The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1905-12-31

Il az. y .--.----t
The West Virginia Debt. n
II on John B. Moon, chairman OF TIL the
Debt Commission, appointed several '1Ell
y years so by the Leg slature, to make,
~ and with the advice and approval
OF the attorney-gen settlement y: 'sin7Iel
with West Virginia of hel. part. OF the
Il old Virginia debt, contributes to the the
X Chariot esville Il Progress an Instructive
i article on that subject. Mr.. Moon gives
II III review OF tho case, showing that that 81: n
ISL, when the debt Ws s45, 600, 600. Virginia
~ cra cted a law assuming Atwo-thirds Of 1T
I'D S her share and issuing certificates for
Stho remaining third to tho effect that
there swns due the holder SO much money,
being onc-third OF the bond or bonds
funded, which would be paid in accord
#ancc with & settlement to be had be-
4 tween virginia and West Virginia, 1T
/; wa expected, 1'# says Mr.. Moon, thai T
Nest Virginia would take caro- of this
4 third OF the debt, but the certificates did
Not specify that Virginia was released.
They were in part issued by the State
land arc known as Virginia deferred GER
3S,if!catcs About slo,7O0oO OF them are
8ii1# tho hands Of the puhaac. and ssome--.
thing over so,50oo0 have bssn taken in
,o nyfC
i sinking and literary funds. AS Is well
#s;nown. Virginia has attempted s. from,
time to time to negotiate a settlement
with West Virginia, but all in VAIN. West
Virginia has pcrsls.ently refused to as
4 sumo any part Of the debt. 4 though
when the State was formed In 1863 II
Was I provided in the Constitution under
,yhicl, she was admitted into the Union,
that she must pay her just share.
1,rl1e holders OF these certificates are
mot permitted to bring suit on their own
account against West Virginia, but one
state may sue another, and some years
ago. q says Mr.. Moon, "a majority OF the:
certificate holders made q proposition
n To- Virginia that II she would sue West
Virginia and force settlement, they
II would bear all the expenses OF such q
4 suit and would accept whatever Virgnln
realized from West Virginia in full set
&tlelnent of their claims, thus releasing
1 Virginia from I'LL possible liability. The
Legislature OF Virginia, acting OH this
suggestion, constituted a commission,
who, with tho advice and approval Of
tile attorney-gene were authorized to
irlng such a suit II two-thirds OF tho GER
~ tInSr
$1ncnt. Since that time something over
y s11.0c9.0oO. out OF tho total OF l2.70O,0eo
r OF certificates out standing in the hands
IA Of the ublic. have been brought into this
4. arrangement, thus making nearly eleven
#twclfths instead OF two-thirds OF the
whole issue outstanding; and these ccrti-
ftcates have been deposited subject 10
q the order OF the commission and attor-
"A rey- general. and arc now held on de-
posit by them This result was worked
out by Messrs. Brown Bros. of New
Il York. one Of the Oldest banking houses
In the United States.
so as the matter now stands, II yir-
sjnia carries out her part OF this ar
r;lascment she VIII not only get her pro
rata of what Ia due by West Virginia
OF, the, Sc 10000 OF certificates Which she.
herself, holds, but will he protected from
y any liability on the remainder of the
certificates.
But II this arrangement Is not car
Erjed out. suits Will undoubtedly be
y prnE,ptly brought against both Virginia
and West Virginia under the nets OF
SGputh Dakota and New York with Sc
8ricus dancer Of throwing heavy liability
on Virginia IN connection with these GER
58Ssi tfirates: and. irded II the contention
< 81 West VIRGINIA be corerct II would
fanpear8that VirFin!a would be liable for
, 'ia whole Of them. The institution OF
n si'Ss !, suits has so far only been restrain
ll{fa iby the prospect that Virginia herself,
Rdl! sue,''
i From our understanding OF the agree
n,ent between the Virginia Debt Com
s. mission and the committee representing
The holders Of these certificates. yir-
ginia IS amply protected, provided the
\ Supreme Court OF the United States shall
finally determine that West Virginia Is
liable for any part OF til. unfunded debt,
e Tor under The agreement the certificate
holders obaigate themselves to receive
I such amount In full discharge OF the
\ obligation. 80 far as Virginia Isl cons
e4rIlcd, Ard release her forever. The
Il only danger We see Is that tbs court
may decide that West Virginia is no,
Il liapls Ter Rnys part knd that ly.rg!niiaa