The Rock Island Argus. (Rock Island, Ill.) 1877-1885, 1878-02-09
CITY BONDS,

formal meetings asked the opinion Of al
dermen regarding the sale of the bonds,
but has never called for any vote SO as to
make aldermen in any way responsible for
discounting the bonds. At the time the
ordinance authorizing the issue was passed.
the mayor was in New York aud left in
structions with the city clerk to telegraph
him the result of the vote, that he might
look out for a purchaser. ThisEwas done.
He contracted for the printing of the
bonds in the east and on his return they
were issued. A circular Offering
the bonds for sale was printed and
probably mailed to parties liable to pur-
chase such property. A short time after
the mayor announced that he had dis
covered party who would buy at 81 per
cent discount. He informally asked the
opinion of aldermen and then did as he
pleased. In short time he again discov-
cred that the same party would take more
of the bonds at the same rate. He again
asked for the informal opinion of the alder
men and again did as he pleased. In this
way 100000 of the bonds have been dis.
posed of at 81 per cent discount Last
Saturday he again discovers that the same
nameless party will take $25, 900 of the
bonds at the same rate, provided he can
have an option during this month of the
balance of the issue at the same rate. But
the mayor thinks his nameless friend will
be willing to allow the interest to be can
celled up to January LIST, that is, if he
takes the $4,000 remaining unsold al
81 per cent discount the interest on that
amount.forstwo months, only 81. 10O will be
satisfactory. The mayor again called ar
informal meeting on Saturday evening
asked the informal opinion of the alder
men, and will again probably d.
as he pleases so as to close the
whole job out for his nameless frient
before his term of Office expires-and thel
let the assessor find out aoho oaonS these bond
Ghe can" This is brief history of th,
sale of the $4,000 of bonds. At dis
count of st per cent. making $1l, $50, and
provided the mayors friend is given tn
option be requests and makes the TIVE
months interest Isl, 1907, the whole opera
ton will foot up to the comfortable httl
sum of $12.1 $50.
| Not one of the aldermen, according t
the above statement, are responsible fol
or seem to know anything about the tran;
action, unless possibly it be the alderma
who has always voted as the mayor liza
wished him to do, and who followed hiI
east soon after the mayors first trip, an
who made another trip and returned ju:
ahead of this last offer from the mayor
nameless friend 1t is very good ide
to close up the Job as it becomes evider
neither of these gentlemen will be col
tinIed in the council another year, and
that event somebody else might End out IL
name of this mysterious purchaser of OF
bonds at 81 per cent. discount, when simil
bonds of other cities, in no better cond
e ton than Rock Island, are selling at pa
and within very short time have sold
d premium. Chicago with an indebted
ness of upwards of $4,000, O00-an il
: debtedness of more per capita than Ro
Island, has within two months sold her
per cent. water bonds of an issue of $27(
900. 100000 of these sold at 6a per Gel
"a rrar,;uro tha ray,D;nJor aIEn 900 -
premium. Baltimore issued $4,000
n water bonds and sold the entire amount
: an average of per cent. premium.
=, Louis has sold 5 per cent bonds at
premium, and the demoralized, defraud
r aud bankrupt city of New Orleans has
% Gently sold her bonds at a premiu
Now Mr.. Mayor aud gentlemen
lie the city council do you know that the
1T seems to be desire on the part of ma
of our tax paying citizens, who, up to tt
D. time have exhibited no inquisitive d
le position-believing our common council
be composed of men of integrity, to lear
is LIST. By whom our bonds have be
" negotiated.
End, Who are the purchasersf
- 3rd. Through what source does he
u they, the negotiators) obtain the author
to compromise the financial standing
9. the city by allowing its paper, drawing
is interest sufficiently large to make
is bonds a first class kinvestment, to
bartered as common merchandise al
"a figure less than the face or intrinsic val
70 We have learned by conversation will
member of the city council that no me
90 Der of that body has. as yet, by his "
ID authorized our mayor, who seems to be I
IL exclusive manipulation of the bond sale,
dispose of the bonds at figure, althou
II far below par, seemingly quite satisfact(
a to himself We also learn that when ,
question was asked him by member
II the council who the parties were who w
OF negotiating for the bonds, that his rel
d was that "the purchaser desired that
&c the time being his name be kept sec
10 not only from the general public but q
IS from the members of the council as wei
as Fl. G. Curtis, a member of the firm
y, =, Osborn & Curtis, and also the individ
who controls the sale of the lots in Re
i man subdivision, and is otherwise (ir
d, business way closely connected with
" honor the mayor, seems to be the LEI
OF luminary selected by the unknown D
a chaser as q proper medium to aid him
ID the transactions which he wished kept fir
is the public. The mayor did not believ
u would be safe to accept an offer from