The Daily clarion. [volume] (Jackson, Miss.) 1866-1888, 1876-01-30
V. q n. X. r. COY

I
and maintenance OF At least one COZ
leoe.n for instruction in agriculture ana TN
/ mechanic arts. The grant was accepted oy
/ the Legislature in 1866. The State thereby
assumed to deal with the fund, according
| to tie conditions prescribed in the act o
/ Congress.
| Ii reouiresno argument to show that the
/ State could only control the fund, so as &c
make it productive and subserYe the pur-
| poses of the grant, by the action of the po-
| ltical department OF the government. e
accordingly find that the first thing done
| by the Legislature was to direct that the
land scrip should be sold, and the money
placed in State bonds, and the annual inter
eat paid over In certain proportions to the
universities OF the State. Afterwards, oy
the act of 1878, the moneys, bonds and
securities, derived from the sale OF
the land scrip, are set apart and ap-
proprlated, to be used In the constructio II
of the Vicksburg and Nashville Railroad.
For which the State Treasurer shall take
the notes or bonds of the Company, payable
In ten years, to be secured by the first mort
gage bonds of the Company, with interest
at 8 per cent payable semi-annually, and
to be turned over, as under the previous
act to the Universities.
The Attorney General, in behalf OF the
State, brought bill in Chancery to restrain
the Treasurer from delivering the fund, and
securities, or any part of il, TO the Railroad
was dissolved, and from that order this
appeal was taken.
As already observed, the grant was made
to the State Tor a specific purpose. NecesSa-
rily the law-making department must adj
minister and control the fund by the selec-
tlon or establishment of one or more col
leges to impart the requisite instruction;
and by an Investment OF the fund, so as to
make it productive. The State too, it may
be said, is under moral obligation to CON
form to the terms and conditions contained
in the act of Congress.
These are, that the capital shall never be
encroached upon, or diminished; but shall
be invested in United States bonds, or other
safe stock, to belr interest at not less than
five per cent; and that the interest alone
shall be used for the endowment and sup
port OF at least one college," etc. The 9Th
Sectlon imposes guaranty on the State
against the contingency of loss by an inn
provident investment So that if any por-
ton of the fund invested, or the interest
shall be diminished or lost, il shall
be replaced by the State. The capital must
remain forever undiminished, aud the annu-
al interest shall be regularly applied, with
out diminution, to the purposes mentioned.
Two Ideas are distinctly set forth: First.
That the capital sum shall be kept perpetu-
ally invested; and Secondly, If the State
shall make bad investment and a loss
should happen, the State must make it good. |
IeDIacH
the capital that may be lost, it is too Main
Tor argumenC, that she ought to have the
selection of investments: and it. was in
ended that such discretion should be con
erred. And ii at any time the Legislature
hould discover, or be Of opinion, that an
Investment authorized is unsafe the Iepis-
AZURE Is competent to direct such invest
nent not to be made
Here is fund to be pernetuaIlv
invested in interest," bearing securities
hd yet, none of them enumerated i'm tl1e
" oi congress, are OF that character. Tie
ohdSol the United States, of the several
tates of the municipalities, of the railroad
have liked maturities. Ger
alnly all that is meant by the act of Con
ress is, that the investment NAV. h.
4 hanged, from time to time, as the wisdom
the Legislature may determine, hnt a III
lvestment shall be made, so that tha fn,Id
laii De perpetuaily out, at interest. in sa fa {
ocks or securities, to be selected nv tho
legislature. O"o '
when the money, under the act of 1877, /
as S paced IN State bonds, none of then, +
ears. Ii the Legislature for anv roo eo"' [
ould choose to change the inyestmen't'
events it. WHICH
Inc discretionary power of the LeoisIa- d
re on the subject is full. ''i"- n
q ir tltpregoing observations are applica- il
Z Z, III Inc main, as respects the college or /
dIe@es Chat may become the beneficio,.;oi
nc 99islature is free to establish ono or
oio ColIegeS OF the character described IN
. dct Vi congress and make them tho ra
plents OF the interest, for their sunnort ~, II
may, as it has done, bestow it uppU ,h OF
lversitieS. " "pon the
Ihese Universities are public e1oon, L
~ corporations, which disnanon III
ulty OF The State, their founder to s,,nI1 a.
i ~ as lG directs. They were craotoh ID
nj, Gno ooate 5 ana are supported by mill
, Us alu are lns:rumentalitieS in tho
Meet ~ ouucatlofi. Both of them are Iii
oyoIt 10 change and modification h., az Nj
: stature. Against the State naitEyo UliS r.,
'in can set up vested RIGHT to nro,ao. " II
corporate franchises. Their gauoy w
IL 10 are appolntees of the State. withnIt m
81. VI power 10 continue the sueaeSs;o'a
ID fron, tbn,', "LhuraW the interest of tbiS W
~ ,lol Cnem, anu found another inSt; ~ Is
80, an. ~ make 1t the recipient of if ''''''"
'ue Gne Dill AYERS, in substance re
aoau company is fnsolvent and t ttlae ene fo
b or5r vi Tue Iund, or any part Of - 'iie ov
,oation anu mortgage, is unsafe. ri a at FL
{ a Cop pto of Us on the predicate of Law, ~.
leral jurisdiction over trusts sn ,9p t or its -
9ottF0l or defeat the aotio1 o. ~, fosCees, VI
lnale department of the Govarn,a ~ a CO
f;aercise OF its legislative power In ac
nn ~, Ia Inc opinion of the court T. us MS lii
n the leoisist;,taA 99rcised If that he co +oI
reverse the uePaftment may revise W
,pirlon, t IS mproydent and erron II, in
i ie1 iS ulaGlon OF subject beIon ~ oneous.
IS tine choice of IS 10 the
t of the sovern ana no other departy day
ground that the law Is unw rhisefVene on ing
. e1tol9lsi,yey to the Legislature per No
= SOCKS are saf and soiveoe TO say
n nlndlng and and conclusive on th 5s de-
on that the s tney interpose the s1g Ga
Unsafe !, ,h To attempt to co nafe selected
.ot .n way anWSamnaking department IN vi re re-
ions "o oe oe an encroachm emit on TINS Con
.ois oil another branch of the p ON the aga
E argument in supnort &c ~. fers
of ts wien the State assumed HoIl
a auminlsters trust, It acts w tl the shall
n