The morning news., 1891-12-19
VIRGINIA'S DEBT.

The London Bond holders Vote to
Accept the state lcott Offer.
LONDON, Dec. 1S.-A largely attended
meeting Of che English holders of the Vir-
ginia debt was held to-day, and after ccn-
siderable discussion it was decided by a vote
Of 80 TO II to accept the agreement effected
between the Virginia state debt commission
and the Olcott committee for a settlement
of the Virginia state debt.
SIR LUBBoCK's ADDRESS.
Sir John Lubbock presided at the meet
ing. In an address he repudiated the idea
that the council of the bondholders was too
exaoting 'At any rate he said, 1--WE
thought it desirable to make an amicable
settlement and agreed to leave the
matter, for the time, in the hands Of the
New York committee and advisory
board in order to stop legal proceedings
Whatever q majority of the meeting may
decide upon," he continued 'the New York
proposals are undoubtedly more favorable
to the bondbolders than is the Riddleberger
bill, aud this is due to the long aud per-
sistent litigation maintained by the council
in the federal courts, but for which
the bonds would long ago have
sunk to point at which it
would have paid to fund them under the
Rlddleberger bill"
THE NEW YORK PROPOSALS..
Sir John Lubbock then read the New York
proposals. He said that neither the council
nor the Virginia commission would have
recommended these terms, because they be-
lieved the state of Virginia was able to pay
more. He said he had been re-
duested to road a letter ad-
dressed to the bondholders and
signed by Lidderdale and Daniel. The
Cd fad mt ha IL.
factory and said that there was no reason
to suppose that the state was unable to pay
per cent. after two or three years because
a settlement of the debt could hardly fail
to stimulate the development of Virginia's
resources. The absence of a sinking fund
was also a serious objection. The appropria-
ton, even Of a small amount, yearly for
this purpose would evidence a desire to deal
fairly with the bondholders and enhance
the credit of Virginia.
ACCEPTANCE ADVISED.
"Yet, the letter continues, "as it seems
impossible to obtain better terms without
much hesitation to advise acceptance
OF the proposals" Sir John Lubbock con-
cluded by saying he did not desire to in
fluence the bondholder5 in one way or
another.
Mr.. Leon, member of parliament, NOV
ing acceptance of the proposed terms said
it was useless to go into the question of
the honesty of Virginia or Of CEN
suring the committee. The question of a
reduction of the commission paid the COM
mittee might be gone into later. II the
motion were rejected endless litigation
would ensue, and the result would proba-
bly, be the submission of worse terms than
ever.
A motion to reduce the commission was
not seconded.
Mr.. Franklin then proposed an amend
ment to refuse the terms offered unless 8
per cent. interest was maintained.
Replying to a question the chairman ad-
mitted that it would still be open to Vir-
ginia to repudiate, but he thought this i'm
possible.
Mr.. Franklin's amendment was rejected
by a vote of A to Is.
An amendment to allow depostors sixty
days in which to withdraw their securities
was also rejected by vote of 80 to II.
A motion TO accept the agreement between
the Virginia state debt commission and the
Olcott committee, which was offered by Mr..
Leon, was then adopted by a vote Of 80
to IL.
COMMENTS OF THE TIMES
LONDON, Dec. 10, A. M.-The Times in
its financial article this morning says: 1--WE
doubt whether the proposed Virginia debt
settlement will increase the credit Of
Virginia and indirectly enhance rail-
way securities. Those bondholders who
think it worth while to stand out against
this iniquitous settlement have a perfect
right to do so. aud will deserve the thanks Of
the commercial community should they
succeed in making better terms for them
selves"
The bonds rose 21I on the result of the
meeting.