The Marlboro democrat. [volume] (Bennettsville, S.C.) 1882-1908, 1908-01-31
CHARGES GRAFT
FIeischman & Co., of New York,
Ask for Receivers of
D%ISPEMSARY FUNDS.

They Allcge That the Reason the
Money Is Withheld from Creditors
is Because Members of the Dis.
ptnsRry Commission Have Placed
1t in Certain Banks in Which They
Are Individually Interested.
In the United States Circuit Court
Tuesday at AShoville Judge j.. G..
Prltchard signed an order citing the
dlSpenSary commission OF South Car
DINA to appear on Wednesday, Jan.
", II show cause why the relief
prayed in u bill of complaint filed by
F%leischman & Co, OF New York,
creditors OF the d~ispensary, should
not be granted and n receiver APP
pointed to take charge Of the. funds
held by the ~dispcnsary commission,
and the affairs of the commission
wound up.
The bill of complaint filed by
attorneys representing FlciSchman &
Co, Is interesting and in parts sen
sational. The complaint in effect
charges that the ~dispcnsary com
mission has failed to pay the claims
OF the creditors because the commits
sioners are financially interested in
the banks in which the great sum Of
almost $1,000, 600 Is deposited. The
bin alleges that the commission has
violated its trusts and a receiver
should be appointed to take charge
of the monies and affairs now under
control OF the d~ispcnsary commits
sion.
The bill in part recitcs that said
defendants are abusing the trusts re-
posed in them by %wrongfully and UNI
lawfully failing and refusing to car
ry out the terms and provisions of
said act of 1907 Of the general as
sembly OF the State Of South Caro-
lima, and that the greater part Of
the money which the defendants
have received, as aforesaid, has been
on deposit for" many months, and is
now on deposit in. certain hnnks Is.
the State OF South Carolina, in which
banks the said defendants, or some
OF them, are respectively Interested,
- W. o''iH'' - w VI NIL
ectors: hat a largo sum OF said nom
ely is now in the National Loan and
Exchange bark of Columbia, in which
bank the defendant, Murray, who is
chairman OF the diApcnsary commits
sion, Is n large stock holder and dir
ector; that another large Nortion of
said money is deposited in the Bank
OF TimmOnSvillc, in which said bank
the defendant, McSwccn, is IL stock
holder and director, and is also It's
president; that another large portion
OF said money is on deposit in the
Peoples bank OF Union, in which
bank the defendant, Arthur, IS a
and director and also its
president; that another large portion
OF said money is on deposit In the
Bank Of Al n, in which bank the
defendant, Henderson, is a stock
holder and director; that another
portion OF said money is deposited in
the Piedmont Savings and Invest
mcnt Company OF G~rccnville, in
which the defendant. Patton, IS a
stock holder, and a portion OF said
money is dcIa tied in the Merchants
and Farmers nnnk Of Chcraw, in
which bank one w. f. Stevenson,
who resides in the said town Of Che
and who is the attorney for the
defendants constituting the state
~dispcnsary commission. is a stock
holder and director and also It's pres
idcnt.
That the said defendants have
NrNnpfhllu nn1n uf,J1u nnI fro,,J,-
lcntly declined and refused t make
distribution OF the said money
among the creditors Of the said
State dispenasry or to pay the claim
Of your orator or any Of the other
said creditors, for the reason. as your
orator verify believes and alleges the
TACT to be, that there has been form
ed and now exists an unlawful un-
derstnnding or agreement between
decided that the money deposited in
the banks above named shall be held
and allowed to remain as long as
possible in said banks and be used
by them for their owl benefit and
profit.
Attorney General Lyon OF South
Carolina was present In the interest
OF the dispcnsary commission. That
side contends, in effect, that certain
claims OF creditors are not genuine;
that undue influence was used In the
purchase OF goods and too great 4
price was paid. 1t 10 understood
that there arc claims aggrcgating
about 5000. 600 againstthe dispcnsary
commission and these creditors, al
lcging that the funds In the hands
OF the commission aggregate about
100000, demand that their claims
be paid. II is probable that there