The Forrest City times., 1894-01-05
THE S..AMP LAND CLAIMS.

| Ccnxressman NcRae's Bill to Finally Ad- just These Claims of the stste-A Sue
 cinct Statement of How he Claims Orig inafed in Is3s-
 Following is the full text of Con-
 gressman McRae's bill to authorize compromise and settlement with the
 state of Arkansas. which has been re-
 ported favorably by the committee on public lands It is important to the
 state that it should become law:
 That the secretary O, the treasury and the
 secretary = the interior. or any three persons they may jointly select or cause to be selected or behalf Of the United States. are hereby fully authorized and empowered 10 compromise
 adjust and finally settle with the governor Of the state Of Arkansas. or with such person or persons as may be authorized by Ihe laws of that state 10 act in its behalf. upon such terms
 and condiilons 10 them may seem just and equitable. subject 10 approvsl by congress. as hereinafter provided all or any of the differ ences between ihe government and the said state growing out Of and arising from the
 issue Of certain bonds by the said state which are now owned in their own right or held in trust by the United States;
 the per ceutum fund which accrued 10 the
 said state under the se; approved June g. 1sSs;
 the unpaid portion of the distribution fund which accrued 10 the said state under the act
 approved September {. is4l; the swamp and overfowed lands in place granted by the act
 approved September 9. 1850 and not hereto fore approved 10 The state; the land and money indemnity due the said state under the acts sp- proved March ., ls57. and all other claims and demands Of whatever kind or nature: and any
 compromise or settlement they may make with the said state shall be fully reported back to
 congress. giving ihe basis thereof. for it's fur
 ther action said compromise not 10 be erectual and final until approved by congress.
 STATEMENT.
 The state of Arkansas in the year 1888 bor-
 roved from the Smithsonian Institution fund
 which was then in the United States treasury,
 the sum of Ss3s Ooo. and issued state bonds therefor. dated January l. lsSs. bearing per cent interest. koo.opo of which were redeem able Oetooer 26. 1881. and sSs. ooo January 1, Isss
 The state of Arkansas having defaulted in
 the payment of interest on s4o4 .0Do of the above loan January I. isi2. the Smithsonian Institu- ,ion fund was reimbursed by appropriation Of congress August 10 1916 se Stat. loel. An adjustment made by the secretary of the interior with the state of Arkansas by virtue ot the sc; of December 13, 1872 IT Stat. S97t. whereby certain Indian trust bonds were funded resulted in the issue of state bonds to cover the indebtedness due from the state aris- ing from appropriations to pay interest &C., crued but for the payment Of which The state was in default
 The amount Of interest thus appropriated for was sei so; tut the United States had
 withheld g.. .s77 8 due The state for the care of ] military eoavicts. and in the adjustment this i sum was deducted leaving balance in favor l of the United States On account of interest ap- propriated for ssi Gea 70 The state paid sl22 2o ! in cash and delivered 70 the United ssi o1o in l per cents. dated January l, 1870. redeemaele January 1. ia0).
 1 The adjustment also resulted ir the issue by the state Of sles 0oo funded stock. per cents, E I-~- .s- l Iao1. and the payment Of s3o9 in cash. These 1 bonds belong 10 the Indian trust fund Three thousand dollars in registered per l cents. dated January l. ls57. redeemable Jan | uary l. 1887, bonds of the state of Arkansas. 1 were also acquired under authority of an ap- propriation made by congress 10 pay Hiram R. 1 Pitehiyn the proceeds of the sales Of two guar l ter sections of land. which were sold and the proceeds invested in the stock O. the state of
 Arkansas. pursuant 10 the provisions of the eighth article of the treaty with the Chickasaw Indians. u9 Stat. 431
 IL will thus be seen that the United States
 holds in it's own right. in sll, bonds of the state of Arkansas. the principal of which amounts to s625.0J0, all Of which are in ths ] treasury.
 The treasurer of the United States as GUS ] todian for the secretary of the interior trustee holds the sl6s.000 in Arkansas bonds belonging | to the Indian trust fund before mentioned No interest has been paid either on those ! bonds (sI6s 0 Dl belonging 10 the Indian trust ! fund or those held for the United States st. , Cq0l since ls74
 l The state ceased to pay interest on s365,o)0 of ! the Smithsonian Institution loan January 1, ls+2 on sl,oo0 July l, lsi2 and on slS3.0Jo July i l. Issj0 and on that part of the loan redeemable
 in 1888 tsSs Jo0l it ceased to pay interest Janu- i ary 1. 1872 On the s3.0O registered 5 per cents 10 interest has been paid since July l, ] Is76
 On the other hand, the department has re- tained under joint resolution. March 8 1sl5 t5 stat. s1lb and section 34si. F. S. the sum Of S20i l0.75. aecruing to the state under the act of June g lsS5. on account Of per cent. of the net proceeds Of the sale of lands
 in the state Of Arkansas The amounts
 retained from time 10 time which makes this
 sun have been applied. un Ter the direction of
 the first comptroller. sometimes in part pay raenl of interest due the Indi n rus; fund and
 sometimes to the credit Of the state for inter
 est due the Smithsonian Institution fund The claims Of the state for keeping of United States prisoners as well a. for Si22 2J paid in
 cash 10 the United States. were merged in the adjustment above set forth. and are. therefore,
 1rn~ f1 HsaF ad