The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1885-10-07
AGAINST THE TAXPAYERS.
Sixty-Fiye ThousandofCenter Township
Dollars Go to the |. & |. C. Road.
The Supreme Court Reverses the Lower
Courts Decision Concerning the Grant
of 1S7O-History of the Case.

The judgment in the case of the Marion
County Commissioners against the trustee of
Center township involving over $65. 900, which
the trustee claimed was due the township from
the county, was reversed by the Supreme Court
yesterday The history of the case covers q
period of fifteen years, and it is of much i'm
portance to the tax payers of the township.
In March. 1870 the voters of Center township
upon potion and order of the County Commits
sioners, provided by the act of 1869, voted nd
to the Indiana & Illinois Central Railwa-1 Com.
pany, in the way of donation. The donation
was voted upon condition, a. expressed in the
petition, that no part of the money should be
PAID to the raliwr~y company until it had fur
n'sned o.nd, with security, that it would
create and build its principal machine shops in
enc township. Within year after the
levy of the TAX the railway company
commenced work on the road in Center
township. but did net complete the line within
three years from the time the tax was levied In
1873. before the expiration of the three years,
the county board made an order extending the
time for the completion of the road until June,
1874, but it was. not completed within this time.
In 1875 the bondholders of the Indiana & Illinois
Central filed articles of incorporation under the
name of the Indianapolis, Decatur & Spring
field, for the purpose of completing the projected
line. In November 1875, the new company was
consolidated with the Springfield. Decatur & In
name of the indianapolis, Decatur &
Springfield. They did not complete
the line however, until $780, and although the
original line was not strictly followed the ma
chine shops were built in indianapolis. In 1877.
af FER fha rizof nr thc <b.
township. on the theory that the railroad COM
pany had forfeited all rights to the money,
brought an action against the Board of County
Commissioners to have the amount turned into
Judgment for the full amount with interest,
ST., 1O2. 48, in December, 1880 In 1881, by an
arrangement between the trustee and county
board, $13, 375.5 5 was paid to the township, the
Judgment of 1880 was set aside, and judg-
ment was entered for $5S, 202 90, to draw
5 per cent interest, and to be
paid in installments. Since then the county
board has paid to the trustee So, 089 95 of the
principal and $5.S20.3 30 interest. The board re-
fused to make further payments in January,
1884, without bond of indemnity against the
claims of taxpayers and the railway company
With the exception of the amounts paid to the
township trustee, the money is in the county
treasury. under the control of the county board
to be paid to the party rightfuly entitled to it,
The court below found upon these facts, as con-
illusions of law: First, that the indianapolis,
Decatur q Springfield Railway Company. was
not entitled to any part OF the fund;
second, that the Taxpayers were
not entitled to any part of the fund; and third,
that the township was entitled to receive
1854. 202.0I
The donation was voted under act of 1869,
which places no limit upon the time within
which railway line had to be completed to en-
title the company to donations, and their rights
could not, therefore, be extended or abridged by
the subsequent laws enacted in 1873 1875 and
1871 1t is apparent the Supreme Court holds
that the one condition upon which the donation
was voted was that the principal shops of the
company should be erected in the
township Prior to the payment Of the
$13. 375. So to the township trustee, on the 18th
day of March, 1881, and the subsequent pay
ments made under the agreement entered into
between the county board and the township
trustee, the Indianapolis, Decatur & Springfield
demanded of the county board the money do
noted. The Supreme Court decides that the
railway company is therefore entitled to the
$65, 900 and interest thereon, at per cent per
annum, from the 18th day of March, 1881. The
judgment is reversed, at the cost of the township
and the lower court is ordered to enter judgment
railway company.
In his recent report to the taxpayers
on the condition of the affairs of his
Office, Trustee Kitz included the Judgment for
$65, 900, obtained in the Superior Court, among
the resources from which he expected to liqu-
date his Indebtedness. Mr.. H. N Spaan the
trustees attorney, was asked, yesterday after
noon, how the decision of the Supreme Court,
reversing the judgment would affect the town
ships finances. at will not affect them in any
way" he replied, because no Indebtedness has
been contracted on the strength of the iudg-
ment" motion for rehearing of the case
will he filed by the attorneys for the township