The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1902-01-29
AMOUNTS TO NOTHING.
Report That State VIII Sue
Raleigh For $4,000.
State Treasurer Lacy Has Found Nothing TO Sue
on and Knows Of No Probable
Suit

ine circulation OIL the report lndI Ln'
estate will demand of City of Raleigh
$4,000" had the laugh given to it yes
terday.
No big law suit is at all Imminent be.
tween the State of North Carolina
through the State Treasurer, Hon. B. r
Lack and the City of Raleigh"
Some time ago one of the up State
papers had an editorial, in which it was
stated that some pigeon hole in the cap
itol had in it legal bonds showing the City
of Raleigh was due the State several
thousand dollars. With this as a basis
State Treasurer. there was flung to the
breeze with sails all set the report of a
big law suit.
rs go way back and set down" on
some ancient history bearing on this sub
ject. let it be known that when Mr..
Worth was first Treasurer of the State
he found stored away amidst the old doc
uments of the State Treasurer's office
$4,000 worth of bonds of the City of
Raleigh.
Here was a find, so he hurried on to see
the City Treasurer, Mr.. Joseph G. Brown,
and told him he wanted the city to cash
up and pay in the $4,000.
''All right" said Mr.. Brown in sub
stance, and going into his strong box, he
pulled out $4,000 in State bonds with the
remark: How will these do as an Off
set"
Here is the bit of antique history that
lei up to this interview
About 1861 the city of Raleigh wanted
to aid in the building of the Chatham
Railroad and issued $4,000 in bonds to
do So The railroad people found they
were unable to float the bonds and so in
6uced the State to issue its bonds to aid
them. and take the city bonds to secure
the issue.
This was done, the bonds being issued
to the Raleigh and CASTOR Railroad Com
pany under an ordinance of the Conven-
tion amending the charter of the Chat
ham Railroad Company, ratified January
30 1862, the bonds being for 81 900 each,
payable in good and lawful money ofthe
Confederate States and signed by H. r..
Vance, Governor, Jonathan Worth, Pub
lie Treasurer.
These bonds were dated January 1863,
and were TO run for twenty years With
six per cent. interest, payable in July and
January, which interest, from sight of
some of the bonds now in rhe hands OF
the City Treasurer was never paid.
Finally in 1874 the State repudiated the
bonds issued and they went by the
board
There is no record so far as has yet
heen found by the city authorities, how
this $4,000 bond issue dropped to $14,
600 claim, though $4,000 of the amount
has disappeared and only speculation as
to how it was done can be INDUCED in.
The same fact applies to the State
records. for when Treasurer w. II.
Worth went into office he gave no re-
ceipt for either $4,000 or $4,000 city
bonds.
To come down to more recent history,
when Treasurer Lacy succeeded
Treasurer Worth he was not asked to
receipt for any $4,000 city bonds. nor
We're they included in any assets or col
lateral tlrned over to him by ex-Treas-
urer Worth
Some years ago, the city attorney, who
was then Mr.. 4. T. Gray. having in
formation that there might be some such
claim. purchased for the city $4,000
worth OF the old State bonds originally
ifShNsi " liiS iNditlEI diih tfoSiDu NAH
road Company for the use of the Chat
ham Railroad, and these are the bonds
now held by the city trea surer against
any possibility of the resurrection OF
what is considered dead claim against
the city.
Talking with City Treasurer Brown
yesterday he exhibited very little concern
about the matter. An interview with the
State Treasurer revealed a similar status
Of mind In fact Treasurer Lacy says he
has not seen any such bonds as are men
toned.
Not having received the bonds as State
assets. not having seen them, and know
ing nothing about the matter it will be
readily seen that State Treasurer Lacy is
Tot girding up his loins for "a huge legal
contest
OF course, az a vigilant official, ii he
could find in this matter as in any other
showing that money was due the State,
IL legal claim against any individual or
city he would proceed to the enforce
ment Of the claim. but
1t does not now appear that anything
but a Rip Van Wrinkle story has been
revamped, and the whitened bones of
some of the States repudiated bonds held
UP to view.