The times. [volume] (Richmond, Va.) 1890-1903, 1892-01-15
THE T1MEs-RICHMOND VA FRiDAi. 'NNoA', - 80

bonds and tho process Of funding after tho
passage Of that act not zealOusly
| pressed.
rendered IL first decision on the Virginia debt
question NJ tho October term. $780, The
| 0pinion Of the court justified that feature Of
tho Funding bill Of 1871 whereby Virginia rs
sumei tYo-thiris OF the indebtedness OF tho
| old state and referred the creditors 10 West
| Virginia for payment OF the residue Full CON
currence WINS also expressed IN the decision
/ or the virginia court holding tie coupons Of
bonds funded before the repsaling act 10 be
receivable for taxes. Notwithstanding that
The legislation of the State and the decis-
! ions of the courts in respect thereto. so far
as they have thus been reviewed. operated 20
create three Glasses of Obligations AGAINST the
State lst The bonds with ta1-reee .Faole
coupons issued under the Funding on before
/ the repeating act o. March. lotZ "a ne
/ bonds issued under the funding bill suisse
ouent 10. and as modified by that act aud
whose coup rs were not tax-receivable ana
/ 3D. The Original and uufunded bonds or ina
/ State These ella ses became popIiafiy huo"n
J rs c0ns0s peelers and untanaei. Vn .no
/ frs. class the coupons continued % mature
and absorb the revenue. while little or noth-
ing was paid towards interest on the otheT
classes and the debt became quite uhuil"-
a.eable
A-aut.me popular feeling had become very
/ high on the sub ect ~ the state de't Inc
/ continued influx OF coupons into the treas
urv had diverted ROM the public schools mo
funds 20 which they were constituuoAailF
} entitled. 10 such an extent that tue.f o.n'i-
ency was vel nigh destr yed. and the No.y
| fabric OF government seemed IN peril
Il was absolutely impossible. 10 the state OF
/ public sentiment. o increase taNltioh 20
/ meet demands accrung as the DEBT then
ID ins.~ I.F
values a. the outcome Of the devastatons OBJ
I war whereby. M addition TO the loss OF one
/ third Os her territory. her homes m rum, rea.
/ estate and personal pr perry destroyed. and
/ her population decmated II. indeed %
/ greater burden could have been borne Dy tne
people 10 IL The individuals vino favored
/ 81. % a course were confined principally % tHe
/ towns and cities. and % "a few IN the rurai
/ districts and wero not 81 GENTLY numerlu,
/ 1T or,auized O. bio dguifed bv the name or
I "u9rtv' All parties DIES red some read ust-
/ ment Those who claimed the distinctive APP
peati0n 0f read lusters were for forcing on
! adjustment ON the creditors, whether a..
ceDtabe 20 them or not. while the more mod
/ crate party Oniv advocated compromise o.
which the creditors should be parties. n"d
give their assent
HEADIUsINfNr.
At the session of 1877 Us q measure of re
adjustment was passed by both houses OF
+ tAe legislature. but WAS vetoed ~ tho ''l-
+ eruor on coue utut nal grounds
s. new scheme %. rounding WAS adopted by
/ act 0f March -. INta which Do was Deile}et
/ would be- aec0ptab.e Oh tie great body of
the creditors aud which was substantially ga
/ follows
For purposes Of designation. the outstaoI-
I ing iu iebtedness 0f the state Was divided INTO
two classes. Glass !. embraced all taS-re-
ceivabe coupon bonds and registered bonds
+ capable OK being converted into ta1-receFau
4 coupon bonds. or In other words. au honis
issued under the Funding bin prior 90 tne roe
peaIug act 0i March b. i'lz Class ID. EN-
/ hraced all bonds .ssuel under the funHn-
/ bill -ub-elueut % and as modified by the act
/ OF March T. ] ~. and also twO-thrds of aIi
/ bond. and accrued interest which had never
/ been funded. 10 was provided that tho pro-
+ portion Ol Glass n. refunded h0ui never e1-
+ coed m amount one-thrd on lhe Nnoie
I amount refuu ed unit tteen luitiais 'i
/ Glass T. should be re- red subject to O o
/ above lima titon. bonds We're authorized D..
