X; 1'
I"
Observer
EWS
0
: 1
S'-l
RALEIGH. N. C, SUNDAY MORNING, JULY 22, 1888.
166
AND
II Hi
Kgft
it f 8
j Absolutely Pure.
flhifi powder never ntte marvel
f purity, strength and wholwcmena
Vor MtonomicaLthaB ordinarr kinds and
.-mm haaold in oomDetition witk Vhw
multitude of low Mai, short weight.
alum or phosphate powder. Mid only m
aaas.- Botax, Ban Poima Co., 1M
WU 8tre4, New York.
- BoM by W. G.&A- P, Dtrouoh, nd
JBfirfiUftO. . "I . .
icon & son,
14 East, Martin Street,
IEW ARRIVALS
Purchased by our
taw York Bayer.
1
i
OA. t bair
Udie 23 button
DongoU
CUUltoat Shoes, at $3.?4, worth
60
do- n aa'aaodried reinforoed shirts.
a v'set, M) cents each.
I- Is .
i
die Beilora, SS centa each
50
silk utubr 11m, $1.75 each.
jibbotu in all width! and coIcms.
nuw lot ot tin and glassware.
100
vest t ont . black
civMpat 11,75.
Jerseys, $1.46,
LOOOrnfsnaJJ
kn imitaense baigaia-
hose, all colon
10 cents a put.
m apron checks, 7 cents a yard.
A
lot of white handkerchief,
a dozen.
A it'
10 cents
rrhe largest and bet cake cake of toilet
1 soap in tne woria lor 9 cents a cue.
woven corsets 50 cants, worth 75.
near Use of laces and trimmings.
EDWARD FASNACH,
oral!
ALUM, V. 0.
MUTillt aa4 CLl'STEt PUIOIW
Gold Jewelry, Gold and Silver Watche
vUor ham's sterling uvtTware,itogers
plated silverware, any sue ana
i Weight of plain 18 karat En-
'i jagementringseonstant-
i ly tnstocK. uaages
iatd Hedals made
to order.
Oar Optical O Department
: 5 I f. i
f Embraces an endless variety of lenses
4ttch together with our practical expe
Jence enables us to cot rest almost any
irrox Of refraction in Myopia (nearsight),
Hy wwinetropla (far tight, Preebyopis
"old sight). IstbenopU (weak sight) and
siTing? prompt relief from that distress
Is Jeadacoe which often accompanies
imperfect f isieo.
OUR ARTIFICIAL
I Human Eyes
nd kook like the natural organ
' i.rjT-.i m. diatanca havloff a broken
''Je can bav another made witho4 ealV
1 h it
)n(ipraoaaUy.
STATEMENT OF CROSS
1 I
BEAD BY HIM IN COURT :YES-
.. ? I TERDAY.-
HE REVIEWS THE ATF AIRS Of THE 8TATK
-HATtONAL BAXE AND BB1HGS 15 fll"
XSTINd MATTIES TO UO"T
As all the facts regarding the fail
ure ot the State N&tkmal Bank of
Raleigh,: N. C, and the specific causes
loading thereto have been under the
advice of mj at omeys, withheld from
the pablic, it is but natural that .the
impression prevails in the- minds of
the people that the President and the
Cashier of said bank are alone respon
sible for its failure, inasmuch as they
deserted the bank and went to Can
ada, taking with them certain funds..
The books and papers jof the bank.1
will show that such wa4 not the case,
but that the bank's condition was bet
ter when placed in the hands of the
receiver than at the tims I became its
President. I
On January 18th, 1881, I came to
Raleigh and entered upon the dutios
of ch ef clerk in the State 'Auditor's
Department, having been appointed
to said position4y Qen W,.P. Rob
erta, State Auditor. f
On - June 6th, 1883, I married Miss
Williams, daughter of the late John
G. Williams, who was the originator
and sole owner of the State National
Bank. ,
About twelve or eighteen months
subsequent to my marriage, I was
made a diiecter of the bank. This
was done without any solicitation oh
my part.
Up to this time I was absolutely'
ignorant of the duties and require
ments of directors of a National Bank,
as prescribed by the National Bank
ins law- Ha vine no reason to doubt
the solvency of the1 - bank I as
sented to becoming a director of the
association, and was induced by Mr.
E. R. Stamps, who at this time was
its President, to purchase five thou
sand dollars worth of 5 the Rank's
stock by giving the bank my note,
with my (wife and Mr. tamps as
sureties for the same, pdx. Stamps
telling me the stock was good. This
entire transaction was made as sug
gested and required by Mr. Stamps.
Mr. Stamps certainly remembers
that 1 1 )ld him, at the time I gave
my note to the bank for the stock,
that I was worth nothing; myself. His
reply was that my wife would be
orth some property, and that he
was worth something, and-that the
bank, with their suretyship to the
note, would consider it good and
bankable paper. About threemonths
after the above transaction, the baqk
examiner made his official examina
tion of the bank's condition, and had
reported the same to the Comptroller
of th; Currency. , Mr. Stamps, as
president received a letter from the
Comptroller's; office, in which the
board of directors of the bank were
severely criticised . for allowing me, a
dir-ctmf to sorrow nve thousand dol
lars of he bank's funds, When the di
reoki a pf i he said bank had already
borrowed mo e of its f aids than the
National B inking Act allowed or the
condition I of the bank, oould justify.
