The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1896-07-01
WHAT GOV. EVANS SAYS
ABOUT THE so MUCH TALKED of
BOND DEAL.

TIllmau, Treasurer Bates and Himself in
Regard to 1t.
The News and Courier in reporting
the campaign meeting at Manning
says the feature of the meeting was
the speech of Gov. Evans. The speech
was devoted almost entirely to the
bond matter and was as follows:
In 1889 an Act was passed by the
Legislature providing for the redemp'
ton of that part of the State debt
known as the "Brown Consol bonds
by the issuing of new 4 per cent bonds.
In 1891 this Act was amended, al
lowing the Governor and Treasurer,
who were charged with the transac
ton, to pay a commission of $50, ,0OC
and the entire sinking fund then accu-
mulated, amounting to $S7, 900. This
Act was introduced by Mr.. Thinner
man in the Senate, of which body l
was then not member.
In 1892, after the failure OF the Gov
ernor and Treasurer to refund the
debt at per cent, another Act was
passed, changing the rate to Al per
cent, providing for sinking fund
and the retirement OF the deot IN twen-
ty or forty years, Under this act the
debt was refunded. 1t has been lnsln-
uated that I passed these Acts through
the legislature while acting as counsel
for Mr.. Rhind. This is false. 1 did
not introduce one of them, nor did l
offer an amendment to any of them 4.
The first act was introduced by Con-
seryative lawyers. The last Act was
prepared, as is testified to by Mr.. Ian
caster, by members of their syndicate
in New York, who sent it to Governor
Tillman, and he sent the following
Executive message in regard to it.
Columbia, S. c., Dec. 1892.
Gentlemen of the General Assembly:
The refunding of the Brown consols,
which fall due July next, is the most
important question with which the
State government has to deal at this
time. As you know our predecessors
in Office provided for the issue of 4 per
cent. bonds to be exchanged for + per
cent, but up to the end of the fiscal
year, October 81, 1892, only $33, ,726 of
: As have been issued under this Act
and our efforts to place the new bonds
in New York at a satisfactory price
failed. It is not hard to give the rea-
sons for thisand show what acts OF the
State Government in the past and
what men and interests at this time are
in combination to prevent the State
placing h.r bonds at that rate OF inter-
est. Suffice to say that it cannot be
done, and we must meet the emergen-
cy that has arisen by such action as
will maintain our credit and build it
up until South Carolina can borrow
money at as low rate as any of her
sister States.
The State could have placed the 4
per cent. bonds at par in spite OF the
errors of the past had our own capital
lists lent their aid. We can place Al
without their help if the General As
sembly will provide sinking fund
with which to begin the gradual annu-
al payment of the debt and mortgage
the phosphate beds as collateral. Af-
!. ter careful consideration of the mat
ter, in consultation with the State
Treasurer and chairman of the finance
committees of both houses, a bill has
been prepared, which submit here
with, that will enable us to meet our
obligations at maturity and so build
up our credit as to refund the debt in
twenty years at as low rate as any
State can obtain. The practical result
of the scheme will be:
First. That the interest charges to be
say $50, 900 less, but this sum will not
60 to the reduction of taxes, but near.
~ all to the payment and reduction of
: the dsht itself.
Second. Thai this will, in my judg-
ment, enable us in twenty years to
float 8 or 81 bond, so that in the long
run the total amount saved the State
will be more than if we now placed a
forty five year 4 per cent. bond.
As the bill itself will explain the
whole matter in detail and the reasons
must appear to any intelligent mind I
submit it to you without further argu-
ment or comment and urge its passage
as soon as possible.
B. R. Tillman, Governor.
It was reported upon favorably by
Senator w. D. Evans, who was at that
time chairman of the finance commit
tee of the Senate. The Act was passed
without a dissenting vote and was the
best that could have then been done
Tor the taxpayers of the State.
will not relate here the dastardly
attempts made by some Of the newspa-
pers of the State and by some of the
Charleston bankers and brokers to de-
feat the Governor and Treasurer in
their efforts to refund the debt ct 4 per
, cent. under the first Acts. Prominent
South Carolinians in New York, who
had been highly honored by the peo-
pie of this State. one of whom had
been Governor, are reported to have
stated to bankers and brokers of New
York that Tillman could not be trusted {;
that the credit of the State had been
ruined, and that they would not touch
the bonds. Others stated that the Till
NANTES would repudiate the debt, and
for these reasons Governor Tillman
! and Treasurer Bates were forced to
leave New York without a bidder for
the bonds. 1, as we'll as every other
honest Reformer, felt deep interest
in the success of Governor Tillman in
this undertaking, especially as it had
been charged by his enemies that he
was incompetent to deal with the ques-
ton and that in consequence of his
failure the credit of the State would be