The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1873-07-16
THE TAXPAYERS IN COURT
& gEREST ON THE PUBLIC DEBT.

seSaussure, have filed their complain
and Judge Carpenter has granted
temporary injunction, restraining tn
Comptroller General. and the severa
county .trcasufcrs, from assessing am
collecting the interest due upon tn
bonds mentioned in the complaint
The complaint challenges the Who'll
issue of what is known as "Conver
sion Bonds" though it is believed
that something over a million 0
these bonds have been properly issu
cd, the remaining six millions beins
unauthorized and void. The com
plant prays Judgment that the bond
mentioned be produced. and declares
void and cancelled, and in the mean
time-that the assessing and lcvyine
Of q tax to pay the interest be en-
Joined. Z 1t recites the Act of March
%, 1859, which provides for the issue
of the bonds, and the Act of March
I3, 1872, which declared them valid
and made provision for the payment
of the interest, and furnishes The
following strong reasons for holding
their enactmcnts void:
6. That in and by the constitution
of the State @ South Carolina, the
power of the General Assembly to
contract public debts is limited to the
purpose of defrayipg extraordinary
expenditures; and hy the said con,
stitution it is ordained that such
debts shall be authorized BY law for
somo single object to be distinctly
specified therein, and that no such
law shalt-tak effect unsi it shall
have been passed by the vote of two
thirds of the members Of each branch
of the General Assembly, to be re-
corded by yeas and pays on the, jour,
nal of each house respectively. And
the plaintiffs aver that neither OF the
said acts of tho General Assembly
above recited and approved respec'
.ivefy March %, 1869, and March ID
1872, were passed in conformity with
the saiapcovisions of the constitution,
ba: on INC contrary arc in violation
thereof, and are unconstitutional ana
void. and that no valid obligation OF
tho State exists to pay any OF the
bonds or stock issued under the pre-
tcndad authority Of the said acts o.
Assembly. aq: > ..a.5
Another conclusive argument fol
the invalidity of the new issue O
bonds is drawn from the failure o
the Treasurer, to cancel the old bonds
or stock, for which they were design
ed to be substitute. -
8. "The plaintiffs aver. that, accor
ding to the provisions of the said act
entitled an act to provide for the con
version uf State securilles, the new
bonds authorized to be issued were
intended to be issued as substitutes
for the stock authorized to be taken
up. and the new stock authorized, tt
be Issued was intended to be issued a.
u substitute for the bonds authorlzec
to be taken up, and it became ant
was q necessary part Of such trans
action, that the bonds and stocks So
taken up should be cancelled and ex
tincuished before tho new stock OF
bonds could lawfully be issued; thai
the whole pretended issue Of the saic
s7,l91,7o0 of bonds was made with
out taking up, cancellation or extln
gu:shment Of other. stock or bonds
previously issued in behalf Of the
State; that such issue was fraadn
ulen,ly made, with the intent tc ere
ate new debt ofthe State, and wa'
not issued in lien OF other stock Of
bonds of the State previously issued
that alltho said bonds amounting al
aforesaid to S7,l9l,700 are therefore
illegal, fraudulent and valid, ant
have not, created and do not low
constitute valid obligation OF tht
State Of South Carolina " ..
The battle however is only begun
and as the interests at stake are 81
great we may anticipate persistent
and desperate struggle. 1t is sug
gested that there be concert. of &C
tion among the Taxpayers on thi'
subject, and that in every county towr
they t,old meetings for the purpos'
of giving money and material aid
We are sure that ,Abbeville will d.
hor duty in the matter. The inter
ests of the taxpayers .baye bee1
committed into the hands of abl
and experienced counsel, and it is a
important that these shonld be we
sustaiaed. -. ...
Attorney-G General Melton .ha
very promptly conceded the use g
his Official name, to- the complain
ing taxpayers, His argument OIL
the Mandamus Case WAS character
lied by very great ability. and pre-
s,ntedthe strong points Of the de
fence, in a very conclusive .an'
1nastcrly manuer. He deserve
tie thanks of the people for HI
acti1nin their behalf. -
The following is his reply to tn
written request Of the taxpayer
counsel. ...-- ..-..i a,,r-. q IL