The western Democrat. [volume] (Charlotte, N.C.) 1852-1870, 1868-12-29
A Protest.


presented to the House by Mr. pou and others:
SATURDAY, Dec l9-Mr Pou offered the
following protest against the passage Of Senate
bill in regard to rcenacing and confirming the !
acts of the General Assembly issuing bonds to
and for certain Railroads, viz:
:The undersigned, members Of the House Of
Representatives, one of the branches Of the Gen
eral Assembly of the State of North Carolina do
dissent from and protest against the passage OF
the act ratified Dec. 8, 1868, entitled can act
to ratify and confirm certain acts of the General
Assembly, authorizing the issue Of State bonds
to and for certain Railroad Companies" for the
following reasons:
l. Because that portion Of the act which pro
vides for the issue of bonds Of the State to the
amount OF 50 OO0 600 as a subscription to the
capital stock Of the Chatham Railroad Company.
is an attempt to give the credit OF the State in
aid Of the said corporation iii palpable violation
of Sec 3, art. V. Of the State Constitution The
second division Of this section confines to trO
descriptions Of Railroads the power Of the Gen
eral Assembly to give or lend the credit OF the
State in aid Of any Railroad corporation. 'u"'cs<
tie subject be subsiiittcd 10 q drcct ro'e IF the
pcop3e Of tie STRIFE ""d he G11""rcd ~ l." ma
j0ritv of Hosc 1rh0 shnH rate Mclroa.' The two
exceptions are first such Railroads rs are un-
finished at the time Of the adoption Of the Com
State had at that time, direct pccuniary in
terest.
The Chatham Railroad comes within neither
exception True there was, at the time of the
adoption of the Constitution. "Chatham Rail
road Company, havin" a Road begun but ''un
finished" But that Chatham Railroad was less
than fifty miles in length, extendn" westward
no further than point in the Coaltields. The
Chatham Railroad to which the aid is attempted
to be given by this bill is not less than one hun
dred and fifty miles long, extending westward to
the South Carolina line. The Convention which
framed the Constitution. by a cotcmporaneous
ordinance, lent aid to an amount not to exceed
1920, 600, for the purpose of enabling the then
existing ''Chath;tIn Railroad Company to finish
its BOad." If the completion Cor 'tnshlng
of that Road had been let to contractor, by the
President and Directors. III consideration OF that
sum of 81 200 600 the Directors would not have
had the hardihood to claim that the contract
required Of the contractor the omplction Of
what is now known rs the Chatham Railroad
With just as little propriety can the Directors
now claim that the inclusion Of the oriyi""l
Chatham Railroad, within one Of the aforesaid
exceptions also brings the JrrScia Chatham Rail
road within the same exception.
1t would be puerilc to contend that the sub
scription of S2,0000O0 to the capital stock Of
the Company. gives the State direct pccunary
interest in the Road, and so includes the Road
in the second exception. SHch construction
qrouM onnui tie exception. Since the General
Assembly might then take stock for the State
ID any kind of corporation, i'll defiance Of the
people, and then lend it State aid without re-
straint The words or in which the State has
direct pecuniary interest," were clearly de-
signed to enable the General Assembly to aid
finished Roads or other finished works in which
the State, at the time of the adoption Of the
Constitution, had large direct pecuniary inter
ests, and which it was then by no means impro-
bable might need the wholesome touch Of the
State to arrest decay, or require her helping
hand to be lifted from under load of debt
These considerations apply perhaps only to the
subscription of the Chatham Railroad.
2. The attempt to lend aid to the WILLIAMSON
and Tarboro Railroad and the Western North
Carolina Railroad is vicative of the spirit Of the
State Constitution and wholly impracticable
The C0asfitH'toa limits tdrnfion on property If
all kinds to GGS cents OH the S1G0 If It's truc
ad1He IN D.O5tcy tor State Gi,d COaaty tarcs cam
Gutcd This limit would be reached by the
necessary expenses Of the State and the counties
without the addition Of more thon IS cents on
the 800 provided to be levied by the above
recited act.
3. The act. besides being unconstitutional, is
unwise, impoiitic and iraught with injustice to
the sale, immediate and unrestricted, by agents
irresponsible to the State, Of more than six mil
lions of State bonds. while the RAILROAD Com
,panles, it is believed, can make no immediate
use Of the money raised For them, at SO great a
sacrifice of the bonds of the State. 1t takes no
adequate security for the State on the bonds lent
or the stock subscribed. 1t offers no guarantee
such as all States usually require Of their agents
or benefcaries, that the appropriations will be
used for Railroad purposes. Even surprising
the Directors Of. the various Railroads should
make the wiscst and most economical application
of the funds entrusted to them, the result of this
Legislation, if it should. contrary to our opinion
prove valid, would be that the State gets secu-
rity to the extent only Ct about 10 cents on the
100 cents that she guarantees.
4. The undcrsig ned particularly protest against
the 9th section OF this act, which limits the State
to one-third stock vote in the Chatham Rail
road management while at the same time if the
act becomes operative the State will own directly
nearly two-thirds of the entire stock Of the road.
and while the State also furnished the entire
capital of the Company.
For the foregoing aud many other reasons the
undersigned respectfully dissent from and protest
against the passage Of the act, and ask these
reasons to be spread on the Journals
=. ~. poU,
JOHN c. WILLIAMS,
B. II. HINNANT,
IsHAM SWEET, (col.)
G. ". STANTON,
+. THOMPSON,
7. c. HUMFHRIEs.
II !