality and a greater sense OF
public duty, but if your Excellency' e
views are an exponent of those of the
people of Virginia, the committee take
the liberty of assuring your Excellency
that they are such as would be regarded
with just derision by every civilized
State ON this side of the Atlantic.
st il true that the civil war greatly
reduced the extent and resources of the
State but to meet the reduction of ter
rit0ry Virginia herself has arbitrarily
reduced the capital of her debt by ONE
third, 10 which. In consideration of her
diminished resources great part of the
creditors have consented, while with
the knowledge and assent of the Legis-
lature they have also agreed to the diml-
mutton of their rate of interest.
but if your committee are rightly in
formed by official documents. the State
even with the present rate OF taxation,
is well able to pay the interest both on
her funded aud unfunded debts.
1.-The committee therefore wish ear
nestiy to impress on your Excellency
that the bondholders have gone to the
extreme point of concession to- the ex-
igencies Of the State of Virginia, and
that they will resist to the utmost OF
their power all attempt to cancel or sci
at naught its fixed engagements; and
further, that however regardless you
may be of their just rights, it is of the
utmost importance, not only to the good
name, but also to the fu ure prosperity
of The CommOnw wealth itself, that the
coupons of the funded bonds of 1871, and
of the per cent. 10 40 bonds should he
taken ut their full value for taxes or be
paid at maturity by the Treasury.
"As your Exceliency has placed the
question between the foreign cretiitOrt
of Virginia and the State in such .
prominent position in your Exce'leucy'
message, the committee think that they
are entitled urgently to request your
Excellency to lay this letter before The
General Assembly, as the view of thu
question herein taken by this infuen-
tial section of those creditors, is as OF
vital Importance to the interest of ths
State as it is to theirs. 1 have the hon
or to be, sir. your Excellency's obedienl
and faithful servant. G.4t.
fSigned1 '.E. P. BOUvERIE,
Chairman of the COMMITTEE"
LAws.-The following having been
approved by the Governor have become
laws:
An act to authorize the Norfolk and
Western Railroad Company to guaran.
tee the bonds of the South Atlantic and
Ohio Railroad to provide for the relin-
guishment to the United Sites of title
to, and Jurisdiction over. space within
limits to be determined by accurate sur
vey between certain latitude and lOngi-
tuue, for the purpose of establishing a
quarantine hospital and erecting build
ing for the temporary storage of the car
goes of infected vessels; to reorganize
81.