The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1927-02-24
CITY TOO POOR"
TO REDEEM BONDS
DUE SINCE 1922
Three Persons Try VainIy for
Five Years to Get Bar
rett Money.

Line CITY OF Indianapolis is 100 poor
to redeem Barrett law bonds which
were due in 1922.
Three persons who hold munich
pal Improvement bonds.' which were
to be, paid in June 1, 1922, have
been trying vainly to collect their
money for five years.
1T have taken my bond to the
Barrett law office every June and
December for the last five years,
one bond holder said, land they keep
it for two or three weeks and then
tell me that they cannot pay it yet.
They told me the reason is because
the owner Of assessed property has
not paid up"
mo Funds"
o. r. Scott, chief Barrett law clerk,
said today that the city had no
funds with which to pay off these
bonds.
These bonds cannot be paid off
unless the property owners who take
out the Barrett law pay the assess
ments," he said. This matter has
been coming up for a number OF
years"
Just why the city could not fore
close the mortgage on the property
Scott did not know.
The first part of the bonds read:
ION the first day Of June, 1922,
the City of Indianapolis, County of
Marion, State of Indiana, promises
to pay Sheehan Construction Com
pany, or bearer, the sum of $500 in
lawful money of the United States
with interest at the rate of 5 per
cent per annum, payable semi-an-
nuaIly on presentation and surren-
der Of the interest coupons hereto
attached as they severally mature"
Could Sue
John K. Ruckelshaus, city attor-
ney, declared that the city could be
legally held to pay the bonds at the
date Of maturity.
1.-The holder of the bond could sue
the city on these bonds,' he said,
land get judgment. But what good
would that do to him if they haven't
got the money to pay it? Buying
municipal bonds is a risk, unless
you know what property is being as
sessed and il the owners will pay
their assessments when due"
Legally the city is responsible for
the payment of these bonds, Ruckels-
haus said, but the bonds are never
paid unless the city gets the money
Rrom the property owners.
1T is a shame" he declared, "for
the people to buy these bonds in good
faith and expect the city to live up
to it's promise to pay. The people
are not dealing with the assessed
property, owners. They are dealing
with the city. The city, 1 think,
should be forced to pay the bonds as
soon as they are DUE"
One bond owners said she was told
to sue the person who failed to pay
the assessment on his property. The
property is not worth the amount of
the bond she declared.
Needs Money
IT have nothing to do with the
assessed property owner who failed
to pay the city," she stated. II
bought a bond which the city of In
dianapolis promised to pay when
due and which it never did. The bond
does not say anything about me
having a mortgage on any property"
my husband is in poor health and
we need the money" she continued.
The bonds in question were issued
June 1, 1914, and were signed by J.
E. Bell, then mayor, and ]. p. Dun,
then city controller. They were
issued for the construction of a
sewer on the left side of Finley Ave.
from Shelby st. to State Ave.
Whether the city will ever pay
these bonds Scott said he did not
know IF the city gets the money
out of the property owners the city
will pay he said. IF the money
is not gotten 1 don't know where the
money will come from to pay the
bonds as the city hasn't fund for
Athat."