Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1915-01-04

No. 16 Dey Street, -,
New York City, N. Y.
Dear Sirs: Hon. ID. L. Conkling,
Treasurer of the Territory OF Hawaii,
informed me on October 30th that he
had a verbal opinion from you that
all Territorial bonds would be value
less unless they we're delivered to pur-
chRsers by him personally, with some
rather, tc me, not clear remarks rela-
tive to signing them at the time of
delivery .>.-... t..
The exact state of the case Is as
follows:
We had local Honolulu bids for $780,
10000 of the issue at par, which were
accepted. Messrs. Bishop & Co, Bank
ers. on October 22nd, came to the
Treasury and deposited the cash and
accrued interest on the 100000
bonds subscribed for by them. thus
paying in full for. the bonds, although
the Treasury will be unable to deliv:
er the bonds until the $750.000.00 in
bonds now in transit from the United
States Mortgage and Trust Company,
fiscal agents of the Territory, arrive.
The delivery now constitutes, it
ply a formal clerical act and In no
way involves the legality of the bonds.
Mr.. Ccnkiing. as Treasurer, and Henry
C. Hapaf as Registrar, signed these
bonds as of September Is, 1914, thus
completing the date and form of issue.
leaving only the sale and delivery OF
the bonds. as opportunity offered, to
complete the intent OF the Territory to
bond itself for the authorized $780,
100000. -"
Mr.. Conkling retired Oct 31st and
Charles ]. Mccarthy succeeded him as
Territorial Treasurer.
1t will devolve on the latter to ad-
just accrued interest, collect the price
bid for bonds and above accrued in
eterest, and deliver the balance of the
bonds, to wit, $10,S00.00.
II there is any irregularity in the
above. procedure, kindly cable me.
Our laws permit the sale of bonds
at private sale, provided the price is
above that Of the last public sale. be
the advance never so slight,
II is our purpose to offer at private
sale $6S9. 200.06 of these bonds on the
basis of $1,000 101100 for each 100000
bond plus accrued interest from the
fixed date of the bonds, to wit, Sep
TENDER Is, 1914. -
r apprehend. the law does not re.
gard the individual who happens to
hold the Office but the actual legal in
cumbent of the Office of Treasurer OF
the Territory OF Hawaii g..
If the above contention is incorrect,
kindly wire me. ~
| inclose copies of the cablegrams
passed sb- m this Office and your
own ....-
Very respectfully. I'LL:
l.. z. PINKHAM, .
Governor OF Hawaii
New York. November l6, 1914.
Hon. Lucius E. Pinkham,
Governor. =
Honolulu, III. I.
Dear SIR .... r.
TERRITORY OF HAWAII PUBLIC
IMPROVEMENT BONDS, $3.50. 900.
We are in receipt of your letter Of
November 2, 1914, relative to l;Ie
above bonds, and particularly to $780,.
500 of these bonds which were sold
at par to local Honolulu bidders.
We note your statement of the facts
as to the purchase of these bonds,
and that on October %, 1914, the pur-
chase price of $4,000 thereof was paid
into the treIeury. We agree with
you as to the $4,000 so paid for, that
the actual physical delivery to the pur-
chasers constitutes simply clerical
act and that the title to the bonds in
the condition in which they were at
the date of payment passed to the
purchasers. X @e~ ..a.. r.. n
We note your statement as to the
remaining $10,S00 of the bonds for
which bids were received from local
Honolulu parties that it will devolve
upon Mr. Charles J. Mccarthy. the
present Territorial Treasury to accept
accrued Interest, collect the price bid
for on the bonds and deliver the bal
ance of these bonds, viz. $10,S00. We