The daily phoenix. [volume] (Columbia, S.C.) 1865-1878, 1872-08-14

I6truction5 u Hon. j. II. NeHgle, Comp
troller- General; duted Columbia, October
III. 1871:
"You arc further authorized and in
strucsed to secure any bonds of the
above named sterling loan, that may be
In the hands Of the Treasurer, Financial
Agent, or any other purity, which may
have my name printed upon them, and
deposit them in some secure depos tory,
or in the event Of your f. iiag 10 secure
the | O 'sessi of item, you will ut ouce
notify me of the fact"
STATE OF South CAROLINA,
EXECUTIVE DEPARTMENT,
COLUMBIA, October IL, 1871.
II. II. Kin,pton, Esq, Financial Agent of
The State 0f South Carolina, Ne.o YORK:
SIR: l have been informed that the
Treasurer of the State has executed and
IL rwarded to you some Of tho bonds
known as the sterling loan. write to
inquire if my information is correct; if
SO, L must say that shall feel it my duty
to notify the public of the fact. aud eau
ton oil parties against purchasing said
bonds, as they have been fraudulently
issued. Your reply to this will be await.
ed with great anxiety ard trust that the
Information received may prove incor
rect; and 1 must further insist that all
the bonds that have been printed under
the Act Of March 7, 1871, shall be placed
in such a depository as to secure the
State against their issue, uutil the provi-
sions of the Act are fully carried out. 1
am, sir, very respectfully,
ROBERT *. SCOTT, Governor
I have one other subject to touch
upon, which is the basest fabrication for
any reputable man to have possibly con
ceived. for the purpose of shielding
himself from the just condemnation Of
every citizen who becomes acquainted
with the fact of your taking the seal of
| the State to New York. You say rs fol-
lows:
During the month Of Octohsr, 1871,
| the Treasurer requested me to seal u
small amount of bonds, for the express
purpose, as be said, of saving loan of
between three and four millions Of bonds,
which had been hypothecated, and
would certainly be sold at sacrifice, if
more colaterals were not put up to save
them. at first refused to DO so, remind
ing the Treasurer that the same reason
was alleged several times before, and that
L did not feel satisfied Of the correctness
OF his statement. He then requested
mo to accompany him and the Governor
to New York. and satisfy myself, by con-
ierrlng with the Financial Agent, of the
necessity that existed for the sealing Of
these bonds. for the purpose of prevent
ing u sacrifice of those hypothecated
The Treasurer requested me to take nv
seal along with me, so that no time be
lost. had previously consulted with
the Attorney General on tho Iawfulness
of taking my seal to New York, and the
Governor on the propriety and necessity
Of so doing. The Attorney. G General as
sured mo it was perfectly legal, and the
Governor, that it was necessary. I took
the senl with me very reluctantly, be.
Loving would be in better position to
Insist upon knowing the truth of what
had so long suspected. Tue Treasurer
also informed me that the Sterling Fund
Board, of which I was u member and
Secretary, would meet in New York and
| take some definite action in regard to
the negotiation OF the sterling fund
bonds"
Now, sir. 1 claim. in the first place,
whatever the State Treasurer may have
said to you, no man knows better than
Yourself that. the State Treasurer was
not my exponent in any matter relating
to the management of State finances
but. on the other hand, our personal re-.
lations we're such that We only communi.
Gated with each other on the most i'm
portant official matters; nor did even
suppose for moment that would visit
New York. until II o'clock at night, on
the 18th day of October, having, after a
conversation with Mr.. Kimpton, the
Attorney General. the Treasurer, toge-
thor with Judge Porter-Mr. Kimpton 5
lawyer to start for New
York the following morning, ut o'clock
The only motive that could have induced
me to visit New York at that time was
the express arrangements with these
gentlemen, that they would consent to n
change in tho Financial Agency, if 1
could find parties to accept the agency
and take care of our loans in Now York.
The idea Of signing bonds was the most
foreign to my mind, and 1 am certain
this will be attested to by Judge Porter,
who spent on entire week here, urging
me to do 30, which I most emphatically
declined. Judge Porter failing. Mr..
kimpton also came, in the hope Of in
dncing me to sign bonds, and urged me
to do so, under the same plea as you set
e.