The Paducah sun. [volume] (Paducah, Ky.) 1898-1906, 1902-08-13

and the teohnicality relative 20 the
original vote on the bonds was
brought up to use as q means Of esoap-
ing from the refunding contract with
the New York concern. The matter
was referred to the city attorney, who
dutifully decided that the bonds were
illegal. and the city had no right to
refund them.
This gave the city an excuse to VIC
late its contract with the New York
brokers but the councilmen did not
quite at that time realize the effect Of
their action. When the next interest
fell due, the point was raised that il
the bonds were not legal and could
not be refunded, neither could interest
be paid on them. The mem bert may
not have contemplated such start
ling dilemma but they finally saw
that they were up against it, and af-
ter being advised, warned and impor-
tuned to pay the interest, struck an
other blow at Paducah's credit by re-
fusing to pay the interest, thus repu-
dating the bonds
Suit was first filed by the brokers
for 500 on their contract, and
subsequently action begun by one of
the bondholders to collect the inter
est. The latter, decided yesterday,
was a test case, and the decision of
Judge Evans is not surprise. 1t
has been commended by hundreds of
people since ii became known. II
is vindication of the class Of peo-
pie who have always stood for Psdu-
cab, and for the payment of all hon
est obligations. Judge Evans obser-
walton that it were iniquitous to seek
to escape the payment Of an obligation
so ralpably just is reproach on no
one save the city council that betray-
ed its trust by repudiating what the
people as a whole always had, and al
ways will, regard as a just debt, and
wanted to pay.
The consequences are likely to be
felt by the taxpayers in the near fu-
ture. The accumulated interest on the
bonds will be $4,000 in December
when the next payment falls due.
Onto this will be the costs and the in
terest In addition, the decision vir.
tually means that the city will have
to pay Roberts and Co. tine so, 900
they lost by the city's violation of
contract, with mole interest and costs.
The money for this interest has been
collected from the taxpayers and
should be ready in the treasury, but
il is not on hand to use in paying
the Judgment because it has been
spent-wasted in extravagant munich
pal government by the same class
who repudiated the bonds.
After the money for paying the
interest on the bonds had been sppro-
priated each year, collected-snd spent
for something else, the decision comes
and finds the city with a new appro-
pristion of SIC, 900 in an s1.s5 tax
rate, for interest, not enough even il
this had all been collected. II is not
known whether the case will be
fought any further or not. Possibly
as the plaintiff is not member of the
gang, as the one was in recent suit
decided against the city and contested
no further, the city will carry it to
a higher court. There can be said
this much, however. The city has no
reason for fighting the case further.
The people believe the bonds and in
terest should be paid, and it is unlike
ly that any other kind Of decision
could be rendered by any sane judge
than was rendered by Judge Evans.
Further contest will simply mean
more costs piled up for the people to
pay, with nothing but delay and
the inevitable payment OF the debt
in the long run.