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The Illinois free trader. (Ottawa, Ill.) 1840-1841, December 04, 1840, Image 1

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O
A
JUL NO
ADEM
Our Country, her fuinmcrrc, niul her Free Iustitiilions.
VOLUME 1.
OTTAWA, ILLINOIS, FRIDAY, DECEMBER 1, 1340.
NUMBER 20.
E
j
FREE TO
; Pl'IILIRlllfll WEKKLT lit
. GEORGE F. WEAVER & JOHN HISE,
Cunul Street, nearly ojijimite lite Muiisitm 11 use,
T K II M S
Two dollars mid fifty rents per annum, if paid in
advance: Three dollars if not naid before t.ie exni
radon nf llii firl sit months: Ami three dollar
anJ twenty-five rents if delayed until the end o
the voar.
Advertisements inserted at $1 per sipmre for
the first iimrtii,i, mi 1 3 cent tor each sub
nea'.ieiit insertion. A liberal discount inudc to
thoie who advertise hy tlie year.
All communications, to ensure attention, must
ba post paid.
J Oil WO UK
Of every description, executed in the neatest mail
man nor, at the usual prices,
OTTAWA is the seat of instice of La Salle
county; is situated at the junction of the Fox river
with the Illinois, 290 miles, by water, from Saint
Louis, and mid-way between Chicago nnd Peoria.
The population of Ottawa is about ono thousand
Agents lor the l-'rre Trader.
M. Mott, ?
F.M'DunMin, S1
'nil, La Salle county, 111.
T). S. Ebkiisol. mail contractor.
C (J. Millp.ii, Dayton.
A. O. Smith, Smith's Mills.
Jmo (li bllt, Troy (!rove.
Ti. W. DiMM'ii'K, Vermilionville.
Hxn.r Phillits, Munson, (Indian cierk.)
C. W. IUtjiouis, P. M. Pontine.
Ram Motoax, Morgan's Mill.
Jmss (J. Oiap?, Bristol, Kane Co. III.
William IIixet, near Van lluren, III.
Witr.iAM K. Bnnwi, Sunhury, Illinois.
Haxnr Hicks, Hicks' mill, Do Kalb (Jo. Ill,
W. W. Wixx, Oswcro, Kane Co. III.
Axtiioxt Pitzeii, Uoonesboro', Ogle Co. II!,
MmaHaMiaaitniiMnnmnnMnH
Governor's Mcssago.
Gentlemen of the Senate and of
the House of Representatives :
You are convened in pursuance of my
proclamation of the 15th of October last,
and it now becomes my duty to commu
nicate to you the reason of your convoca
tion. While we have abundant cause to
be devoutly thankful to an overruling
Providence for the success which has
every where attended industry bounti
fully rewarded the husbandman for his
labor it is to be deeply deplored that
ourSlatcis measurably overwhelmed with
' pecuniary embarrassments.
These embarrassments have grown out
of our system of internal improvements,
adopted by improvident legislation, at a
time when the delusive phantom of spe
culation seemed to have taken possession
of the human mind, and led the world in
to extravagance and error ; ami, however
deeply we may regret the evil which this
system has entailed upon us, it would be
unwise and unpatriotic to shrink fiom the
responsibility of applying your best ef
forts to the pecuniary redemption of the
State, and the preservation of her honor.
The vast debt she has already incurred
must be paid, and this can only be done
by a strict and rigid maintenance of Iter
credit abroad, and the wisdom with which
her measures are directed at home.
A failure to meet promptly a single one
of her engagements, would inevitably
.'? throw around her future operations dilli-
: culties which would prove destructive to
her character and interest, and in a great
" degree paralyze her energies.
' Although there may be but one opinion
among our citizens, that the money for
" which wc are indebted has been injudi
ciously appropriated, still their virtue and
patriotism, their high sense of honor and
justice, imperiously forbid delinquency
in its payments. I am clearly convinced
that they would look upon no calamity
which might befall them so great and hu
miliating as that which would strip them
of their reputation for punctuality and
. . probity of their engagements.
