The herald and news. [volume] (Newberry S.C.) 1903-1937, 1913-09-02
Jones. comptroller general.

W. Jones, COulpIlOIIeI SSn01 al.
'I have affixed my signature to
these notes. | notice the seal Of tne
State is not impressed upon the notes,
but that will be done.
"These notes contain practically
and embody substantially the same
offer your bank made to me On the
10Th instant, according to my under
standing of its terms, which were
pie enough to my mind-"the
notes to bear interest from date the
State needs the money. l did not un-
derstand your letter of the 9Th in
slant, to undertake to vary from the
express terms of the proposition
which l accepted, to wit, that the
money obtained from the notes was
to bear interest as the State need
ed it, that is, to draw it out, and in
my reply to you of the goth l dis
tinctly referred you to the letter in
my possession containing your pro-
position. Upon examination now OF
the notes sent to me, they are in ac-
cord with your proposition and with
my understanding with regard to it..
The dates for the money to be ad-
vanced are fixed as tne money will
be needed by the State, as l am ad-
vised, on the list of September, the
10Th of September, the 1st of October,
the 18th of October, and the 1st Of
November, these notes bearing inter
est from these dates as the money is
drawn out. The date of maturity has
been changed to some dates in jan
uary, which, as 1 understand, will
better suit the condition of the treas
ury of the State to pay, rather than
on the first day of January. The
amount of interest, or cost to the
State, that will be incurred on these
notes, therefore, will be substantially,
if not very nearly, Identical.
"The State has gained nothing by
all of this palaver by the other mem
bers designated by the Act to borrow
money In my opinion their actions
and statements in newspapers have
not been wise or judicious, as affect
ing the credit and good name of the
State with regard to ner financial af-
fairs, and they have, to the extent
that they could injure her, committed
such injury by not accepting and
signing the notes that l had signed
and had delivered to them under the
offer and acceptance that 1 had made,
which was presented to and left with
the sinking fund commission. At the
time l accepted your offer the money
market was extremely tight, and it
was difficult to get any definite pro-
mises to loan money at anything but
an exorbitant rate of interest, and
very few, as you know, cared to take
up the loan to the State at all. With
in the last two weeks and at this
time, as you also know, the banks Of
the State and throughout the South
have been much relieved by the &C
tion Of the secretary Of the treasury
in placing money at low rate Of in
terest with many of these banks to
move the crops and which would re-
lieve the, banks from other demands
upon them. At the time wnen it was
proposed to borrow from you this
money on the notes that l signed,
there was no definite step taken by or
that could be depended upon as taken
by the secretary Of the treasury in
this matter; SO that the situation at
the present time for handling the
loan is quite different from what it
was on the 18TH of August, and prior
thereto, when our negotiations were
going on. I have stated that l did
not propose to have anything further
to do with this matter Of the loan
with the other gentlemen designated
by the act, and suggested that it was
my opinion that they could them
selves now proceed, being a majority,
and act in the matter, that I had done
my duty towards the State. You now
inform me that you are unwilling to
lend the money to the State without
my signature to these notes, and that
in your belief the other two gentle
men cannot make a valid note for the
money or that the banks or others
holding money would not be willing
to accept the paper unsigned by me,
and you also inform me in writing
that the loan is awarded to you with
the understanding that the notes are
to be delivered to you signed by the