The semi-weekly messenger. [volume] (Wilmington, N.C.) 1897-1908, 1905-05-09
Tuesday, May 9, 1905
AFTER STATE n

- ' t"~ oSIAoh IA AA@
by himself, Marion Butler and others
looking to securing payment of certain
bonds of this and other southern
states. 1t seems this matter is being
worked up by two separate syndi-
Gates which are proceeding independ-
emily Of each other. The Russell
S2tler combination claims that it
VII have nothing to do with the
attempt to collect on such bonds as
were fraudulently issued and from
which the states derived no benefit. MIR.
Butler has stated that his syndicate
was offered the bonds of this state,
known as the special tax bonds,
also as the SwepsOn-Littlefield bonds,
but refused to take any share in secur-
ing their payment.
The other syndicate is headed by
John G. Carlisle and Jefferson M. Levy.
They are in for anything that comes
along in the shape of an unpaid bond
of a southern state, but seem to make
a speciality of the f%raudulently issuad
ones.
The Washington City correspondent
of the Raleigh Post has the following
special dispatch in that paper of yes
terday:
Washington. May'5--The fact de-
yaiored today that John G.. Carlisle.
Jefferson NJ. Levy ard the syndicate
identified with them whjch hoS hoap
advertising for North Carolina special
tax bonds. is really making a cOllec-
ton of carpe. bag bonds. which have
heen outlawed by North Carolina. and
that apparently their object is to in
st1tute suits for the purpose of enforc-
ing collection. 14NzaAI
The special tax bonds in question
are said to be no other than the nOto-
rious Littlefied-SWepson bonds which
were foated in New York at the time
for prices ranging from six to ten
cents. At least this is the Information
obtained by a North Carolina as..oer-
ney h returned from New York to-
lay. where he made an investigation
of h subject among Wall street
friends.
The syndicate which is ADVERTISING
for the bonds is composed of John G.
] Carlisle. Jefferson M. Levy. Henri Fl.
Melville. L. E. Whicher and William
King Hall. They have made the Uni
ted States Trust Company. of which
Lyman ]. Gage. the former secretary
OF the treasury. is the head. the de-
pository. Jefferson M. Levy is the
owner of Monticello and was formerly
prominent in democratic politics in
Virginia. Carlisle is we'll known and
the other members Of the syndicate
are prominent Wall street men.
North Carolina never received any
return from these bonds and it is GER
tain that any effort to enforce their
collection will be fought to a finish.
It has been suggested that no state
can he found that will! consent to be-
come identified with the movement 10
collect the bonds The fact that re-
sponsible Wall street firms nave un-
6ertaEen the collection of the entire
issued indicates that they have gone
about the task advisedlv n that hey
have some scheme to annoy the state
of North Carolina.
There is another syndicate collect
ing repudiated southern bonds. head
ed by ex-senator Marion Butler. ex-
Governor = L. Russell. ex-senator
r'cttigrcw of South Dakota and W., NJ.
Coler 81 Co.. of New York but
they assert that they have no
ton With the other syndicate n thai
it is not their intention to touch these
bonds. known as the carpet bag issue.
Former Senator Butler was seen to-
day at his offices in the Bond build
ing with reference to the object of his
syndicate. He said:
are only seeking the collection
of such bonds as were honestly issued
and for which the states received
value in return. So far as the carpet
bag bonds are concerned we "a not
and Will not. touch them. North Caro-
lima special tax bonds that are being
collected by the Cariisle-Levy syndi-
cate were offered to us. at least q
number of them were. and We declined
to have anything to do with them. I
consider those lyrical carpet bag
bonds. But there are a number Of
honest bonds issued nv North Caro-
Ina and other southern states. which
could not be compromised. and which
are held in large numbers. These n
the bonds that were honestly issued.
and for which the states received re-
turns Of value. are the ones in which
!! am Interested. Their collection is in
the hands of w. nj. Golfer & Co., and
nv information is hat they have re-
ceived a considerable number They
are mo- distinctively North Carolina
bombs but represent a number Of
southern states. Sooner or later the
people of the south will find out that
many honest bonds were repudiated
along with the carret bag issues"
The North American Trust Com
pany is the depository for the Butler
syndicate though Coler & Co.. is MAX
ing the collection. The head of this
firm is Pird S. Coler. who was recent
" democratic candidate for governor
of New York. 1t will be of interest
to recall that Coler & Co.. owned the
Wilkes and Stanly county bonds
which were collected at full value by
virtue of a decision of the supreme
court of the United States.
Our readers will be surprised at Mr.
Buffers statement that there are a
good many old bonds of this state out
staining, outside of those known as
the special tax bonds, which could not