When a State loses sight of these para
mount considerations in her public policy
when she ceases to hold integrity up to
the world as the polar star of her legisla
tion tvhen she becomes careless of her
standing among the communities around
her, she will settle down into hopeless de
gradation, and become the scorn and con
tempt of the world. Strongly impressed
with these, sentiments, I have convoked
you at the present time, that you may be
enabled to provide means for the payment
of the interest, which will fall due on the
first Monday in January next, on the in
t ternal improvement debt. The immense
amount of State securities in the market
the general derangement of financial af
fairs in this and in other countries the
suspension of specie payments by . the
banks, and tho contraction of their issues,
rendering the difficulties encountered in ob
taining money for any purpose almost in
surmountable, together wtth the shortness
of time intervening between the period
fixed by the Constitution for your regular
meeting, and the first Monday in January
succeeding,' when the interest becomes
duei presented doubts to my mind whe
ther tho legislature, if they did not nsscm
ble previous to the commencement of their
regular session, could adopt suitable men
euros for tho purpose of providing the nc
cessary funds to enable the Fund Com-
mibioner to avail himsell of tner atlvan
tages so aa to meet the pending obligation
1 have called you together, and cannot
but hope you will act in tire premises with
promptitude and wisdom, and thus pre
serve unsullied our plighted faith.
Unless our internal improvement stock
should rise above its present selling price
in the eastern cities, no alternative has
been presented to my mind to meet tnc
exigency, but the hypothecation or sale
ol .State bonds below par, which cannot
bo done under existing laws, but which
would be preferable; to the loss of honor
or the prostration ol the character and cre
dit of the State.
The following table will exhibit the
financial condition of the State, her in
debtedness and resources, and the amount
of interest to be paid on the internal iin
provenicnt debt, on the first Monday of
January next :
V imdii n l of internal improvement stock
sold for railroad and river improve-
inents, $3,187,000
Amount on account of railroad iron, 500,000
X50.000 advanced by Messrs. Wright
ok (yO.ol London, amountiiiii to near
?S.r0,000, being part of $1,500,000
of internal improvement bonds placed
in the hands of said Wright iV Co.
an agent for Messrs. Kawliuya &
Oaklev, Fund CominisMoners, 3.10,000
Amount due Hank of Illinois for money
advanced, and interest on same,
about 238,000
mount due Slate Dank of Illinois for
name, 50,000
Internal improvement scrip issued,
about 800,000
Unadjusted accounts with contractors
lor work done this year, and lor
damage, about 300,000
Amount due IJank of United States
for advance on shipments of rail
road iron, &c, about 20,000
Total amount of debt on account of
internal improvement. f 5,315,000
Dank and internal improvement stock 2,(105,000
Total bank nnd internal improvement
debt
$8,010,000
For $ 2,000,500 of the nbevo in
ternal improvement debt, bonds
have been sold upon which in
terest is due in January next,
exclusive of bank and internal
improvement stock, amoiiu-ting-
at that time to tho sum of
$78,195 00
The residue of the above indebted
ness consists in internal improve
ment bonds sold and not paid for,
moneys advanced by banks snd
debts due for internal improve
ment scrip, and to contractors,
&c, amounting in the aggre
gate to
2,738,500 00
3,400,000 00
Illinois und Michigan Canal Stock
sold,
mount due to Messrs. Wright &
Co. far X'30,000 advanced on
contract with Judge Young,
amounting, with interest, to
1 50,000 00
400,000 00
3,050,000 00
5.315,003 00
2,005,000 00
3,050,000 00
Canal scrip issued last sprint,
Total amount ot Canal debt,
R:etipituh:t'mtt.
Total int Tnal improvement debt,
Total bank stock.
Illinois and Michig in Canal debt,
Total amount of debt on account of-
viiiKs, internal improvement.-;,
and canal,
$ 11,000,000 00
To which may be a Med, for re
venue purposes, the following
sums :
Amount due school fund, 807,585 3i)
Amount due Hank of Illinois for
advances on account of tftalo
House, 80,007 00
Amount dun State Llauk do., au.l
for Auditor's warrants for cur
rent expenses, paid by Wtate
Hank, 100,001 00
llouds s jld to the Pouglikct pr.ie
Locomotive fJngini Company, 128,000 00
Liability on account ol surplus
revenue, U,vu ' l
Total amount of liability, $13,013,601 83
Deducting from the above amount
$1,336,410 41. hvl.r tho a
mount of surplus revenue, and
bonds sold which are not paid
for, and the istste pays interest
upon 12,207,132 39
Vnnuul intorest thereon, 732,130 J2
Assuming that the resources of
the canal and the bank dividends
will furnish the means to pay
the intern', nccruinir. on their
respective nccounls for the next
two years, the sum left unpro
vided for on a 'count of internal
improvements will be 4,701,500
Annual interest thereon, 285,870
The following unavailable debts are due to the
internal improvement fund for bonds sold, uu
are included in the above table of indebtedness,
but upon which interest is not computed :
From John Delafiold, of New York,
$133,000
A. II. Dungs (c Co.,
Bank of Commerce nt Buffalo,
Commercial Bonk at Buffalo,
Erio County Bank,
50,000
00,000
90,000
07,500
Amounting to -
$730,500
To which unavailable resources
may be added lands owned by
the State, also at present una
vailable, 40,332 acre,
Tba following resources of tho canal at tho
present time may bo considered as unavailable
The unount duo prior to 1810 from
ales of town lots, and m'ucellane-
oussales of wood and timber, $1,017,654
For sales of land in Juno last, as per
statement of the rrenucnt of the
' Canal Board, 70,000
At the date of my last message, 270,182
acres of canal lands remained unsold
since which time I havo received no re
port from the Hoard of Canal Commissta
ners, and, consequently, am unable to
state the number of acres that have, sub
qucnt to that time, been disposed of.
