The Emporia weekly news. [volume] (Emporia, Kan.) 1881-1889, 1883-01-25
BY WAY OF EXPLANATION.
A Communication from Ex-commissioner
Holmes Touching the Refund
ing Matter.
Giving Complete History OF the Business,
With a Statement of PROPOSE
tons Received.
The Action of the LEGAL Banks. and Other
Points Relative "a the Case.

Mr.. 5. Nj WHEELER: by Dear iSi'
I'm compliance with your suggessIo
recently made in The EGPoRIA NEW
am glad of an opportunity, while til
thing is fresh IN the memory of all t
give a complete history Of the refundin
of the Lyon county Indebtedness; an
as am now ont of aflice and the con
tracts for the relunding OF the indebted
ness have been duly executed, and iher
being no object 10 keep the matt r secre
any longer, propose TO give full sn
unyarnished statement of the affair s.
far as have had any connect on With i
or have any knowledge Of it.
The frat time the refgndlng af lila 10
debtedResa of the county was ever agi
tated with the commissioners WIS snm'
time in the spring of 1881, whiis j N
Griffith was ch4irman of the board
Mr.. Grifiith, some weeks prior 20 HI
meeting hereinafter mentioned, has
suggested to Mr. Jones and me That i
would be proper thing to refund thu
Indebtedness OF the COUNT, which up
posed, bEt gave the matt bu
little attention st the time
not desming that anything
should he done spesdiiY-until &c
ceived letter from Mr. Griffith, calling
me TO EmporIa to consider prOpos:
ton to refund Mr.. Jones was also no
tilted. anu VS. both appeared the follow
ing day, aud Mr.. Griffith, al our aFriya'
meeting tor the purpose OF rounding
the indebtedness, and we proceeded T.
Mr. Sedgwick's Office 10 Consider tie
proposition that Mr.. Griffith bad To "i-
fer, and When VI aFrlyed Mr. Griffith
| HAD a proposition and the necessary or
ders COZ tha board TO make aud the NO
tice to be published by the treasurer in
New York City, all drawn up in his
own hand writing. y copy of which is in
words and figures and follows:
Whereas. 1t appears from the record
| of the county clerks Office that Lyon
| county has a bonded Indebtedness oi
-, bearing interest at The rate
| of per ceRt per anHGH, and that
$249,0O0 OF said Indebtedness has from
Is to 90 years 10 run before maturing,
and it further appearing that the
county has the option OF
paving said indebtedness now, and il
further appearing that under chapter 30
| page so, OF the laws OF 1879, the coun
! " has the right and legal power to com
promise and refund its matured and ma
turing indebledness upon such terms as
1 can be agreed upon, and 20 Issue new
bonds with semi-annnal Interest, Gu
poRs attached a. payments tor any
| sums 80 compromised, and it appearing
that Lyon county has enjoyed good and
excellent credit and can refund so muct
| of its outstanding indebtedness as i
may desire at rate of interest, not eX
ceeding 6 per cent and that to refund
the sum of S1E0,QD0 at the rate Of 8 PEI
cent. per anpum. would save the count,
the sum of $500 per year, and
Whereas, The board of county com
| missioners of said county, can issue the
sum of $780, 600 refunding bonds draw
ing a rate of interest not exceeding
Der cent. per annum, and either ex
change them for outstanding per cent
bonds or sell them tor cash, and will
1 the funds so realized redeem the
same amount Of outstanding I PEI
cent. bonds with small expense
to the county,
Now, therefore, II is considered an
ordered by the Board of County Com
missioners of Lyo: County, Kansas
that Lyon county compromise and re
fund the sum of $4,000 of heI
maturing outstanding bands upon thu
following terms and conditions, lo-wit
That 40 new bonds be issued; tina
they shall be Of the denominations o
81 900 each, and shall not run fof
longer period than - years, and shall
not exceed Ia amount the sum of $50,
600 and shall not draw a greater rat. o
interest than per cent. per annum, iu
terest payable s.mianually on the Isl
day of September and March. The bund
shall be Numbered from | 10 lac. refund
ing series, and shall bear date Of Septenl
Der /, 1881, and shall be registered b
the county clerk of Lyon county, Kan
sas, in his Office, and by the auditor @
the state of Kansas, in his office, ant
shall state ON their face that they shal
not be of any validity until so registered
end that they shall be redeemable afte
10 years by paying the principal an
any interest then dpa. They shall b
signed by the chairman @
the bnaA of county commissioners
whose signature shall he attestel by ia
county clerk, who shall attach the sea
of his Office, and shall not he sold 70
less than par. And IL is further oTderet
that the chairman of the board Of coun
ty commissioners and the county clerI
of said county be, and they are hereby
instructed 70 procure AT once, the nects
sarY blank bonas with semi anpqal IL
terest coupons attached, and sign Than
up in proper form as directed by thi
order, and that when so signed up 4
dispose of them nj price not less thai
their par value.
We considered the proposition sui
: mitted by Mr.. Griffith, and believin
from statements Of the county attorne
apd others that ihe county cppl
do better than accept Mr.. ariffilh's prop
osition, Mr. Jones and voted again:
the proposition and defeated IT, We III
derstood from SIR Griffith at the tim
that the Two national banks her
were ready and willing 10 carry oU
his relunding scht me if adopted. CpO
Ihe rejection of his scheme by the boar
Dir. Griffith got somewhat angry, an
said he would never have anythin
more 10 do with the matter and III
meeting broke up. lie alierward sal
To me that he did not like this schoo
boy way of doing bushes. and had
potion to resign
After this MIR. jones and conclude
from appearances that the Two nation,
banks here were trying to carry nt
BIr. Griffith's reiuniing &C, emc in thfi
own interest and being thwarted in the
efforts by our vote might he ,lspasf.i /
throw stumbling blocks in the way {
snY efforts to refund by any otht
scheme but their Own. So VS. eeemc
it best TO try 10 get some better propos
ton than Mr. Griffiih's for refundin
, through some other source than ia
national banks. So we applied 10 NJ
Dunlap TO see what proposition i
would make. We had the county a
. torney, previous II caliing q
Mr. Dunlap. u see hi
l and have him inquire into the ma
ter and see what was the best that coul
be done. We called on Mr.. Dunlap
the month of August, 1881, 10 see whit
5 proposition he could make US at thi
time and he showed us the letters, {
which the following are copies:
a CHICAGO, Aug 8, 1881
!. H. Dunlap. Cashier. Emporia, kaa.:
! Yours OF August 9th is al hand "
: can handle $50, 600 Lyon county fun
ing bonds but not al D per cent so as
+ make the county par. We recently ga,
2 Johnson county IL per cent. premium
E for percent. $40 funding bonds. "
Il can give you $I,611S for the LYon-eoun
o 6s delivered at the Commercial Nation
e Bank here, the bonds to run as you su
gest, say ten, fifteen and twenty yeGI
! propoIiIOnsfe to The anohaf issue
We will pay for blank bonds and regi
!. traitor fee iu addition 10 the ] y p
cent, premium
? GEORGE O. MARCY s. Co.