This ltt-r was read before the board,
all pf it members being present ex
cept Hi ! W. W. Vass, Who was not
notified to be present at the meeting.
Mr. Cross- .hen details at length that
he thereupon asked that the stock be
surrendered and the note be returned
to him; bat that objection was made
that that could not be done under the
A shoit itiuie after tins at a meet
ing of the bbrd of directors Mr. W
8- Primrose and myself were, ap
pointed a committee to make sn ex
amiuultOQ of the condition of the
bank, and report the aine to said
board. This action on the part of
the board was exceedingly gratifying
to me. as I had become very anxious
to learn something of the bank's con
dition. and especially the extent of
its directors' liability to it.
This report was read before the
board of directors and adopted by
them. -The report is as follows
Ralxioh, Oci 4, 186.
To the Board of Director! of
i ' the State National Bank:
Uentlemen: xne committee ap
pointed; by you to examine into the
oondition of the bank, Respectfully
report:
1. They find the cash On band to
oorresDond with the balances on the
books of the bank.
2. Their examination of the dis
counted paper of the bank shows that
The omcers of the bank
are indebted to it Individ dally as fol
lows: $42,864.64; and as surety, $16,-
141.30, making a grand total of f 5'J,
005.94.'
Adding to these various other notes
of various persons and corporations,
segregating $15,'J16.41, it shows that
of the assets of the bank $70,922 35
is Hot in such condition as to satisfy
the Comptroller of the Currency or to
comply: with the law. The commit
tee recommend and insist that , this
entire indebtedness shall at once be
Eut in Such form as is required by
. ;
(Signed), C E, Gneiss,
W. S- PBIMBOBE,
Committee.
It will be seen from the above re
port that little or no examination was
made of the discounted paper of the
bank, with ' the exception of the in
debtedness of the directors, which, as
I thought, was tho principal thing
the Comptroller of the Currency had
oomDlained of in tLo affairs of the
bank. ;
a : ,
Only a few days after this examina
tion was made Mr. Stamps received a
letter from the Comptrollers prime,
in which he hinted th Lank bail bouu
given three months to bette (lie
condition, and the jlhree mouthy had
elapsed without any apparent improvement-
And what reason could
the board of directors give "why a
receiver should noc be appointed at
once t r This letter was . read before
the board of directors, all being
present except Mai. W. VV. Vass, who
was not notified of the meeting. Maj.
Yass Will remember, however, that
i he received a letter just about this
time" from the Comptroller's of
fice, calling his attention, as
a director of the bank, to certain vio
lations of the National Banking Act
the directors of the State National
Bank had been guilty of. This le'ter
as a matter of course surprised Maj
Yass very much, for although he haJ
been a director of the bank for many
years, I do him the justice to sjr he
knew . nothing about its condition,
everything having been kept Irpm
him for a purpose. ;
The letter I hare mentianel a?
being received from the depart 4ni
at Washington by Mr. Stampi s'tve
us all much trouble, in fact the d sec
tors of the bank thought the Ion ex
pected crisis bad-come. At ttn -.fit
ical moment I had a private ta'.k with
Mr. Stamps as to the bank's possibili
ties of placing itself right before the
Department at Washington- I a ,ked
him if the indebtedness of the direc
tors of the bank was its principal
trouble, and his auawer was "yes.' I
then told Mr. Stamps that I oould, with
the assistance of my father and other
friends in Gates county, raise about
thirty thousand dollars, and would
let the bank have the same. There
upon Mr. S amps said that if I. could
do that he would resign the Presi
dency of the hank in my favor, and
the directors of the bank would issue
me stock at par value for the thirty
thousand dollars.
. I has been stated that I agreed to
purchase their stock provided I was
made President of the bank, sti -b ; is
not a fact as the following lette and
agreement will show.
The agreement dated November s,
1886 is to the effect that Cross should
have 300 shares of preferred stock
which he had "taken at the instance
and request of the board of directors."
The letter dated October 4, 1886,
contains a resolution as follows:
"Rssolved, That C. E. Cross, one
of the directors of the bank, proceed
at once to Washington City for the
purpose o: presenting to the comp
troller oi the currency a statement
of what has been done by the board
dur ng the last three months, and its
present prospects and business, and
to the end that the directions of the
Comptroller may be carried out, he,
the said C. h. Cross, is hereby lull;
empowered to act (or the bank in
that behalf, the board of directors
pledging themselves to immediately
adopt any resolution or resolutions,
and to take such -action as may be
agreed on between the said Comp
troller and theaid Charles E. Cross.
I proceeded to V ashington as re
quested by the board of directors im
mediately after I was elected presi
dent of the bank, which election look
Elace on October 4, 1886, and ha 1 a
one consultation with Mr. W. L.
Trenholm, Comptroller of the Cur
rency, regarding the condition l be
bank. Jfc om him 1 learned, to :.iy
great astonishment, that the c.t" na
tion of the batik was much w j-se
than its prenidiiit and board oi di
rectors had represented it to m?.
That they had barganed to sell to u
thirty thousand dodars of tee s i
of said bank at par when they mast
have known that said stock was ab
solutely worthless.
