PnbUd&ed Srasy ^Toilaeodayr,
Osteen>
^ SUMTER, S. 0
$1.5Ct i r ranno^
. . . ."? . . ? ? O
? i^S^^^^^' BOOK
tm m i Sektor Li T oraton, ol Marlboro;
o Richracd ;
< :m f t ^fo^ijave^& oifi. He itt
V aove BO attorney, so cc f ent is be that
;'. . tttemoiag will be feojsd ali right
m teos&** ?> latirte tjoMBltatioo with
J trJofeo Taylor, ibe expert bookkeep
', cri/o ejeeiito * the aha pe
CjfMpg^ io what fett* Mr. Taylor's
tiS fae te fist to fae lalteo thia afar
, s||e^^
. ;^St^^^^^^^^^tore ' were ia
; ^^ Sk sod Ce ooel Neal
o^^oeorferoose to^ay ia reference
to iurotag over tbe iastttotoo. This
wES bo doee oe ^rday, tboogb the
trassier will not be made
nts! several/ da$ 4ater, after farmi,
' j^^^1** Jospectod.-^rombia
^TWL AFTERNOON SESSION
teated that he had beeo
a boctitOftoera tba State treasury lor
elOtta^^ ^T^y boc*
TP S ^-oo tskei whether there
\ Itr. Toyicr replied toot there war
OI^HOf tfr indice* ny dmboocoty
tSaoe wore merely clerical errors- ia
bookkeeping. Io posttof rho dodao*
- mi'9m^m'?^?zsMm^JmMvs?
?? \kif M6tA from the credit side The
$10 mod $24 were odditioe* to th
er o*H sioo. Tho balacee theo woold be
$6.909, to be oodooted from the credit
de of thc pr oo accoooi. He timk*
those are credits doe to that account,
bot he has not had lime to io vessigate.
Io reply to Col. Meat be said that be
did not say that the penitentiary ia
short/ The $6.809 meaos that there
i oefiso* io cot potting dows on the
i ledger figores amoootiog So that m nob.
S^ iLu be eool es there is no reason
to eojtoeoe thal tae-ttatoe of thc peni
ter tiary ia wrong. He did not Cfitefc
aoyrfffttf wron*except what be Oofi#
errors in bookkeeping. That ii a* 1er
as fcc could judgr from hitexsiyo^|
fer sotd : 'Thia aoooot arcset m
the fa lore to carry tho figures Prom ae
book to eaotber. If all tho items hod
properly traosferrecl tho accountmight
Off OOrreOt.'*
Gal. Neal remarked, sottc-voce:
that's all right"
Ohairtaao Cen oin ghana, of the boord
of directors, was the ext witness. Ho j
bas boco chairman eight yearn, eioee
Col. Tolbert weat into office. As to
tho hiring of ooo?iete, he said they
were hired io radons ways. Cash or
, credit plans wore adopted. G yeerall y
shoot Norember the contract matter ie
taken op. Tho directors first decide on
what turpin* lober they woold hove and
a to its price. Tho superintendent is
then instructed to place it. A contract
io required, and a sufficient bond is also
required. Notes have beeo takeo for ;
labor. In regard to disoouo s, one
time last jeer the superintendent was ;
io at rooted if fae mode nofcea to fio them
so they could be discounted. Previous
^'oo^fehoi ho did tat think it bod been
doDe. It has been reported from the
! Carolina National Bank that there were
past doe several notes. Oae note was
by C. W. Barsdale for $2,000. doe
December 24.1898 ; another of W. W.
Rassell for $600. Thea there was a
balance of note of Mr. Scarborough
of $48, bat that hae been paid op'. J
B. Watson had a cheek for $2,600;
which was unpaid wheo the witoeas got
this talement from the bank, ten days
ago. He presumes that the Bagsdale
and Bosselt notes were endorsed by the
superintendent, tioogh he did bot
know. The $2:o^ ^
take op a note of B. B Bagsdale.
Witoess got the note by depositing the
cheek, whir1* was a five day: piper on
an Anderson bank.* lt waa held up and
not paid by Mr Watson. There are
oo records in tho penitentiary as to this
soto. We moon a contract io 1896
with Mr. Watson for three years.
