The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1909-04-10
IbIsPEnslRr CASE DECIDED.
UNITED STATES SUPREME COURT
GIVES DECISION FOR STATE.
Hns state Sustained ON Every Point
And the Liquor Houses Must Now
Acccps Settlcmcut Proposed by
v'ind-Up Comn,lssion-Judge Prit-
cnnrd Reversed and His Receivers
Are Dismisscd-Liquor Dealers
Must Pay tho Cost.

voiving the disposition OF about $780,
900 Of dispensary funds held by the
state dispensary commission was de-
cided by the United States Supreme
Court today In favor Of the commits
sion.
The case was instituted by the Will
soa Distiiiing Company and the
Fieischmann Company In the United
States Circuit Court for the District
Of south Carolina to collect debts
contracted by the state In the pur-
chass Of LIQUOR In the State from
iss1 to 1907 while the dispensary sys-
tsn was In vogue. The commission.
consictins OF w. J. Murray. John Nc
Sssen and Avery Patton. was ap-
pointed In 1907. when the state re-
solved to 10 out OF the liquor busi-
mess. This commission was empow-
cred by the legislature to collect all
msneys due the state and to pay all
cf its debts. At the time the suits
were instituted about ssoo.0oo had
been collected and there stlll was
about 100000 due. Bills for some-
thing over 100000 were presented
BY liquor dealers. and when the COM
rnission declined to pay them as
promptly a. the creditors considered
desirable they brought suits for their
collection.
In their petitions In the Circuit
Court they alleged that the members
Of the commission had entered into
. conspiracy to hold the funds for
their own selnsh purposes. in sup
port OF whIch assertion they declared
that the money was deposited In
bssnks In which members of the COM
mission were oficcrs or stockholders.
On the orher hand. the commission
} err alleged a coalition among the
creditors to collect excessive sums and
asserted that they had only taken the
n<'cetssry precautions Of investiga-
tion before making payment of any
liabilities thar might be Justly due,
The commission resisted the suit on
the ground that II was proceeding
agsirst Ne State itself and that the
cctnrsission is court and therefore
nor subject to Injunction. The Cir
cult Court overruled both of these
pleas. plared the dispensary funds in
the hands Of receiver and granted
an injunction against the commission
prohibiting II from disposing of the
funds In its possession. This opinion
WIS affirmed by the United States Cir.
cuit Court OF Appeals for the Fourth
ctreatt Tho decision OF that court
w. tolql reversed BY the Supreme
cours. =
The supreme Court also affirmed
the decision os the state court In the
case Of dIspensary commission VS.. the
stste, INVOLVING the demand OF Attor-
ney General Lyon for setting aside
ny commission of funds for prosecu-
! tion OF violations of the dispensary
iar'.
These funds amounted to $4,000.
The latter suit was brought In the
Supreme Court OF the State and was
defended by the commission on the
ground that as the federal court had
erjoined the commission from paying
out any Of the dispensary fund II
collId not recognize the attorney gem
eri,l's demand. The state court held.
tpwever. that federal courts were de-
weld Of jurisdiction In a case dealing
!. entirely with State matters, and
therefore directed that the fund for
the attorney generals purposes be set
srsrt as directed.
The commission brought the case
20 the Supreme Court on a writ of err
ror and the decision OF the State court
wis affirmed.
Justice White declared that the
Fundamental question underlying all
tho contentious was whether. I'm SUBJ
stance the suits were against the
State. and therefore beyond the jurls-
divis!Sa OF the Circuit Court because
of the expressed prohibition of the
i1th amendment to the constitution.
He proceeded to show that the suits
were directed against the State ana
that the commissioners did not oc-
cupy the position of trustees OF the
dlspensary funds.
The purchase OF liquor had been
made. he said. by the state for its ac-
count. This Irresistible conclusion
wns. ne declared. removed beyond al
possible controversy ny former de-
cieiora &c ~" cr1-rt and by the su-
peric Cotrt pf North Carolina. eve