Historical Newspapers of South Carolina

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Tillman's Bond Deal. History of a Peculiar South Carolina Refunding Plan. From tbe New York Times. BALTIMORE. June 3 -Senator Till- j toan, of South Carolina, has been ; very free with his criticisms jai the i National Administration for its man- j uer of conducting bond operations, j and in the recklessness of his ! rhetorical frenzy has not hesitated tc I impute improper motives to . the President and Secretary Carlisle In view of these facts a little history of one of his own bond deals is instruc? tive and interesting. About $5,250,000 of South Caro-. Hua 6 percent bonds fell due July ' 1, 1893 Tillman was Governor of the State then, John G?ry Evans, tbe Senator's closest political and personal friend, and said to be slated as his.colleague in the Senate, was the Administration leader of the Legislature, and Dr. Bates was State Treasurer. The Legislature, at its session in 1801, adopted a refunding bill, sug? gested by Governor Tillman. This provided for an issue of ?6,000,000 4 per cent, bonds to fond the out? standing 6 per cents, and Treasurer Bates and the Governor were ap? pointed commissioners to manage the matter in behalf of the State. The acts of Messrs. Tillman, Bates and Evans are outlined in the evi? dence in a suit developed in this city for the division of the commissions involved in the transaction, the brokers and the syndicate which took the bonds having quarrelled ! The action was brought here because the funds involved were held by a Baltimore trust company. The evidence shows that one of the first steps taken by the commis? sioners was to give a monopoly of the entire transaction to a Mr. Rhind, a broker of Augusta, Ga , whose name does not even appear jn the commercial reports. Mr. Rhind testified that early in 1892 he was j approached by Mr. Evans, now Gov- ! ernor, and asked to place the South Carolina 4 per cents He obtained exclusive option on the entire trans action from Governor Tillman late in May, the contract being that he was to receive a commission of 5 per cent, on the $6,000,000-a matter of $300,000. Mr Rhind failed to make the trade, however, and in October sur? rendered his option. Then Governor Tillman and Treasurer Bates took a turn at it They visited New York j and roamed through Wall street. On returning home they declared that a 4 per cent. South Oaiolina* bond would not sell even at 95, attributing the State's poor credit to the course of Charleston bankers and other political opponents of the State Ad-1 ministration. Mr. Rhind again was called in to j take the job in November, 1892. He j . managed to interest a New York 4 broker in it, after hiving exhausted ! all his own efforts and influence. And bete the curious fact may be noted that Mr. Rhind testified that he at first did not approach this broker on the subject, although maki?g headquarters in his office, regarding j him^as too small ari operator to nn ? dertake eo big a trade. Yet this broker is rated high in reports, while Mr. Rhind, who controlled, the op-1 tion. and was trying to use it, is not ? rated at all. With the assistance of the New j York man a syndicate was formed, j headed by the ?ate F. O. French, of j the Manhattan Trust Company, which agreed to take $5,250,000 of 4 1-2 per cent. South Carolina bonds on a nominal basis of par fiat. This ar? rangement fell through when ?ir. French died. The New Y^otk broker then enlist? ed the aid of a Richmond broker, and the two again went to work, the Legislature having met.in the mean? time and started its machinery to pass a new refunding bli!, which, it now appears, by the evidence of the persons interested, was suggested by the brokers, through Rhind, to Till? man and Evans. Mr. Evans was not only the Administration representa? tive and leader in the Legislature, but he was at the same time the attorney of Rhind, having been engaged in that capacity, according to his own sworn statement, when