The herald and news. (Newberry S.C.) 1903-1937, March 03, 1911, Page TWO, Image 2

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COMMISSION MAKES REPORT TO GOVERNOR DETAILED REPLY TO EXECU TIVE'S REQUEST. Winding-Up Commission of Old South Carolina Dispensary Sends Re port to Governor. Columbia, Feb. 27.-In response to Governor Blease's request for infor mation the dispensary winding-up icommission today forwarded to the ,chief executive copies of its tow re -ports; a letter explaining "why the law has not been complied with in /regard to winding up of this matter. as provided in the act, at the earliest date practicable," as was charged by Gov. Blease in -his message to the gen eral assembly; certain exhibits, in cluding the contract made with the Atlanta firm of attorneys, about which Gov. Blease asked, and other informa tion. As a matter of fact, much of that which Gov. Blease asked for has been printed in the reports of the commis sion. The contract with he Atlanta firm was referred to, showing that 50 per cent. was given in the collections on overjudgments and the so-called "conscience money." The following is the commission's letter: Commission's Letter. Columbia, S. C., Feb. 27, 1911. The Hon. Cole L. Blease, Governor, 'Columbia, S. C.-Dear Sir: The State dispensary commission, in response to your letter of February 20, 1911, met on the 24th instant, and authorized the following information to be com -municated to you by me: First. I hand you herewith copy of the agreement between the said com Unission and the firm of Messrs. An derson, Felder, Rountree & Wilson, and will state that this agreement is the only one made with that firm, there being no agreement with the individ ual members thereof, and, therefore, iene with Mr. 'Tihomas B. Felder, of said firm. A copy of the agreement is hereto attached and marked Ex hi'bit "A." Second. As to the agreement with Mr. Stevenson. The only agreemnt made with him was entered into for the year 1907, under which he was to be paird for au-nridaine -. g,on the meet ingsxtof tie e-. n ission and advising them .in all w i. 'trs not litigated and pay his own .xpen:ses while in Colum bia and to and from Columbia, for the sum of $1,500, and when he went ~elsewhere under orders of the com anission his expenses -were to be paid by 'the commission. At the end of the year 1907, the business not being czompleted, his services were merely continued to be settled for on'a satis Tactory basis. State Saved $35,000. ~He participated in all the litigation aind conducted one branch of it alone; 'to wit, the contest of the United States to an assessment of $35,000 claimed by, the United States government for alleged back revenue taxes, the same being finally tried ini Washington l' fore the internal rev'nue commission er, who rejected the claim. For all of his services he was paid the sums * shown in the statements, which are below referired to, showing all the item's of receipts and disbursements. Third. As to the contract with Mr. B. L.. Ab.ney. The commission on January 24, 1908, passed the follow ing resolution: "On motion of Mr. Pat ton, Dr. Murray, chairman, was auth' orized to employ additional counsel to assist in the Fleischmann suit against the State, after consul,ting with the .attorney general." In pursuance of -that authority and on account of the litigation which 'had just been insti tuted in the federal court, Mr. Abney -was ?mployed to assist in the case, ~nd subsequently in all of the cases involving the issues raised in the Fleischmann case. These cases were finally sufccessfully terminated in th4 *Unite'd States supremie court, afte: adverse decisions had been renderet in1 the circuit court of appeals of th Uited States. When the service were completed, zh re being no defi ne -contract made. Mr. Abney ren dee :bill on :>vember 10, 1909, ac jompjaniedi by a letter, copies of whic& :are herei o attached an~d marked Ex T he commis.sion without having hearing fromt Mr. Abney fixed his fc tentatively at $9,000 instead of 810,00 asrendered. Subsequenltly~ on De *-ein her 3. Mr. Abney wTot ! a letteri hie comsin a copy of which h ereto attached and marked exhibi --. " which ietT'r1 st1te:s his pe)It~e fully. On further consideration th: .comminssion accedCd to his reques nis bill for S10,000, which w\as pai in full. In sett'ing with the firms an corpoi4ations who had claims again the State, who had prosecuted ar participated in that litioation, i czommission with the con nt of ti .an:tron renresenting said lic houses, assessed the sum of $21,526.17, costs, attorneys' fees and expenses against these .liquor houses, deducted it from their claims and applied it upon these fees and 'the other ex per.ses of the litigation. This left only a small amount .that the State was called upon to pay as expenses of that litigation. Fourth. As to, the itemized state ments of moneys received and dis bursed, the commission begs leave to state that pursuant to the provisions of the act creating said commission, and the various acts continuing the same, they have regularly rendered reports to the governor of South Caro lina, all of which are on file in the governor's office. and which were printed, and they attach a printed copy of the report up to the first day of January, 1910, in which every item received and every item disbursed up to that date is set forth, the same be ing hereto attached and marked ex hibi't "D." Printed Copy Only. This report purports to be a cor rectly printed copy, but it is submit ted as a printed copy 