Edgefield advertiser. [volume] (Edgefield, S.C.) 1836-current, 1872-08-22


sion Of the bonds to purpose, entire
y different from what was ihtende
On inquiry from the Treasurer, b
what method it was intended to appl
the sterling loan. bonds to .eh a pur
pose, 4 was told by him that@he pro
/ posed issuing sufficient conversion
4 bonds tocoyernot only all other bond
and stocks that had ever been issued
but also the " sterling loan bonds,
and then simply, y,.place them in th
Treasury, and report thst' they hat
been converted by the holders: i
The conversion bonds could thei
be hypothecsted .or loans bFsthe Fl
naneial Board, independently of thu
Sterling Fund Board ,1aas they 9TH,
Financial Board) claimed that they
had a right to'do, under thaIlien per
mittilg them to hyp6thecate ar:y
bonds in the Treasury, Or in the hand,
Of the Financial Agent, where these
bonds were, and the mii6neysthus Oh.
tained used TO pay off all debts hith
erto authorized by law. And thus
Instead Of the sterling loan bonds be.
ing sold in London at "a higher price rie
than they could bring in New York
and the proceeds Of the sale, applied
to the purchase Of our other bonds
here, they would have been simply
exchanged fosconveraion bonds, whicE
Fconversion bonds would have been
hypothecated tor loans, and then for
feited and sold, and the moneys thu:
obtained applied to the payment o.
all debts hitherto authorized by law;
and they (the sterling loan, 'bonds)
would thus have been an addition to
an alleged debt Of between $l5,OOO,-
600 and $l6,000,O00. ..asa,
1t perhaps would not be amiss here
to state that the Treasurer, or Finan-
cial Board, who had possession of the
sterling loan bonds, amounting to
$6,OooDO0, meant to hypothecate
these bonds even as late as last March,
without the knowledge OF the Ster
ling Fund Board, as such, for loans,
and was only prevented from so do
lug by the timely repeal Of the Act
aud cancellation of the bonds by au-
thority of the Legislature.
From November, 1870, to this pc
riod, (August, 1871 T sealed, under
the ADVICE given BY the Attorney
General, sufficient conversion bonds
for converting the one million of sew
en- per cent. relief Of the Treasury
bonds, and 100000 Of. the Land
Commission bonds, as sthe Treasurer
positively informed me that he desired
them for this purpose only
was coolly informed BY the Treas
urer, last September, that these same
relief of the Treasury bonds" and
LAND Commission bonds, for which
I had sealed conversion bonds for the
purpose of exchange. and which were
SO exchanged, had meuer been cancelled,
but had been .re-isSued from the Trea-
sury, and are no8 either hypotheca-
ted for loans or todsiss9and sold.
& The GoyerDor ]. als gEnaed me
that these we're facts within his own
certain knowledge, especially with
regard to the "relief Of the Treasu-
ryF bonds" ~
During the month Of October, 1871,
the Treasurer requested me to seal q
small amount of bonds, for the ex-
press purpose, as he said, Of saving a
| an Of between three and four mill
ions of bonds, which had been hy-
pothecated, and would certainly be
sold at q sacrifice, if more collaterals
were not put up to save them at
first refused to'do 50. reminding the
Treasurer that the same reason was
alleged several times before, and that
| did not feel satisfied Of the correct
ness Of his statement. He then re-
qucsted Inc to accompany him and
the, Governor to New York, ana sat-
isiy myself, by comforting with the
Financial Agent, Of the necessity that
existed for the sealing of these bonds,
j for the purpose of preventing . sacri-
fee Of those hypothecated. The
Treasurer requested me to lake MY
seal along with me, 81 that no tune
be lost. l had previously consulted
with the Attorney-General' en- the
lawfulness Of takiins my seal to New
York, and the Governor on the pro-
priety and necessity Of so doing. The
Acknowledgement assured me it was
perfectly legal, and the Governor,
that it was necessary. l took the
seal with me very reluctantly, be-
lieving I; would be ip q better posi-.
tion to insist upon knowing the truth
os what ! had so long suspected. The
Treasurer also informed me that the
Sterling Fund Board, Of which | was
a member and Secretary, would meet
in New York and take some definite
action in regard>to the negotiation Of
the sterling fund bonds,
THIS last statement determined me
to proceed to New York. 4 went,
and upon the representation there
made, sealed $250,000 of bonds. You
may imagine my surprise when I saw
this amount of bonds, the. sealing of
which had been performed by me up
on the urgent representation that
they were absolutely essential, as ad-
ditional collaterals, to prevent che
sacrifice Of several millions, hanged
back to the Treasurer P3 the Finan-
foial Agent, after they were sealed, as
siihgiSnnecessary for that purpose /;
and then the Governor informed the
Treasurer that he might use them'in
any manner he pleased! I soon af-
ward informed the Treasurer that l
would not seal another bond, unless
compelled Dy the courts et tAe State,
where be would be REQUIRED to make
an exhibit Of what had been d one
With @*<tHe' 'cotiversion bonds; that l
considered the hypothecation Of con
version i T. bonds Ry tAS Hissa$eial aRs$ Board,