Shenandoah herald. [volume] (Woodstock, Va.) 1865-1974, 1889-12-13

time. all old interest ana OutS'd'u
ine commons TO January the ls''
1890. cOuld be funded at rate so
AZ to bring the whole amount Vi
interest the state would have 10
nav. under such an arrangement,
within It's ability 10 do so, wou'u
unhesitatingly recommend It's ac'
ceptance upon the part OF the otaIe'
and | entertain the hope that the
bondnolders may make some Suc'i
proposition to the General Assem-
bly which will be satisfactory 10
the state, and whose obligations
could he scrupuIously guarded ana
faithfully carried out.
The refusal of the holders OF
bonds with tax receivable coupons
to fluid them, and their persistent
use of coupons for the payment oI
taxes, leaves the debt unsettled
The acts passed by the Leglsla-
ture to defeat the use OF coupons
have been partially effective. The
offer of the Joint committee IN 1885,
TO the creditors was to fund the
cOnsols at - aud pay 3 per cent
interest on same to fund ~ W )
at G3 and pay y per cent. interest
Oh same, and to fnnd tax coupons
at 80 and pay 3 per cent. interest
on same; and, in addition, to pay
the bondholders % per cent. III
cash for S1,O0O,00 coupons. Inc
State could not renew this oiier
now. and it is reasonable 10 assume
that the bondholders, in the light
of the experience of the past two
years, might expect a somewhat
lower rate of funding. For the
past two years, ending September
! 80, 1889, it has b9cu shown that
2237. 900 year has been forced
into the treasury on judgments TOT
taxes, while the tax coupons ma
turing amount to 81 l,OOS.jOO per
annnm. Whilst the forced receipt
of these coupons, instead OF money
for tbe taxes of The State, has been
a source of great annoyance to the
officers charged with the collection
of her revenues, 1t has, IN some
measure. diminished the ability OF
the State to pay ultimately the
same creaitors. and has resulted in
no immediate benefit to them, be
cause the net sum realized from
the sale of these coupons 10 TAX
payers, after deducllng the cost OI
litigation TO them, l. almost loth'
ing.
The act of ISS2 requires cous,ls
TO he funded at jj, 1OlOS at 60,
and all unfunded peelers, and SO
on at GO
Thoo.,,. ofn,. ,,t.s il not
.,-ait A"T 80 & Tha boIdn,s of thr
o,1"i y e.,'i'i 9oI"i 1''i,, Laynrefnsed for
aI.''.'ar oau u"'un"Ou '.o(s W." - mnd while
oo' soon,, r'o - t,s neelers are known to
ha Iost Thev do not enter INTO the
nresent contest with tho bondhol.
ders. The bonds that are now
pressing for settlement held by the
nnbli, are. in round numbers; Sl2,
900 GOO of consols, with tax cOu.
mons. 10000. 900 OF 10 los, with tax
commons and the -, 500 600 Of tax
COUPONS. inclusive OF those 10 ma
ture on the lst of Jannary, ''9o.
LET ns supuose. hy way OF illus.
tratlou. that The consols were fun.
ded at 20 cents. equal 10 5000,
OOO 1O.lO's AT 90 cents, equal 10
O. Goo OoO - 500 600 of tax c0u-
H,ns nm to Ist of January. 1880. at
IN c.nts ennal to $3.50 600: max
ma "a total of S1f 90. 900 :3 pen
cent interest on same would be
SjlS,jOO. In other words, if thl'
proposition was accepted by the
bondholders who hold the above
classes of bonds, it would IN
T doubtedly settle the debt, as the
J litigation has been for them alone
, We have seen that the State hai
had TO nav S237 900 per auuum fol
the past two years for coupons
: forced into The Treasury on lndg
ments, 40 that this matter Nigh
5 be narrowed to tie simple pIOpo
si'ion, whether it would not III
wiser, if the opportunity offered
for the Stne opAy SlG3,OOO 4 yea
l moro than We ara now paying
- rather than continue to he the dc
= lendants IN litigation that prom
ises to outliye the present genera
e ton. 1t will he for the LeglSl'
=, ture to determine what new ieV'
i me can be counted on to rrOduc
0 this S1G3. 600 per annum.
r r. tho ohove calculation of bond,
}. hosa hoId Inv COLLEGES are nc
:. S"Do0 ',',o,, honaose not IN tbe contes
e The STATE navs thon. and it
l. supposed, will continue TO pa