'only of the cor rect report, which was filed in thE govo rnor's office subject to errors, ii any, of the printer. It may be veri fled by comparison with the original report on file in the governor's office. They also attach hereto a printed copy of a report rendered to the gov ernor, (marked exhibit "E") of theii doings up to January 1, 1911, anc rsutsequent to Jaituary 1, 1910, and ask reference thereto, making th( same statement as to its correctnes. and the same suggestion as to its be ing compared'kwith the original whici was filed in the governor's office, a it made in refernce co the first mn tioned printed report. They attaci hereto a statement of the transactioni had fr6m the first day of January 1911 up to this date, the same being mark ed hibit 'E." The commission woul state as to the matter of attorneys I fees that final' settlement ii, so far a. the commission was concerned wa. made with Messrs. Abney and Steven son, on or about January 1, 1910, an that they have had no expenses foi counsel fees since such date, excep such fees as accrued to the firm 0' Anderson, Felder, Rountree & Wil son, under ther contract heretofore ex hibited. While the contract entered int< with Messrs. Anderson, Felder, Roun tree and Wilson did not obligate tha firm to represent 'the State or the com missioni in the litigation h'ad in thE federal courts, nevertheless, that firn assisted in the argument of 'the cases in ithe circuit cou-rt, athe circuit cour1 of appeals~and the United States su preme court and bore all of their ex penses incident thereto, and received no comyensation .for their s'ervices and expenses in this particular froux any source whatsoever. Their Duties Increased. Fif-th. Replying to that part of your lette'r which asks us to 'state "why the law has not been complied with ir regard to the windinig-up of this mat ter, as provided in act at the earliesi date practicable." The commissior submits that it is. complying with thi provisions of the- 'act r-eferred to aA: expditiously as the best ,interests o: the State will permit. That subse quently _to the 'act from which yox quote, the general assembly passec acts in 1908 and 1909 and 1910, each c' which provided other and further du ties for this commission to perform That the act of 1910 among othe: things directed this commission C< proceed to ascertain the amount ~any claim of the' State against any li quor dealers growing 'out of transac tions with the State dispensary and t< make s'ettlement thereof. This wor] has been pursued during the past yearm and large amounts -of money turnel into the treasury th'rough 'the effort of the commission and its- attorney This work is necessarily slow an' tedious, for tht reason that it is ver ~dificult to discover frauds connecte with suc'h transactions and then fore sttlement with persons who almos 'invariably live in other States- I thi's connection we would advise yo that our attorneys are now at work o claims of this nature from which the hope to net the State many thousand 'of dollars. In United States Court. Fu rth er replyinrg, we wviil say thi n Octobe'r, 1907, a restraining ordi was granted by the circuit court 'the United States in the Garrett c-as which was the beginning of a lor series of obstructions interposed 1 alleged creditors to the action of tl commission in requiring an hone s accounting by the claimants of su< Lt tansac tions as were fraudulently e: a tered inlto )etweenl them and the fo e mecr State offieers. See report of . torney general for year 1908, page d That this was followed by furth d rem raining orders~ in Januar-y, I 9 u aid the appouinent of receivers 1 the circuit ecurt Of the United Stati d An appeal to the circuit court of a e peals of the United States was nece e sary to pro:eet the rights and intere of he Sita This appeal was hea in May, 1'J08, with the chief justice 0 the United States presiding, and th( judgment of the circuit court of th( United States was affirmed by an opin ion filed in September, 1908. Thi1 necessitated carrying the case to th( United States supreme court, where il was argued in February and March 1909, and decided in favor of the StatE in April, 1909, but the mandate wa not sent down until the latter part o! May, 1909, when the commission agair became free to proceed with its busi ness. The commission, promptly after ap pointment, had the books and ac counts of the dispensary audited, ar inventory made of the stock of good, On hand, disposed of the goods or hand as rapidly as the county dispen saties would take them, and prompt ly collected from the county dispen saries therefor, and as soon as th( United States supreme 'court dissolv ed 'the injunction they proceeded t adjudicate the amounts due creditor. as rapidly as it could be done, having due -regard to the rights of the State that amounts of such claims as wer adjudicated to be correct were paid that hearings were had and such pro ceedings taken as were necessary t< unravel the net work of fraud whic] surrounded a very large proportion o the said claims. The legislature in 1908 passed ai act directing them to continue -thei: work; this was followed by a fur ther act in 1909, and followed by further act in 1910, all of which di rected further and necessary proceed ings -o be taken to conserve the in terest of the State. Pursuact to th, mandate of the said acts, this comrMis sion proceeded until it has now, wit] the exception of a few items, conclud ed all matters which iiere in.olv3d ii winding up the affairs,of said institu tion. These acts