The Birmingham age-herald., 1916-06-07
the Sinking Fund Should Be Used to Re tire Bonds Issued Before 1901
DIRECTS ONE BILL
 AT LIGHT BONDS
 CLAIMING ILLEGAL
Commissioners Will Fight
 and Declare Action Was
 to Be Expected of the
 Complainant

Tn spite or the popular verdict at the
 polls on Monday in favor of the issu-
 ance of s3,000,000 in bonds T. c. Mc- Donald, through his attorneys. Percy, Benners & Burr, filed injunction pro- ceedings against the members of the city commission in the city court yes- terday afternoon.
 The plea of injunction is directed against all three of the bond issues, but the $500,000 bond issue for the purpose
 of enlarging the municipal light plant at North Birmingham is made the subject of two complaints. It is mentioned gen l orally in the first bill of complaint and
 then specifically attacked in the sec ond bill
 Although the papers of injunction were not filed in the city court until late yesterday afternoon it was gen. orally known that they were prepared and ready to file the moment the elec- tion returns were in and the city com
 mission expressed no great amount of surprise at the action of MT. Mcdonald. FOR PAYING INTEREST In the first bill of complaint T. c. Mcdonald makes the allegations that he is informed and believes, and there lore charges, that the defendants, George B. Ward, James Weatherly, Ar lie Barber, J. HI" Hornady and J. D. Truss do not expect and propose to pay the interest on the bonds to be issued for the purpose of building a light
 plant and an auditorium out of the rev. | enues to be derived from the operation of such plant and auditorium. MT. Me- Donald further makes the charge that the defendants, the city commissioners threaten and propose to pay the inter-
 out of the taxes levied and collected
 for the ostensible purpose of paying in- terest on bonds issued at the time the constitution of 1901 was adopted and for providing sinking fund for the payment of such bonds at maturity. In the second bill or complaint the allegations are directed against the s5O0,-
 900 electric light bonds alone The al- legation of MT Mcdonald against the electric bond issue was that the wording on the ballots: For Electric Light Plant Bond Issue," and Against Elec- tric Light Plant Bond Issue," did not represent in fair manner to the voter the purposes of the election, and for what manner the bonds were to be used. It did not indicate, according to the allega tions of MT. Mcdonald, whether any cleo tric light was to be built Further, Mir. Mcdonald alleged that the issuing of bonds to build a plant to supply power to the citizens is contrary to law, and
 he seeks a temporary injunction to pre- vent the city from goMs to any expenses as to the printing and advertising of the sale of these bonds or any attempt what ever to place them on the market. WOULD PAY OFF BONDS. Other than the above allegations, MT. Mcdonald asserts that the present bonded indebtedness of the city of Birmingham amounts to $,110,0O0 on which $369,0 900 is paid annually in interest charges. Mr. Mcdonald states that the tax of one-half of per cent IS authorized by the con- stitution for sinking fund and the pay | ment of the interest on bonds issued prior to the adoption of the constitution will now be used to pay the interest charges on the school bonds electric light plant
 bonds and auditorium bonds contrary to law and he seeks an injunction from the courts to prevent this.
 MT. Mcdonald also alleges that he has | good reasons to believe that an account l ing of the collections of the special tax 1 of one-half of l per cent will reveal that enough money has been collected to pay l off the bonds issued prior to the adoption | of the constitution and, therefore, charges that it is unnecessary burden on the tax payers to keep up the payment of this | special tax.
 l The bills of complaint of Mir. McDon- aid were not assigned to any special l judge yesterday, but in all reliability Judge H.. A. Sharpe will hear the cases and sharp legal battle is expected when | the hearing opens.
 COMMJSSJONERS TAIK