Settlements were made io 1896 and
and 1897 io cash. We pr same this
note wat made for the parp se of mak
ing thc settlement The/ penitentiary
was liable through the endorsement of
the foperlnteodent. The directors
were getting cash, and they did oot
know anything about these notes. He
first learned of these notes during the
Legislature, about the time of the
eleotiob fer superintendent The con
tract was made with Watson, though
he used the cooricts on a farm formerly
owned by Col Neal.. He did not know
how the Ragodales got mixed io it.
Mr Watson had told witness that he
had a lease of the fawn. As to tba C.
W. Bagsdale. note, it is the same io
" amount as that dna for ooo.vict bira by
Mr. Watson ia 1896 He. knows
nothing about the Rassell oote. He
thinks Rossel 1 is a railroad contractor
sod his home to Anderson County. He
baa asked Col. Neal shoat these notes,
but be did not get any information ex
cept that they woold be settled Wat
son** contract for 1898 is unpaid The
ooo tract is for about $2 500. He could
god no bond with the contract. W. H.
Hammond, oo the books, is doe. about
$700. He denies that be owes it,
claiming to have paid it to Col: Neal.
Itjdoca oot show on tho books. The
fame Cooley and Fowler
contract, for about the same amooot.
The Flywell account is also claimed to
have been paid to Gol. Neal. Cooley
is a different maa from Cooley, euperin
tendeot of one of the farms W. W.
Rassell sod Col. Neal are hrotbera-io
law. As to the produce made oo the
farms,' great deal is consumed on the
farm. Cotton and oats are about all
that is sold. The rest ie used ta \ the
maintenance of the penitentiary. So
with the.meat
By Mr. Livingston : The contract
with. Watson was ade ia 1896. It
was ia writing. It was ko own that
tho eoaricts wera to worfcoo land of
Coi Neal's. Mr. Wofiwm reported be
had the land leased. He could not see
anything^ wrong in it. He presumes
that tba C W Bagsdale note wa* for
the payment of the first year's oostraot.
Ho does not know who C. W. Rags
oak is, bur has heard he is a brother of
isa other Bagsdale, who works for Mr.
Watson.
By Mr Stevenson : Contracts bare
bass atade this years for about 263
coorie U, which ic cindee the Clemson
coo viet . The Penitentiary gets shoot
$6 per mooth for a farm hand. The
maa waa hires pays lar food aod tho
guard. The balk of the contiots b *ed
ibm year go to Anderson County. Mr.
Watson, Mr. Hammcod, Gooley and
Fowler baso some. These contracts
were brought ap for approval, aod the
board at first refused to approve. The
mea pleaded that they would settle op
their accounts, although they claimed
not to owe the mooey, rather than lose
the contracts.. Mr. Watson's contract
ss not for work oo the Neal farm. . He
assured us bis indebtedness would be
paid. None of those in arrears have
paid ap to the present.
By Mr. Hay : The superintendent
sold the oats on orders from the
directors The cotton was sold io
various markets. The board has every
reason to believe that these sales were,
honestly mads. They all knew what
bad been made oo the farms.
By Mr. Patton : The contractors
who o'aim to have paid Col. Neal said
they had receipts, bot they did not
produce them They came to
Colombia to renew tithe ooo tracts aod
brought oo papers with them. The
board authorized bim to make the col
lections, bat BO action was then taken,
to investigate whether they had paid or
not. Tots waa to be done at the present
meeting, and the delinquents bad been
warned that they most settle up
J. 8. Fowler, Of Cooley k Fowler,
came next. As to the balance against
bim tn the peaitentiary report, amount*
ing to over $800, be said that be had
paid Gol. Neal $500, with which be
had not been credited. He first knew
of it in August wheo the bookkeeper
sent bim a bill. The money was paid
oo February 24, 1897. He pr od coed
a receipt io the shape of a draft, which
wt8 marked paid. It was drawn on
bim by Coi Neal. There were ex
pense accounts, ' loss of time, etc.,
j which reduced the amooot be owed,
[aod which bas been settled by bim.
j There was so understanding that the
mosey would be paid, but they didn't
expect to lease again. At the time i
was brought np Col. Neal was sick
but be did not remember exactly wba
arrangement was to be made. Bat th
matter was to be left open. Col. Nea
was to go up tbe country, and get tb
money. Col. Neal waa to settle witl
me. The contract was renewed wit!
that understanding. If Col. Nea
arranged to secure me for the money
was to advance it to him. He sa!
