The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1907-10-02
STOLEN STATE BONDS GOOD.
COURT EN- BANC UPHOLDs THEIR
VALIDITY.


change One Of Zimmerman Bonds
for Certificate Of Stock.
Columbia. Sept. 27.-The court en-
/. banc tonight fied decision uphold
Ing the validity Of the stolen State
bonds. the court being divided to 8.
The bonds involved are the following.
though only one OF them was men,
toned In this case:
$500 Londs. Nos. tss.ssi. s7i. 7s3.
sss ana i.%77; $1,000 bonds. Nos.
So, i.f7s, l,sss. s.ssS and s.71s.
IRE court eat On banc today. called
!, Cor the purpose OF hearing the argu-
ments en- two cases In which the su-
creme court justices had evenly d.
vidsd. In such cases. whore the case
y heard ON appeal. the deciidon OF
ths lowsr court is amrmsd unless, as
ln one Of the cases heard today. there
= constitutional point involved. But
when. q IN the state bond case. the
cass y brought In the original juris-
alo<iou Of the supreme court. Il is nec-
sssary 70 call the circuit judges to sit
Vim the Justices. N
TIE argument for the relater. I'D
Ward Bhrllch. Of Columbia. In the
bono case wss made by Mr.. w. +.
Aycock. Of Columbia, while the treas
pssr wss rsprsssntsd by Attorney
0>assaI Lyon and Nr. J. william
1tpr,sond. Of Edgensid.
1hs esss - IN application for writ
g mAndsmus 70 compel the state
oponsnrsr to- exchange . certain state
bend Tor . osrtincate Of stock. II will
- recalled that . number Of state
oon6a rsturnsd for cancellation. were
ne eancsl1sd by the bond clerk.
Dou1ss 8lmmssman. a. required by
Nv. ~ we're again put Into. circuia-
s1ui ~ 0mmsrman and eventually
pn6sea Into the hands Of Innocent
purehassrA Mr.. Ehriich came into
pooBsssson o. one Of these bonds and
pesssatsd Il for exchange Cor . GER
elAesss Of stock. the exchange being
veeussd On ths ground that the bond
~ NON and void. having been can
esllsd ana fsaudulsntly reissued. The
eass was brought 10 test the validity
e this ana other such bonds, de-
nsrtption Of which has been advertised
= the public prints BY the state treas
uFsr.
VI Ths eiEsct Of this decision Is to re-
cognize the validity OF all the bonds
which wsse stolen from the office OF
the state treasurer. and the treasurer
viii be compelled 90 exchange them
fOr csrtifieatss OF stock when present
"a ~ the holders who prove their
honest title thereto.
Action viii also be begun 70 recover
The amount lost from the three State
trsasurers. Bates. Zimmerman and
JsnninsA or their bondsmen II neces-
sary. II h very likely. however. that
these thrse gentlemen will make
good thsir respective liability without
lltisntion.
Those dissenting are: Chief Justice
Pops. Associate Justice e. B. Gary.
and Judges Ernest Gary. Klugh.
Prince and Hydrick.
Isl Ths dissenting opinion by Eugene
y Cory. after reviewing the history
OF the case says that the FIRST question
= On the right Of mandamus of the
petitioner. bringing mp the case of
Lord. treasurer. where the court held
that mandamus will only lie to en-
force q ministerial duty. not dlscre-
tionsry duty. The opinion then says
that when q bond n surrendered and
q certificate Of stock issued In ex-
change. u lose its legality as a subsist-
ing obligation Of the state and cancel
lat.on was not a condition precedent
upon which the validity Of the certif-
cate OF stock. which was TO be issued
II exchange. depended. and such re-
Quirement was required siiaply TO
prevent fraud after transaction be-
tween the holder OF the bond and the
state had terminated.
The question" the opinion con-
tinues. whether the petitioner Is q
bons fide holder II not ministerial but
strictly judicial In its nature, and the
action of the treasurer II not subject
20 review by this court. The attorney
general. however. did not urge this
question nor the question as to the
actual notice the holder had that the
bond was not good. and however the
right Of the treasurer to Issue a certi-
ficate Of stock Is q question OF power
and must be determined under the Act
Of 1922, which clearly shows that the
legislature had under contemplation
49,, m. t..val ~ s,ocL Sor N hond and