Year: 1878

In the conflicting interests OF consolidated
bondholders and the city, cannot some effort
be made to arrest a contest that, persisted in
must ev entuate disastrously to both parties?
Taking a dlspassionate view Of the question:
Is 1t not probable that arbitration, conducted
by intelligent men, may be resorted to, with
reasonable expectation that more satisfactory
results will be arrived at than IL the con-
troversy is persistently forced to q conclusion
through the courts2


The suggestion can at least do no harm, and
II 1t Is taken In proper spirit may do much
toward conciiation, while it will promote
good feeling and avert the bitterness that
must increase the longer the contest is con-
tinued.


The facts to be determined are such that ap-
peal to moderation, liberality and forbearance,
sion of which might well be determined by
gentlemen who would discuss its settlement
with desire to act justly by both sides :,


That in many. respects the consolidated
bonds occupy peculiarly strong position,
owing to the stringent conditions imposed un-
der the act by which they were issued, cannot
be questioned by any one familiar with the
extraordinary features that mark 1t as hav-
ing. originated from an intention on the part
of it's authors to clothe these bonds with the
strongest defense supposed to be known to
legislative enactment That such was the in
tent is shown by the validity with which they
were taken and tenacity with which they have
been held. The very value they assumed and
maintained beyond other city bonds or
issues is strong evidence that their value was
measured by the confidence the obligations
imposed upon the city for their protection, in
spired In those who invested in them. Believ-
ing that when issued no security could have
been better fortified, by the restraint of law or
of municipal honor, the holders of these bonds
naturally seek to protect their interests, feel
ing and believing that their rights can and
with as strong case as they are able to pre-
sent, that ultimate success will crown their
persistent efforts. Suppose it does? What
hope can they have of final decision for
many years? They must expect and be pre-
pared for stubborn resistance, and a contest
over every movement that is even partially


As the suit progresses, feelings of bitter
ness will be ,engendered that will instigate
every device known to the fruitful expedients
OF law. The probability is the suit will drag
its weary course for so long time that few
now most deeply interested in it will be its
active agents when 1t has ended. It is one of
those suits that abounds in ramifications,
striking even casual observer. The ques-
tion OF constitutionality, the equivalent for
the tax on slaves, the boundaries of the city,
the conflict with premium bonds, are some Of
sne few But the m9st important Of all con





: reflect upon is that since they were issued our
city has passed through fearful revolution,
leaving It the prey OF anarchy, oppression
and spoliation. Crippled, and with impaired
every effort to maintain and redeem her
credit without imposing burdens on
her population too, onerous to be
borne. To meet the ,exactions that
bonds would necessitate is beyond the ability
OF her people to stand; they would be goaded
to desperation, and feel that contiscation, not
taxation, was demanded. A compromise at
would save time, expense and feeling. The
city has great deal at stake In settling this
vexed. question, and can we'll afford to meet
her adversaries in liberal and kindly man.
ner. She would quiet claim that hangs like
cloud over her credit, and keeps up feverish
apprehension on the part of her rejecting citi-
Zens. II she cannot afford to be generous,
she can prove to the world her willingness to
be just. The settlement of this unpleasant
controversy by men she would have a
voice In selecting, eminent for honor
and ability, would not only vindicate her
course as correct, but would greatly enhance
her credit and the value of the securities she
offers.


Her position is embarrassing and deli
cate, for in resisting the claims of the con-
Solidated bonds, which possess so many
features, investing them with more than
ordinary. privileges, she is endeavoring to
pIOooCt inoOAoSeS cotuueu 10 nef care Wn1le
apparently avoiding her own obligations 1t
is essential for the interests of ell concerned
that negotiations be commenced with view
of harmonizing this yexed question and
compromising it. While there exist
strong reasons to conciIiate the con-
solidated bondhOlders' interest, there are
none to prevent an arrangement being
perfected by which the Premium Bond sys-
tenn may be made the medium of adjustment.
If so happy an arrangement can be negotiated
and the city relieved from the odium and un-
certainty Of q law suit menacIng her credit