Grant County herald. [volume] (Lancaster, Wis.) 1850-1968, 1869-08-03

1t is said that the present owners Of
railroad also own these County
Bonds, or most of them. They
double every ten years, and are now,
interest included, nearly three times
their original face. The county re-
fused to pay these bonds on account
OF the fraudulent voting done OF
Mineral Point, but the courts of the
United States, and finally the SUI
preme Court of the United States, de-
cided that the innocent holders and
purchasers of the County Bonds were
not bound to examine into the poll
lists Of the election, and hunt out
fraudulent votes. We believe this
was righteous decision.
The same persons who were prom
inent in inducing the county to vote
the tax on itself, without any feel
ing Of inconsistency or shame, ad-
vised the county to resist the pay
ment of the bonds. Fees to attor-
neys practicing in the United States
Courts, and other costs now amount
to a very large sum. We do not
blame the citizens of Iowa, who did
not participate in the fraudulent vo>
ting, for having endeavored to elude
its effects by an appeal to the courts /;
but having failed in the court of last
resort, they must either pay or like
other debtors, allow the Sheriff to
coerce payment out of their proper.
| ty. Though 100000 is respecta-
debt for State, yet we think the
people of Iowa might now make
some movement in that direction.
But the county supposed it had
some indemnity, but this hope has
recently been extinguished by a
decision of the State Supreme Court,
which decision we hardly think ac>
cords with justice, but may be so
much the nearer the law.
AT the time the county delivered its
$150,000 of bonds TO the Railroad
Company, the Company issued and
delivered to the county in exchange
$3.50, 900 of Railroad bonds. To Sc.
cure the payment of these, the Com
pany mortgaged to the county's
trustee, the State Treasurer, the en-
tire road built and unbuilt, 80 miles
in length. This was the first
mortgage the Company executed,
and would have gone far to have re>
lieved the county, in furnishing a
fund to pay it's debt, but the county
was defeated, and postponed to a
mortgage subsequent in date, which
latter mortgage required the entire
road and moro to pay it off. The
famous act Of 1858 authorized, on a
vote of the people, the issue and ex-
change of bonds by the county and
Railroad Company which we have
mentioned. The act required the
Company to secure the county by a
mortage on it's road, but authorized the
Company to make other mortgages,
and especially preferred one, which
although it might be later in date,
was to be paid before the mortgage
given to secure the county, at least
to the amount of $4,000 per mile
Several mortgages were given by the
Company after that delivered to the
State Treasurer for the benefit OF
Iowa County, but the Company
never pretended to issue the one
that was 10 have preference over the
county mortgage. Messrs Comyn L.
Martin, to whom one of these
mortgages was given for about $780,
600 in all, foreclosed it in the District
Court of the United States at M,
waukee, averring it was the intended
and authorized mortgage; the coun-
ty was notified of the foreclosure
proceedings but made default The
District Court barred the county in
it's decree, but it is said, omitted to
decide whether the Comyn & Martin
mortgage was the preferred one or
not; for until such a decision was
made there would be no cause OF
action against the county upon which
any judgment could be based. But
when the county attempted by suit
to forecl0se its mortgage, the Supreme
Court was of opinion that the Dis>
trict Court of the United States had
decided that the Comyn & Martin
mortgage was entitled to priority
under the act of 1853, and the coun-
ty not having appealed from that
decision, erroneous though it might
be, was bound by it. This ruling
reversed the decision of the Circuit
Court, and was not anticipated by
at least the friends of the county who
understood the matter. SO the
Supreme Court of the United States
says Iowa must pay its bond, and
the State Supreme Court says it shall
not have the benefit of it's mortgage.
So that Iowa County has now noth>
ing to do but to pay the debt out of
| its own resources.