Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1896-06-10
he noliral, soria asrituura and Commercial snesta


Il e ~ ~ lu IOe LOW
king the net cost of the bonds to its
members about 994. The remain
ing II per cent, or $1,000, ostensi-
bly, went to Mr.. Rhind, the man who
had been chosen by Mr.. Evans, the
administration leader in the legisla-
ture the man who had employed Mr..
Evans and Major w. T. Gary, Mr..
Evans's uncle, as his attorneys, and
who had the option on the entire bond
issue before it had been provided for
by the legislature.
1t does not appear that Mr.. Rhind
took any active part in the organiza-
ton of the syndicate. 1t is in evidence
that he borrowed $500 from the New
York broker, with which to meet his
travelling expenses. There is nothing
In the testimony to show what services
Major Gary, who is citizen of
Georgia, performed, but the sworn
statements show that he was paid 81, :
600. Governor Evans, who was sup
posed by people in South Carolina to
be acting in the interest of the State,
testifies that he came North in Mr..
Rhind's behalf, and after the squabble
over the division of the commission
arose, urged on the members of the
syndicate the propriety and justice of
allowing Mr.. Khind to receive his
share, then, tied up in the Baltimore
Trust company by litigation. The ex-
pense account of the syndicate shows
that Governor Evans was paid 800
attorneys fee and that Treasurer
Bates was paid by the syndicate $2,-
330.88 for Services"
Mr.. Rhind testified that he had not
yet, so far as his part of it was con-
cerned, paid Governor Evans's fee or
learned what it would be. 1t appears
on the record that at least two of the
three State officials actively engaged
in the negotiation of the bouds were
employed and paid by the purchasers.
The impression given to the persons
most actively engaged in the syndi-
cate at the time is clearly set forth in
the testimony. Certain members of the
syndicate expressed curiosity and in
terest natural, perhaps, in the circum-
stances. They inquired why it was that
of $11S, 900 bonus offered by the State
to purchasers of the bonds, only $780,
300 was available for the actual purcha-
sers who were to furnish the money,
while $78, 700 was to 60 to Mr.. Rhind,
who was furnishing no money and ap-
parently taking no active interest in
the dicker. The Richmond 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 in
huence." The New York broker,
who was in close association with Mr..
Rhind, and whose opportunities for
knowledge were best of all, replied
that they "would better not investi-
gate that that it was to 60 to people
who would better not be known"
1t reads 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.
It is not in evidence in this case, but
it is fact capable of easy and direct
proof, that Mr.. Rhind, while holding
the option on the bond issue and en-
deavoring to induce the formation of q
syndicate to take it, stated that he
would not get more than enough from
it to pay for his time and expenses. It
is also true that members of the syndi-
cate who were willing to deal directly
with the State and take the bonds for
a commission of 4 of per cent. were
officially informed that no propositions
could be considered unless they were
sent through Mr.. Rhind-that not
even an offer.to par net without any
commission, would be considered, al
though at that very time Mr.. Rhind
was demanding 24 per cent. commits
sion.
When the time came for division of
the bonus of $4,000, the New York
man took $4,000 and the Richmond
man $4,000, for special services and
expenses. Mr.. Rhind got $4S, 500, and
Major Gary $1,000. A peculiar and
perhaps significant circumstance is
that Mr.. Rhind took his $48, 500 not
in one draft on the Baltimore Trust
company, but in three separate drafts,
all payable the same day-one for
$25, 900, one for $4,000 and one for
$14,5OO.
To sum up, according to the sworn
evidence on record:
Mr.. Rhind, who has no special prom
inence or standing in business circles,
and who was not a citizen or resident
of South Carolina, was approached by
the present Governor Evans, then the
recognized administration leader in the
legislature.
He was given by Governor Tillman
and Treasurer Bates an exclusive op-
ton to place $6,0OO,0O0 4 per cents. at
a commission of 5 per cent. IA months
before the time for the bonds to be
issued.
He failed to effect this, and Governor
Tillman declared that, after personal
visit to New York, he became con-
vinced that a per cent. bond could
not be placed. The governor again
gave an exclusive option to Rhind to
place 43 per cent. loan. The syndi-
cate formed to take this fell to pieces.
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