A failure to collect the amount due from
thereof, would rentier it impossible for the
Fund Commissioner to pay the interest
falling due on the first Monday of Janua
ry next on the internal improvement debt,
and is the sole cause of your being enli
vened prior to the time fixed by the Con
stitution. A bill has been filed against
.Mr. Dclalicld in tho Circuit Court of tin
United States for tho southern District ol
IS'ew York, to restrain him from negotia
ting the bonds he received, as it is pre
sumed he is neither willing nor able to
pay for them. If this should prove true,
the htate is under no equitable or moral
obligation to redeem them. While, there
fore, I would admonish you to be sensibly-
alive to, and zealously watchful of her in
tegrity and honor, I cannot believe she is
in duty bound to fulfil an engagement
where the other contracting party fails lo
comply with its conditions. The princi
ples involved in this question have long
been recognized by the highest judicial
tribunals upon earth, as between indivi
duals, and it would be difficult to discri
minate between a case of that nature and
the present.
The same reasons which govern the
case of Mr. Delafitld apply with equal
force to the contracts with A. II. Ilanirs
fc Co., and the banks specified, should
they pursue the same course. It is,
however, probable that the Hank of Com
merce at Uuflalo will return the bonds
she obtained to the State, and that the
Commercial and Erie County Hanks will
discharge their liabilities in scrip.
The amount ol 8128,000 of bonds was
sold by (Jov. lleynolds and Gen. Kaw
lings to the 1'oughkeepsic Locomotive
Engine Company, to be paid for in eight
quarterly instalments of $1600 each, at
the Atlantic Hank of New York.
This negotiation was made under an
act to authorize a loan for revenue nur-
poses, to be applied to the erection of the
state house, and the instalments were
transferred, as they became due, to the
Hank of Illinois for advances made by
that institution for the above object.
Four of these instalments arc now due,
but none of them being paid, suit was in
stituted by the bank for their recovery.
Doubts, however, are entertained of the
solvency of the company, and should it
fail, the bonds received by it should be
placed upon the same footing as those re
ceived by other delinquent purchasers.
Having laid before you the financial
condition of the St;te, her available and
unavailable resources, in comparison with1
her indebtedness, the dictates of sound
policy require at your hands the adoption
of the wisest and most judicious measures
to relieve her present necessities, and pro
vide for her future liabilities. It may
truly be said, that no former period of our
political history presented questions of
such deep and absorbing interest. The
future destiny of the Stale for weal or for
woe depend!? upon the direction of the
crisis. Unfortunately, at an unguarded
moment, she was allured from the path of
wisdom and economy by the seductive
spirit of speculation, and the wild phren-j
zy of popular delusion, which spread
over every part of the Union, and induced
to embark into an extensive system of in
ternal improvements, at a period when the
ouutry was literally deluged with an inflat
ed circulating medium, which gave the sem-
ilanceof success to the most visionary and
hiinerieal eutcrprizes. Hut a general sus-
icusion of specie payments by the banks
following close upon the seemingly emi
nent and rapid advancement of the coun
try, and the sudden united and continued
withdrawal of their unnatural circulation,
spread gloom and dismay, instead of per
manent wealth and prosperity ; and so
extensive and overwhelming has been the
change in monetary affairs, that its effects
lave operated like a spell upon every de
partment of business throughout the coun
try, and nothing but prudence and time,
united with the energies and patriotism of
the people, can overcome its withering
and desolating consequences. With stea
dy perscverenec however, ami well direct
cd industry, favored, as we are, with the
most fertile soil upon tho globe ; with a
vast extent of territory, susceptible of the
most dense population, abounding with
natural advantages, and intersected and
surrounded with navigation, settled and
settling with a population proverbial for
their enterprise : can it be doubted that
the State will gradually be redeemed
from her embarrassments, and ultimately
complete such portions of the system as
wisdom may dictate, and our interest de
mand, and thus maintain her dignity and
honor unimpaired f Surely her rcprrsen
tatives will never consent to be placed in
the humiliating attitude of being tho first
in the union lo abandon their plighted
faith. Such an act would be contrary to
their interest, derogatory to their pride
and integrity, and too monstrously absurd
to be for a moment entertained.