Col. Neal who said he bad travelltni
expenses and aoooaots which wooli
balance the matter. No arraogemeu
to settle the matter has beeo per foote
just yet, but be would know before b
left Colombia what was to bo done.
At this point the committee took
recess undi to-morrow morning at 10.31
Mr. Cauategbam will probably be re
called aod other mern bera of the boan
will be witnesses. Mr. Watson is bore
and it is said that he is to settle up hi
aeoooota at once. He will also be a wit
ness, as will Mr. Hammond, wbi
claims to have paid Col. Neal.-Cor
News and Courier.
V
From Colombia Record, March 9.
The investigation was resumed at
10.30 this morning, Mr Fowler beinj
on the witness stand He repeat ec
that he had not received credit foi
the $500 he had paid to Col Neal bj
draft Taking the expense accounts
etc., they might take np the amount
The discrepancy is in reference, to tnt
draft of 1895.
Mr. RB Watson was next sworn
He was shown a contract and said il
was for work on a plantation h<
owned, which was formerly ownec
by Col Neal He acquired it ir.
1893 For 1896 '9* '98 he did no1
work convict labor under the con
tract Cql. Neal worked it He
resold tbe- farm \ Col Neal foi
$14,000-a credit transaction. Hi
didn't remember whether it wai
before or after the contract for . con
vieta was made, but thinks it after:
Papers were produced showing that
the convict contract and the transfei
of land was made on the same day.
He got no convicta during/96, 19tJ
98 for bis own ase.
Referring to the penitentiary re
port for 1896, he is credited with
pajtng $2,000 or more for convict
hire ; he said he knew nothing:of it
He supposed if he was liable, it wai
under the coniract, but he never
used convict hire, io January, 1897,
he is credited with paying over $300
as a balance for 1896. He denied
that he owed any balance In April,
1896, he was credited by the report
for $1,482 7 5. He was not positive
whether he had paid that on the
settlement pf hie contract, which ex
pired in 1895 Since theo he bas not
used one hoof of convict labor. In
1896 Mr Burris* wrote that witness
had given a note for the hire of con
victs for that year. The cotton raised
on the Anderson a*d Pickens farms
waa sold to factories. The balance
coming terme to pay for tbe land inn
turned over to Col. NeaJ; The amonni
wae$l^65.85 It was to be credited
to payment for convict labor He got
a receipt signed by Superintendent
Neal, Mr Stephenson remarked
that there was BO credit in the report
Mr. Watson said in letters and from
peraonal statementa from Gol. Neal
he was told that ell accounts bid
been balanced np he supposed it was
correct. Col. Neal ran the Pickens
farm. C. W. Ragedale superintended
the Pickens farm and B B. Ragsdale
the other He didn't know exactly
how many convicts were worked.
Aa to the check for $2,000 given by
him, he said his attention was calleo/
to it when be read the report for the
paoli year. He looked over the report
and found bis name appearing as due
$2,574. He made inquiry. It was
not in conformity with the agreement
and he asked Mr. Bur risa about it,
who said the account in my name
amounted to $2,800. But some ex
pense would have to come off,
amounting to $200. fie saw Mr.
Cunningham, who showed him a
memorandum furnished him by the
Carolina bank on which the Bagsdale
notes appeared. His impression and*
mine was that the B. B. Ragvale
note wa for convict hire for 189&
and that of C W; Rosdale.for 1897.
.Then he asked me" io see if 1 conic?
arrange matters, stating that Col.
Neal bad said he had about 250 bales
of cotton unencumbered. Col. Neal
was sick, bat be told me that he bad
about- 175 batee. Considering his
prostration and the fact that fae had
promised to pay $2,700, and knowing
that I would be protected by the
land, I gave Mr. Cunningham a draft,
and also in consideration of the state
mest which had been handed to me
by Col Neal in reference to convicta
hire for 1897.
