[23] "No sense of the common danger, in case of a war, can prevail on him [the Nabob of Arcot] to furnish the Company with what is absolutely necessary to assemble an army, though it is beyond a doubt that money to a large amount is now hoarded up in his coffers at Chepauk; and tunkaws are granted to _individuals_, upon some of his most _valuable countries_, for payment of part of those debts which he has contracted, and _which certainly will not bear inspection, as neither debtor nor creditors have ever had the confidence to submit the accounts to our examination_, though they expressed a wish to consolidate the debts under the auspices of this government, agreeably to a plan they had formed."--Madras Consultations, 20th July, 1778. Mr. Dundas's Appendix to 2nd Report, 143. See also last Appendix to ditto Report, No. 376, B. [24] Transcriber's note: Footnote missing in original text. [25] Lord Pigot [26] In Sir Thomas Rumbold's letter to the Court of Directors, March 15th, 1778, he represents it as higher, in the following manner:--"How shall I paint to you my astonishment, on my arrival here, when I was informed, that, independent of this four lacs of pagodas [the Cavalry Loan], independent of the Nabob's debt to his old creditors, and the money due to the Company, he had contracted a debt to the enormous amount of sixty-three lacs of pagodas [2,520,000_l._]. I mention this circumstance to you _with horror_; for the creditors being in general _servants of the Company_ renders my task, on the part of the Company, _difficult and invidious_." "I have freed the sanction of this government from so _corrupt_ a transaction. It is in my mind the most venal of all proceedings to give the Company's protection to debts that cannot bear the light; and though it appears exceedingly alarming, that a country on which you are to depend for resources should be so involved as to be nearly three years' revenue in debt,--in a country, too, where one year's revenue can never be called _secure_, by men who know anything of the politics of this part of India." "I think it proper to mention to you, that, although _the Nabob reports his private debt to amount to upwards of sixty lacs_, yet I understand that it is not quite so much." Afterwards Sir Thomas Rumbold recommended this debt to the favorable attention of the Company, but without any sufficient reason for his change of disposition. However, he went no further. [27] Nabob's proposals, November 25th, 1778; and memorial of the creditors, March 1st, 1779. [28] Nabob's proposals to his new consolidated creditors, November 25th, 1778. [29] Paper signed by the Nabob, 6th January, 1780. [30] Kistbundi to July 31, 1780. [31] Governor's letter to the Nabob, 25th July, 1779.