A renewal, however, of operations oponl
at the present time, seems to be forbid bv
the condition of our finances. The im
mense debt already fastened upon us,
the unposMoility ol eilectiug a sale of
State bonds at par, and the general de
rangement of financial a flairs, present to
my mind insurmountable obstacles to
their further prosecution under existing
circumstances. Hut should your wisdom
dictate otherwise, and vou determine to
proceed with a portion of them, then the
salutary lessons of experience we have
had, and every principle of economy and
public interest, point out the plan of oper
ations too obviously to be misapprehended
either as regards the present or any future
period.
All tho means and energy employed
should be concentrated on the most useful
and important road first, until that is com
pleted, and then the next important, until
all are finished.
Hy pursuing this course, tho income
upon the roads in operation would in all
probability pay the interest upon their
cost, and greatly lactlitale the construction
of others, while the comparative amount
of money which might be required, could
be obtained on more favorable terms.
I'he question, therefore, naturally arises,
whether wc proceed with our internal
improvement system or not, what policy
can lie adopted which will best subserve
the present emergency, and promoto the
public weal in our future operations.
haying aside any doubt as it regards the
payment of the January interest, which
can only be done by .the hypothecation or
sale of State bonds at some price, how is
a permanent fund to be provided to meet
the future interest, and, eventually, the
principal, as they respectively become
due and payable.
The policy of paying the interest out
of the money borrowed must ere long be
abandoned, nnd the only alternatives
which have-suggested themselves to inc
is an increase of our banking capital, and
a resort to direct taxation. The solution
of these questions call into requisition the
united wisdom of this General Assembly ;
and, in order to enable yon to arrive at a
correct conclusion, and settle down upon
a policy, the momentous consequences of
which deeply involve the interest and pa
triotism of the people, too much care can
not be taken in adopting the line of action
to be pursued. Shall the first alternative
e adopted ? The consequences attend
ant upon and inseparably connected with
in increase of our banking capital, should
be narrowly scanned and well weighed
in the balance before venturing upon such
resort. In the first place, should that
policy be pursued, the capital cannot lie
obtained without invol vinjr the Slate in an
additional debt corresponding with the
increase; and it obtained, could such a
resource be relied upon to pay any por
tion of our liabilities beyond tho interest
iccruing upon its own account ? To in
sure such a result to an extent commens
urate with the object for which it would
be designed, you would necessarily be
ompcllcd to raise the interest upon bank
accommodations to ten or twelve per
out., and in this way tax the people
some live or six per cent, upon the whole
amount of notes issued under such a sys-
m, the benefit of which would accrue as
well to the private stockholder ns to the
State. Then, if the bank should be well
managed, we might expect the highest
dividends, but the late and repeated ex
pansions, suspensions, and contractions
of the banks generally, furnish ample
pioof that the paper system is fundament
ally wrong in principle, destructive in
iractiec, and at war with the best ink-r
est of the country, and the genius end
spirit ol our republican institutions. Its
tendency and inevitable result is, to spread
merely the appearance of prosperity for
season, and then gloom, revulsion, and
distress ; thus proving that it has no
power to regulate and render stable the
urrency of the country.
