The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1890-12-09

government out o: certain funds after
the closing of the ex position. After
the exposition was closed, the com
mittee, in winding up its affairs, re
fused to return the governments
money to the Treasury. A la y suit
followed which was car ed to the
Supreme Court of the United States
and extensively argued.
The following is extracted from the
| decision of the court-opinion deliv
cred by Chief Justice Waite:
"The act of 1876 requires payment
of the United States before a distribu
ton of profits to stockholders. Not a
word is said about restoring capital;
n fact there is no mention of capital
at all. The act of 1872 is not repealed.
On the contrary it is left in full force
in every particular a v that the liza
bility INQUIRE to the United States
is made payable after those contem
plated by the act o: 1872 ara satisfied
in full. In shis the United States
made a concession to creditors, but
no5 to stock holders. Neither was
anything taken from the stockholders;
they retain all the rights which the
at of 1872 gave them. If there had
been no opposition by Congress, the
corporation would have been driven
tc the necessity of raising the required
means, by borrowing or a further sale
of stock. If by borrowing the de Ut
so created would have to be paid with
the others De ore there could Do any
dividend to st )ckholders. II by sale
of stocks the new stockholders would
come in pro rata With the old upon
the final division of assets, Congress
might have advanced the money by
loan as we'll as upon the conditions it
did imp 'se. 1t might also have sub
scribed to the stock. If a loan had
been made and there had been no
waiver of the legal rights of the gov.
eminent al a credit or this debt would
nave preference over all others in the
order of payment, If stock had been
taken, the government would have
participated in the fusl Distribution
like any other stakeholder. 1t seemed
best, however, TO adopt neither of
those planr, and another vas devised,
by which creditors were given prefer
ence, and the Uni'ed States RENTED
for their indemnity 20 the fund which
might remain after all the deots were
paid.
"To this the corporation assented
and the stockholders cannot now com
plain. Creditors were protected and
stockholders not injured.
The decree of the circuit court
must be reversed, and the case re
manded, with instructions to enter a
decree directing the payment of the
sum of $500, 900 into the Treasury
of the United s ates by the CONNER
cial board OF finance before any dlvis
ION of the remaining assets of that
corporation is made among the stock
holders"
In pursuance of the &C. of Congress
passed on the 18th lay Of February,
1876, and the above decision Of toe
Supreme Court of the United States
the board of the Worlds Industrial
and Cotton Exposition held in New
Orleans, applied in 1884 to the gov
ernment for a loan of ST., 600, 900.
The following act was passed by
Congress:
can act to make a loan to aid in
the celebration Of the Worlds Indus
trial and Cotton Exposition"
"SECTIoN /. That the sum of ST..
600. 600 be, and the same is hereby,
appropriated out of any money in the
public treasury not otherwise appro.
priated as a loan t the Worlds In
dustrial and Cotton Centennial EXPO
sltlon, to be used and employed by
the board of managers thereof to aug
ment and enhance the success of the
Worlds Industrial and Cotton Cen.
tennial Exposition in such manner as
said board of managers may deter,
mine"
Is it not clear from the above cited
acts of Congress and the decisions of
the Supreme Court of the United
States that Congress has the constitu-
tional right to order an issue of Treas
ury notes and make them a legal ten
der in payment of all debts public and
private and to loan money 2 Where
were those members of Congress who
say the Sub Treasury bill is unconsti
t%utional, and the government has no
right to loan money, when these bills
were enacted into laws and these de
cisions of the Supreme Court of the
United States were promulgated? Can
it be possible they were in their seats
in the legislative nails? If they were
is it not clear from the ignorance they
have displayed they are ut;erly unfit
for the position they hold? AS long
as such men are members of Congress
the people may go through the hot
and the cold the Uot and tho 1rr,.