The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1900-01-18
SUGAR MILL BONDS.
Mission Township Resisting Collec
tion of $4,000.

It is possible that Mission township
will get out of paying the bonds which
were issued by the township several
years ago to secure the sugar mill west
of town, on the ground that the bonds
are illegal. A suit to collect the inter
est on them is now pending in the fed
eral court.
About ten. years ago the legislature
authorized the issuance of bonds by
townships to aid in the erection of su-
gar mills over the state, and it was I'M
der this law that the $4,000 of bonds
were issued The mill was bNilt and
was operated for a time. but before it
got we'll on its feet the sugar trust
came along and shut off the measure
of prosperity that appeared to be in
store for it.
Interest was paid on the bonds for
short time, and then payment was
stopped. Now about Sc, 900 is due and it
is to collect this that the present owner
of the bonds, w. S. Dodge, of Cleveland,
Ohio, brought suit against Mission
township in the United States circuit
court.
The township authorities employed
Attorney General GODDARD to defend the
action, not in his official capacity but
as a member Of the firm of Valentine,
GODDARD & Valentine. Mr.. GODDARD filed
a demurrer to the petition of Mr.. Dodge,
claiming that part of the interest cou-
DOnS were OuIlaWGQ, ana JnaI the ponds
were illegal anyway.
This demurrer has just been argued
before Judge Hook, but he has not yet
given a decision IN the matter. Keller
& Hite appeared for the plaintiff. Mr.
GODDARD argued that the bonds are not
valid because they are issued in aid
of private enterprise and not for the
public good.
Mr.. Hite replied that the sugar mill
was charged with public use and was
for the benefit nf he of 1orI7
owned and operated by private parties
He pointed to the fact that grist mills
had been the subject of public aid from
time immemorial The defense replied
that grist mills We're considered as of
public nature under the common law
because they were used by all persons
were public necessity, and We're oper-
ated by water power which was also
public.
Mr.. Hite argued further that if a
plant for grinding the wheat into flour
can receive public aid there is no reason
why the baker who makes the flour in
to bread, or the hotel which feeds the
| bread to the public should also receive
public aid.
DO understand you," asked Judge
Hook, Ito say that public aid could be
given to aid in the establishment Of a
hotel?"
Z do not say that 1t would be exped-
| lent, replied Mr.. Hite. because 1t
would not be necessary, but the same
| principle is involved. It is a well known
! fact also that sugar mills received pub
| lie aid in this country at one time, and
| they do now in Germany, by a bounty
| which is paid the mills on their pro-
| Duct
! Il do not understand that bounty
| is In the same nature as a bonus,'' said
| the court, but it is simply another
| method of protection"
| The question involved in this demur-
rer is an important one over the state,
as many other industries which come
| in the same class as the Mission town
| ship sugar mill, have been added by
| bonds in the same manner.