Whatever plan may be devised to pro
vide means to pay oil the liabilities ol
the State, none can be adopted that wil
not operate as a tax upon the property
and industry of our citizens ; and it ought
not to be concealed that if the vast debt
which has been incurred on account ol
our internal' improvements, is overpaid
it must be done through the medium of
taxation. The dictates of wisdom am
prudence, as will as sound policy, then
lote, require mat tun most simple am
economical plan should be pursued ; am
it only remains to determine between a
direct and an indirect mod?. I am aware
it has often been nlledged that the people
would not submit to a system of direct
taxation ; hence, the erroneous, tuinous
aud irrepublican policy of indirect tax
lion has crept into our institutions, am
so fearful havo legislators been of tho in
donation of their constituents that the
sources of its origin have bet ii carefully
concealed; to which cause, more than
monopolies, vii!i their train of desolating
evils, tiiat are lastmed and preying upon
the vitals el tnc country. Hy such an
iniquitous system large and excessive
revenues are collected, and, consequently,
wild and extravagant appropriations made.
If, in a Government like ours, based upon
the irluc and intelligence, and adminis
tered by the will of its citizens, wc Pre
to be told that they will not tolerate the
most economical, certain and cfl'ectual
mode of discharging their liabilities, then,
indeed, we are compelled, however re
luctant, to subscribe tthe federal doctrine
of their incompetency to regulate their
own affairs, and constrained to acknow
ledge that we only enjoy the name and
shadow and not the reality of republican
ism. Hut being, as I am, firmly persuaded
that they are always patriotic in their sen
timents; instead of temporary expedients,
I have no doubt they would gladly em
brace tho most direct and judicious plan
to relieve themselves from any embarrass
ments m which they may be involved.
This would especially be true if they
were always kept acquainted with their
real condition, hich would place them
upon their guard, and enable thorn to
avoid many calamities which otherwise
would be entailed upon them. I cannot,
therefore, consistently with that duty I
owe to tin; public welfare or mv private
feelings recommend to your favorable
consideration an increase of our bankui"
capital as a source of revenue or for any
purpose whatever. I do not believe the
people require it, or, if they did, that it
would afford them any assistance.
The question hence arises whether we
shall resort to direct taxation. I am
lcarly of opinion that it would be better
to postpone the adoption ol this policy
for the ensuing two years. Although an
increase ol taxes may ultimately be inevi
table, yet, under existing laws, the amount
collected will annually become greatly
enhanced.
The vast quantity of public lands enter
ed in 8.'1.", '0, '7 and 'S, which are not
yet taxable ; the continued increase of
wealth pouring into our State through
the channels of emigration :md trade, and
ic present scarcity of money, point out
ic propriety of making a loan to meet
tiie interest upon our internal improve-
lent debt until your next regular ses
sion. The quantity of lands entered du
ring the year IH:i."i and lHoti exceeds
5,220,227 acres. Estimating its value
U !$." per acre, the additional revenue
hich will annually arise from this
source under tnc present law, alter the
xpiration of one and two years will be
52,202 20, and an undiminished aug
mentation from lands entered in 18117 and
will be continued, and so on continual
, at a less rapid rate, however, for ma
ny years to conic.
Hy setting apart, and exclusively ap-
lying the proceed arising from ibis con
tinual, unfailing and increas'inix source of
revenue to the liquidation of the interest
our internal improvement debt, and by
adopting rigid economy in the public cx-
icndittircs of ihe State, the lands now
taxable, tonether Willi the personal pro-
icrly, will ere long yield a surplus,
which added to the above resources, will
go far towards the payment of that inter
est as it accrues. Under Ois policy tnc
augmentation of taxes, when resorted to,
would be comparatively of inconsiderable
amount. In connection with this subject,
would suggest the propriety of reducing
ihe county levies of taxes, and in the same,
or less proportion, increasing the State
taxes. Hy amending the revenue law so
as to limit tnc county tax to one libit.
and increasing the State tax to one fourth
cr centum, the taxes would be reduced
instead of increased, and the counties
would still, with proper economy, be sup-
died with means to meet all necessary
expenditures.
In tnc meantime, or oclor.; resort is
had to an increase of taxes, the Slate in iv
derive aid from other sources. .Mr. Cal
houn, of South Carolina, at the last scs
sion of Conirrcss, introduced into that
body a bill ceding to the States the public
lands lying within their respective lim
its on condition of their paving into the
National Treasury, on the first of lVbru
arv annually, one hall cd the proceeds
arising from the sales, rcseri ing the other
half to themselves. The adoption of this
measure would bo nothing but an net of
justice to the new States, anil coming, as
it docs, from a distinguished southern
Senator, it exhibits tho liberal and en
lightened policy of tho statesman. . In
view of its justice and propriety I woul
recommend that vou instruct our Senators
and request our Representatives in Con
gress to use their endeavors to procure
tti passage.
