The Donaldsonville chief. [volume] (Donaldsonville, La.) 1871-current, 1914-12-12
EXCAVATIONS OF THE STATE.
PROBE

commission to date has been main
/ ~ confined to an investigation Q
| the funding Of the states bonde'
debt. and it seems quite safe to sa.
that NO material facts or circum
stances connected with that transae
tion have been bruught to ligh
which were not previously a mat
/ ter of common knowledge. Their
was an ostensible effort on the par
of certain members of the commits
sion and others to create the impress
sion that the, participation of the In
terstate Bank and Trust Company o
New Orleans in the pool of banker
| headed by Harris, Forbes & Co. tina
made the successful bid for the neV
bond issue at 96.142 cents was il
some way a shady and secret piece
of business, inasmuch as the Inter
| state submitted also a separate BIZ
| for the bonds at 95 cents. In point
Of fact, however, it was known ant
| published at the time that the In
terstate mad become a member o.
| the pool, and the evidence adducea
| by the probe commission makes the
incident rather creditable than 9th
erWise to the Interstate management
since their agreement to go into the
combination to the extent of mil
lion dollars at moment when the
withdrawal Of other members threat
ened to disrupt the pool, apparent
ly helped to save the situation ane
to enable the state to get nearly q
cent and a half more on the dollar
for its bonds than the Interstate s
separate bid called for.
The worst that can be alleged
against Gov. Hall and his advisers in
the handling of the state debt fund
ing problem, is the probability that q
slightly better price might have been
obtained for the securities if the
general assembly had been convened
in special session few weeks ear
Iier and the constitutional eonYen.
tons action had been correspond
ingly advanced.
This is mere intangible assump-
ton, though, and there. is no real
ground for even supposition that
Gov. Hall was guided by any but the
bCSL uoI1YCS Ill LIS sAIeiGdaC anu az
tons in connection with the adjust
ment of the state debt. Further
more, in view of the general state
OF financial uncertainty and demon
alization brought on by the European
war soon after the process of re-
funding the bonds representing Lou
isiana's public debt had been sue
cessfully accomplished, it must be
regarded as exceedingly fortunate
that such good price was obtain
ed for the securities and that the
was completed and out
of the way before tie worldwide fl
nancial storm broke If short-term
obligations had been negotiated in
stead of the permanent 1ong-tern
bonds, as a minority of the board of
desired, the chances are
many to one that the state would
have been in a peck of trouble over
the debt adjustment and that the
process could not have been termi-
mated on anywhere near as favorable
conditions as those obtained under
the policy pursued by the majority
of the board of liquidation, led by
the governor
The people OF the state have no
cause for comp Lint, therefore, even
# the bankers who combined to float
the ST. 900 GOO bond tissue were for
tunate enough to be able to dispose
If it at a reasonable profit. In re-
ply to question from one Of the
orobers as to his knowledge of the
sum the Hibernia National Bank had
made on the bond deal, Governor
Hall said he did not know that the
bank had made a good profit, but
1e hoped it had. That's the way
every Well-balaneed citizen should
ook at the matter. The banks help
I'd the state maintain its financial
status in an important and grave
hence the state should
lot begrudge the banks a fair re
urn for their willingness to invest
heir capital and pledge their credit
n the commemorative behalf. One
rood turn deserves another.
It was expected that the probe
commission would wind up the in
,estigation of the state bond mat
er on Thursday, at New Orleans,
nd adjourn until the 18th inst, at
aayville, to take up the Tensas land
ase. Plans are being laid for in
Iuiries into the operations OF the
tate board of assessors, the railroad
commission, the courts and other
ranches OF the state government,
nd one OF the members expressed
he opinion that an important part
f the body's work will be to pre-
are data for the use of the I'M
united constitutional convention
which he believes is soon to be
allied.
The probe commission was de-
rived Of a member BY sudden death
asst Monday night. Hon Jos. E.
leader of the Orleans DEL
cation in the lower house of the
assembly, was seized with
n attack Of acute Indigestion after
inner and died at 10:45 o'clock in
ne presence of his wife and fam
y. Mr.. Generelly, though only 80
ears old, was regarded as one of
1e aDiest and most successful erin
ial lawyers at the New Orleans bar,
nd seemed to have a particularly
rllllant future ahead of him. He is
lfV1Ved by his wife, six children,
is mother, six sisters and a brother.
BY a peculiar coincidence, Mr..
was instrumental in hay-
g the concurrent resolution Great
g the probe commission amended
st before its passage SO as to pro-
de for the filling of vacancies in
'e membership by the votes of the
members. Little did any.
le Imagine at that time that the