The people's journal. (Pickens, S.C.) 1891-1903, 1896-06-18


division Of the commission arose, urged
on the members of the syndicate the
propriety and justice OF allowing Mr..
| Rhind to receive his share, then tied
up in the Baltimore Trust Company
by litigation. The expense account Of
| the syndicate shows that Governor
| Evans was paid 800 attorneys fee, and
that Treasurer Bates was paid by the
| syndicate So, $50 S8 for services"
MIR. Rhind testified that he had not
yet, so far as his part of it was con-
ccrncd, paid Governor Evans fec or
learned what it would be. Itappears on
the record that at least two of the three
State officials actively engaged in tho
| negotiation Of the bonds were employed
| and paid by the purchasers.
The impression given to the persons
most actively engaged in behalf of the
syndicate at the timc is clearly set
forth in the testimony. Certain NOM
bcrs of the syndicate expressed curl
osity and interest, natural, perhaps, in
the circumstances. They inquired
why it was that of $118,00O bonus Of
fcrcd by the State to purchasers of the
bonds. only $39,300 was available for
the actual purchasers who were to fur
go to Mr.. Rhind, who was furnishing
no money and apparently taking no
active part in the dicker. The Rich-
mOnd broker told them he understood
presumably from Mr.. Rhind-that the
bulk OF that sum was to " be divided
among parties in South Carolina who
had political influence" The New
York broker, who was in close assOcia-
tion with Mr.. Ithind, and whose oppor-
tunities for knowledge were'best Of all,
replied that they "would better not
fo hot fo IN
people who would better not be known"
1t reaGs that way in the testimony as
taken.
When Mr.. Rhind was on the stand ,
he was not pressed regarding his use
Of his part Of the bonus, and offered
no explanation.
1t is not in evidence in this case, but
it is q fact capable Of easy and direct
proof, that MIR. Rhind, while holding
the option on the bond issue and en-
deavoring to induce the formation of a
syndicate to take it, stated that he
would not get moro than enough from
1T to pay for his time and expenses. 1t
is also true that members OF the syndi-
cate who were willing to deal directly
with the State and take the bonds for
commission of thrce-fourths OF one
per cent. were officially informed that
no propositions could be considered
unless they were sent through MIR.
Ithlnd-that not even an offer of par
net without any commission, would DO
considered, although at that very time
MIR. thlnd was demanding q IA per
cent commission.
When the time came for division of
the bonus of $4,000, the New York
man took $4,000 and the Richmond
man $1,000, for special services and
expenses. Mr.. Rhind got SIS, 800, and
Ma jor Gary 900. a peculiar and
that Mr.. Rhind took his $48, 600 not in
one draft on the Baltimore Trust Com
pany, but in three separate drafts, all
payable the same day-One for $25, 900,
one for So, 900, and one for SD, 500.
TO sum up, according to the sworn
evidence on record:
Q Mr.. Rhind, who has no special prom
inence or standing in business cir
cles. and who was not a citizen or
resident Of South Carolina. was ap.
preached by the present Governor,
Evans, then the recognized admins
tratiOn leader in the Legislature.
He was given by Governor Tillman
and Treasurer Bates an exclusive op.
tion to place $4,000, 900 4 per cents at
commission of 5 per cent. fourteen
months before the time for the bonds
to be issued.
He failed to effect this, and Governor
Tillman declared that, after q personal
visit to New York, he became con-
vinccd that a 1 per cent. bond could not
be placed The Governor again gave
an exclusive 'option to Rhind to place
q l-2 per cont. loan. The syndicate
formed to take this fell to pieces. For
the third time Mr.. Rhind was given
the exclusive option.
The men who composed the synGi-
cate got $50, 600, or three quarters of |
per cent. The men who organized the
syndicate got from Rhind $25, 900, or
less than one-half OF per cont. Mr..
Ithind realized $40, 900, or nearly per
cent, On the option given him long in
advance Of the time for placing the
loan. So far as that part of it is con-
cerned, 1T appears to have been free
gift from the State Of South Carolina
to chosen citizen Of Georgia, who
employed the present Governor Evans
and his uncle as his attorneys
The $1,000 and odd paid Treasurer
Bates by the syndicate is said here to
have been for services In removing the
money sent by the syndicate from
Charleston to Columbia.
Governor Tillman demanded that
the syndicate pay for lis bonds in cur
rency in Columbia. That was in June,
1893, about the time of the panic, and
it was represented to him that the cur
rency could not be obtained, except in
silver, which would load six freight
cars. Ho replied with the declaration
that the six cars should be delivered to
him at the State line, and that he
would order out tho troops to escort it
to Columbia.
"By -" ho exclaimed to the
banker who was negotiating with him,
"you can't scare me by threatening tC
pay in silver" But he was finally
pacified and induced to accept exchange
on Charleston.
| 1t is possible that the continued ON.
| ployment of Mr.. Iahind and the re
nnwals OF tho exclusive option to him
wero tho results Of the confidence he
| inspired in his ability. and that his
| forty-nine-t -thousand-dollar commission
| Is his exclusively, not to he shared
with anybody. 1t is also possible that
the duties Of Mr.. Evans, now Cover
nor, as attorney for Mr.. Rhind did not
Interfere with or affect his actions and
course in the Legislature, and that he