He said it was painfnl to have to
tell the reaeon why he recalled Che
draft. It was a ten days1 draft. Hie
first draft waa for $2,600. Mr. Clark,
of the bsnk, didn't sppprove of this,
and another was drawn on January
25, 1899. I expected to get $2,700
from Col. Neal, as a third payment
on the land. Io November be stated
be would be able to pay it and went
on to say something about the bal
ance. He said he bad arranged to
borrow tbe balance. One man prc
posed to loan it to him ior 7 per cen
payable semi annually : another at
per cent, annually. He asked m
about it and told kim if he lost bi
job he would advise bim to take tb
8 pir cent. As to why I notified tb
bank not to pay it was in consequenc
of papers on the cotton which wooli
prevent me getting it. There waa t
$2,000 note in tbe Farmers7 ant
Merchants' Anderson bank whicl
Mr Fowler bad endorsed and whicl
bad gone to protest. Mr. R M
Burris, and Mr. J. Q Hammond wer
the other endorsers. The note wa
made bj Col. Neal. They notifie*
Mr Ragsdale not to move any cottoi
from the farm. He weat over to tak
the cotton to eeU it and meet th
draft, when he waa notified tbs
others bad a lien on it. Theo he Joli
the bank not to pay the note. H
has never ascertained from Col Nea
what those Bagsdale notes wer
given for
He had told Co!. Neal be ba<
given the draft and Col. Neal tob
him that if he had had the opportun it;
he would have advised witness no
to have done it I told Col Nea
that he knew that I was not morally
responsible for the hire, and Col
Neal replied that was true. Col
Neal's general tenor was that hi
himself was responsible He said so
He said Col Neal-told him that bi
had informed the board of the trans
fer of his contract, and he wa
shocked when some of them told hin
they knew nothing about it Hi
was dealing with Col Neal as at
individual and did not know tba
there was anything contrary to lav
in the transaction. ,
In answer to Senator Livingstoi
he said there was no secret agree
ment so far as he was concerned
He had. nothing to conceal. Hi
didn't know whether the board knev.
aboat the reconveyance of the farm
He said tbs he had told the boan
that he dicl not hold himself Habit
for the hire. This wheo Mr Cnn
ningham showed him the memoranda
daring the session of the legislature
He could not remember whether h<
had made the verbal agreement wi tl
Col Neal abont the use of the con
vieta before or after he made the con
tract for convicts. It was really Col
Neal's contract and witness wai
never required to sign a bond as ha
previously been the case. He pro
doced some letters and papen
bearing on bis testimony as to th<
sale of cotton.
Mr. E. E. Barr as, bookkeeper o
the penitentiary, was the next witness
He hts kept the books der ia g Col,
Neal's term. He saw eely the B. B
Regs Ws note. Gong beek to 1896
the Watson contract was made. Tb
first note which came to bim was ia
April, 1896, for $1,560 aad was giveo
by Mr. Watson. It was payable in tbe
fall. The note was Bot paid ai
maturity, but waa charged by the baal
to the penitentiary account. OB
Peoember, 1886, the note aad intered
after maturity wa* charged. UH
amount waa $1,560, ks* tho discount
Tba bise fer 1896 . amounted le some*
thiag aver $1,800. Some time m
1897 Col. Neal told him of a sett!*
astet be had had wita Watson ass
turned over $318 87. Col. Neal said
tba wets had base settled wp aad thc
$318.87 was te go ow convict hire foi
189$ He thinks the sots of oas el
the Bagadalea was taken up in thu
transaction.
Io February, 1898, Mr Clarks, ot
Cal. Jones, told him they had a note ol
B. B. Bagsdale. He sailed Col. Noah
attention to it and be said it had been
arranged. Ce didn't say anything
about the circumstances of giviog the
oete. To February. 1898, was a
$2.398 note' by Watson to cover the
'97 convict hire In April, 1897, there
was a payment of $172 by obeok,
which was not paid. Col. Neal said be
would arrange the matter with tbe
back, and it was carried as oash. It
was given by Col Neal personally, he
saying be would bave to pay discount
OB tbs note. Ile knew nothing about
the Neal and Watson private contract.
Col. Neal bad never told bim anything
about it. He knew nothing about the
C. W. Bagsdale oote until about six
weeks ago, when be learned of it
through a letter to Cel. Neal. Col.
Neal deposited notes in payment of
1898 eon viet hire He was under the
impression it was a Watson note. As
to the aooount of W. Q. Hammond of
$992 at the January meeting of the
board, he asked the chairman to ask
parties owiog to oome down and settle
They came in February, Mr. Hammond
prod aced a statement, a draft and
obeok. The sheck was OD bank of
Anderson of November 27, 1895,
for $500, giveo to Col. Neal aa
superintendent, He said that was
in advance for 1896 convict hire.
At the end of 1895 there waa to hit
credit $49 24. The obeok had no con
nection with that. That obeok does
not appear to have been deposited io a
Columbia bank. The obeok wa* stamped
paid by the Aodersao bank. The pro*
oeeds have never been entered opon the
books of the penitentiary. He is not
aware that the penitentiary ever got the
money.
