The Durham recorder. [volume] (Durham, N.C.) 1879-19??, 1910-09-29

other mandamus was prayed 5e-
ouiring the auditor to include these
special taxesAn his abstracts for the
sheriffs OF the state to collect by.
These proceedings awakened great
public interest, and serious appre-
tensions were felt lest some action
might be taken by the federal court
that would force the people to pay
the bonds. ID
Happily. however, tire various
suits relative TO these bonds were de-
termined adversely on the bondhold-
ers. And In 1880 an amendment to
the constitution was adopted, emf
bodying a provision prohibiting the
legislature from paying any moneys
on these bonds without first submit
ting the question to the. people OF
the state.
But still the 'bondholdors did not
relinquish hope. and Morton, Bliss
and company brough. suit against
the state, which failed
One OF the diinculties in recover
ing Judgment against the state on
these bonds is the provision in the
constitution OF the United States to
the effect that no state shall be sued
in federal court by citizen OF
another state. To flank that, various
northern states passed laws authorize
ing suits to be brought in the names
OF these states on the bonds OF other
states held by their citizens: but the
supreme court OF the United States
decided that that artiflce would not
answer. Another turn was taken In
tho suit OF Temple VS.. North Caro-
lima. Temple was citizen of the
state. and Judge Bond held that as
he was citizen OF North Carolina
that inhibition OF the constitution OF
the United States did not apply, and
be therefore gave judgment against
The state; but the supreme court of
the United States decided against
that view As last resort, the bond
holders secured certain states TO pro-
vide for receiving donations OF de-
faulted bonds, which thus would be-
come the property OK those states
and could be sued.on by those states
in the supreme court OF the United
States.
And Il is under such an enactment
of the state OF New York that the
present movement is threatened.
From this narration. II will su'il-
GENTLY appear that the acts authorize
ing the Issue OF these special tax
bonds were conceived In sin and
brought forth In iniquIty. They were
the fruits OF a conspiracy TO defrand.
the result OF bribery and corruption,
Moreover. they have not the war
rant OF the constitution OF 1868.
Section ] of Article v OF the eonsti-
tuition OF 1865 reads: 1.-THE general
assembly shall levy a eapitatlon tax
on every male inhabitant of the state
over 81 and under so years OF age.
which shall be equal on each 10 the
tax on property valued at $500 in
cash. The commissioners OF tho eev-
eral counties may exempt from CAPT.
tation tax In special cases, on account
OF poverty and inhrmity. and the
state and county capltation tax CON-
bined shall never exceed 81 on the
head"
The lipitation on taxation en-.
braeed IN this section IL therefore
that the tax on $500 OF property
shall never exceed 81. II il plain
and specific. The tar on 800 OF
property for state and county pur
poses cannot under the constitution
exceed Sc 2-3 cents, no matter how
this tax may be divided between the
state and the counties.
There Is a direction for laying i
specific annual tar 20 form a sinking
fund for the payment of interest
There n also a direction that ID,
state shall have no power TO con
tract any new debt except IN AZ
emergency, until the bonds OF IN,
state shall be al par. unless IL shall
in the zane bill levy a special IA,
to pay the interest al. maturity.
However lnconvenient the lImita
tion on taxation may be-, the llmlta
tlon itself IL plain and positive. an,
the requirement 20 levy particular
special taxes IL rule OF action to II
observed within that positive lIr.
i tati0n.
i These boEds have been issue,
under acts that are In conflict viii
the consultation OF 1868.
The public had notice that IN
proceedings resulting In the electIo.
Of 1865 we're void: that the leelsin
tors then chosen were not electe
under any constitution in force d
the time 81 the election: that m
acts themselves we're passed throus
bribery and corruption: aud tha
even under the constitution of Ige
those acts we're without the warran
! of law.
Holders who took these bond
: from the pool or improperly an
illegally acquired them before Fec
ruary. 1870. and aided the rallroa
presidents IN their breach OF trus
are not bona fde holders In the ey
% the law. Holders who acquire
fhem after February, 1870. when n
acts were repealed. and tho bond
wsrc directed 20 be returned 10 HI
treasury. aud we're repudlatcd, stan
10 even worse plight.