Tho issue of scrip on account of the
internal improvement system and canal
haa ' resulted, like most other temporary
value, which is working a pernicious in
fluence upon the interest and credit of the
State. Large amounts of it have been
purchased by speculators at prices greatly
below par, to the injury of the communi
ty, to an amount corresponding with its
depreciation, and but little hope can be
entertained of advanced prices so long as
its circulation is continued as an article
of trade. I would, therefore, respectful
ly recommend the adoption of such mea
sures as will provide the means for its
earliest redemption.
In the month of March last, General
Thornton and others, as a committee on
the part of the canal contractors, visited
me for tnc purpose ef making arrange
ments to provide means to pay off the
estimates as they would become due for
the remaining part of the year; alledging
that unless a positive assurance was given
that the money would be forthcoming to
meet these estimates, the contractors
would be forced to abandon their con-
tracts, and that in this event general dis
tress and bankruptcy in most cases would
ensue, and consequently great loss to the
State. Knowing that bonds could not,
at that lime, be sold at par to raise mon
ey for that purpose, they proposed, on
the part of the contractors, that bonds
should be placed in the hands of suitable
agents to the probable amount of the ex
penditures for the year, to be paid to
them at par ; to which 1 assented, ,-ondi-lioned
that the bonds so paid should be
placed in the hands of an agent whom I
might approve, to be sold for their benefit
in our eastern cities or a foreign market,
to which condition they assented, and I,
then-fore, placed in the hands of General
Thornton, Canal Commissioner, 81,200,
000 in bonds for that purpose, $1 00,000
of which has since been sold by him in
London, as agent for the contractors, at
the rate of cightvWive per cent., vItich
has enabled them to prosecute the work
on the canal throughout the season with
energy and success, and, ns I am inform
ed, without loss, as the reduction in the
price of labor, provisions and materials
has equalled the fifteen per cent, reduc
tion on the bonds. Under the circum
stances, I would suggest the propriety of
the State incurring the expense and com
pensation of the agent while engaged in
the performance of his agency. This
would seem to be just nnd equitable, as
the payment of bonds, instead of money',
to the contractors, superceded the neces
sity, on my part, of employing an agent
lo sell them in a foreign inatket, and con
sequently threw the expense and respon
sibility of ihe negotiation upon the con
tractors themselves, besides the loss of
fifteen per centum upon the whole amount
of bonds sold. It is proper that 1 should ,
here remark, that I exceedingly regretted
the necessity of paying the contractors
with bonds, but as money could not be
raised by a sale of them at par, to meet
the estimates on the canal as they becamo
due, and the contractors proposed to re
ceive them at that rate, and hazard a sale
oi itiein on their own account, I iclt eon-
traiucd from a sense of duty towatdV
iiein, ami good faith on part of tho State,
to placo the bonds in the hands of the Ca
ul Commissioners for their benefit.
Hy an act of the 1st of February last,
the Commissioners of the Illinois and Mi-
higan canal were required "to sell such
of the canal lauds and lots the present
car as were required to pay the interest
on loans made for canal purposes." As
arly as April last the President of the'
loard ver.ially informed mo that it would
be impossible to realize money from thc;
sale of tiiese lands to pay the interest
0
hie in July following, am!, consequently,
other means were necessary to be resort-
d to to furnish the funds for that purpose.
Vo meet the interest upon bonds sold pri
or to 18.10 by Gov. Dunowi, and payable
in At w i ork, tho sum ol $30,000 was
oaned by Col. Mather, President of the
State li.:nk of Illinois, and to nay that
Hirtion of lite interest falling duo in Eu
rope, a draft was drawn by Judge Young
upon Messis. John Wright & Co., of
London, for .120,000, it being part of
A'ijO.OOO advanced by said company on a
contract for 6 1,000, 000 canal bonds en
tered into in October, 1S39. 10.000
icing the residue of the above JC30.000
advanced by said Wright fc Co- has been
aecd on deposite in the U. S. Dank,
mid 1 have instructed Judge Young. to
apply so much thereof as may be neces
sary for the payment of the interest be
coming duu i:i New York on the first
Monday in January next ; and I am, in-; '
fon-.ied by Gen. Thornton that the mcaua
are provided to inet the uitcrest'due, in'
London at the same time. .. As tho con
tract with tho Messrs. Wright t Co. was
much animadverted upon tho last Legis
lature, notwithstanding I was convinced
that no ealQ could be made more advanta
geous to the Siata at tho time . it
clfectedt or during tho present yor, v-

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