In my conversation -rn the comp
troller of the : Currency be informed
me that a receiver ought to have been
appointed many years ago to wind up
., M 1.. 1 V' 1" II, K
tne anairs oi me oiate nauonai jjuit,
but the reason this had not been
done, that his depart met hal been in
great sympathy with the family
of the late Mr. Williams, who
were the chief owners of the
stock of the I bank, and the repeated
assurances of the directors that they
were, making honest efforts to p.aie
the bank in a solvent condition.
During this conversation with Mr.
Trenholm he told me to take charge
of the bank and make every effort by
catting down; expenses, tc , to extri
cate it from its troubles; that though
I was a young man to be President of
a bank, he believed in young men,
and that he would help me and be my
friend ini the matter. He also ap
pointed me, assisted by my attorney
and the cashier of the bank, a special
committee to make a careful and
thorough investigation of the affairs
of the bank, and when suoh investi
gation had been made, to report the
result of the same to him. Alter six
weeks' hard labor, mostly at nighi.
this examination was completed, and,
to mv utter astonishment and dis
comfiture, we found that not only was
the stock of the bank worthless, but
that its depositors could not be paid
more than sixty cents on the dollar.
See letter from Comptroller acknowl
edging receipt of report, as follows :
(We extract from that lone letter
as follows :
"Your special report of the condi
tion of your bank on the 5th inst. has
been received, and I am glad to note
considerable improvement in' its af
fairs.
"The amount due from the estate
of John O. Williams, late President
of the bank, has apparently been re
duced about $10,000, and you expect
it will be gradually liquidated by div
idends.)
(Mr. Orossthen eoes into details of
various irregularities in tbe handling
of the assets of the bank made to de
ceive the bank examiner, and the re
porting as good assets that were not
good, showing that the bank was in
very bad condition before he came in.)
He continued : After I became Pres
ident, to carry out the Comp
troller's lnstr notions, to the effect
that the. expenses of running the
bank miust be cut down, 'we got clear
of one of the officers of tbe bank,
who was getting a salary of eleven
hundred dollars per annum, and the
salaries Of three other omoers were
cut down two hundred dollars each.
I received as President a salary of
fifteen hundred dollars, five hundred
of which I contributed to the sup
port of Sirs William aud her family
as the Cbiuitroller had objected to
their receiving anything, tren for
support, from the bauk. The real
estate which had been, taken in from
time jto time by rue bank for bad
debts amounted to sixty-one thousand
dollars. This the directors and my
self made every effort to dispose of
but (failed- I succeeded in selling
only two lots one to Dr. Hawkins,
the other to Mr. V. C. Royster. The
cashier and myself made every effort
that men could make to collect the
past due paper in the bink, but as we
failed to collect little or none of this
paper, and having no profit and loss
account sufficient to charge it to I
had to carry it with the assets of the
bank as had been done before, as has
been explained in this statement. ' On
July, 1887, Col. Sam'l McD. Tate,
bank exminsr, made an examination
of the bmk and reported the same
to the Comptroller of the Currency .
The following is the letter I received
from the Comptroller after he re
ceived Cul. Tate's report. See let
ter from Comptroller.
, (We make but one extract from
this long letter). "Nearly the entire
capital is absorbed in reti estate and
inconvertible stocks and bonde,
.While the surplus will be consumed
in charging orl your bad debts." "I
does not appear that your promise
made to the Comptroller that the
Williams estate - would tke landed
property in payment for- their stock,
which could then be disposed of t'
other parties and new capital infused
into the bank has bean fulfilled a-
yet, &a
- After Col. Ttate examined the bank
as shown above, during tbe balance
of the summer and almost the entire
fall, we were pressed very hard for
money; frequently closing the bank
at three o'clock with not more than
five hundred dollars, including silver,
in the vault.
Matters went on in this way till
the cotton season was nearly over
when times got easier, but no one
can ever know without similar experi
ence the real magnitude of the trou
ble and anxiety I felt during the sum
mer and fall of 1887.
:. During November, 1887, knowiDg
that the charter of the bank would
expire by limitation en June 2nd
1888, 1 made every endeavor to bor
row some money on the bank's stock,
and succeeded in getting the promise
of ajparty in New York for the loan
of fifty thousand dollars on the same
at a low rate of interest and for a
long time, I gave myself no more
concern regarding this matter, having
had every assurance from the party
it would be all right. I communica
ted this intelligence to the board of
directors of the bank whereupon they
issued me forty thousand dollars - of
stock. I had tried to borrow money
on the stock of the bank prior to
this time of Mr. J. S. Carr of Durham
Ni U., also of Mr. W. T. Blackwell of
the same place.
iQi January 1888, I went to
see Mr. W. L. TrenholmComptroller
off tho Currency, and asked him about
renewing the charter of our bank,
arid what I should have to do in or
der to be able to do the same. He
told me, before he would be able to
grant me a renewal of the back's
charter I would have to dispose of
the real estate belonging to the bank,
get clear of our Chapel Iron Moun
tain stock, and North Carolina Home
Insurance Company stock, which two
amounted to twenty-five thousand
dollars, and which had never paid any
dividends to the bank; that I would
have to charge off sundry dlscoum;d
Eapers, attorneys' receipts, etc , which
ad been reported heretofore as good
assets. I told tbe Comptroller a, the
time I had the promise of fifty thou
sand dollars on the bank's stock,
which he approved of, and suggested
also that I get some new directors
in? the bank, as We needed out
side influence. I came back
to Raleigh advertised the real enlate
of the bank for sale, and Mr. White
and I got five new directors for the
bank, they purchasing one thousand
dollars each of its stork. As a mat
ter of course these new directors were
true and tried friends of the bank,
and had no reason to doubt "its sol
vency when they became directors,
and had it not been tha' I had every
hope and assurance of renewing the
dark a. charter, certainty X snouui
neer have induced them to become
directors. Their loss certainly could
not have benefited me in any way.
