The Charleston daily news. [volume] (Charleston, S.C.) 1865-1873, 1871-01-05
The Fire Loun Stock.

| The Fire Loun STOCK.
It is announced that the Fire Loan Stocl
of South Carolina, due on the 1st instant
he's not been paid on presentation, in accord
ance with the official notice of the State
Treasurer, dated December IL, 1870.
This Fire Loan Stock was issued under
the act Of June, 1885, for rebuilding the City
of Charleston. The rate of interest is si1
per cent, and the principal as stated, wat
payable on the 1st January instant. There
has never been any question as to the liability
Of the State for this debt. There is, it is
true, case before the Supreme Court, in
which the holders OF the Fire Loan
Stock are parties as claimants OF the
assets OF the Bank OF the State Of South
Carolina. But this does not touch the
matter of the liability of the State, mas
much as whatever right to the assets
of the bank might be established by the Fire
Loan stockholders would remain with the
holder Of the stock, whether State or a
private Individual. That is to say, the State,
by paying the stock when due, would not
prejudice the claim OF the stock upon the as
sets of the Bank Of the State.
The amount of the Fire Loan Stock is
1904, ,443, and on December IL, 1870, the
State Treasurer gave notice that the stock
wonl4 be paid in gold, on and after Decem-
Der 81, 1870, cat the South Carolina Bank
'sand Trust Company in Columbia, and at
''the clearinghouse Of q. q. Kimpton, No
"9 Nassau street, New York" AS soon as
this notice was brought to the attention Of
the General Assembly OF the State, Repre-
sentative Whipper, o colored lawyer, intro
duced o jointresolution requiring the COM
mittee OF ways and means ''to take such
"legal proceedings as they may think nee
''essary to prevent the payment of the Fire
'Loan Stock, should any attempt be made
'by any financial agent OF the State to pay
cit" This resolution was agreed toby the
House, but was laid on the table in the
Senate A complaint was then made before
Judge Melton in the Court OF Common Pleas
for Richland County, BY W. ]. Whipper,
Joseph Crews and Benjamin T. Bosemon,
and it was ordered that the defendant, Niles
G. Parker, show cause before him at the
courthouse in Columbia, on Friday, the 3Olh
ofDecember, ..why on order should not be
'.issued to restrain aud epjoin him, as treas
'urer of the said State, and until the further
''order Of this court, from using, or anywise
'tappropriating ofthe moneys or funds Of the
estate in his custody or charge, as such
treasurer, for the purpose OF payiog or re-
''deemiRg the stock known as the Fire can
s'Stock Of this State. And it is further or
s'dered that the said N. G. Parker, as treas
turer of the State, his servants, attorneys
assistants and agents, Elm the meantime
restrained aud forbidden from paying or
s'redeeming the said stock, or any part
"thereof, with any moneys or funds Of this
estate in his custody or charge as such
''treasurer." On the day appointed Mr..
Treasurer Parker failed to appear, aud the
Injunction. was continued until the 10th in
stant. 1t is understood that Whipper and
his colleagues, without going into the mat
ter Of the liability OF The State, take the
ground that the State Treasurer had no au-
thority to make the payment proposed.
The whole movement, .frsm the begin
ming, is regarded in South Carolina as
stock, ,jobbing trick. In the first place, the
permanent holders Of the Fire Loan Stock
doubted whether the stock would oe paid at
maturity. This enabled the Ring to buy up
a large amount OF the stock at liberal dis
count. When the notification of the intend
ed payment was given, the price rapidly ad-
vauced, and it is believed that as high as 100
in currency was paid for small lot OF the
stock Whether Whipper & Co. had been
denied share of the spoils, we have no
means of telling. 1t is plain, however, that
their action, and the temporary reputation
of q rightful debt, tend to depress the price of
the stock, when the Ring may manage to
pick it up cheap, and realize handsome
profit. The State is able, we presume, to
pay the stockholders. A tax of nine mills
for the current year ought to realize $780,
900 or S4OO, 900 more than the current ex-
penses of our costly State Government.
MIR. kimpton had, besides, in his posses.
sion, year ago, s9,7oO,Ooo Of State bonds,
OF which no public account has been
given. The revenue OF tue State is un-
precedentedly large, taxation is enormous,
State bonds are hypothecated by the mil
lion; yet clique Of spectators are permit
ted to play with the credit of the State, and
are able 10 repudiate, for time, just
debt, in order that they may stuff more
plunder into their gorged and plethoric
pockets.
Again, Well Done!