The herald and news. [volume] (Newberry S.C.) 1903-1937, 1909-04-09
THE STATE WINS IN
THE DISPENSARY FIGHT
SUPREME COURT HANDS DOWN
DECISION.
Judge Pritchard Reversed.-Judg'
ments of State Supreme Court
is Now Sustained.
News and Courier.

day in notable victory for the State,
when the supreme court Of the United
States set aside the decision Of Judge
Pritchard and the federal court Of
appeals, and sustained the position as
sumed by the attorneys for the State,
is familiar to most newspaper readers
of South Carolina.
Move after move has been made by
one side or the other since the legis-
lature, on the 18th Of February, 1907,
abolished the old State dispensary
and created a commission to wind up
its affairs. For nearly a year there
after the dispensary situation was
more or less in the background, but
in January, 1908, when the winding
up commission began to Investigate
the claims Of creditors, it again came
into the limelight. There were ale
cations Of over-charges for liquor
supplied to the old State board, and
there were accusations of bribery fol-
lowed by a number Of arrests. Fin
ally, like a bolt from a clear sky,
came an injunction obtained by attor-
neys for the creditors from Judge
Pritehard, stopping the investigation
and tying up the dispensary funds,
which amounted all told to perhaps
100000. At the hearing ordered by
Judge Pritchard on the question of
making permanent the temporary in
junction issued by him, he decided to
assume jurisdiction, receivers for the
dispensary fund we're appointed, and
the winding-up commission was d.
rected to turn the fund over to the
receivers to be named by him.
Judge Pritchard offered to make
the State commissioners the federal
receivers III the case; and this offer
was accepted by two Of them, Messrs.
B. F. Arthur and C. K. Henderson.
It was declined, however, by Commis-
sioners ". J. Murray, Avery Patten
and John McSween and Joseph A..
Mccullough, Esq, Of Greenville, was
appointed the third receiver. 49,.
The next move was made by the at
torneys for the State, when action for
the State was begun against the wind
ing-up commission to compel it to
turn over a portion (s15,oOO) of the
fund in it's control to the attorney
general to be used in the payment
of expenses incident to the prosecu-
ton Of the case. After hearing the
State supreme court granted the or
der and held that. tho proceedings be-
gun before Judge .Pntchard were
against the State, and consequently in
eontravention Of the eleventh amend
ment to the constitution Of the United
States, which prohibits suits against a
State without it's consent.
This decision brought the authority
of the federal and the State court
into direct conflict. An appeal from
the decision Of Judge Pritchard was
taken to the federal circuit court OF
appeals, and this court, after hear
ing at Richmond, at which Chief JUS
tiee Fuller, Of the United States su-
preme court erred in declaring the
suit to be one against the State.
The only course left open by this
decision to the attorneys for the State
was an appeal to the court of last re-
sort, the federal supreme court, and
this course was taken, with the re-
suit noted above.
The decision is regarded as Of far
reaching importance in that it will
90 far, doubtless, toward defining the
boundaries Of the "twilight zone,'
which Ex-President Roosevelt was
pleased to term that vague region,
where the sovereign powers Of the
State end, and the authority of the
federal governemnt begins.
The Decision.
Washington, April 5.-The famous
South Carolina dispensary case, in
volving the disposition Of about $780,
900 of dispensary funds held by the
State dispensary commission, was de-
cided by the supreme court of the
United States today, the opinion be-
ing handed down by Justice White,
in favor Of the State, and against
Wilson and Fleischmann.
The case as instituted by the Will