The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1898-01-06
Action !. AnnuI Wilkes Go
Railroad Bonds.
INJUNCTION GRAN TED
MAY REPUDIATE THE DURHAM
AND NORTHERN BONDS.
STANLY COUNTY CLAIMS EQUITY
Says That the Railroad Issued Secret Mort
gage Which Mad, Their Stock Worth
less Rutherford Bonds.

less Rutherford Bonds.
An action has been brought by Hon.
A. G. Avery, entitled the Board of Ooun-
ty Commissioners of Wilkes County and
C. c. Wright VS.. Clarence Call, Treasur-
er of Wilkes County. Yesterday Judge
Timberlake granted an order restrain
ing the Treasurer of Wilkes county from
paying interest or any part of the prin
cipal of the bonds issued by Wilkes
county in payment of a subscription to-
the Northwestern North Carolina rail-
road until the hearing before Judge
Starbuck, when cause is to be shown why
the Treasurer shall not be enjoined till
the hearing.
1t is understood that the decision in
the Stanley county case is relied upon
to invalidate the bonds. The people Of
Wilkes say that they have never gotten
what was promis - m, and that as
the bonds were ~ ally issued, they
ought not to be forced to pay them.
Ever since the railroad stopped at North
Wilkesboro, there has been much feeling
in Wilkes against the bond issue, and
claims of unfair dealing on the part of
the road. On the other hand, the people
of Wilkes county were not anxious to
have a railroad, and gladly subscribed
to the bonds to secure it's construction,
delivered the bonds after the completion
of the road, and have been paying the
interest regularly ever since. The
building Of the road has developed a
large section of country, built new
towns and given an outlet to the products
Of the State of Wilkes that the people
have desired for many years. They
We're anxious to get the road, and anxi-
GUS enough to pay to get it. Are they
going now,'' say the railroad men, and
the purchasers of the bonds" to take
advantage of legal technically to re-
lieve themselves of an obligation they
voluntarily took upon themselves?"
RUTHERFORD RAILROAD BONDS
A special to the Charlotte Observer
from Rutherfordton indicates that there
bonds amounting to $4,000. The spe-
eial says:
Yesterday Judge Avery was here,
and as res-lt CT his visit it is learned
that Mr. Rererly has abandoned the
fight With ties tax collector, but plans
have been laid for the matter to come
up in h new form. During his short
stay in town Judge Avery was closeted
with the county commissioners in a
conference with reference to bringing
suit to test the validity of the two bond
issues Of this county. This fact is learn
ed from the chairman of the board of
county commissioners Judge Avery
will proceed to investigate the matter,
and if the bonds come within the cases
decided by tie supreme court a suit
viii probably be brought in the near
future to test the bonds. Beside the
question of properly passing the bills
authorizing the issues Of bonds, other
matters of defence VIII be relied upon,
il is said. In the first place the railroads
promised to construct the road TO O.
point within the corporate limits of the
town of RutherfordtoH; in the second
place, it is understood that matters of
fraud will be relied upon, which matters
are that the bonds were signed when the
beard knew that action would be taken
to restrain them from signing the bonds,
and it is further stated as a fact that
the bonds were taken from the court
house in the early hnurs of the MORN
ing and carried to Marion, whence the
possessor of the bonds took them to
Philadelphia, or some other distant
northern city, and there had them coun-
tersigned by the register of deeds and
delivered to interested parties in Phila-
delphia. The latter matters, however,
only relate to the issue of 100000 of
bonds for the Charleston, Cincinnati and
Chicago Railroad. 1t Is further claimed
that mojoritX of the qualified voters
of the county did not vote for the
bonds.
4Aese matters are somewhat agita-
ting the citizens Of the county, and
opinions are somewhat divided as to
the ACCESSIBILITY of the matter. However,
it seems that the majority of the citi-
zens believe that the issue of the bonds
ought not to be interfered with, unless
the debt was dishonesty contracted and
the contracts had not been carried out
by the parties to the same. 1t is freely
discussed that the credit of the country
is at stake in this matter. The citizens
are very anxious for the two railroads
to build to point within the corporate
limits of. the town, and that feeling is
actuating a great number in the ex-
pressions of their feelings. They abhor
the idea that they want to be placed in
the attitude of regulating their bonds,
and they fully realize the consequences
of such an act should the county ever
feel called upon to again ask credit
While the present status of matters is
that only an investigation is being made,
yet the general feeling is that suit
win be brought, similar to the Stamly
county SUIT and similar to the one in
stituted in Buncombe county a few
days ago. The total amount of the
bonds involved is about $127 ,000 Of
which S27. 900 was issued to the Caro-
lima Central and 100000 TO the Charles
ton, Cincinnati and Chicago Railroad"
DURHAM AND NORTHERN BONDS
A gentleman was in Raleigh yester-