The Montgomery advertiser., 1906-12-04
CITY BONDS
 TO BE PAID Private Parties Will
 Float Bonds COUNCIL ACCEPTS OFFER &*t hA A. M. Baldwin Makes Proposition
 to Legislative Body. Relief to Re Furnished for Period of Two Menths for GomPensntiOn of F. 5sSeOo-RfseIutiOn Passes yrY UnnnimOpsIy.

The payment of the bonds of the city of Montgomery, which mature January l, 1907. and which amount to $46S,1O0, will be met and the financial reputa- tion of fhe city wal be saved Wheth- CT or not the Supreme Court now pro- nounces the refundng bond issue < which the city planned to pay for the before the first of the year, the City Council last night practically made ar engagements to care for the money.
 An offer. made by President A. M Baldmln of the First National Bank of Montgomery, representing Dillon & Herbert, and presented to the Council at it's regular meeting, was accepted by that body, and unless there should be some change of heart On the part of the men who made the offer, the deal will go through.
 By the terms of the proposition( the parties represented by President Bald win agree to take up the present bonds of the city at par, and to withhold de- mand for payment of them for two months. By the end of that time, it is expected the legal difficulties confront ing the city vii lhave been surmOunted, and a way will have been found to float a refunding bond issue. For the service they are to render to the city, the parties making the proposition will receive $5.00O. and interest on the bonds until they are reclaimed.
 The refunding bond issue, since the predicament of the city was brought out at the special meeting of the Coun cil Friday night, has been the upper most topic of conversation and interest in municipal legislative circles. It was easily the most important mater on the call for the evening. Two meas ures, one of which would have given Mayor Teague the authority to provide for private sale of the bonds, had ebeen left over from the last meeting.
 When the special committee appoint ed by the Council to handle the refund ing bond issue reported, Chairman Lob man read resolution recommending that an offer from President Baldwin of the First National Bank be accept ed. This offer was explained in a let ter from that party, outlining the terms of the offer.
 The proposition according to the let ter. provided that the parties Presi- dent Baldwin represented take up the city bonds al par, January 1, and carry them at the coupon rate of interest for sixty days. for compensation of $5000 The offer further provided that the city should have the right to call in and pay all bonds so taken up Feb ruary 1. 1907, or at the option of the city, the parties might carry the bonds for an additional thirty days to March i, at { per cent interest, no further commission to be charged or paid President Baldwin offered, in the name of his bank. to guarantee the perform ance of such an agreement if entered Into
 When the roll was called for a sus- pension Of tne rules to vote on the resolution. the Council votel ''yea unanimously The resolution itself was then called to a vote, and re- suited in a similar unanimity of opin- ion.
 When the mater was completed the | special committee was discharged with a vote of appreciation and thanks from l inc Council. The committee included | Mayor Teague. President Gunter of the | Council. Alderman Lobman, chairman l of the Council Finance Committee. and l City Attorney c. P. Mcintyre.