Well, when the dsy of sale for the
back's real estate came, I think only
two men were present and they not
at all anxious to buy. So the sale
was a failure. Failing to ' dispose of
the. real estate, certain notes which it
is claimed were forgeries were placed
in the bank to take the place oi the
real estate, also the notes against the
estate of John G. Williams, which the
Comptroller said had to be paid
Our intention was to take up these
papers just bo soon as the real estate
could be sold, and from the profits of
the bank, as that was the only way
the indebtedness of the Williams es
tate could be paid from the profits
of the bank. This was done to ena
ble the bank to pass the special ex
amination required by the Depart
ment at Washington before granting
us a new charter. About this time
wrote to my friend in New York to
send the fifty thousand dollars as
promised me to the National Park
Bank of New York for our credit, our
account being overdrawn in said bank
at that time. This party informed
me he bad made other arrangements
and could not let me have tbe money
I got Mr. White, the Cashier, to go
to New York at once, and try to have
some paper radiscounted. Our cor
responding bank there refused pobi
tivelv to give us further accommoaa
tion, but told Mr. White unless he
made his account with them good
at' once, they would protest
his checks. They telegraphed me
several times to make our ao
count good. When Mr. White came
from New York we talked over the
condition we were in, and concluded
the bank would certainly have
close its doors in a very few days
We well knew of the many offenses
existing in the management of the
ibank for a period of years, which
were direct violation of the National
Banking Act, and concluded if we re
mamed in this country we, as well
as
others, would have to pay the penult
of! such violations of law. I be in
tory of our leaving and our capture
is well known to the public
5a conclusion I would say there
were many other misdoings connected
with the management of the State
National Bank before I became its
President, which I will not mention
here, as I have no evidence at my
command to substantiate the same,
and all the misconduct I have ever
been guilty of in the management was
not for my benefit, but merely to save
the bank rrom failure and the Wil
liams family from iin. I came out
of the bank without one dollar of the
funds. ' C. E. Cbosb.
SHELBY;
A SAD DEATH SHELIT's DEMOCRATIC CAM
PAIGN CLUB
Special to the News and Observer.
Shelby, N. C-, July 21 Seth H.
Hyerr, one of Cleveland's most prom
ising young men, son of ex sheriff J.
C. Byers, died today at sunrise, aged
20. One month ago Mr. Byers grad
uated with high honors from Shelby
Military Institute, winning two med
als. He had been elected associate
orincipal of- Fremont High School,
Wayne county, and was to leave for
thai place shortly. His funeral takes
place tomorrow from Patterson's
church.
Walker, Prohibition candidate for
Oovernor. failed to keep his appoint
ment here, having miBsed connection.
The Radicals were Out in force to hear
him and but few Democrats.
4 Shelby Democratic campaign
will send delegates to the State
vention of clubs at Morehead
August 15th.
club
' tl iUllwar ArcldrBt.
By Telr ,i-aph to Uie Nws and Observer.
Caattanoooa, Teun , July 21 The
cannon-ball passenger train on the
Alabama division of the East Ten
nessee, Yirgiaia & Georgia Railroad
ran through an open switch thirty
miles from this city yesterday. The
engine turned over and the engineer
and fireman were fatally injured. The
switch had been misplaced by ne
groes, who were -caught, and both
confessed. They were taken to Cleve
land to escape lynching.
Spartanbvg Complains.
By Telegraph to the J?ew and Obserrer.
Washington, ID. rC, July 21.
Written arguments were today pre
sented by the board of trade of Spar
tansburg, S. C , to the inter-State
commerce committee complaining of
the discrimination against that town
by the railroads passing through
that town.
Total VlslbU bap ply of Cotton.
By Telegraph to the Kens aid Observer.
New York, July 21. The total
visible supply of cotton for the world
12,63,679 bales, ol which 893,879
bales are American; against 1,589,365
bales and 915,06o bales respective! v
ast year. Receipts at all interior
towns, 4,119. Receipts at planta
tions 3,865. Crop in sight 6,856,408
bales.
Weekly Bank Statement.
By Telegraph to the Kew atd Observer.
New York, July 21. The follow
ing is tie weekly bank statement :
Reserve decrease, $1,294,000 ; loans
increase, $224,000; specie decrease,
2,218,800; legal tenders increase,
$145,600; deposits decrease, $3,116,
800; circulation decrease, $82,500.
The banks now hold $26,640,400
in excess of the 25 per cent rule.
. tha QTtninat
By Telegraph to the News aud Observer.
Washihoton,D, O, July 21. Bonds
offered today were $678,800. Accep
ted euu lour per cents at 127.