WATCHMAN, Xst*bll h d April, 2S6C uBe Just and Fear not-Let all the Ends thou Aims't at, be thy Country's, thy God's and Truth's." THE TK X SOCTHKON, Kttebltehed jone. is*6
4S>toe i ^ SUMTER. S. C., WEDNESDAY, MARCH 15.1899. New Series-Yol. XVIII. No. 33
A receipt signed by Colonel Neal
for $1,465 85 and given to Watson
was shown. He conld not recall what
it had been given for, and the
following colloquy between Colonel
Neal and Watson occurred as to the
receipt :
"What is your recollection T' ask*
ed Colonel Neal of Mr. Watton.
"Wasn't the crops of '96 cotton off
of the two farms token to Piedmont
and Pelzer and sold by me ?"
"Yes."
"And we bad a settlement on Feb*
roary 22,1897, in which yoo paid me
the amount doe on the first install
ment, and there waa a balance left
over that I gave yoo a check to the
Bank of Anderson for ?"
"Yes:"
"Bot I didn't give yoo ao receipt
as superintendent for it V'
"Yoo gave me that receipt,"
pointing to the one in Colonel Neal's
band
"There was no transaction at ail in
reference to it ?"
"Yon gave me that receipt*"
"Tbe cotton was sold io your name
and tbe money deposited in the bank
for it Tbe cotton was delivered at
Piedmont and Pelzer and sold by you
at both places, and the money depos
ited in the Farmers' and Mechanics'
bank ?" .
"I beg your pardon. One draft on
the Bank of Anderson," replied Mr.
Watson
"Anyhow, the money was deposit
ed in your name in the bank and tuen
and there paid out by me for expen
ses Mr Ragsdale got bis salary
right in your presence ?"
A "No, he wasn't there. Nobody waa
there bot you and me and it was dis
tinctly, understood when that note was
given-"
"Which note ?"
" "That note yoo are talking abott.
That I was to sell the cotton myself
and take ont the first payment and
pay yoo for that note on convict
hire"
"No, sir."
"In accordance with that we bad
tbe settlement "
"Now, Belton yon know that tbe
balance of that cotton crop, aside
from what went to pay yoo that year,
was paid oot that day in town to
Bick, Tom and Harry for expenses of
making that crop and that no part of
it was paid to me ss superintendent
of tbe penitentiary "
" Will you say that that was not
credited to yoo at tbe Farmers' and
Merchants' bank to year individual
account on that day ?"
"As superintendent ?"
"1 don't know bow yoo deposited
it bot to yoor indi vidual accoant "
Tbe Ragsdale notes were given to
keep from bothering Mr. Watson.
The board didn't know anything
about it
He acknowledged that be got $500,
from Mr Fowler and bad it charged
to himself for traveling expenses.
He kept a memorandum of expenses
and settled ai tbe end of each year.
While this money bad been used no
account of it appears OD tbe books.
Mr. Watson was tbe first witness
this morning He produced i o tele
gran Mitt to Colonel Neal cn Febro
ry 2, 1899, telling bim to protect
.draft, as be declined -payment. Col
onel N" wired back to bold tbe
draft, be would go to Anderson in a
day cr two.
A letter was read from Neal to
Watson, sent November, 1896, in
which be expressed tbe opinion that
tbe cotton would pay all expenses
and leave some to pay to Watson
A letter of March, 1898, from Col
onel Neal waa read. It was a
personal note :n reference to selling
cotton. Another during the same
month, bnt.it bad no especial beariog
on penitentiary affairs proper.
Colonel Neal was recalled and Mr.
Stevenson asked him about tbe
Russell note for $600. The note
was for what he was due for convict
hire.
Besides the note there was possibly
a sum of $200 in dispute. The firm
of Russell ft Fretwell often made
notes during thc continuation of their
contract. He could not say that be
could realize on the note through
Russell's property. Fretwell himself
is a poor man. Sometimes both
would sign notes and sometimes one.
They paid promptly until they got ia
some trouble with the 3 C's road.
There will be no trouble about tbe
note-it will be paid.
Mr. Stevenson remarked that it
was already past due two mon tba
He said that the note bad not been
reported as paid to the penitentiary.
Continued on Next Page.
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