North Carolina Newspapers

r I" T5e COURIER j Leads inBoth News and J Circulation. COURIER Advertising Columns J Bring Results. Issued Weekly. PRINCIPLES, NOT MEN. $1.00 Per Year. VOL. XXXI. ASHEBORO, N. C, THURSDAY, SEPTEMBER 27, 1906. No 59. ANNUAL MEETING S; C : I! II ri IU-A 11 fl H II lUrf' ii 11-4 ru I DAKOTA BOND SUIT-BUTLER'S TREACHERY Story of Republican Leader's Treason to the State "Industrial News" and Bond Conspiracy. The Acta of the General Assem bly of 1879 relating to the settle ment of the indebtedness of North Carolina constituted an epoch-making period in the financial history of the State. When the Democratic party came into power, after the regime of carpet-bag rule, it found the State tot tering on the verge of bankruptcy. A just and equitable adjustment of the State debt appealed to the wisest statesmanship of the party. Under the Republican rule, dur ing the years of 1808 and 18G9, the debt of the State had been increased from less than $15,000,000 to a sum which exceeded forty millions. This increase was due to the fact that the Republican party, which then had control of every branch of the State government, had issued millions up on millions of dollars of State bonds tinder the specious plea of building railroads for the convenience of the people. But when the Democrats came into power in 1877 they found the State but little better provided with railroads and transportation - facilities than it was at the close of the war, while the public debt, in creased ostensibly for these purposes, had reached the enormous sum of about forty-two millions of dollars. Indeed, a stupendous problem con fronted the Democratic party. The expenses of running the State gov ernment; the unswerving policy of the party to make proper provision for the education of the people and to maintain hospitals for the care of the unfortunate, had to be preserved and in' addition to the public debt, enormously increased by the proflig acies of the Republican party, had to be dealt with. The Act of 1879 providing for a eettlement of this indebtedness was passed. A commission was appoint ed, and an agreement reached, acqui esced in by both the State and the majority of its creditors as a just and equitable settlement of the im mense debt which had for so long a time cast its dark and ominous sha dow across the pathway of a return ing peace and prosperity in which the people of onr State were begin ning to walk. Among the bonds embraced in this settlement was a class author ized by acts passed before the war. Many irregnlarities attended the issuance of these bonds which were floated during the reconstruction period. The best evidence that this indebtedness was discredited from the beginning is to be found in the fact that it had been floated in the shape of six per cent, bonds at from twenty-five to forty cents on the dol lar. Notwithstanding this . fact, together with the many irregulari ties attending the issue of this series of bonds, they were embraced in the settlement made under the terms of the Act 1879. This class of bonds represented au indebtedness of about $ 2,500,000, and nearly all of them were surrendered for exchange under theprovishnsof the Act of 1879. A few of them, however, aggregat ing in amount about $250,000, were held by Schafer Bros, brokers in Wall Street. Unlike nearly all of tba State's creditors, this firm de clined to acetpt the terms of settle ment and laid their- bonds away, abiding their time. At last it came. The people of North Carolina for the mement forgot the days of 1868 and 1869, and in an evil hour in 1896, turned th administrators of the affairs of State into the hands of a party whose Governor, and a United States Senator elected by its Legislature, betrayed the interests of the people and concocted a con scienceless scheme with Wall Street brokers to force the payment in full of the outstanding bonds in viola tion of the terms of the settlement f 1879, so universally acquiesced in as in every way fair and just and honorable to the State of North Car olina and to its creditore. There was a quarter of a million of these bonds still outstanding, with more than double that amount in accrued interest, enough to make many big fees if by method or mea sure they ctuld be made valid. A deep scheme was planned. Mar ion Butler, well knowing that the eleventh amendment to the Consti tution of the United States forbade a suit by a citizen against the State, artfully sought to evade this pro vision of the Constitution. Let us note the scheme: On the 11th day of March, 1901, the Legislature of the State of Soiuh Dakota passed an act authorizing the Governor of that State to accept any donations of bonds, notes, etc. This act authorized