A ard Jake a t Stand them.
enclr Topic.
Patterson, July b.
I take this method of withdrawing
my connection from the Republican
party. I will at some future time
give my reasons for so doing. Suffice
t to cay that "the bloody shirt " joli-
cy North, and the domineering spirit
of the revenue and negro element of
the party bo nth, prompt me to tak
this course. I am not an aspirant for
any office within tbe gift of the peo
ple and wish to retire to the shades
of private life. All I ask is to be let
a1 one and allowed to vote just as I
please.
Thanking the people of all parties,
races and conditions, especially in my
native county (iSurke) for their sup
port in the past, and "with charity for
all and malice towards none, 1 am,
Very respectfully,
Jake H. Hallyburton.
i -i- i
, MR. CROW STATEMENT.
Mr. Cross' statement brings to light
what has long been understood that
the State Bank was in bad condition
years before the collapse The general
condition of the institution, it ap
pears, was very well known to the
proper authorities at Washington. It
is clear that the Comptroller's office
wished to save the bank from break
ing and hoped that it might work out
of its difficulties.
It may be that in the straits of the
bank at different times irregularities
were practiced with the hope of tiding
over the difficulties, and they were
tided over, and Mr. Cross says that
the bank s condition continued to im
prove under his management
We suppose that when an institu
tion is in bad circumstances those
interested in it seek to conceal its
weakness. They do not publish it as
long as they can help it.
lhe community will be glad to see
that Mr. Cross does not connect any
one with the forged paper but himself
and Mr. White, or impute any knowl
edge to others.
One Store KSfert
If you are growing weaker and weaker
from that bloody dysentery which does
not succumb to the treatment of pbysi
cians make one more effort and take I)r
Bigger s' Huckleberry Cordial.
Wall Papeu is cheaper just now
than ever before. Will paper rooms
complete (owing to size) as follows
$6, $8 and $10 each, $12.50, $15 and
$20 each. Prices named are one-half
former prices. Special care taken to
do good work. Satisfaction guar
antond. Have on hand a largo stock
and csn rtiiit. almost nny taste- Fred
A. Watson art dealer and manufac
turer of picture frames. Orders so
licited and promptly executed.
Flue Batter.
Fresh butter from the creameries
of Mr. W. G. Upcborch, Dr. Richard
H- Lewis and Mrs. D. W. Eerr. This
butter is of absolutely perfect qual
ity, put up ia one pound prints;
comes in twice a week ; kept firm and
cool in refrigerator, and always fresh.
E- J. Haidix.
MILLS BILL PASSED.
THE VOTE YESTERDAY IN THE
HOUSE.
IT STOOD TEAS 162, NAYS 148 THE
DOCDTFUL MEMBERS ABE CHEEKED
AS THET VOTE.
By.Jelegraph to the Ntwi and Observer.
Washington, July 21. Senate.
The Senate took np the Senate bill ap
propriating one million dollars to re
imburse depositors of the Freed
men's Savings & Trust Company for
losses incurred by the failure of that
company.
Mr. Edmnnds moved to strike out
the words "in whole or in part -of
African descent." He desired to get
rid of the race question.
Mr. Beck opposed the amendment.
The words, he said, had been inserted
at the request of Mr. Trenholm, the
commissioner, the object being to ex
clude the white depositors who had
wrecked the bank and to confine it
specially to thejpoor colored people
who had been defrauded of their lit
tle savings.
The amendment was rejected. Mr.
Vance called for the yeas and nays on
the passage of the bill, but as it was
represented to mm that there was no
quorum present, he withdrew the call
and the bill was, passed without a di
vision. The conference report on the river
and harbor bill was received from tbe
House and Was, on motion of Mr.
Edmunds, ordered to be printed.
The Senate then proceeded to the
consideration of the fisheries treaty
in open executive sassion and Mr.
Teller addressed the Senate against
the treaty. At the close of Mr. Tel
ler's remarks Mr. Dawes obtained the
floor and the matter went over till
Monday.
The Senate then proceeded to the
consideration of bills authorizing the
construction of bridges, and passed
several Mouse buls with formal
amendments. The Senate then ad
journed till Monday.
HOD8E.
Crowded galleries and a crood at
tendance of members on the floor
greeted Chairman Mills this morning
as he rose in his place to close the
long debate on the tariff bill.
Promptly at 11 30 o'clock the bill
was called up and Mr. Mills, after
offering two amendments, intended
to correct typographical errors in the
bill, moved the previous question on
them and they were adopted. He then
proceeded to address the House, be
ginning by stating the condition of
the finances of the government
by placing the Burplus at one hun
dred and twenty-nine million dol'ars.
Th's, he said, should arrest the atten
tion of the country. It represented
unnecessery taxation drawn from the
people and ptled up in the Treasury.
It was taxation levied upon the pro
duct of labor. It was an infquity.
This enormous amount of money was
lowering prices and piling an enor
mous load on labor and increasing
the benefits of the privileged classes.
