The Charleston daily news. [volume] (Charleston, S.C.) 1865-1873, 1869-09-16
rHE1AuRExsR RAILROAD soUABB1D
The sta,emen. OF mr. Joseph Crews.

WE have received C lopg-winded communi-
cation from Mr.. joseph Crews, in reply 10 tho
lettcr OF DR.. b. S. James on the sale Of the
rolling stock of the Laurons Railroad, which
was published in THE News of the 81 inst.
The greater part Of Mr.. Crews reply is made
up OF an eE pdrte account OF his individual and
confidential business dealings with DR.. James.
Those, We take it, are matters of no possible
concern to the general public; and, even were
1t otherwise, the language of Mr.. Crews in mar
rating them is not such as ne could pc init to
appear in our columns. But as it is princi-
pie Of THE NEWS to give every side hearing,
we make room FOR those portions of his letter
in which he gives his version OF the sale of the
rolling stock: transaction which has been so
severely denounced, even by Governor Scott's
own Attorney General. Mr.. Crews writes:
Now. as to the sale of the locomotives. One
A. II. Brodie and ]. ". 8. Arnold obtained a
Judgment in the United States Court against
the Laurens RailroadiCom 2any, some time in
the winter of 1868, upon the coupons Of the
bonds OF the company, the payment of which
6onds and coupons wns guaranteed by the
State OF South Carolina. There were sold, IN.
der that judgment, three locomotives, one sta
tionary engine, Ave box cars, two platform
cars, two push clrs and one crank car. bid
in the property in the name of II. Z. Scott,
who at that time knew nothing OF my actions
or Intentions. took a receipt from tho spe-
cial deputy Of the United States Marshal who
sold the properly. I Immediately went to Co
lumbia and notified Governor Scott Of my ac-
policy deemed best for the interests Of the
State. The property wac put up and sold to
tho highest bidder, and utter being advertised
the number of days required by law. All that
James could have bid off the properly as we'll
| as did. After the property was sold and Gov
ernor Scott was notified that the road was be-
ing run to the greet detriment of tho intere sts
OF the road and State, he advised that should
take charge Of the road, and cause all the pro-
ceeds, excopt what might be required to pay
me me tor my services. to be applld to repairing
the track and rolling stock, uotil suit could be
brought against the company, and an equita-
bic adjustment metic OF tho whole matter, as
between tho stockholders aud the State. The
State in 1859 guaranteed the bends of the road
to the amount OF $4,000, tho interest of which
was to be paid som; annually. The bonds woro
made payable in twenty years, bearing inter
! est OF seven per cent.
Section Cd of the "Act to afford aid to tho
Lanrcns Railroad Company" ratified 22d day
OF December. 1859. says ''That 80 soon as the
| SAID bonds shall have been endorsed, they
shall constitute lien upon the entire proper
| right OF way, grading, bridges and masonry,
upon all tho stock subscribed for III said COM
pany, and upon tho iron rails. chairs, spikes,
| equipments and apDuItcnanccs o. every kind;
dorsins OF said bonds and by virtue thereof,
| shall be invested with said lien or mortgage
| without deed from the company, for tho pay
ment ~ said company Of said bonds with the
| lntert thereon as the same becomes duo;
and it shnll not be lawful tor said company to
give, crcato or convey to any person or per-
sons or body corporate whatever, any lien,
lncnmbrGi'ce or mortgage OF aby kind, which
shall hayc priority over, or come IN conflict
| with tho IT, n Of tho Slate herein secured; and
any such lt., incuin6rance or mortgage ehall
| gage Of the State, and the said lien or mort
gage OF the Slate shall have priority over all
other clnims existing or TO exist against said
company"
Tho property bid in was sold under judg-
ment obtained upon coupons guaranteed by
the State, and for tho payment OF which the
State held mortgage upon the entire road and
rolling stock. DIR. James denies having sold,
but says he did. upon few occasions, exchange
few old castings with the Greenville and Co.
lumbia Railroad Company for new ones. have
ascertaned from tho shops Of the Charlotte
and South Carolina Railroad Company that he
disposed Of 81 100 pounds Of old car wheels,
and 6195 pounds OF axles, which he had no
right to do; and further that he disposed Of
Mcssrs. Goldsmith & Kind at $40 per ton. As
Or. james is 30 honest, would Do glad TO have
him inform tho public as to what has become OF
all the springs, stool, and largo piles Of iron,
and largo quantities Of old iron formerly IN
the depot yard o. Laurens. I do not
large, have been able to carry of this iron. Ho
| may answer u by sayios he exchanged 1t for
| new material for the Laurons Road, but every
one knows that this property is nortgsgad to
the State, and !t wac LIS duty to replace the
stocK, which be wears ont. from the proceeds
OF tho company. he is to use the road and put