the employment of counsel whose compensation was to be paid out of any recoveries or collections that might be had. Ten bonds were donated to the State of South Dakota, and an action begun in the Supreme Court of the United States under the original jurisdic tion clause of the Federal Constitu tion for the purpose of enforcing their collection. In this suit many witnesses were examined, and auioiig them Marion Butler himself. On page 180 of the Record in the South Dakota suit he admitted to Senator Pettigrew of South Dakota, using his own language, that he "would be iustrumental'aud try at;d assist him (Senator Pettigrew ) to secure h do nation." And on page 181 he ad mitted that he was employed by the Wall Street brokers, Schafer Brotn ers, in January, 1901, three months before the expiration of his term as Senator from the State of North Carolina. In order to show the scope of the scheme which had its genesis in the mind of Marion Butler to coerce the State, which ha I so signally honored him, to pay in full these bonds in violation of the action of the com mission of the State appointed by the Act of 1879 to settle and adjust the State debt, attention is directed to the fact that the States of New York and Michigan were induced to pass acts similar to that passed by the State of South Dakota. The Democratic party, in its plat form of 1904 (before the decision of the South Dakota case), declared: "After a long and careful deliberation and conference with many of its creditors, the State of North Carolina adjusted its debt upon a basis so fair and horable ax to win the approval of the financial world and to secure a ratification by nearly every credi tor of the State. During the preseut year attempts have been made to reopen the (jues tion settled at that time by the State's wisest and best men. The Democratic party of 1U04 approves the settlement made in 1879 and will forever oppose any and all at tempts from any quarter to set aside the settlement then made. It will abide the mandates of the Court, but it will not con sent to reopen the settlement that was alike creditable to the State and fair to the hold ers of its securities." By a divided Court judgment was rendered in favor of the State of South Dakota on the ten bonds for the sum of $27,400. At the time of the decision the outstanding bonds, principal and interest, amounted to over $600,000. The General As sembly of 1905 appointed a com mittee to consider the question of adjusting this indebtedness. Hav ing in mind the declarations of the party in its platform that it would abide the decision of the Court, but would not consent to a settlement except along the lines of the Act of 1879, recommended the payment of the South Dakota judgment' and that the outstanding bonds be taken up according to the plan of settle ment of 1879, with interest. In this way the State of North Carolina paid every dollar, with interest, that the wise men wh settled the debt in 1879 said it owed. And the whole world will say that the State has been true to its every obliga tion. For the purpose of paying this indebtedness in the manner recom mended by the committee, the Gen eral Assembly of the State author ized the issuance and sale of bonis not exceeding thu sum of $250, 000. Under the authority of this act the State Treasurer sold bonds amountiug to the sum of $250,000, and so good was the credit of the State under Democrat ic rule that they brought in the markets the sum of $265,430. We have herein given a brief ac count of the Russell-Butler Petti grew conspiracy against the State of North Carolina. Just here a note of warning: In 1879 the "Special Tax Bonds', fraudulently issued by the Republi can party during the years 1868 and 1869 amounted to. about $12, 000,000, on which there was due about $5,000,000 interest. These bonds were issued, as hereinbefore (Continued on next page.) Peoples Building and Loan Associa tion Reviews Work of Years. ORGANIZED IN PROSPEROUS CONDITION. Has Hiillt Forty Houses and AmMed others In Securing Homes Second Merles Opened During Pant Year Statement of Con ditions. The Annual Meeting of the shareholders of the Peoples Build ing & Loan Association was held in the hall over Hendrick's stoie, on last Friday night and a good majority of the shares were repre sented, either in person or by proxy. President W. J. Armfield Jr. called the meeting to order and the re port of the Secretaiy and report of the Auditing Committee were read. The affairs of the Association appear to be in a flourishing condition and the earnings for the year, after de ducting taxes and expenses, do credit to the Board of Directors aad the officers. Xeirly forty houses have been built wholly or partly with