Rhind was ap- j pointed fiscal agent. j It is, therefore, established by un? doubted and unchallenged testimony that Governor Tillman not only let out the job of selling the bonds of his own state exclusively to one man , mouths before the time of sale, but ? permitted brokers in Wall street and ! elsewhere to dictate legislation to his Legislature and allowed a paid attor- j1 ney of the purchasing parties to con- j struct and steer through the Legisla- ! ture the Act under which the bonds j were to be issued. j. The Act provided for ?5,350,000 ! - 4 1-2 per cent bonds, to run twenty j j and forty years. These bonds were i to be dated and issued July 1, 1893, , but they were to begin to bear inter? est as from January 1, 1893. In I, other words, a bonus of six months1 : Uterest, or 2 1-4 per cent, amounting j i ito $118,000, was offered to whoever j, would take the bonds and pay dollar ? for dollar for them. The syndicate organized by the ; : New York and Richmond brokers j i agreed to take the bonds at par and j ( to accept three-fourths of 1. per c? of the bonus, amounting to $39,0| making the net cost of the bonds its members about 99 1-4. The maining 1 1-2 per cent, or $73,0( ostensibly went to Mr. Rhind, t man who had been chosen by ) Evans, the Administration leader the Legislature, the man who 1: em. ^yed Mr. Evans aftd Major W. Gary, Mr. Evan's uncle, as his alt neys, and who had the option on I entire bond issue before it had be provided for by the Legislature. It does not appear that Mr. Rni took any active part in the organi: tion of the syndicate. It is. in e dence that he borrowed ?500 fr< the New York brokef with which meet his traveling expenses. The is nothing in the testimony to sht what services Major Gary who a citizen of Georgia, performed, t the sworn statements show that was paid $1,000. Governor Evar who was supposed by people in Sou Carolina to be acting in the inten of the State, testifies that he car North in Mr. Rhind's ^behalf, a after the squabble over the divisi of the commission arose urged on t members of the syndicate the pr priety and justice of allowing .V Rhind to receive his share, then ti? up in the Baltimore Trust Compai by litigation. The expense accou of the syndicate shows that Gover or Evans was paid ?100 attorney fee and that Treasurer Bates w paid by the syndicate ?2,330 88 f "services."{ Mr. Rhind testified that he had n yet. so far as his part of it was co cerued, paid Governor Evan's fee learned what it would be It a pears on the recorc. that at least tv of the three State officials active engaged in the negotiation of tl bonds were employed and paid fc the purchasers. The impression given to the persoi most actively engaged in behalf of tl syndicate at the time is clearly set fori io the testimony. Certain members the syndicate expressed curiosity an interest, natural, perhaps, io the ci cumstaDces. They ioquired why it W? that of ?118,000 bonus offered by ll State to purchasers of the bonds, on! ?39,300 was available for the actu; purchasers who were to furnish tl money, while $78,700 was to go to Mi Rhind. who was furnishing no mone and apparently taking Dd active part i the dicker. The Richmond broker toi them he understood-presumably froi Mr. Rhind-that the bulk of that sui was to "be divided amoDg parties i South Carolina vho had political infk ence.". The New York broker, wh was in close association with Mi Rhind, aod whose opportunities fe kuowledge were best of all, replied tbs they "would better not investigat tLat ; that it was to go to people wh would better not.be known." ' It reads that way in the testimon taken. When Mr. Rhind was on the stand he was not pressed regarding his use c his part of the boous, and offered o explanation. It is not in evidence in this case, bu it is a fact capable of easy and diree proof, that Mr. Rhind, while holdiDj the option O?I the bond issue and en deavoring to induce He formation of ; syndicate to take ii, stated that h would not get more than eoough froa it to Day for his rime and expenses. ? is also true that, members of the syoui cafe who were willir-; to dea! direct!