The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1896-06-17
Bates on Bond Issues.
The State Treasurer Makes
His Statement.

His Statement.
From The State.
Yesterday was Che day on which
Governor Evaus said hes and State
Treasurer Bates would make state
ment in regard to the eS~bond matter.
When DR.. Bates was asked about the
bond matter yesterday he gave the
statement below referring strictly to
his own connection with and account.
ing for the disposition of little over
S., 900 Of the commissions about
which there is so much talk. DR..
Bates statement is as follows
Eyes, it is true that / received
from the syndicate the sum Of s2,.
031.25. This was for acting as their
representative in making settlements
with their subscribers, collecting and
remittiag their premiums and attend
ing to their expense account.
.E,or instance, there wers subscrib
ers in Charleston for S2,000,000 of
the new issue which the syndicate had
contracted to deliver in Charleston
These were to be paid for mostly in
Blown consols, but the holders of the
consois naturally would require the
syndicate to deliver to them the new
issue of bonds before they would
part with the possession of their
consols
Two courses were therefore open
to the syndicate One was to pay
the State treasurer $4,000, 900 in
cash, receive tie new bonds, and
then exchange them with the Charles
ton subscribers The other was to
secure some representative here in
Columbia whom the Charleston bond
holders were willing to entrust with
their bonds and exchange them for
bonds of the new issue l suggested
to the syndicate the employment of
Columbia banker as their represent
atiye, but they preferred that should
do the work, and at the urgent re-
quest of the Baltimore Trust and
Guarantee company, the agent of the
syndicate, on or about the 21st of
March, 1898. consented to act for
them, as the bondholders in Charles
ton and elsewhere were willing to
place their bonds in my hands for
exchange,
ssThe public viii; understand that
there is vast difference between !:
First, my accepting money as con-
sideration for making a contract for
the sale of State bonds !; and secondly,
my accepting compensation rendered
BY the syndicate for extra services
as their representative long after the
contract had been made The first
would have been offered, of course,
and accepted prior to the contract.
and would have deserved severe
criticism The second was rendered
long after the contract had been
made, and was for extra services that
could not have been expected or
required to render as State treasurer
The work necessitated the keeping of
special, difficult and extensive ac.
count, and involved much respon-
sibility and trouble. A good portion
of the amount received went to pay
for extra and special clerical work
81 am sure a reasonable public
will agree that the work I did was
unofficial, and did not conflict with
my duties as State treasurer. Nor
will be expected TO render respon.
sible and valuable services for syn.
dicate of wealthy capitalists without
some reasonable compensation,
especially as the compensation was
not paid by the State Outside of
the S2,03l % l did not receive ona
cent from the syndicate or any one
else on account of my connection
with the refunding of the bonds
"W. T. G Bates. State Treas y
After DR.. Bates had given to the
press the above statement, he receiv-
ed the following letter from the presi
dent Of the Baltimore Trust and
Guarantee company. the former may
or of Baltimore, which he also gave
for publication:
Baltimore, June 8, 1896.
Hon. w. T. C. Bates, State Treasurer
Columbia, S. G.
Dear Sir: | understand that some
question has arisen as to the propsi-
ETY. of your having accepted COM
pensation from the syndicate which
purchased South Carolina bonds in
1893, and we think it not more than
fair to state that under the rigorous