Orangeburg news and times. [volume] (Orangeburg, S.C.) 1875-1877, 1877-09-22

dcDCcdncsS OF every Klnds ana author =
lied, furthermore, allibplders Of stock
or any kind of government securities
to convert them intbatLcse bonds.
The object ofthis act sas declared To-
be to give uniformitA!and consolida-
tion to all classes of|securities. All
these acts, I repeat, wdre presented BY
the financial agent, Kimpton, and
urged upon the financial board BY
him as necessity. They were weer never.
prepared ty Scott o,s$myself, but al
ways by Chamberla lasp md Kimptoni...
Chamberlain used tpssay to me that3,
Kimpton declared these measures to-
be necessary, and lhe supposed that
they we're SO. Under the acttauthor-
izing the Governor tosborrow ST ,OO0;-!i
900 TO pay the interfst upon the pub!
lie debts. $4,000, 900; Of bonds w,ereS we're
issued. Five hundted thousand doll.
lars Of these bonds Werelreturnsd and
bonded in presence the, financial
board and others, $3.50, 0,O00lwere. ex-, e,i =
changed by the financial agent FOR.
conversion bonds, md 81, ,25O, 200. re- 5
mained out. The 100000 bonds that
were returned had passed through the
hands Of the financial,agent. While
in his possession coupons might have
been taken off, orsthey might have
been applied forths payment Of the
interest, and so &otiinto the hands Of
the public. In .s,iss last way, they
might have been presented to the
State treasury honestly for funding.
| was sued upon ,aSciyil process for
s450,o00 in 1s74,,the allegation being
that I had funded That amount illegal
ly in the treasury A judg dgment was,
rendered against me ifortS I 5. 900; but
this, you will bsar ii snssiind, Was the.
judgment on teachnical wrong iii: "a
civil suit. As soon aa; iii q aversion
act was passed RgsfS large number
of these bonds Re2,e sprintad: y these
bonds s1,200,000S SNyasre issued strictly
in accordance u ;tIl,, thes prov iisiai,$io
!
put on the market in m arbitrary
manner. For all that, the money ob.
taincd by the State on these bonds by
Frank Moses was issued by ME, us
treasurer, in accordance with law.
ENORMOUS ISSUES OF BONDS.
Now the s3,2O0,OOO which the
Legislature authorized the Govornor
10 raise by the sale Of bonds had to be
obtained ut a sacrifice. The bonds of
the State would not sell at anything
like par. In fact, when first issued !,
we were obliged 10 dispose of them for
twenty cents on dollar. When the
acts passed the Legislature, under
stood, and I think it was generally
understood by all members of the
Legislature except those let into the
secret, that SO, 100000 in bonds at par
was the total sum authorized by the
acts. When the acts were passed.
however, Chamberlain and Kimpton
pointed out what was tho literal in
.
depreciation Of the acts. They con
tended that bonds could be sold at
any sacrifice to obtain the sum in
cash Of s3,20o,OOo. Relying on
Chamberlain rs the legal adviser Of
the board, Scott and / consented to
the issue Of the amount of bonds ne
cessary to raise the authorized sum.
He found, however, that the ordinary
Ionds Of the State were not taken
readily when put on the market.
bankers require the hest security pos
sible, before they will invest their
money in the purchase of bonds, that
the bonds are legally issued. This
point was involved in some doubt, and
when they discovered that there were
more than million of bonds issued
under the act to provide for the pay
ment Of the public debt, they refused
to deal these bonds, or rather to take
them in any way. In this exigency
recourse was had to The aot authoriz
ing the issue of conversion bonds. The
act provides that these bonds shall be