The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1905-02-12
Recommends Action By
General Assembly.
THREE COURSES OPEN
Compromise the Judgment On Four
Terms; Pay 1t, or Let The Stock
Be Sold as the Court Ordered,
and Proceeds Be Used to
Satisfy Judgment.

The chief event il the Legislature
yesterday, was the transmission or a
message from Governor Glenn urging
the Legislature to act on the South
Dakota Bond judgment.
The Governor said these bonds are
honest, not belonging to any fraudu-
lent tax bonds class. and were issued
by patriotic men. But when the bonds
were placed on the market lawlessness
had taken the place OF order, and no
definite information has been obtained
as to what the bonds brought. although
| 1t is we'll known that they sold far be-
! low par.
| AS to the South Dakota bond judg-
ment, the Governor said there remain
! only three courses to be pursued:
First, if possible, compromise such
| judgment on some just and fair terms.
Second. pay ii.
Third, let the stock be sold as or
| dered by the court, and proceeds used
to satisfy judgment.
| Unless some action is taken by the
| Legislature, the last course will be
pursued.
| The message is accompanied by two
| letters from the attorneys for Schafer
l3rcthers, the first dated January so,
and the other February 2, both adj
dressed TO the Governor. Tho first
mas been published. and tho second
| follows the message. The Governor
/ does not recommend that the General
| Assembly accept the terms made by
the attorneys, but says that IL the
bOndholdefs viii meet the State in y
! fair settlement and take what is Just
and right in satisfaction and surrender
of these bonds. then he would earnest
| ly recommend that the matter he adj
juSted at this term. but if they re-
! fuse a less amount than they now de-
mand for the bonds, ne would strongly
recommend that no further action
whatever be taken BY the General As
Sembly, but leave them to resort TO -
suit in court, directing the Council Of
State to resist the collection Of the
same in every way that is just and
right. This being such an important
matter, the Governor said that haSty
and imprudent action should not be
taken, but with all the facts consd-
cred, the State should take such pro-
lceedings as will be alike honorable TO
the state and at the same time protect
the taxpayers.
Directly after the message WAS read.
Senator Zollicoffer sent forward a res
olution providing that the Governor,
| acknowledgements Speaker of the
House of Representatives and Attorney
General be appointed a special COM
mittee to take all such steps TO prop
erly protect the interests of the State
with respect to the bond Judgment.
and il it the committee deems IL best
to pay the judgment or Il part of II.
or permit the gale of the stock, and
should bid therefor for the State then
the auditor is directed to draw his
| warrant for, and the Treasurer to pay
such sum as the committee may desig-
nate. not exceeding however the
amount of the Judgment, costs, and ex-
penses of the committee.
The Ward BILL
The Ward bill passed its final read
ing, with only a few voices in opposl-
ton. Mr. Williams, of Davidson, de-
lliyered Il sensational speech against il,
land with the exception of an attempt
to tack on several amendments there
were no other features in regard TO It's
final vote.
Governors Message.
The following is the full text of the
Governors message.
To the Honorable General Assembly of
! North Carolina.
Gentlemen:
Believing it would be unwise for you
to adjourn without taking some action
on the bonded indebtedness of the
State. created for the construction OF
the Western North Carolina Railroad
/ deem it my duty 10 transmit such
facts as / have in my possession and
ask you Thoroughly TO consider tnc
same, and then take such steps as
to YOU seem best. The construction
bonds Of the Western North Carolina
Railroad were issued under two acts
of the General assembly, one cnti-
tied IAN Act TO incorporate the Wes-
Itern North Carolina Railroad, ratified
February 5. 1855. and found in chap
| ter 22S. acts OF 1254-55, aud the other,
An act TO enhance the value of the
bonds 10 be issued for the completion
of the Western North Carolina Rail-
road and For other Purposes. rati-
fled December 10. 1866. and found ~
chapter 106, laws Of 1S66-61. by vir~
tue o. these acts bonds 10 the amount
Of over sixteen hundred thousand dol :
lars were issued. and their payment
! secured by Il second mortgage Oh
thirty thousand shares OF the North
Carolina Railroad. there being a first
mortgage 10 secure the bonds ISSUED
for the construction OF the North Car
olina Railroad.
At the time of the passage ~ the
above acts North Carolina MAS Com
trollcd by wise and patriotic lawmak-
ers, but when the bonds We're placed
on the market lawlessness had taken
the place of order, and no definite in
formation has been obtained rs to
what these bonds brought. though We
do know that they sold far below par