The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1921-05-28
Mr.. Jennings Re-
plies to MIR. Booth
Lengthy Discussion of Various
Phases of the Administration
of the City Government


reply to the article Of Mr. Booth in
your issue of last Friday.
Mr.. Booth has referred to four sep
arate matters in his letter:
4. The Jail matter.
% City improvements.
- = s. Hard surface roads.
s. 4. City funds.
will reply to these in their order,
and in doing SO i VIII only use facts
and will not draw on my imagination.
i stated in my former letter that
the s25,90o Jail fund was on deposit
in the National Bank Of Sumter,
bearing interest at the rate of per
cent This fact has not been. dis
proved, but Mr.. Booth attempts to
explain. Now let's see what his ex-
pfanation is. He states the interest
is paid quarterly, but it is at per
cent, which makes very little differ
ence IN paying interest quarterly and
annually; so that for all practical
purposes this money is deposited at a
rate of per cent.
Mr.. Booth says the Jail was not
built because they found that It
would cost about 100000. when they
only had $4,000. It does seem that
the jail commission should have
found this out before the county bor-
sowed the $4,000 because the act
provides that the money is to be
borrowed as needed to pay the archi-
feets and contractors. SO it seems to
ms that the Jail commission should
have found cut they could not build
the Jail with s25. 200 and so notified
the county. board Of commissioners
before this $4,000 was borrowed. He
seafessth bank loaned the money at
3-4 per cent interest. and you
could not expect: the bank to volun-
fariiy Increase the rate to the coua-
~ TO per cent.
@ The minutes of the county board
show the National Bank OF Sumter
on March z, 1916, loaned the county
$4,000 at ~ per cent for 80 days.
It was stated this was done until the
notes could be fieated in New York
for the S25,e00 have no doubt
bnt that the notes were payable to
the National Bank Of Sumter but
were sold to some banking institution
Ia New York, and that the National
Bank of Sumter has not been carry
ing. this loan and did not carry it un-
til the notes were paid.
This loan was to be paid back s5,-
;08e in one year, $1,000 ia two years,
coo in three years and. $500 in
four years, and If all has been paid
hack for more, than a year; SIS 600
of which has been paid back for
more than four years. s5.o8e for
more than three years, $1,000 for
more than two, years, and $4,000 for
more than one year, and was paid
back out Of money collected by way
of taxes from the people, and GER
tAiniy this money was worth at least
IS per cent TO the people who paid
IT, Ifl the fail commission had first
found out that the Jail could not be
built for $4,000 and so notified the
county board Of commissioners. then
It would not have been necessary to
have borrowed this money, and il it
had not been borrowed it would not
have been necessary to collect the
taxes ito pay it back. However, the
legislature at its ucceeding session
made provision for. the county board
OF commissioners to raise whatever
was necessary to build the Jail, and
this was done in 1917, and it is now
1921 and we have no Jail yet.
Even if the county did borrow the
money for part Of the time at 4 ga
per cent, that was no reason why the
National Bank Of Sumter snould have
ii q. 4 per cent when at the same
time that bank and the other banks
in the city Of Sumter were paying
s per cent on time deposits. Suppose
the money had. been given to the
county? Would that be any reason
why any particular bank should have
Il free OF interest?
- Z have never stated the county
could get per cent interest on mon
ey deposited in the bank, but I did
state the money was worth 8 per
cent to the people, and still say that
is is. AS. matter OF fact, am sat
isaed most Of them now would like
to have it even at cost Of 20 per
cent, because they cannot get any at
any rate.
Mr.. Booth states that he has under
adrisement the transfer Of these
funds to the Peoples Bank If that
bank would pay per cent interest.
This shows he must have control Of
the fund. and if so. thep why has he
not. for the past five years negotiated
with some other bank or banks to
ascertain if they would pay a great
er rate than 4 per cent. Why. wait
until the jail matter was brought up?
He states. the loss to the county oy
reason OF the money bearing only 4
per cent interest is only. a little over
$500. II the money had not been
collected from the people by way OF
taxes it would have been worth s
per cent to them. and figured c:. this
basis and taking into consideration
the time the money was borrowed at
"a per cent. the people have ac-
tually lost for five years s2,Ss2.82'
almost $4,000. and yet Mr.. Booth says
he is conserving the taxpayers inter-
est. II this fund had originally been