funds furnished by them, aud others have been able to purchase homes already built and are paving for them with money borrowed from the Associa tion. It has thus been of great benefit to the town and we would like to see. more of our young men and workingmen putting a tew dollars a mouth into it and get into the habit of saving something from their wages. Thousands of men all over the country now possess homes, all paid for, who would never have had one dollar ahead, if they had not built these homei with the aid of the Building and Loan Associations. The same Board of Directors and Officers were elected for the ensu ing year and we wish them continu ed success. During the past year a Second Series of the Association has been started and a number of houses are building and have been built by its members but as the Series is small there has not been so much money at the disposal of its members as there was in the First Series. How. ever, the Directors are making arrangements to accommodate all the applicants more quickly, so that those who wish to build this year will have an opportunity to do so. This Series having been in operation only nine months, it was not considered necessary to report on its earnings until it had been the full year in business, but ire under stand tha' it has got along remark ably well for a youngster. THE FIRST SERIES HAS ASSETS AS FOLLOWS. Mortgages and secured loans $ 1 1,1 27.00 Cash in Bank and on hand 201.52 Accrued interest from Ai'g. loth to September 1st. 41.4 $11, 3(19.08 Liabilities Auk As Follows Due Shareholder (24 payments on 330 shares) $7,920.00 Borrowed money (to accoinmo date applicants) 2,002.00 Surplus from last year H'.O.St! Earnings from Sept. 1st 100 5 to Sept 1st 1900 (after deduct ing $ 95.59 taxes and run ning expenses) 327.72 $ 11,309.98 There are hundreds of men in this town who have paid enough rent to have built a good house and if they had been in a Building As sociation they would now have been owners instead of renters. It is too late to cry over what might have been done; but it is not two late JJto profit by experience and see if yon cannot make your monthly rent help to pay for your own house. Comming Marriage. Cards are out announcing the mar riage of Mr. Walter J. Hege t Mrs, Blanche Sumner, at No. 11, Academy street, Salem, Wednesday, Sept. 26th, at 10 o'clock, a. m. Mrs. Sumner was formerly Miss Blanche Thomas, of Thomasville, Mr. Hege is an excep tionally fine business man, and holds an important position with the Salem Iron Works, and is one of its stock holders. Their many friends here wish them a long and happy lift. Jno. W. Hill, formerly of Arch dale, but now of Trinity, ws in Asheboro Saturday. Mr. Hill has recently purchased property at Trin ity and will build a livery, feed and sale stable there at once. THE FRATERNITIES. Masons Arranging for a Picnic and Rally for Randolph. ODD FELLOWS' TO CELEBRATE ANNIVERSARY. Many Visiting Brethren from Sister Itdges Attended a Special Com munication of Balfour Lodge In Asheboro Saturday Night. 'A special communication of Bal four Lodge, No. 188, A. F. & A. M., was held in the new lodge rooms in the Lexington Grocery Company building Saturday night. The meet ing was largely attended, a delega tion' of visitors being present from Hanks' Lodge, No. 728, of Frank linsville, and from Marietta Lodge, No. Hi, of Ramseur. The only thing we could learn of the special Communication was that they all enjoyed the "exercises". There was one thing given out after the meeting, too. The Masons decided to make immediate prepa ration for a Masonic Picnic to be hell at some place in the county, for the benefit of all members and friends in the county, Those pres ent voted that alii Worshipful Mas ters of the Masonic Lodges in the county constitute a committee to formulate plans for the event, the date of which has not yet been de termined. It is learned that it will be withiu the next few weeks, how ever. On Friday evening, October 7th, a special service will be held in the Methodist Protestant chuich. Rev. W. E. Swain will preach the anni versary sermon, which will be fol lowed by a short address on Odd Fellowship by Rev. N. R. Richaad son. RANDLEMAN NOTES. Hook Club Organized Union Meeting Other Notes of Interest. v Mr. John T. Council is visiting friends here this week. Mrs. M. C. Dicks and daughter, Mis Mozelle, returned home Satur day, after an extended trip in the mountains of Western Carolina. Mrs. W. A. Underwood left Tues day afternoon for a visit among her friends in Asheboro. Miss Cole returned to her home at Chapel Hill Saturday, after a few days visit to her brother, J. H. Cole. Improvements on. the streets are rapidly progressing, curbing is being