imposed additiona duties upon this commission, the dis charge of which in a proper manne .2as necessitated their continued acti vities and they have been diligentl endeavoring, and to a conFiderable ex tent successfully, therunder tQ recov r moneys illegall, col-lected from th State by various parties who had n claims against the State when thi commnissiojn was appoimted. Among these claims of the Stat still pending is a claim against th Richland Distilling campany and cor tain stock holders of the said comn pa,ny. Since the 1st of January, 1911 the liability of two of these stockhold ers was settled for the sum of $34,70( The commission is now pressing th company and the other stockholder for a settlement of the balance of th amount claimed to be due the Stat and was convinced that with due dili gence and sufficient time they w~ill bl able to collect largely on this claim~ which is being pressed under the pro Ivisions of the act of 1910.. This work~ as well as the endeavor to collec other pending claims as directed b: the act of 1910 ,is~ very difficult an< tedious, and the commiss.ion earnest ly solicits your counsel anid co-opera tion in order that this work may bi facilitated and that the commissioi conclude its duties at the earliest pos sible -moment Won in State Courts. They would further state that v41i1 in the discharge of their duties unde the act of 1910, a suit for injunctio: was larought against Them :by 'bis Cairolina GIass company, and an ap ]peal was also prosecuted by it fror the decision rendered~ by the commie sion on its claim against the Statn which proceedings had the 'effect c further deIaying the commission i finishing their -work. Both of thes cases have been decided ji our Stat supreme court in favor of the con mission, but the commission has bee ~notified by the attorneys of said .con .pany that they prppose to carry tbn matter to the supreme court of to United States. The commission ar defendants, and haave no means of ent ling these proceedings until the appet is determi-ned by a proper judgmen either of affirmance or dismissal. e The commission has endeavoredi t furnish the information asked for your letter, but if anything has beE omitted, or if you desire any oth aor further information in reference .t;he acts and doings of the co)mmissic Sin winding up the affairs of the di p)ensary, the chairman is instructed furnish you with the same, and i.f yt t do not understand any of the itei or statements in the reports and a couts heretofore fliedi in your ofii.: 2the chairman, with the commissiir accountant, upon your suggestic 7' will go over each item thereof in di te~ail with you. t.All of which is respectfully su mitted, W. J. Murray, Chairman State Dispensary Comm: sic,n. s.st A 1King Who Left Home stthe world to talking, but Pa ~Mathulka, of Buffalo, N. Y., says: 3. always KEEPS AT HOME the Ki1: >- of all Laxatives-Dr. King's New Li .Pills-and they're a blessing to his famnily. Cure constipation, hea atah,indigestion, dyspepsia. On a C P. ~\ Ld 23c. at Win. E. Pelhana & Son's. LI Over Cut GIa: We will giF for cash < China and I~. Low Price 1 This Offer Go *Daniels New"RokWUh WI"Lihe and Durable on C4 Market lV Why qpatented Long-Distance Spindles, to g - oiled without removal of wh.eels. a a Patented Side Spring. -~ grad Stongest braced Body made. qNew style Seat. 'qEvery feature of high class make. ' e Phaetons, Surries, Runabouts of same High Quality. I qlOur guarantee your prctection. 'ROCK H-ILLC SPostal Card To Us Will Bring An1 Agent Y O nce Roic Hill, South Carolina. -. 0SUMMER BROS., I"Rock Hill" Agents, p o Newberry, S. C. Is - - ~ "Wh NOTICE. searci -- I Actin Notice is hereby giv"n thapt on Mon- ,the U day the sixth day of March, i 911, be .tween the hours of 11 o'clock a. m. -and 3 p. mn., we will sell at public! outcry to the highest bidder for cash, before the Court House door in thei Town of Newberry, S. C., all the ac- -- counts, notes' and other evidences of debts due by any and all persons or;fh corporations to the assignied estate of 0. W. LeRoy, a list of which, so far 'hrt asknown, can be seen at the law of-1fit 0 flce of Mower & Bynumn, attorneys, in tads out fe said townl. -- lessniess of 1i Henry 0. Long, Assignee. A*~ d-Geo. B. Cromner, Agt. for Crs. ' I have I!s 2-21-2t. c ry for 30 I Loaded -ON ~sad Chin te 25 per cent off rn Cut Glass and will make special Son Silver Ware. od for Only 10 Days~ & Williamson N ERTJLIZERSL EWANT TO SELL YOU! mie and see us make it. Nothing to hide, shoy you. We know that it is good. do I have to sell you, for less than others t to sell you? Is the(Mill not yours and I not one of you? We make only two es: 8.4.4 Pilot Boy. 9.2.2 Purefood. ariers 011Mill,~ J. H. WICKER, Manager. - f. 'ize Offers from Leading Manufacturers I ok on patents. "Hints to i-ventors." "inventions needed." [ some inventors fail." Send rough sketch or model for iof Patent Office records. Our Mr. Greeley was formerly. Commissioner of Patents, and as such had full charge of S. Patent Office. ty Tears Together. fcough and cold cure I ever used." Once it finds entrance in a home you can't pry it out. Many families have ear of association--thinlk us it forty years. It's the most in th merit of a good thing fa. ~e throat and lung medicine on in that ime-or the worth- eart Unequaled for lagrippe, asth a bad one. So there's no ma, ha., -fever, croup, quinsy or e cord. Mich., ho wrs-' lungs. Price S0c, $1.00. Trial bo d r. King's New Discov.- Guaranteed' by Wmn., E. Pel years, and its the best J & Son. -- -