Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1872-08-15
GOVERNOR SCOTT ON THE DEBT.

GOVERNOR SCOTT ON THE DEBT.
Governor Scott has addressed the following
letter to Messrs. Henry Clews & Co., bankers,
New York, relative to the payment of interest
on the public debt:
COLUMBIA, August 6, 1872.
Messrs. Henry Cze,cs & Co., Bankers, No. 80
=. Wall Street, Neau York.:
GENTLEMEN-Your letter of the 21st June
has remained for some time unanswered in
consequence of my not being able until the
present moment to furnish you with the de-
sired information.
On account of the many inquiries from
holders of our State bonds, I deem it my duty
to write you fully on subjects touching, not
only the payment of the interest, but the
bonded debt itself.
An application was made at the session Of
the Legislature of 1870-'71 to pay the inter-
est on the public debt falling due January,
April, July and October of the year 1872
But in consequence of no levy of taxes being
made for the payment of legislative expenses
of the last session, which were unusually large,
as you will perceive by reference to the en-
closed statement made by the State treasurer
to Judge Willard, of the Supreme Court, the
money was diverted from the payment of in
terest to meet the payment Of legislative ex-
penses, and expenses incidental, thereby leav-
ing the State treasurer without funds to meet
the decreased interest, or even current expen-
ses. Therefore, unless special levy of taxes
is made under the law authorizing the issue OF
bonds, and collected Immediately, as has been
urged by many, who believe it to be for the
best interests of the State, I am compelled to
state that no interest can possibly be paid be-
fore January, 1873, as levy under the law
is now being made, which will be collected
between the goth of November and the 10Th
of January next, and set apart for that special
purpose.
have also received many letters complain.
ing of the extravagant charge of one per cent.
demanded by the Commercial Warehouse
Company for the registration of bonds, stocks,
&c., and must concur in the justice OF the
com plants. AS you will perceive by the en-
closed advertisement of the "Carolina Nation.
al Bank" of this city-which is also named
as one of the places of registration in the law
that their charges are very much less, amount
ing in the aggregate to less than one-tenth OF
one per cent, as they charge only one dollar
for each bond or piece Of stock. The com.
plants of the requirement of the law in this
registration, regard as unjust to the officers
of the State.
The law was not enacted to satisfy the Off
GERS charged with the duty and responsibility
of issuing bonds, that there was no fraudulent
issue placed on the market, but to give the
fullest opportunity to the holders of bonds to
satisfy themselves that the report of the treas
urer was correct, and, also, to expose the ma.
lignity with which false representations were
made and published broadcast throughout
the country, placing our debt at upwards OF
thirty millions of dollars, instead of posi-
BILE debt of less than sixteen millions.
hope, therefore, that the law will be strict
" complied with in the registration of every
bond that has been placed upon the market.
I feel it also due to myself to correct mis-.
representations that are currently circulated
that the money derived from the sale of bonds
and collection of taxes had been mlsapplled
by State officers. 1t requires but very brief
statement to convince any man who is not en-
gagged in Misrepresentation for political pur.
poses of the falsity of these charges. You
will see, by reference to the report of the
financial agent, that $3,S43,OOO face value Of
bonds sold by him between October, 1869, and
September 3, 1871, realized $2,203,783 3S in
cash, which sum was turned over to the State
treasurer, leaving the balance of the; ;entire
issue of bonds-amounting to $5,574,D00-ir
!, his hands, and pledged as collateral for the
comparatively small sum of 81, 1,267,075 63
Now, if the Legislature had authorized tht
levy and collection by taxes Of this last sum o