Southern Argus. [volume] (Columbus, Miss.) 1834-1842, 1841-08-03

the duties of their respective Offices. Her Cher
Magistrate is required to take care that the
laws be faithfully executed. He would pc re-
creant TO bis trust and violate his official oath
were he to suffer the laws Of the ana 10
be tramped upon and the constitution dlsre-
garded.
The contract for the sale ofthe State BONDS,
shows that the statues ofthe state in relation
TO the bonds, were made part ofthe contract.
The purchaser was well aware of the condi-
tons ON which they were issued, and knew
that the purchase was neither sanctioned by
the consultation and laws of this State, nor
of Penn sylyana. Tic contract was guaran-
teed by The bank of the United States. The
whole of the purchase money was paid by that
institution. The name of Mr.. Biddle was
merely used in the contract as a device, TO get
.ound that clause in the charter OF the bank
If the United States, which prohibits her from
dealing in State stock. The currency IN winch
the Bonds were PAYABLE, was changed from
dollars to Pounds Sterling to give colorng to
he transaction. and make it appear that the
BOMBS were sold at par value. The principle
i universal that fraud vitiates all contracts.
rhe CONNER cha. law of this State relative to
negotiable paper, is different from thai OF most
other countries. The transfer of bonds and
notes, does not prevent the drawer from sitting
up any defence against an innocent purchaser
which could be made available against the
original payee.
The State therefore, denies all obligation to
pay the bonds held in trust byyou, for the fol-
lowing reasons:
LIST / he bonds were sold on credit.
n.11. H.
made payable. was changed from current
money of the United States to Pounds Ster-
ling of G eat Britain at the rate of four shil-
lings and sxpence 10 the dollar.
Sd The contract of sale was fraudulent.
4h The bank ofthe United states was not
authorised to make the purchase.
9th The Bonds were sold at less than their
par value, in violation of the charter of the
bank.
The money paid for those bonds did no..
come into the State Treasury. The officers
of this Government had no control over its
disbursement. The bonds were disposed OF
in August, 1888, by collision and fraud, il. vi
olation of the constitution and laws of this
state. The Mississippi Union Bank, and the
United States were parties 10 this lawful
transaction. You have the endorsement look
for payment. This State never will pay the
five millions of dollars Of state bonds issued in
June 1888, or any portion of the interest due,
or to become due thereon.
When ascertained in January 1889, the
terms on which the bonds had been sold, |
communicated the same by message 10 the
Legislature and denounced the sale as illegal.
At that time only two millions of dollars had
been paid on The bonds by the bank of the Uni.
ted States. BY proclamation 1 subsequently
issued, the sale of the second five millions oil
dollars of State bonds delivered to the Mssis-
sippi Union Bank. was prevented. also
iutely refused to execute the last and hall
millions of dollars of state bonds manded by
that institution. These decisive measures
prevented the illegal disposal of ten and hall
millions of dollars of state bonds, and will COLI
vince you that the Government of this State
never has countenanced. aud cannot he made
re. ponsible fer The fraudulent acts of the Mis-
sissippi Union Bank.
] have forwarded TO your address, the Jour
mails ofihe Legislature OF this State, for the
years l~4e and IS4I. II will afford me much
pleasure 10 forward you such other documents
as YOU may desire. | am anxious that the
bond holders, should be possessed of all the
facts IN relation TO the issuance and disposal o.
the bonds held by them Your great expert
ence in commercial affairs, no doubt has made
your familiar with the principle that parties
contract with reference TO the law, and that in
a constitutional and free government every act
of public functionary is merely an exercise o.
delegated power intrusted 10 HIM by the PEG.
pie for a specific purpose, and that his acts o
the people, only wh2e within the powers con,
ferred upon hun.
l am, gentlemen,
Very Respectfully.
Your ob't serv't.
A. G. NINUTT.