placed, and the macadamizing is well under the way. A Union protracted meeting of all denominations is to begin here on Sundav the 30th iost. During the week tttje services will be held in the day at the different churches, and a Union meeting at night in the auditorium. Jno. L. Fields is erecting a hand some $2,000 residence in west Ran dleman. The Graded School, which opened last week, has an enrollment be tween three to four hundred. Prof. 1 Harris is much encouraged with the prospects of the school this winter. The ladies of the town have or ganized a book club which will add greatly to the social sine of ths place. Thp first meeting was held with the Misses Dicks when the fol lowing officers were elected. Presi dent, Mrs. W. A. Underwood; Vice President. Miss Marv Ferree. Sec ond Vice President, Miss Neha Bow deu; Secretary and Treasurer, Miss Liouise Dicks. RADOLPH BOOK CLUB. Will Resume Meetings After Summer Vacation Tomorrow Afternoon. The Randolph Book Club will hold its first meeting after the Bum mer vacation Friday afternoon at the home of Mrs. W. C. Hammer. The Program Committee, composed of Mibs Msy McAlister, Mrs. W. H. Moring and Mrs. W. C. Hammond, has arranged a calendar, giving the program for each meeting to be hld every other week until and in cluding May 24, 1907. . At the meeting Friday after noon the Club will study Sir Walter Raleigh. Papers will be read by Mrs. J. D. Simpson aud Mrs. W. II. Moring. The officers of the Glub are: Pros i l ur, Mrs. ('. C. Mo Mister; Vice President, Mrs. W. C. Hammer; Secretary and Tieaauier, Mrs. W A. Under woo J. NATIONAL EDITORIAL ASSOCIATION. Historic Mackinac Island Trip to the "Soo" Sail Down Lake Huron Famous St. Clair Flats Detroit Interesting "Lock" Process. Mackinac Island is located at the northern end of Lake Michigan, in the straits connecting Lake Michigan and Lake Huron with St. Ignace of the northern peninsula a few miles north west and Mackinac city to the Bouth. The island is about three miles long, one mile in width, and is abou t nine miles in circumference. It is a high plateau ranging from the ley el of the lake to 318 ft. above. The town is located in the southeastern corner and has a population of about 750 in winter and about ten times that in summer. The boat carries mail each day in summer; in winter it is carried by a man on foot, theu by a dog and sled, and then wjtl horse and sleigh as the strength of the ice permits. We arrived there the 21st of June. The hotels were jti8t"opening up" for the summer, lilacs were in full bloom, and it was so cold that every one had to use heavy wraps. A drizzling rain perhaps made it seem colder than it really was. HISTORICAL PLACES BEAUTIFUL Most of the party got carriages and drove over the island notwith standing the rain. The boulevard is considered one of the finest and most picturesque roads in America. It is built around the island touch, ing the most important places. Among them are the Arch Rock, a natural bridge of rocks on the north ern cliff; Fort Holmes, the remains of the oid British fort; Sugar Loaf, a huge rock, suggesting its name; the Devil's kitchen, a cave with blackened walls; Lover's Leap and Skull cave with legendary associa tions; the old mission church, erected in 1832 by a missionary society, which maintained in connection therewith, a school for the education of Indian children. There are only two Indians on the island now. It is saiu one is a farmer, the other a cirpenter. The old trading post where the Astors laid the foundation of enor mous wealth still stands and has been converted into "The Astor Hotel." John Jacob Astor decided to go into the fur tiade, in 1807, settle 1 at Mackinac Island and made for himself a handsome fortune in a short time. Mackinac Island was originally called Moe-che-ne-e-mung, meaning "great turtle," which shape Jthe island was supposed to represent. This name was given it by the Indians, ages before the foot of white man trod its shores. The French, who were supposed to be the first settlers, about 1670, gave the island in the straits the name of "Michilimackinac," and the name has gradually been shortened to Mackinac, and is now pronounced Mack-i-naw. SAl'LT ST. MARIE FAMOUS LOCKS. The following morning found more than half the party on the Chippewa, one of ' the Arnold Steamers, for the Sault St. Marie, more briefly and commonly called the "See." As the Niagara river connects the wateis of Lake Ontario with those of Lake Erie, so does the St. Marie rive'' connect the waters of Lake Superior with those of Lake Huron. The surface of Lake Superior is 21 feet above that of Lake Huron, consequently the St. Mary's Falls (or the rapids) has a descent of 19 feet. Long boats from 