The weekly Floridian. [volume] (Tallahassee, Fla.) 1867-19??, 1881-07-12

the State found finding fault with the late Landslide
Adverse criticism is Of course the right Of ALL
but the critics will pardon us il we question
whether they have examined the situation either
fairly or with Judgment We assert, and chal
lenge contradiction, that no railroad scheme
(outside Of such enterprises as are bona fde en-
gagged In carrying out the system iraugurated by
the Internal Improvement Act of 1857 which
relies on q land subsidy as means for prosecut-
ing its enterprise, can derive any benefit from a
land grant hntE tie claims Of creditors against the
public lands are sati.fed II this be So the ques
ton arises whether the Trustees have acted
wisely in selling lands sufficient, at reduced
price, to wipe out the claims Of creditors and at
the same time leave lands enough, unincumbered,
to aid in building such main trunks as the neces-
sites of the State require This is the question,
and upon its proper answer the act of the Trus-
tees will be either justified or condemned. For
ourselves we justify the sale upon the ground
that no land subsidy is worth cent so long as
the existing debts Of the Internal Improvement
Fund remained unpaid This assumption need
not be argued, since every act Of incorporation
| granting subsidy makes the grant subject to
the right Of prior creditors, and subject TO the
right of the Trustees to sell the same for the ben
eft of the trust or for the benefit of the creditors
which is the same thing.
| We will say here that the act of 1855 ire
vOkably vested In the Trustees and their success
sors all the Internal improvement, Swamp and
Overlooked lands for certain specified purposes,
among which were the building OF railroad
from Jacksonville to Pensacola and from Amelia
island to the waters OF Tampa Bay, with an ex-
tension TO Cedar Key. The lands and their pro-
ceeds were pledged TO these purposes. Such
debts, therefore, as have been created under this
trust, are in the nature of first lien upon the
lands belonging TO the fund. and it follows that
the Legislature cannot dispose of the lands fol
any purpose outside of the trust without liability
to suit from the creditors TO restrain such dispo
siiion. .l.
The right of the Legislature or of the Trustees
TO dispose of the land so as impair the security
Of The creditors was denied by the Supreme
Court Of the State in the case of Bailey against
the Trustees many years ago. In 1881 the Leg
islature appropriated large body Of lands u
otig R-cfennor me mind, 's6hght 10 restrain
the Trustees from obeying the direction of tn,
Legislature on the ground that the lands wer
pledged for specific purpose and that an,
diversion OF them outside of the object of til,
trust was beyond the power of the Legislator,
or the Trustees as being in violation OF the &C
OF 1853 and calculated 70 impair the claims O
creditors. The case went TO the Supreme Cour
which body sustained Bailey and awarded th.
restraining order. The case will be found il
volume 10, page ll2, decisions g. C. The head
note to the opinion is as follows: "a holder o
bonds. issued under the Internal Improvement
Act Of 1855, may enjoin the Trustees of sale
Fund from appropriating aay portion of IL tc
"other purposes than those named In the act. q
las 70 endanger his security, even though such
appropriation be commanded by subsequent
''act Of The Legislature"
This il the settled law of the State. and Il fol-
lows that the large grants made to projected
railroads within the past few years, beyond The
right Of way and the alternate sections. are
totally unavailable 90 long as the claims OF cred
itors remain unsettled. The famous Vose suit
was brought on just such grounds as might Jus.
lily the creditors now in interpreting were II no,
for the fact that the sale 10 Dsston is for the ex
press purpose of paying every dollar Of out.
standing claims, which II will do, and the cred.
itors can have no interest in II outside Of wha,
is due them. In the vose case 1t was alleged
and proved that the Trustees were wasting the
fund, paying little OF nothing on its debts and
giving The lands away 10 impecunious adyen-
turers for purely speculative purposes. Nde
the sale TO q New York Company for nominal
sum Of 100000 acres of selected lands, the issue
Of patents 70 million and half of acres 10
fnp 4 AZ
Al the remaining lands for 800 900 aud his agree
ment % settle with creditors. with other similar
acts which the Court prouounceda fraud on the
Fund The recent sale 10 liable to no such
charges II, however, the sale had NOT been
made the creditors would undoubtedly have In.
tsPosed on the ground that the ordinary sales
were mot reducing the debt, and further. that
the legislative krants had more than absorbed
the lands and that therefore the courts should
| takechargoofihe Fund and administer Il through
thsir own tofncersy or direct that the creditors
should be allowed to select hands enough TO sat
isly their claims 1t she same psice q the court
| year ago authorized the Board u Ell To The
ChaSIoste Harbor r. r. Go. 100000 AZ viz
20 cents ~ acre. The recent sale stopa such
proceedings II WIN wipe 5ds the deb,s and
leave lands enoagh, NJ jddlcjpdaIy disposed or %
completes ne system 81 1855 - 70 frank lines and
provide I'D fr othet wosia and Ii no Other
way, outsids Of this sale, could al acre Of The
lands haveI been made availabie for public Inn.
| provemenis 81 - i', -
NoM,A id taet that the LEGISLATION Of 1870
and 1881 not only aob5isd Up az ~ pu5lle hnds
but attempted 70 dispose Of several millions Of
acres more Than the State owned That leeI,-
lation did nos leave ! slngle acre applicable to
the prior debss Of the Fund. Here b somethIne
that oar critics have entirely oyerlooksd L
adds enaphssis % ne .hseat already seisrred %
BY the FL0kIbIAh. that 70 saye themselves he
CREDITOR would apply 70 the courts 70 hays the
entire Fund and ~ its Interests turned over 70
the1n, OF - haye come Aye o. six mlllions o.
ACRES eel apaEs end decided to them "a sstIslAc-
don q their claina- 3.su Il ,ha
Thai Ne aEa not mislaken n TIE ssaasmsht
ihaf ~ rscens Iasislaaioq grated more lands
e rpsIdiss q lpsojeeesd railroads dian belosr
~ tAs End - examieasiR fahe several char
tersl paaed u leze-'ol viii show. We emit
npsa ~ legialasids - lsze rths esaAt. u the
Ohaitahcoehse end K6Aaaculas nsilsana anll
ssssahen 1aaoo sesss Iisr milsy sAas essus bslnr