} with the State and take the bonds foi a commission of three-fourths of 1 pei cent were officially informed that nt proposition could be considered unlesi they were sent through Mr. Rhind that not even an offer of par net, with? out any commission, would be consider ed, although at that very time Mr Rhind was demanding at 2-| per ceol commission. When the time came for division ol the bonus of $78,000 the New York man took ?20,000 and the Richmond man ?5,000, for .special services aud expenses. Mr. Rbind got ?48,500, and Major Gary ?1,000. A peculiar and perhaps significant circumstance is that Mr. Rhiod took bis ?48,500, no? in one draft on the Baltimore Trust Company, but in three separate drafts, all payable the same day-one for ?25.000, one for $9,000, and one for ?14,500. To sum up, accordiog to the sworn evidence on record : Mr. Rhind, who bas no special prom? inence or standing in business circles, and who was not a citizen or resident of South Carolina, was approached by the present Governor, Evans, then the re? cognized Administration leader in the Legislature. He was given by Governor Tiliman and Treasurer Bates an exclusive option to place ?6,000,030 4 per cents at a commission of 5 per cent fourteen months before the time for the bonds to be issued. He failed to effect this, and Governor Tillman declared that, after a personal visit to New York, he became con? vinced that a 4 per cent bond could not be placed. The Governor again gave an exclusive option to Rhind to place a 1 1-2 per cent loan. The syndicate formed to take this fell to pieces. For the third time Mr. Rhind was giveo the i exclusive option. The men who composed the syndi- j jato got ?39,000, or three-quarters of \ 1 per cent. The men who organized the syndicate got. from Rhiod ?25,000, j r>r less than one-hair of 1 per cent. Mr. Rhiod realized ?49,000, or nearly j 1 per cent, on the option given bim long i o advance of the time for placing I 'he ioan. So far a? that part of it is j 30ocerned it appears to have been a free ; gift from tbe State of South Carolina to a chosen citizeu of Georgia, who employed the present, Governor Evans and h's uncle as his attorneys. The 8-,OOO and odd paid Treasurer Bates by the syndicate is said here to have been for servicies io removing the mooey sent by the syndicate from Charleston to Columbia Governor Tillman demanded that the syndicate pay fur its bonds io cur? rency in Columbia. That was in June, 1893, just about the time of (he panic, aod it was represented to him that tue curreucy couid not be obtained except in silver, which would load six freight cars. He replied with tbedeclaratioo that tbe six cars should be delivered to him at the State line, aod that he would order out the troops to escort it ro Co? lumbia. "By -," be exclaimed to the banker who was negotiating with him; "you cao'r scare me by threatening to pay io silver." But he was finally pacified aed induced to accept exchange 03 Charleston. It is possible that the continued em ployrnen of Mr. Rhiod and the renewals of the exclusive option to bim were the results of confidence be inspired io his ability and that his fortyoioe thousand dollar commission ie his exclusively, not to be shared with anybody, lt is also possible that tbe duties of Mr. Evans now Governor, as attorney for Mr. Rhind did not interfere with or affec; bis actions and course to the Legislat ture aod that he could and did separate bis private interests and bis public du? ties entirely- It is further possible that State Treasurer Bates earned the ?2, OOO paid him by the Syndicate fairly and fully In the language of Marc Antony, they are "all honorable men." lt is not possible, however, for Til 1 ? man and his followers, in view of this transaction, with any consistency to accuse the President and Secretary Car? lisle of mismanagement, waste, favorit? ism or worse, or denounce with horror tbe idea of attorneys or members of trusts, orcporattoos and syndicates sit? ting in Congress.' . - - Gathered in Augusta. Tillman, Evans, Rhind and Gary meet There. Specal to The State. AUGUSTA, June 7.