Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1869-05-25
tn THE CORPORATION Expose 4 !.
Col. Colyar Wants a Hearing. bnt Capt
Akien is too BNsy The Biii OF
Charges and fhe Answer.


ID remembered by persons who we're. al tb
y meeting on Saturday night, that Mr.. Aller
= the chairman OF the finance committe,
r. interrupted me while / was speaking, b
,e saying that if had come TO him l coul
!. have learned all wanted TO know--that b
}. wouid have taken great pleasure in shoG
). ing what had been done with the check
|. issued-what they brought and what wa
a done with the money. 10 reply referre.
] to the fact that up TO this time he ha.
failed to make any showing under thu
order of the common conheil, and that TIL
Q citizens of Nashville had flied bill
c against him as chairman Of the Financ,
d Committee, in which they set forth sub
stantialy that a large amount Ct check
had been Issued to him wiihou. authority
of law, and that no showing had beeu
made, and that he was called upon
specifically to answer and show What
had been done with these checks, aud that
he refused to make any answer upon thia
point. This MIR. Allen denied by saying
il he had refused, the Court would have
compelled an answer. Below please find
copies of the bill, including the specific
prayer, for an answer 10 these points.
Aud copy Of that portion Of the answer
| refusing TO tell what he had done.
4 Complainant, on tehalf of the relators,
expressly charges that the issuance of
checks by said usurpers or de facfo officers
is dangerous and should be stopped. IRE
Iparable injury will follow the further is-
suance Of checks They have already
been issued TO create an enormous usurious
debt, and az they are collected or paid in
for taxes they are reissued instead of being
cancelled; and the whole check system is
now in such confusion that in many cases
it will be impossible TO tell what checks
are valid and what are not. The
committees have refused TO show what has
been done with large amounts of checks
issued and how large SUMS of money have
been raised and at what rates.
No reports are made and published, and
the real taxpayers are wholly unable 10
tell what debts are being created and at
what rates per Get. they are paying for
money, and these things are studiously
and persistently kept from the people.
Complainant expressly charges that the
present finance committee, whose chair
man is Silas +. Alien, has purposely with
held and kept a secret, 80 far az the tax
payers are concerned, the mode, manner
and terms of raising money and disposing
of checks.
The number of checks new outstanding
seems to be unknown, and whether the |
checks now being issued ia large numbers |
are for the purpose Of borrowing money |
or for being sold, does not appear and |
cannot be told from the face of the checks. |
Complainant charges that said parties |
who claim TO have authority to issue |
checks are careless and reckless, and the |
whole city is in danger of being involved /
in ruin from the issue aud reissue of |
checks. Nearly or quite all the taxes
which are now being paid are paid 10 /
checks. And the said Peoples Bank or /
the said Ogden through said bank furn-
ishes the supply. This it is believed and
charged, isdoneb by an arrangement with said /
detdct0 officers. IL is believed and charged
that the corporation officers, including the
Chairman of the Finance Committee, have
constantly used said bank for the sale of
corporation checks; that the bank has not
only bought large amounts Of said cht cks
at various rates from the corporation Of.
ticers, but it has for said officials kept on
hand and sold on commission large
amounts of said checks.
In this way, aud by the aid of said
oficiala, said bank has controlled the mar
kef, having checks Issued CT not as it
chose and having the people ""n>-,A e
large amounts OF checks. This speculation
in checks by said officers and by said bank
has brought this city into snch disrepute
that II could not a0l0 borrow money on ils
bondp, if authorized, at discount OF hfiy
per cent hence the only means OF raising
l.. r a.. srkr oh
ia made due and sold at twenty per cent. or
more. and either sued on Immediately or
paid in thirty days by sale of more checks
at twenty per cent discount.
In this way large amounts of checks |
are issued at short intervals, and large |
judgements are constantly rendered against
the corporation and for, several months |
the properly of the corporation has been
uuder execution, which has only been
saved from sale by usurious extensions of |
| its own paper.
Complainant, on behalf of Ielators,
most respectfully represents that this state
| of things is fast bringing the city into
bankruptcy.
/ That bankruptcy or reputation OF these
reck Iessly issued checks will certainly fol-
low, unless this honorable court interPoses
to protect the city aud its people.
Let the said Alden, Ogden and Allen,
make a showing. Let them show how
much money has been borrowed or raised
ty the sale of bonds; 10 whom the bonds
were sold and how the money was applied,
and what the bonds were sold at. Let them
| sbow what amount of checks has been
isau,d since September, 1867, and what
| dispopition was made of them; how much
| wos issued in payment Of debts, aud 10
/ whom. how much WAS issued TO raise
money and TO whom issued, and how
much money was raised on the checks, and
what was done with the money"
| Here follows that portion Of the answer
which is responsive 10 all the foregoing.
uDafepdants decline TO be put to the
trouble of qratuitouSly furnishing to REALTORS
the intolerably tedious erpOse touching the
issuance of checks, etc, which they de-
= maodn This answer was made upon oath
1 and ia sworn TO by Mr.. Allen.
ID will also be remembered thai at thai
, | meeting Mr.. Allen agreed with me, aud
pledged himself 10 the entire crowd tha'
he wonld meet me at the Clerk and Mas
ter's office on Monday and make iulI
showing, and that he would then luliy ex
: pIain the whole thing and account lor th'
u | Immense sums of money which seem 10 b'
II not accounted for. lie said he would an
aver all questions fairly. told him tina
A had 10 leave for the North In day o
a two lint would devote Monday TO an ex
"a animation of him on oath in the caus'
pending. u.,
Now. / went to the Clerk aud Master
le Office on Monday, and wrote Mr.. ALEU-
1t note saving | was ready and would b
d, Glad 70 ,es him, when the following cor
re pondence took place.
no NASHVILLE, May "a, 1S69.-CoL. A,
20 Co1yER.-DEAR SIR II am very bus
H. this afternoon, and can not come TO 81
Won. Please commence some action wher'
Inv we can bring all questions into cou
and oblige Yours truly,
I'LL SILAs +. ALLEN.
= CHASCERY CLERKS OFFICE, May 2
~ 1888. F. Allen: am in receipt oil 20
90 note of this date, in which you say you
bnsy and "can not come" You ask !
io 10 commence some action whereby we C
eat hiring all questions into court. The CT
now pending, and in which l wish TO
anime YOU as wiLntss, covers the VIII
re" ground. The bill was hled with gr
des care and embraces all the points. |
in were TO file another bill it would SIM
ant be copy of this. The answer In t
ned case is filed, and the cause is ready
Iect nroof. | do not want the delay incid
anv 10 new suit. | hope you will come
once according TO promise, as am waltz
Respectfully, A. S. CoLYAI
H., ,aoa;ying nv last note and