How long would it be before stagna
tion would occur and bankruptcy and
ruin flock together over our land? A
tnsjority had attempted to bring
hiifnrA ...
nisi
the
bill to
reuuee in is taxation ua
1 i 7-
1aBAQ
treas-
the flow of money in the
ury. liy amendments made
in com-
mittee of the whole the relative rate
of duty had been placed at $42 99 on
the hundred. This moderate bill had
been met by a storm of denunciation
and characterized as a free trade
measure. Was $42 99 on the hundred
free trade ? What State had a 5 per
cent rate 61 taxation. In a majority
of the States it did not exceed $1 on
the hundred. The tariff of 1846 had
been spoken of as a free trade tariff.
Mr. Mills then look up the bill in de
tail, beginning with the chemical
schedule, whre the rate of duty had
been reduced from $32 87 to $28.17.
On earthen and crockery ware
the reduction had been $7 in
the hundred. They called that
free trade. If $50 on the hundred
was free trade, in God's name what
was protection T Sugar showed next
to the largest reduction in the bill
larger than in hemp, jute, iron and in
everything except wool, yet the bill
had been called a sectional measure.
To get six millions of protection on
sugar tne government nad to collect
fifty eight millions of tariff duties.
In provisions the reduction was one
dollar in the hundred. More free
trade. It was less than one dollar in
cotton goods. Was not that moder
ate? the duty still remaining at
$39.07. In wools and woolens the
reduction was $20 on tbe 100 and
most of that had been caused by plac
ing wool on the free list. The manu
facturers would have free wool and 40
per ct protection or 5 per ct. more than
he now got. And still they said the
bill was a free trade measure. Arti
cles amounting to twenty million dol
lars have been placed on the free list
and $6,390,000 of that was wool. Cot
ton had been the chief product of this
country. Yet the Republican party
had put it on the free list; and they
were right. Sat when it was intend
ed to touch wool, the combination
that made the protective tariff was
struck, and they said "you shall not
touch it." The next article on the
free list was tin plate, $5,700,000.
Not a poand of it was produced in
this country. The committee pro
posed to give this money to the con
Burners; yet their action was called free
trade. If that was free trade, make
the most of it. Salt was the next. Be
cause few people were interested in its
manufacture the committee was stig
matized as free traders for putting it
on the free list. Burlaps was not
made in this country. It had boon
placed on the free list. Hemp and
jute made up $1,700,000 of the free
list. W ith all the milk that could be
given this baby industry it had failed
to grow. It was dying and must soon
disappear. The Republicans had used
the same argument in favor of striking
down the sugar industry. Opium paid
$468,000. It had been placed on the
free list. Cotton ties and brist es
(the latter produced in Russia) had
also been placed on the free list
Food product, currants, that con
cerned no labortor in this country, had
been placed On the free list. Yet the
committee had been taunted with be
ing free traders. Their opponents
said : "If you want any thing free, take
a free drink of whisky." (Applause.)
The taxes on express companies, on
telephone companies, on all the wealth
of the country had been removed, but
none of the taxes on labor had been
removed. Wool grew on sheep. There
had been much sympathy expressed
for sheep. The Democratic party
sympathized with men. It wanted
cheap clothipg for the poor. The
Republicans Wanted the duties kept
so nigh that neither wool nor woolens
could be brought in. With a product
of 300,000,000 pounds and a need for
600,000,000, what wers we going to
do T The Democrats proposed to
let in wool free and let our work
men ' make it up into clothing.
The bill was intended to benefit the
condition and increase the wages of
the laboring people. Applause.
The government should not . meddle
with the people. They could take
care of themselves. They were the
most intelligent and best people in
the world and could give employ
ment to all of the laborers if Con
gress would but let them alone. Why
should we not have free raw material
and have an opportunity to contest
on equal terms with foreign manu
facturers ? We would have a fair
field and open fight. Applause.
The Democratic party intended to
appeal to tha virtue and intelligence
of the country.' Money was being
poured into his district in Texas to
beat him for ; re election to the 51st
Congress,' but he wanted the
country to , know that the peo
ple of his district were not for sale.
The committee had reduced the duty
on steel rails rom $17 to $11 per
ton and it was charged that that was
an effort to destroy infant industry
In conclusion he referred to a suit of
clothes produced by McEinsly du
ring his speech. He said that he had
nothing to take back. He had in
quired into it, found that $10 suits
had been protected to the amount of
$4 03. lie had heard that thit- suit
was to be photographed and used in
the campaign. He wanted to proto
graph it in the brain of every voter,
the fact that that $10 suit was pro
tected to the ampunt of $4 03. At
the conclusion of Mr. Mills': speech
which was tumultously applauded,
all of the amendments were: agreed
to with the exception of that on cot
ton ties, on which Mr. McKinly de
manded yeas and nay vote, which
was ordered. It result jeas 170
nayS 128, and the 'amendment stand"
as agreed upon in the committee of
the whole. MrGear of Iowa (Re
publ'can) voted with the Democrats,
Mr. Bandall was paired with Mr.
Hogg of West Virginia
Sowden, of Pennsylvania, Green
man and Bliss, of New York (Demo
crats) voted for the bill, and Fitch, of
New York and Nelson, of Minnesota,
(Republicans) voted for it- Four in
dependent members also voted aye.
xne vote oeing taicen on the passage
of the Mills bill resulted, ; ess 162,
cays 148.
v nen the yeas and nays were or
dered, on the final passage of the bill,
Mr. Sowden of Pennsylvania obtained
recognition and said that his distin
guished callegue Mr. Randall who
was absent from the House by reason
of severe illness bad sent him a letter
which he wished to have read at this
lime- tv. ltio. - n
T"lv 19. 1888.
