Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1884-08-20
For the Dispatch.l
The state Debt.

To the General ASSEMBLY Of TTginia:
On Saturday last the following resolution
was ofeTed in the House OF Delegates:
[Our correspondent failed to send the
resolution. but it does not matter. The
article explains what the resolution was.l
! Tbs resolution is unfortunate. 1t pro-
poses TO make discrimination against such
RlGdlebereer bonds as may have been, or
may hereafter be, issued for coupons ma.
turing after July !, ,SS4. Ii is an accepted
| fact that the settlement proposed by the act
! oi February, 1882, was formally adopted
by the Democratic party, and the platform
OF that party recognizes 1t rs final settle
mont Of the debt question. The creditors
are asked 10 accept its terms. Now, on the
very thrt shold Of The funding, the Legisla-
ture is asked to make discrimination. and
TO treat some OF the new bonds rs more
meritOriOus than others. Nothing could
more, and more Justly, arouse the suspicion
Of the bOndhOlderS, or more reasonably in
cline them TO reject the settlement. II
there he in this adjustment anything to in
duce lis acceptance, ii Is its supposed
finaity. IL, st the caprice Of the Legisa-
tuIc, some OF these new bonds are con-
demned, while Others are recognized,
though all are issued under the same act.
why may not future determinations be
made! Why may not oil be repudiated
This settlement is offered with the pledged
faith OF the state that 1t is 10 be observed
and carried out on its part. The proposed
resolution inaugurates the reputation OF
this pledged fifth.
The ground OF the resolution seems TO
be that under the decision OF the Circuit
Court Of the United States certain coupons
maturing after July |, 1884. are to be fund
ed, dollar for dollar. This decision was
made purely and simply on construction OF
the act. There was no effort or prayer TO
set aside or ignore the act, but, on the con-
traIy, 10 carry out and execute IL. II the
decision is right the bonds issued under it
are entitled 10 the same consideration as all
other bonds issued under the act. III il is
wrong 1t should be appealed from. II 1t
is case in which no appeal will lie. does
the Legislature mean 10 set itself above the
Court and usurp the province OF the Judi
ciary?
We do not propose to discuss the'merits
OF the opinion pronounced by the judges in
this case. but we may say that its reasoning
con AMENDS itself to the judgment, and that
II certainly seems to be calm and judicial
discussion OF the question involved. To
reached seems inevitable, and we are in |
formed that The legal profession are, with
few exceptions, If any, OF the same opin. |
ion. But. whether this be so or not. the |
decision is The law, so far rs those particu- |
lar bonds are concerned. until reversed.
But the resolution is wrong on another |
ground. 1t discriminates not only against |
tie new bonds ISSUED in exchange for cou-
pons maturing after July /, 1882, but also
against all which represent in part such
coupons.
II a consol bord OF $1,000 was presented
ma funded july |, 1882, new bond was
issued which represented nothing but the
I'D bond. But II cOns0l bond OF 81 100
3 now presented for funding, under the
regulations existing II must have attached
o u all coupons maturing since July 1.
SS2, and new bond is issued with con-
IONS attached since July |, 1882. Now.
what 90 these coupons on the new bond
epresent II not the coupons on the old
jond which have mafured since July /.
$50? go, II this resolution Is adopted the
commissioners OF the Sinking Fund can
purchase no bonds except those funded at
IT prior 10 July l, 1852. This would prac.
icaliy put an end 10 the purchase, unless
lie Commonwealth Is prepared TO pay ex.
Militant prices; and even at such prices
he supply would soon be exhausted.
The remedy seems plain, and It Is pointed
In TIE discussion referred TO. It,scom.
'etenl for The Legislature now to pas, an
ct declaring that no coupons maturing
ince July l. 1852, shalt be funded.
Thus will shut out all such coupons ex-
ept those which have been presented for
nnding before the proposed act Is passed.
The Act OF 1871 allowed funding In consol
onds, with tax-receivable coupons at.
lched. In March. 1872, the Legislature
roylded that 70 more tax.receiyable
oupons should be issued. Wise Brothers.
ffer the passage OF the act OF March, 1872.
resented bonds for funding. and claImed
Iaf t,ey had right, vested by the act of
81, 10 new bonds with tax.reccivabls
'upons. This was denied them, and they