The Charleston daily news. [volume] (Charleston, S.C.) 1865-1873, 1872-07-25

for general circulation as money. These at
tributes will be considered In the order just

for general circulation as money. These at
tributes will be considered In the order just
stated:
l. Was 1t intended that the revenue bond
scrip should be Issued In form convenient to
pass from hand to hand In ordinary transac-
tlons Of the community?
Section third gives the scrip the form most
usual and convenient to serve as paper money,
viz: that of the usual bank or treasury note.
It is to be printed or engraved on steel In such
form and OF such denomination as the Slate
treasurer and president IF the Blue Ridge
Railroad Company shall determine. The 90
jecL of referring this authority, as to form and
denomination. to the treasurer and the prssl-
dent of the Bue Ridge Railroad Company is
obvious. The treasurer is, by the act, to re-
celVe and pay out this scrip from the treas
ry as money, and the president of the railroad
company Is to receive the scrip as the repre-
sentative OF hls company, and to realize from
ils employment; and as most likely to know
what qualities, as to form and denomination,
would have the tendency TO give the greatest
currency to the scrip at the time Of its Issue, q
certain discretion Is left with them for such
purpose. While the third section determines
what shall be the substantial character Of the
scrip, as imparting pledge OF the public faith
and credit, the form Of the instrument, as
adapting 1t In external appearance to the COM
mon notion of money, Is left with those most
concerned In Its currency.
2. It ts to be based, oy the terms OF the act-
on the State Government In its sovereign
capacity.
5. Tne act attempts TO confer upon 1t not
only The full credit capable Of being conferred
by this, as of the full taith and credit Of the
State, but TO create an artificial want In the
community tending to give 1t currency. In
the first place, 1t is made receivable In pay
ment of taxes and all other dues to the State.
except the special tax levied to pay interest
on the public debt. (Sec. 81 Again, 1t ia
provided that II any such scrip is received IN
the treasury for the payment OF taxes, the
treasurer is authorized to pay out the same IN
satisfaction Of any Claims against the treasury,
except interest that may bs due on the pubic
These provisions contain two distinct fea-
lures. The first ie permlssive feature,
affecting each individual In the community
who is taxpayer, and supplying to him
q motive 10 become q purchaser OF the
scrip. A more energetic means OF creating an
Interest and motive In the community to deal
with the scrip as money could not be offered.
short of making ths scrip compulsory pay
ment OF all debts as between individuals. The
other feature involves the communication to
the scrip OF the capacity OF performing all the
functions Of money In all dealings between
the Slate and individuals, excepting only the
case Of the payment Of interest on the public
significance than that Of giving currency to
the scrip as money.
IL will be observed from the language of
the fourth section, 10 which the faitn and
funds Of the State are pledged. that sucn
pledge is not In terms that such scrip shall
be redeemed by payment to the bearer, on
presentation OF the amount of money called
for by IL, but the language is "that the tath
and tuods OF the State are hereby pledged Tor
tho N nlfirno 70 rodan nttnn Of aAf6 rapann6 b0nd
scrip" Ie Is only ultimate redemption, not
payment on demand, that is covered by this
pledge. What Is meant BY ultimate redemp-
tion Is made clear by the succeeding clauses
OF that section. ills provided that q certain
tax shall be annually levied for the redemp-
tion OF the scrip; and 1t ls also provided that
The State treasurer shall "retire at the end Of
each gear from their date one-fourth Of tie
amount of treasury scrip hereby authorized to
be issued, until all Of It shall be retired,
aud TO apply to such purpose exclusively the
taxes hereby required 10 be levied" The
effect of these provisions is that the holder OF
the scrip must NOT look for payment according
to the tenor Of bis scrip, but must seek mar.
ket for Its circulation under the influence OF
the pledge of iaiLh and funds for its ultimate
red. mpLion. In other words, an attempt ia
made 10 give currency to the Issue, notwi!h'
Standing the absence Of any intention or ability
to redeem, nccordinE to tho eonor OF the prom
ise, by obtaining credit win the community
for the amount OF scrip put In circulation, In
the strength OF certain special provisions, and
general pledge OF the faith and funds OF the
Slate for It's ultimate redemption.
4. The quantity or volume Of The contempla-
ted Issue is such ss tended to create strong
motive and interest in the community TO keep
thr scrip In circulation as money. The amount,
81, 900, 900, as compared With the extent oil the
commercial transactions OF the community on
fnta cd N q p1QnQ6
affords the clparesL indication of an intention
go to affect the interest OF the community as
to secure lis circulation as money. II was TO
be paced at once In private hands as valid
obligations on the part OF The Slate. The varl
GUS provisions Of the act that look to dislrl.
bullou among the people preclude the Idea
that It WAS iutended that the recipients OF this
large fund should hold II until redemption, or
even that It. should be kept together In the
hands of limited number OF boldersi on the
contrary, it WAS clearly Intended for dsper-
sion, and the magnitude OF the interest In the
hands of the frat receivers Of the scrip was
sufficiently large to warrant the assumption
that 1t would become thus diffused throughout
the community.
denomination, we have already seen that
authority Was conferred on those most con-
cerned with ils circulation, 10 adapt the Issue
In that respect to the wants OF the community.
such provision shows additional evidence Of
an Intent that the scrip should circulate as
money. Considering the act In its entire as
pect, as we'll as In It's integral parts, 1t is Gear
tnat the Legislature intended that The scrip
should circulate as money; and that, for this
reason, the provisions of the act authori2ing
the Issue Of scrip are in conflict with the pro-
hibltions Of the Constitution Of the United
States as to the emission Of bills OF credit by
States.
The act being unconstitutional, it is void,
30 far as 1t oonIemplates the issue OF revenue
bond scrip. 1t is unimportant, therefore, to
inquire whether the scrip that was actually
issued was conformable to and authorized by
the act.
The Injunction heretofore issued must be
continued until the final heariug and deterrnl.
nation of the action. A. ]. WILLARD,
A. J. 3. @.
FROM THE FEDERAL CAPITAL.