30 to 40 feet are steered by two Indians, one at each end, through the rapids. Some of our party ventured and ''shot the rapids" as it is called. Tbey putjonfrnbber coats aDd although it was an exciting experience came out alright. The rapids are a mile long and it costs fifty cents to Bhoot them. The locks at "the Soo" are the largest in the world. There are two on the American side and one on the Canadian. The history of this canal building- is very inter esting. The first watt buitt in 1797 but was of small size for the nw of canoes and small crafts. Thi was on the Canadian side. The fit at American canal was built in 1853 to 1855. It was 350 fret long and 70 feet wide. The National Gov ernment donated 750.000 .teres t land in Northern Michigan for this purpose. The Weitzel canal w; ' r lt in 1870-8. The lock i:i t;.u i, 510 f-et long and 80 feet wide. The i'-e canal was built in 1887 to '96 n 'id the lock is 800 feet long and 100 f -nt wide. The Canadian canal was built in 1888 to '95 and its lock is !"0 feet long anl 100 feet wide. 1 rom lo to 1881 the canals were under the control of the State of M ichigau and tolls were charged to "Ver operating expenses aud repairs tut since they have come into gov ernment possession, they have been free for public use by all nations. TlMfCawulian canoe is also free now. "LOCK I NO SHI I'S TH KOUlill" INTER ESTIXG PROCESS. The operation of locking through is very simple anc, exceedingly inter esting so much so that some of us stood out in the rain to watch the process. Huge steel gates, swinging by machinery operated at a central power plant by hydrauliS pressure, are at either end of the canal, which is constructed of solid masonry. A boat bound for Lake Supeiior is run into the lock from below and the gatesare closed behind it. Great valves which let the water into cul verts, which are eight feet square and have numerous apertures, are then opened and,;the water comes bubbling up from beneath the upper gates, and gradually rises until the surface is on a level with that of t he river above. The gates then swing open and the vessel sails out. For vessels going in the opposite direc. tion the operation is reversed. The locks can be filled or emptied in about seven minutes and the gates opened or closed in two minutes. Often times as manv as hve shins are taken through at a single 'ock age. The average time is twenty minutes but they are frequently taken through in from twelve to fifteen minutes. Vessels take their turn. When we were there several were anchored in sight waiting their turn. The volume of trade passing through these locks is enormous. It is estimated the total for this year will exceed 50,000,000 tons, nearly half of which will be ore from the great industries of the east. The tonnage is now nearly three times that of the Suez canal. Traffic is increasing bo rapidly that plans are already being made for a third lock on our side. The American locks do 88 per ceut of the freight busi ness, while Canada does only 12 per ceut. Canada does about half of the passenger traffic. From seventy tivejto onehundred ships pass through these canals dailv. The government has expended $13,000,000 on the canal locks and improvements at the Soo. I he cities on each side are laige and prosperous. The one on the Ameri can side has a population of 15,000. r ernes and electric cars connect the two cities. RETURN TO MACKINAC ISLAND AND SAIL DOWN LAKE HURON TO One of the interesting features of the trip from Mackinac Island to the Soo and return was watching the vessels, particularly the large freighters, loaded with ore, grain, nour, anu lumoer. ine scenery is very pretty and every together made us have an interesting and enjoyable trip. On our return to Mackinac Island we found the remainder of our party at the wharf where we took the "Alpenia for Detroit. It was a twenty-four hours trip. Par ties who remained in Mackinac had opportunity to exchange experiences who uiwie woo visiceu me coo. The younger members of the party spent the evening "on the light fan tastic toe, while the older ones en- gyed the pnre sweet air of Lake nron. The trip down the St. Clair river was a very charming one; passing as we did along the famous St. Clair flats, "Michigan's 7eaice," where "none but the rich can have a home. We enjoyed seeing the summer homes built on "male land" with water coming up under the porches to that the family could catch fish without going out, or could be entertained by watching the ships that pass almost constant ly. Business even is transacted in boats. The grocer makes his rounds in that manner. No one knows just how the Hats originated. Probably hey came into existence hundreds (L'uuiiuue i e.i jKigo live J