4 he issued o. SUCH Ol tho holders ot
+ Cm-ses aud / g. as would exchange the bones
held bs them for bonds % be issued under
tao new scheme. The new bonds were to boo.
! tLetfN-ieCeYa coupon character Nr CONVEX
%. lo into such payable forty years inter dafe
/ Ojulg T. 1-II with interest nt three per
/ cent for ten year. tOlr per cent. for tWout"
years and five per cent ior ten year, VIII
/ the privilege O. the 5 tate of redecmug them
O. H
+ THAT at least e9.O0O.OO) should be funded ~
/ january d 1850. and $4,000 GOO ad iitonal
/ wlih each succeeding period of six ODD ntl-.
/ This measure was commonly referred 90 as
+ The NcCuN0. b uil by its advocates. int
/ the brokers Dir by u, opponents. cDl-
sutu.ed the principal issue at t.e election
/ held BID tLe Sail Ot 1879 for member. OBJ tAe
/ State Legislature and IT, opponents tri-
/ umphei af tine polls 70 re-u lt which wAs due tn
/ the fact mat tho people were convinced thal
/ tle measure winch had passed the le-lsla.
/ ture without amy uuarlHltF. brt. On the
+ contrary. Dy % bare ma orty imposed %
/ greater burden Oi anuu8. interest flan tloy
+ were able TO bear It the lst of January
I rs o. tho creditors had funded the nJDlI
u.s. required. iut iu the next ensuing SIS
months instead of -a0OjoJJ they funded
/ up Co january 9Th .iJlSl. ald MT one
cent afterwards. which forfeited their con-
+ ira O.
Tor the two years beginning with 1850 the
+ Governor OF the State aud enc legislature
represented different views on the deut cues
t1a and n.e Ilenay there was during ihhi
period u0 le isa alton O. C0usol uener upon 'la
i subject Meantime the mpl atJns aat
+ tl0l les afi-,ug from tNs use OF coupon, u
+ uavnert 0. taxes grew worse an. .r-e. a'i
/ the sentiment n favor ~ yea uat.ns tio
! debt became wellugn overwhelming through
T out tle tlte
lilo Read ast.r party WIS triumphant
along tle limo as the Fab elections ot t@'I. co.
F curIl. tle Governor a- vel s- both lran-. as
/ oi tho Legislature ly large maI1ltoa.
COTTON EIrEn.
EARLY in Is-2 the policy W foreIba read
T iu.tueut &C tie public Ieit was actively ea.
tered upon The hr-. measure adopted was
ono intended o. protect tle Treasury. a41
commonly We'd coupon kler $50. b. lp-
proved january 3. l7~. Ibis aet provided
p that when coupons should De rendered f1
tax collector le should receive tADm only
"Ior yericatun." The collector was thea
required CD demand .al enforce tha pay
meut o. the tax OBJ money The coupons Ac
+ WAS required t0 deliver int. court and tie
+ tllpaver was then authorized to inetu-.t
. PROCEEDINGS lu las court % have tae gergi.e-
+ ness VI h.s .uu DIS pesai on by IUry
Should they @ found genuine t.e Treasury
wa, no l.rld 81 receive thcu. erc ,1 re.urt
. % the Taxpayer then money previously laa ly
lm. Hy Subsequent aet tie tN-part-s.
remeiy bT mazda Us CIV omie. tA4 fscsp
. ton If bis coupons wa- abolished.
OBJ che tA of january. l- was passed
tie act popularity ku We as coupon killer
49, 80 thou 10 did mot take effect Until tue
l-t of december following This provided 300
substance tlat tlX-colectlrs should receive
f nothing Int money ODD payment OF taxes that
should p collector 'taso ony steps lor the
/ CD ection of the taxes t.8 par.r proceeded
against might pay the tax n money under
protest All within thirty days. and not after.
.l. ..l. ..0r chat .ffII In Iafarfr.n g