Hon, W. II. Sowden, House o-
resentatives :
My Dear Sir: If th vpte on the
Mills tariff bill is to be taken Satur
day, the 21st inst-, I fear my strength
by reason of my recent illness will
not permit my presence in the House
on that day, and, if absent, I want
you to secure me a pair with some
one who favorB that bill, as I would,
if present, record my vote in opposi
tion to it. Give thia immediate care,
as I do do not want to b. oils under
stood. I want it announced and dis
tinctly known that I am opposed to
the passage of the bill in question.
lours truly,
Samuel J. Rahdaix.
The letter was loudly applauded
by the Republican members of the
House. The roll call was then pro
ceeded with. The following is the
detailed vote: :
Amone those votine in the sfhrma-
tivefrfere Messrs Ciwles, Henderson,
Johnston, Latham, McClammy, Row
land, Simmons and Brower. In all,
162. v!
Among those voting in the -nega
tive, was Nichols. In all, 148.
The following pairs were announced
in favor of the bill: Hogg, Whiting,
of Michigan, Belmonf, Perry Glover
and Granger. Against the bill: Ran
dall, Hiestand, Davenport. Spooner,
Browne, of Indiana and Woodburn.
The announcement of the result was
greeted with applause, and it was
with some difficulty that Mr. Mills
succeeded in quieting bis enthusiastic
colleagues long enough to make a
motion to reconsider aud table, which
was carried. During the call of the
roll intense interest was manifested
on the floor, add many members pro
vided themselves with a roll call and
kept tally as each vote . was an
nounced. The first member in regard
to whose vote there was some doubt,
who was reached upon the call, was
Mr. Anderson, of Iowa, who was
elected as an independent with Re
publican proclivities, and as he cast
his vote with the Democrats these
gentlemen vigorously applauded him.
The next gentleman whose, vote
gained him a round of applause was
Mr. Bliss, of New York, and as he
CAst his vote against the bill it was
the Republican side that paid him
the compliment Mr. Fitch, of Mew
York, when his name was called re
plied wi h' a vigorous affirmative,
which gninfd him hearty greet
ing from the Democratic side,
which wns : counterbalanced m
a few moments by tho Republican
applause when Mr. GreeOman, of
New xork, answered in tne negative.
Mr. Mernman of New York was also
applauded when he voted against the
bill, but the greatest demonstration
accorded any gentleman was that ten
dered Mr. Nelson of Minnesota, when
he answered to his name in the affirm
ative. Mr. Sowden, of Pennavlvania,
came in for some Republican applause
when he voted "p." Afp the roll
had been called but before the an
nouncement had ben made, the
Speaker directed the e'erk to ca'l h:s
name and he voted in favor of the
bill. u
Mr. McMillin, of Teaoesseo, moved
thai when the House ad jouru today
it be to meet on Wednesday next.
Mr. liOutelle moved that as this
was the 27th anniversary of the battle
of Bull Kun, the House should take
a recess till 8 o'clock.
This mo'ion was voted down amid
a chorus of applause and laughter
from the Republicans, and the ro
matkfromMr. Rogers, of Arkansas.
This isour Waterloo."
Mr. McMillin's motion to adiourn
till Wednesday was then rejected
upon a yea and nay vote, and the
House, at 2 o'clock, took a recess till
8 o'clock this evening, the evening
session to be for the consideration of
Indian depredation claims. .
THE STATK DEMOCRATIC PHtTFOR H
We agalu congratulate tlie people ol NorthVar"
ouna on the eoutlmird cnjovinent ot ueo. tood
government ami general prosperity uniler llieJH-m-oeratlc
administration of the ailairs of the State
which has now Ix-en unbroken fur so many year. ;
upon the just and impartial enforcement of the
law; upon the increasing emcieiu-y f our com
mon school sy tem. auil the progress made In pop
ular education ; upon the improvement aud en
terprise manifested in ail pal is of the State. We
again ehalleue a comparison between this state .
of things atiil the outrages, crimes and scandals
which attended Kepnblienn ascendancy in our
borders. We pledge ourselves to exert in The fu
ture as in the past our bent cftorts to promote the
best interests of the people of all sections of the
State. Aftirmiug our adherence to Democratic
principles as heretofore enunciated in the plat
forms of the party, it is hereby
Resolved. Xliat no government has the right to
burden its people wi;h taxes U-yoinl the amount
required to pay its necessary expenses aud grad
ually extinguish its public debt ; and that when
ever the revenues, how ever derived, exceed this
amount, they should be reduced, so .is to avoid a
surplus in the treasury. That auy system of tav
aiton which necessitates the payment of a pre
mium ol tZ7" by tne government on eucli (l.ouoof
its bonds, taken up with the millions that would
otherwise he idle in Its vaults, and paid to bond
holders who purchased, in ninny instances, at
less than par. is undemocratic, oppressive anditi
Iquitious, and should be reformed. The course ot
our Democratic Representatives in Congress, in
thelreftorts to gie relief to the people from bur
densome Internal revenue aud Utrifl taxation,
meets with the approval of the Democratic party
of this Mate and we respectfully recommendthal
If they find it impossible to-givc to our people 11
the relief demanded, thev support any just apd
practical measure presented in Congress that
will allord a partial relief from, such existing
burden.
