Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1901-01-08
VIRGINIA DEBT DIGESTION.
NO ONE AUTHORIZED TO ACT FOR
VIRGINIA OR Fob THE GER
TIFICATE HOLDERS.
NO SETTLEMENT IS POSSIBLE.
DANGERS THAT WILL ATTEND ANY
MOVEMENT LOOKING TO
DISCUSSION.
Special to the Register

islatorS promised legislative action Civ
ing value to the Virginia certificates,
a gentleman, who is probably the best
informed man on the subject, gave the
Register an interview, as follows:
Any Artion Suicidal.
If there was a possibility of any sell
Element resulting, those of US who IN
derstand the suOject would be in favur
of action, but the New York commit
tee having abandoned the programme
they were requested to carry out, a tor
rent of popular indignation will swamp
any party proposing action. The GER
tiicates with interest call for forty
millions, and any business man sees
/ the complications which will result II
the Legislature opens a discussion com
hitting West Virginia, when nobody
is authorized to act for either Virginia
o. for the owners OF the securities.
There are only two roads open. West
Virginia may deal with a committee,
if authorized to bind the certificate
owners, or she may deal with a COM
mission, if authorized TO bind Virginia,
but, if you will investigate. you will
find that matters have so drifted that
neither committee nor commission cali
bind anybody or anything. TWo-thirds
OF the certificates are deposited under
a contract between holders and a New
York committee. This contract author
ICES the committee to offer 70 the Leg
~islature such plan OF settlement as
holders accepted. If the committee
! performs an act which this CONTRACT
does not authorize, such act will be
void and binding on nobody. The con-
tract does not authorize the committee
to assign their powers or to place the
certificates subject to the control of
some other body of men. Last year
the committee did publish a plan OF
settlement to be offered to the Virginia
Legislature, but
The Programme Was Changed
and it was never presented. What the
committee had on foot, and what the
certificate holders had agreed to was
abandoned, and, in the confusion Of adj
journment the last Virginia Legisla-
ture passed a bill amending
Thc M~alodorous Resolution of 1894.
which appointed commissioners whose
expenses and compensation were to
be paid, not by the State, but by the
Wall street syndicate which at that
time controlled the certificates, and
there was little or no effort to conceal
the fact that these commissioners,
while ostensibly representing Virginia,
were practically attorneys for the syn
dictate, paying their expenses and COM
p%ensation. The West Virginia Legis-
lature unanimously declined discussion
with commissioners acting under such
a resolution, and it stands now as it
stood then except insofar as this reso-
luton was amended by a bill which
passed the Virginia Legislature last
March in the confusion Of adjournment.
This resolution of March 6, 1894, and
this bill of March 6, 1900, amending it,
are printed in the Virginia Acts for
those years. This amending bill
shows on it's face a most studious effort
to use such confusing language that
few persons will take the trouble to
read 1t. But if you compare it with
the resolution to which it refers you
will find that it enacts that the eX-
penses and compensation of the com
missioners shall be paid as provided
in the resolution, and the resolution is
amended by interpolating a clause to
authorize the commission to use
Nirginia's Name as Nominal Plaintiff
for a suit against West Virginia, if, but
not unless, two-thirds of the certif-
Gates are placed subject to the control
of the commissioners. And thereby
hangs a tale. The resolution of 1894,
as originally written by the attorneys
for the syndicate, contained a provision
authorizing a suit, but it was over
whelmingly defeated as oon as dis
cussed. And so the matter stands that
The Committee is superseded
by these commissioners, with whom
West Virginia declined discussion, ard
who cannot act unless two-thirds Ct
the certificates are placed subjec. to
their control to accept whatever re-
suits from such a settlement as the
commission may make. But the GER
t~ificates are not subject to their control,
and it is safe to say never will be.
And here is another tale. AS | stated
just now, the certificates are under a
. contract between holders and a COM
mittee who must offer a plan of settle
ment. The contract requires the com
mittee to do everything. But it seems
the committee and some members OF
the commission fell into a dellsion
that the committee might ignore their
contract with holders. Acting under
this delusion, they concluded that, if
they could identify its forgotten grave,
they would resurrect the defunct Vir-
ginia commission and, with elaborate
ceremony, place the deposited certiti-
Gates under it's control. The commits
sion was supposed to be dead after
West Virginia had refused to deal with
il, and this bill resurrecting it is the
most ridiculous proposition eve parad-
ell in the cerements of legislative TN
actment.
Judge Johnson's Opinion.
published by the Register last June, is
conclusive that nothing which the com
mittee may attempt will enable the
commissioners to say that the certili-
Gates are under their control, and, I'm
less under their control, they have no
authority to act. AS the deposited GER
tifcates are represented by the negotia-
BILE bearer, receipts of an institution
acting as a stakeholder, there is no
way to get them placed under the CON
troll of the commissioners without MAX
ing a new contract between holders
and the committee or commission.
And the complications are such that
this is too expensive to attempt. But,