The Wheeling daily register. [volume] (Wheeling, W. Va.) 1864-1878, 1877-09-21
SELLING THE BANK STOCKS.


holds stock should fail, rs banks some
times do, all the Radical editors in the
State would want to know why the Board
of the School Fund had not obeyed the
law and sold the stock long ago
Register
This is all CANNON. The editor knows
that the school fund has been suffered to
remain invested in the banks for years
Notwithstanding opportunities to invest
/. in u 5. bonds. What the "Radlcal
editors" objected TO was not movement
to sell out these bank stocks for the pur-
pose of investing them according to law,
bat scheme 10 use their proceeds con-
trarv TO law for the current expenses OF
the State, at the risk of never repaying
hem.-ntelLigencsr.
Has the editor OF the Lntettgencer any
evidence that the Board of the School
Fund intend to invest the proceeds Of
the sale OF these stocks otherwise than
according to law?"
|. The Constitution of the State. art
II sec. 4, provides that certain moneys,
stocks, SC, among which are "this
States just share of the literary fund OF
Virginia" supposed to include certain
stocks in two or three banks in this
| state, 'shsll be set apart rs n separate
fund, 10 be called the school Fund,
and invested under such regulations as
may be prescribed by law, in the interest
bearing securities OF the United States
or of this State, or if such interest bear
ing securities cannot be obtained, then
said school Fund" shall be invested in
such other SoLvsnt interest bearing
securities as shall be approved by the
Governor, Superintendent OF Free
Schools Auditor and Treasurer, who are
hereby constituted the Board of the
School Fund to manage the same "
III. The law of the State, Acts 1923.
chap. l23, sec. 73, makes it "the duty o.
said board 10 sell any investments on sc-
count of the school fund now made IN
any other securities than those re.
Quired III said fourth section OF the
Twelfth Article OF the Constitution,
and invest the proceeds thereof in
the interest bearing securities Of
the United States, or of this State or
othertotse, rs provided in the Constitu-
tion aforesaid"
We see that, both by the Constitution
and the law enacted in pursuance there.
OF, the Board have no discretion in the
matter. 1t is made "the d,sty of said
Board to sell" and relnvest. The
Board may invest ain the interest bear
ing securities of the United States, or of
his State, or in such other solvent in
terrst-besrng securities rs shall be ap-
proved by the Governor" W..
The only interest bearing security Of
the United STAGES that can be procured
without paying II heavy premium, is the
new tour per cent. bonds; and the only
interest bearing security of this Safe AT
this time is such as is authorized by art.
10. sec. 4 of the Constitution, which pro
vides that debt may be created "by
this State "to meet casual deficits in the
revenue. There being deficit ut this
time, and one that must be met by the
issuance OF an interest bearing security,
We presume it will be optional with this
Board TO take such an amount OF these
securities or invest in United States four
per cents.
So far as the State is concerned, we
presume it would as leave pay the six
per cent which it will have to pay upon
its loan, into the school fund rs into the
C. Tiers of bank, but thrifty owner OF
bank stock may see through other glasses.
What "risk of never repaying" there Is,
we .aIl 10 see. We have not heard that
any iudicious money-lender feels that he
runs any "risk' IN taking these State Sc
curities.