The weekly Union times. [volume] (Union C.H., South Carolina) 1871-1894, 1892-01-01
PLANS OF vIRGINIA'S CREDITORS.
Surrender of Defaultod Bond,
Proposed in Place of a
Cash Deposit,

NEW foRK City, Especial. i-Frederic
L: olcott, William l.. Bull. Henry Budgc,
Iharles ID. Dickey, Jr. Hugh r.. Garden,
ana John Gill, the committee of Virginia
bondholders, met here Saturday. An
ADVISORY board, composed of Grover
cleveland, Edward j. Phelps, Thomas
r. Bayard, George s. Coe, and George
Il. Williams, is associated with the bond
holders committee in the effort to bring
about settlement Of the Virginia debt
on terms equitable alike to the Old Do
minion and to its creditors. Cables were
received yesterday from the English
creditors announcing their concurrence
10 the negotiations conducted by the two
committees with Gov. Mckinney and his
associates on thelVirginia Commission.
= sf,isn Ia thai Nir~. shsu issuc
nineteen millions sofu-H sss0iitis to
take up twenty. eight millions of indebt-
edncss, the new bonds to pay two per
cent. for ten years and three per cent.
for the remaining ninety years. In ap-
proving it the Advisory Board says:
1--WE should consider it unfortunate for
the creditors and all concerned, if the
subject Of this Indebtedness and its set.
tlement should be allowed to again fal!
into the vortex of popular political dis
cussion and dispute.
We are decided in our judgement that,
If the terms of settlement now proposed
are rejected, the prospect of an advant.
ageous agreement in the future is far
from encouraging"
Gov. Mckinney has reminded the OIL
colt and Cleveland committees that un-
der the resolution of the Virginia Lccis.
lature by which he and his Commission
were appointed it is provided that "no
proposition shall be entertained bv the
Commission which is not supported bv a
deposit in cash of not less than one mil
lion dollars, TO insure the faithful per
formance of the proposals. if accepted
and ratified" Gov. Mckinney adds, in
letter to the committees: "You make
no mention Of this fact, which the law
makes condition precedent to the con
sideration of your important PROPOSE,
ton"
Mr.. Olcott, replying, says that his
committees represent S5 per cent of the
creditors, and arc prepared 20 make dc
livery to the proper officers of Virginia
Of the defaultcd bonds TO that amount.
aud Mr.. Olcott adds:
This, we suppose, is far more com
pletc and satisfactory guarantee for per
iormance on our part than deposit of
one or even five million Of dollars. The
object of the act was evidently to insure
the performance Of tho contract with the
State, if made. And if. from the nature
"f tho proposal '.e sbsii make, a far bet
ter gneaptee is given, we presume that
i,lRtaisssijl he substs1lts - =,
sefuirsds Pic Up q miilioinastSt sf5Si dsriSsis
without psac,icai benefit to any ono. . :
Virgipa, through Co. McKinpay
vet tSTcpfy to this. - - !.
rhc olcott Committee, it will mo ro.
mSnbered, offered to accept sis 600 %. GOO 700
-afsIW three per cent bonds, or s1o 200
su OF TWO per cent. bonds, rising 70 .,
ai.er hve years, and three per cent aftcr
q = years This offer WAS accepted. '
l:e bonds and interest coupon, nv,
ix oi the same character as the Riddle.
berger bonds. and not receivable for
taxes. 1t is stated in the agreement that
there arc only $2s, 900, 600 of the old
bonds outstanding, but this, il has been
added, is probably arrived at bv ignor.
ing the coupons maturing on the bonds
since the we're deposited.