-All of the principal parties who were connected with the South Carolina bond deal, again brought so prominently before the public by the charges in the New ' York Times, are in Augusta, with the exception of State Treasurer Bates Governor Evans came here yesterday and t? day Senator Till? man arrived, although it was sup? posed that he was still in Washington. Mr Rhind and Major Gary live here The presence here at this time of all the parties concerned particularly in j view of Governor Evans' statement j that he and Treasurer Bates would reply to this article in The Times, shows that they have ail been awakened to the gravity of the charges at last Senator Tillman, now better known as Pitchfork Ben, came down from Washington on Tuesday. Ile has been spending a few dcys quietly at his home He will not return to Washington before congress ad? journs. When I asked him about the bond matter he said he would not reply to Thc Times aiticle; he no had time to notice every such charge "made by lying correspondents'' of newspapers, and when the charges were presented in some form by a responsible party he would answer them. If Govenor Evans and Dr. Bates wanted to an? swer, al! well and good. He said he was in Augusta en route to Indiana, where he will deliver a series of speeches this week at Lebanon, Car? terville and other points. Next week he will deliver speeches in Ken? tucky. Senator Tillman says there is now r,-~ question about the attitude of the Chicago convention as to free silver. Kentucky's action made the result cocksure. He says it is bound to be for free silver from first to last He is of the opinion that a Democratic national victory depends on the man placed at the bead of the ticket. He says Boies is now considered the most likely man in Washington, but he fears Boies is too recent a convert to Democracy to win. He says the Republicans are beginning to show signs of great uneasiness Tillman does not talk of his own I boom at all. He says the Chicago convention is going to be for 16 to 1 all right, but the "bust is going to be made by the gold bugs." E J. W. --.???-. - Cycles and Railroads. A London correspondent of tbe Paris .Messenger, in speaking of the usual and general exodus from ??lat city during the Whitsuntide holidays, says that the excursions from metropolis were almost wholly made on wheels. On Whit Monday it was impossible to hire or : even to buy a bike in London. The railways begin to feel the effect of their form of transportation, which exceeds the most extreme anticipations At tbe j same time the rush for bicycles was a sort of relief for railway, omnibus and j other vehicle passengers, which the rap- | id transit companies, however, did less j enjoy than their fugitive customers, j A sad side of tho matter appears in the j statement th;.f business is seriously af? fected by thc es pensive new craze. Baltimore Sun. \ i Visiting Condemned Men. HABANA, June 7.-Consul General Fiizhugb Lee to-day visited the men who were captured on the filibustering American schooner Competitor aud who are now confined in toe Cabaua fortress under sentence of death. General Lee found the prisoners lodged in unhealthy quarters and will request Captain Gen? eral Weyler to order that they be given better accommodations The consul general also saw Julio Sanguiliy, ac American citizen, who is under life imprisonment tor conspiracy against the peace of Spain ami whose case is now before the court of cassation in Madrid It is said that Gen. Lee, as a special favor, requested Captain Generai Wey? ler to release Mr Dawiey, the corre? pondent of Harper's Weekly, who wa arrested a few days ago. The requeat was granted aod it is expected that Dawley will be released from Morro Castle to-morrow. Amazons in Cuba. Key West, June 7.