Eesolved, That while the details ot the methods
by which the constitutional revenue larilf shall
be gradually reached-are subjects which the rep
reseutatives of our people at the national capital
must he trusted to adjust, we think the customs
duties should he levied for the production of pub
eiljreveuue, and the discriminations in their ad
justment should lie such as will place the tiiglrest '
rates on luxuries and lhe lowest on the necessa
ries o( life, distribute as equally as possible the
unavoidable burdens of taxation, and confer the
greatest good on the greatest number.
Kesolved, That we. as heretofore, favor, and
will never cease to demand, the unconditional
abolition of the whole internal reveaue system, as
a war tax not to be Justified in times of peace ; as
a grievous burden to the people and a sourcuof
annoyance in its practical operations. We call
tne attention of the people of the Male to the
hypocritical pretensions of the Republican party
in meir piauorms mat tney are In favor of the re
- plat
peal ot this
by Iheir party, whllethe, Republicans iu Congress
onerous system ot taxation, enacted
Are Uuiug their energies to obstruct a'l legisla
tion Inaugurated by the representatives of the
Democratic party to relieve the people of a or a
part of this odii us system.
Resolved, That the course f the DemocraUc
party, in furtherance ot popular education, is a
sufficient guaranty that we favor the education
of the ieople, aud we will promote and improve
the present educational advantages so far as it cat
be done without burdeuins tho people by exces
sive taxation .
Resolved. That, to'meet an existing evil, we will
accept, for educational purposes, from tbe Feder
al government, our pro ra a share of the surplus
in Its treasury ; Provided, that it be disbursed
through State agents and the bill for the distribu
Hon be tfee from objectiouahle f-aturts.
Resolved, That the Uuittd State b- iug ofl-gov-emuient
and ours a national party, we denounce
the efforts of the Republicans to force sectional
issues la Congress aud elsewhere, and to promote
dissension and ill-will betwoen the people of th
diffeieut sections of our common country.
Resolved, That it is du to the piopleof our
eaatern counties, who havx so cheerfully horns
Uielr share of our common burdens, that tbe pres
ent or some equally effective system of couity
government shall be maintained.
Kesolved, Tnat the Democratic party is opposed
to any further extension of the "No-fence" law.
unless such extension shall have first been au
thorized by a majority of the qualified voters
wunin tne territory to he anectea thereby
Resolved. That the Democratic nartv nas ever
been the party of the workingman, and has never
fostered monopolies, nor have "trusts" or "combi
nations" or "pools" ever grown uj under laws
enacted by It. Tbe contest in this country being
between aggregated capital, seeking to crush out
all competition, aud Uie individual laborer, the
Democratic party is, as it has ever been, against
eTc&blPoiMuhil and in favor of a Just dlstributiou
that will beaTMonaods the; enactment of laws
Resolved, That as arrmU.
Ily uiHn the laborer, it is the doty 6TfSWost neav
aa a direct benefit to the workingman, to keepttf-
expense of our public institutions at the lowest
limit consistent with wise and efficient manage
ment. The Democratic party opposes any compe
tition between lre and convict lalwr, but it insists
that con icts shall not remain idle at the expense
ot honest labor.
Resolved, That ours being an agricultural Statu
It is our duty as Well as our pleasure to promote
any and all legislatiou that is best calculated to
advance Uie interests of agriculture-, aud that iu
so doing we will most effectually advance the In
terests of mechanics, manufacturers and labor
ers. Resolved, That the Democracy of North Caro
lina cordially approve the administration of Hon.
Alfred M. Scales, as honest, patriotic ami conser
vative. Resolved, That the ability, wisdom, honesty,
patriotism, independence, faithfulness to duty
and manly courage of 1'resident Cleveland have
won the admiration of all good men ; and the in
terests of the country demand his rc-nomiuation
and his re-election.
Reducing the Surplus.
The disposition of the surplus in the
United States Treasury engages the at
tention of our statesmen, but a more
vital question has our attention, and that
is the reduction of the surplus consump
tives. E ince the discovery and introduc
tion of Dr. King's New Discovery for
Consumption, there has been a marked
decrease in the mortality from this
dreaded disease, and it is possible to stil
further reduce the number of consump
tives. How? By keeping constantly at
hand a bottle of Dr. King s New Discov
ery and using according to directions,
upon the appearance of the nrst symp
toms, such as a cough a cold, a sore
throat, a chest or side pain. Taken thus
early a cure is guaranteed. Trial bottles
free at Lee, Johnson cz io i arug store.
Gen. Sheridan is much better and
so is Mr. Randall.
PURE
Its superior excellencs proven in
mil
lions of homes for more than a quarter
of a century. It is need by the United
States Government. Endorsed by the
heads ef the Ores Universities as the
the Strongest, Purest and most Health
faL Dr. Price's Cream Baking Powder
does not oontain Ammonia, Lime Of
Alam. Sold only In dans.
PRICE BAKING POWDER CO.
W TOBX. CBIOAOO. BT LOtTX&t "
Ikeae!
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