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

They Allcge That the Reason the
Money Is Withheld from Creditors
is Because Members OF tho Dis
1t in Certain Banks In Which They
Arc Individually Interested.
In the United States Circuit Court
Tuesday at Ashoville Judge j. G.
Pritchard signed an order citing the
dispensary commission Of South Car
DINA to appear on Wednesday, Jan.
20, and show cause why the relief
prayed in a bill OF complaint filed by
Flcischman e Co, OF New York,
creditors OF the dispensary, should
not be granted and a receiver APP
pointed to take charge Of the funds
held by the dispcnsary commission,
and the affairs Of the commission
wound up.
attorneys representing FleiSchman &
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 81 100000 is deposited The
bill alleges that tho commission has
violated its trusts and a receiver
should be appointed to take charge
nf "a OF roi,
control OF the dispensary commits
sion.
The bill in part recitcs that said
defendants are abusing the trusts re-
posed in them by wrongfully and un-
lawfully falling 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 tho defendants
have received, as aforesaid, has been
on deposit forrmany months, and is
now on deposit In .ccrtaln hntiRa 10
the State OF South Carolina, in which
banks the said defendants, or some
Of them, are respectively Interested,
either as officers, stockholders or dir
cctorS; that large sum OF said mon
ey is now in the National Loan and
Exchange bank of Columbia, in which
bank the defendant, Murray, who is
chairman OF the dispcnsary commis--
sion, Is n large stakeholder and dir
ector; that another large portion Of
said money is deposited in the Bank
OF rimmonsyille, in which said banli
the defendant, MCSwccn, Is a 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
ana director and also it's
president. that another large portion
of said money Is on deposit In 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 or Grccnville, iii
which the defendant. Patton, is a
stockholdCr, and portion OF said
money is dep. tied in the Merchants
and Farmers bank Of Chcraw, in
which bank one w. f. Stevenson.
who resides in the said town of Che
raw and who is the attorney for the
defendants constituting the State
dispcnsary commission. Is stock
holder and director and also It's pres
idcnt.
That the said defendants have
wrongfully. unlawfully and fraudu
lcntly declined and refused to make
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
orotor verify believes and alleges the
fact to De, that there has been form
ed and now exists an unlawful un-
derstHnding or agreement between
the defendants by which it has been
decided that the money deposited in
the banks above named shall be held
and allowed 20 remain as long as
possible in said banks and be used
by them for their own 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
price was paid. 1t Is understood
that there arc claims aggrcgating
about 5000, 900 against the dispensary
commission and these creditors, al
lcging that the funds In the hands
of the commission aggregate about
100000, demand that their claims
be pnid II Is nrOhnhlO That lhcrn