-It bas been learned here OD undisputable authority that Maceo bas an army of 20.000 men and they are strongly fortified in the mauntains of Pinar del Rio, the Span? iards having utterly failed to drive them from their strongholds. Maceo has eight caonou, two of which wore cap? tured from the "trocha'' on his recent attack, when it was reported that he was repulsed The report that Maceo bas four com? panies of woman soldiers has been con? firmed. The Cuban women have such a dread of Spanish brutality, that, many of them prefer fighting on the battle? fields beside their husbands and broth? ers to being thrown into the forts at the Spaniards' mercy In Maceo's recent attack on the tro? cha, these amazons tockjpart aod fought ?ercely, u*ing machetes on the Span? iards. -The attack was made north of San Marcos and General Bermudez crossed into Habana . province vrith 1 500 men. -_mr>- ?-???? -tau TOLEDO, Juoe 6 -AU the Toledo bi cyle factories except two, aod which employ altogether about. 6,000 men, arc to shut down for au indefinite period next week. This is said to be the first, movement towards curtailing the out put of wheels, and the primary object of which is to force prices up to the $100 notch on standard machines. It is further stated that the factories in many other cities are to follow suit. Pianos, Organs and Sewing Machines sold on easy terms, and exchanged for old ones at the S amter Music House, in Masonic Temple Thousands ol Women: SUFFER UNTOLD MISERIES. BRADFIELD^ ACTS AS A SPECIFIC ? By Arousing to Healthy Action ail har Organs.; It causes health to bloom, and! ' joy to reign throughout thc frame. It Never Fa?Ss to Regulate... "My wife has bern: under treatment of lead , lue physicians ttnve years, without benefit. .Afterusliifr tiiree bottles ol' BKAPrlEL?'?. FEMALE REGULATOR she can do her own] 'cooking,miikinc and -nishintr." ST. S. BRYAN. Henderson, Ala. BRADFIELD KEGULATOH CO., Atlanta, Va.] Sold by druggists at SI. CO per bottle. Chamberlain's Eye and Skin Ointment Is unequalled for Eczema, Tetter, Salt Rheum, Scald Head, Sere Nipples, Chapped Hands, Itching Piles, Burns, Frost Bites, Chronic Sore Eyes and Granulated Eye Lids. For sale by druggists at 25 cents per box. TO HORSEOWNERS. For putting a horse in a fine healthy con? dition try L>r. Cad"'s Condition Powders, They tone up the system, aid digestion, cure loss of appetite, relieve constipation, correct kidney disorders and destroy worms, giving new life to an old or over-worked horse. 25 cents per package. For sale by druggists. For sale in Sumter, by Dr. A. J China. TASTELESS KS JUSTAS GOOD FOR ADULTS. WARRANTED. PRICE 50 cts, GALATIA, ILLS.. Nov. IG, 1S33. Parir. Medicino Co., St. Louis, Mo. Gentlemen:-We so?ct last year, WO bottles of GROVE'S TASTELESS CHILL TONIC rind have beucht, ihr^e ^n-ss already thia year. In ai! 'W ex? perience i?i 14 years, in the driiu business, have never sold an -?niele that gave such universal sutia ?actiuu as your Tonic. Yours tm ly. ABNEY, CARR &CO SOLD-NO Cure. Xo Pay, t?y A. J. Chin* J. F. W. DeLorme, J. S. Hoghson & Co. F. W. DeliORjTIE, PHARMACIST. Prescription Specialist. Prescription department in charge of graduate of Philadelphia College of Pharmacy. List of Soda Water Drinks for this Season : : Our Omi1 Lemon Phosphate-ocer 5,000 glasses, dispensed last season. Apricot, Banana, Blood Orange, Cherry Ripe. Pineapple, Plum, Quince, Red Messina Orange, Red Currant. Tuti Frutti, Peach, Chocolate, Lemon. Vanilla. Ginger, Rasberry, Strawberry. The Above Flavors in Ices or Soda Water. Fruit Phosphate, O-ianse Phosphate, Raspberry Phosphate, Wild Cherry Pbo-jhare. Grape Phosphate, and others. . Ice Cream Soda, Milk Sh?ke, Egg Phosphate, Egg Lemonade. Lemonade, Lime, Coca Cola. Wine Cocoa. SOMETHING NEW EVERY FEW DAYS DURING THE SEASON. Prices same as last season* "TROPICAL FRUIT BLEND;' THE PLACE TO GO. F. H. WARREN, Manufaturer of all kinds of Harness and Saddlery and Dealer in HORSE BLANKETS, LAP ROBES, TURF GOODS AND GENERAL STABLE SUPPLIES. First Class Work and Satisfaction Guaranteed. SEND FOR PRICES. . 