The morning news. [volume] (Savannah, Ga.) 1887-1900, 1890-01-12
VIRGINIA'S DEBT.
GOV. Mckinney Sends a Communica-
ton to the Legislature.

Llon TO the Legislature.
RICHMOND, VA, Jan. 1L-Gov. McKin-
ney to-day sent to the legislature a message
on the state debt, in which he says: 81 have
the honor TO transmit a letter from Sir John
Lubbock, chairman of the council and COM
mIttee of foreign bondholders in London,
bearing date of Dec. %, 1889, and addressed
TO the governor of Virginia. The letter
expressed the hope that the governor
VIII take an early opportunity to
bring to the notice of the legislature
the earnest desire of the bondholders to put
an end to the protracted contest between
them and the state, and alleges that the
points of divergence upon which the negoti-
ations in 1887 failed, are not so great as to
preclude the hope that the questions at issue
may be adjusted, etc."
The communication expresses the desire
that preliminary understanding shall be
arrived at as to the general
principles that should govern such
deliberations. 1t suggests that ac-
credited representatives of the state to
carry out and conclude the matters at issue
be sent to London, but if it should not be
deemed practicable to meet this suggestion,
then the council and committee of foreign
bondholders would be prepared to send a
commission to Richmond, Va, with full
PO"SA W NO4ANlllNl0 al GHulbdDlo COlu-
promise.
''Mr. Lubbock says that we may with per-
feet confidence rely that any agreement
made by the state with the council and
committee would be permanent settlement
so far as the bondhOlders are concerned.
deem 1t proper to say to the general assem-
bly, that | would be greatly gratified if the
question of the public debt of Virginia could
be settled in such q manner as to satisfy all
4 Al
the legislative halls, and from the politics Of
the state
''From our knowledge of the financial
condition of the people Of Virginia and the
action they have heretofore taken upon the
subject, it is clear TO me that we are
not a0le to offer to our bondholders a more
liberal settlement than that embodied
in the settlement known as
the Riddleberger bill, and that
any considerable departure from the
provisions Of that bill would be contrary to
the expressed will Of the people and to the
pledges made to them by the party in
power. I see no good reason why we should
send commission to the city of London to
| confer with the bondholders. We have
offered them, under the Riddleberger
bill, terms as liberal as the finan-
| cial condition of the state will allow
That bill has been approved repeatedly by
each political party in the state in its con-
ventions, and ratified by the people at the
polls"
The governor then proceeds at some
length to speak of the increased expenses of
government. the causes of the same, and
concludes as follows: II would advise that
we stand by the Riddleberger bill and
amendment, but if the bondholders
propose different terms not materially
increasing the principal and interest as
ascertained by that bill, it would be well to
require, as an Indispensable condition of
should embrace bona fide tender of so
large a proportion Of consols and 10-4C
bonds as to guarantee-a settlement of the
whole debt if it should be accepted"