223 Meeting Street,. Charleston, S, C, Oct. 16-0 BEAUTY HATH CHARMS and all the charms which beau? ty likes best to don are shown in our grand display of fash? ionable jewelry for this season. Jewels like these would en? hance the charms of the most fascinating belle, and surely no fair one would despise such brilliant aids to her beauty. Like personal loveliness, they conquer admiration on sight ; they score new victories at ev? ery inspection. Those who look over our stock do not willingly stop- with examina? tion. Beauty may nov/ be made easily irresistible by a few judicious purchases from our display of up to date jew? elry. L. W. FOLSOM, 'Jeweler and Optician, SIGN OF THE BIG WATCH, Oct. 16. ?,AJC-iKS deeding atcnic. CT children rho want build inp: U??. should take BROWN'S !K().\ BITTERS. It is pleasant to take, cures Malaria, luci, gestion. t?iliousce.is and Liver Complaints. NOTICE. To inj Moirs aili tie Pile. 1AM FORCED TO SELL ALL MY MEATS for the cash from thia date on-aod Strictly Cash-over the counter. Thanking yon for past favors, I ask continued patron? age uoder the above rule. EUGENE HOGAN". May 30, 1896. OTTO GARHAROT, FLORIST AND GARDENER, INFORMS HIS CUSTOMERS and th public that he is prepared to furnish fine ?rticles in Fruit Trees, Ro?es and all kinds of Flower Plants, Also Calla gt" Plaids and other Varie? ties of Vrgetnhle Plants. 100 Cabbage Plan rs S .25 1,000 " ' " 2.00 100 Pansy Plants, 1.00 He offers bis services to lay out gardens and "nd them in good shane. Reasonable terms. Men 1 . GUARANTEED IN WRITING. Stu? dents complete in HALF the time at HALF the expense required elsewhere. Ten to thirty placed monthly. Actual Business Depart? ment equipped with genuine commercial bunk and office fixture?, superior to the equipments of any other college it) America. Purely prac:ical instruction and daily drill :n real bank and office transaction. Penmanship by the only graduate pen-ariisi. in Georgia. The only Southern College tully abreast with the Spirit of progress and teaching Electric Shorthand, the lightning system of the cen? tury. The only college which it is cheaper to attend Mian to remain idle. Premiums t.om Four Expositions. Enrollment 700 i|pr ver.r. Address at once GEORGIA BUSI? NESS COLLEGE, Macon Ga. Nov. 6.-o SUITER RESTAURANT. MEALS TO CEDEE AT ALL HOTOS OYSTERS AND GAME IN SEASON. Special attention io Lunches for Ladies. Prices Moderates Your patronage solicited. Liberty Street near Watchman and Southro7i Office. Oct. 2. ? . Just Opened, ALL FRESH GOODS, LOW PRICES. J. A. FOXWORTH Inform? his friends and the public generally that he has opened a choice stock of Family Groceries, j VEGETABLES aili FRUITS, In the Tuomey Block -fourth store North. He invites all to give him a call, and will try by offering the best goods at bottom prices, to give satisfaction. J. A. Foxworth. Oct. 16-v. BUY HONE BOT THE GENUINE. 8:C00 Merchants sell Hawkes' Spectacles successfully. Half of them handle other Spectacles wi;hout success, Showing the Grear Popularity of HAW? KES' GLASSES over all others. These Famous GUsses are Stted to the eye at A. J. China's Drug Store, Sumter. S. C. Deo. 11- o. HARB Y Sf CO., WHOLESALE BROKERS, Cotton Storage Warehouse PROPRIETORS. UP-TOWN OFFICE: COURT HOUSE SQUARE, 500 Tons Ammonialed Guano 500 Tons Acid Phosphate. 500 Tons German Kain it. COTTON SEED MEAL, AND MEAT SALT FOR SALE. GET OUR PRICES. We keep on hand a full line cf heavy groceries. FEED AND SEED OATS, DRY SALT MEATS, LARD, MEAL, GRIST. FLOUR, SUGAR, RICE, COFFEE, POTTED MEATS. Ac, tc. ???" Correspondence solicited Nov. 27. Hardware, Cutlery and Guns, WOODWARE, TOWARR, POTWARE, AGRICULTURAL IMPLEMENTS For sale at lowest market prices. MARSHALL, WESGOAT CO.' CHARLESTON, S. C. Ocr. 16-x. DENTIST. ot?, ce 0."2I1 STOKE OF SUMTER DK? GOODS COKPAXY, -utiauce on Main Street. Between Dry Goods Co. aod Dur.-in; & Son OFFICE HOURS: 9 to 1.30 : 2 tc 5 j :!ock. April 9. 2