Cass County, Missouri - Chapter 35: County Bond Trouble, 1917

EARLY CONDITIONS - COUNTY SEAT ASPIRANTS - RAILROADS PROJECTED - BONDS VOTED - DELIVERED TO GOVERNMENT OFFICIAL BY HUGH G. GLENN - BOND LEGISLATION - COUNTY COURTS - LITIGATION - THE INTRIGUE - SPOILS DI¬ VIDED - ARRESTS - THE GUNN CITY TRAGEDY - OTHER BONDS ISSUED - RAILROADS BUILT - FINANCIAL STATEMENT.

We of today think that we have internal troubles as a county, political and otherwise. Could we raise the curtain to look upon condi¬ tions from 1857 to 1872, we would at least have great misgivings as to our troubles. We have our differences now, but comparative peace after all. Then, in reality, brother was against brother, parent against child. It was quite difficult for persons to have confidence at all in one another. Brewing in 1857 was the question of dividing the county and making a new county out of the north part of Cass, a part of Johnson, Lafayette and Jackson counties. Towns in different places aspired to be county seats. The people near Pleasant Hill looked forward to the time when that city would be the seat of government for the new county of "Rich¬ land." This was a good and attractive name. To curry favor, the people with these hopes sought to have Austin strive for a new county seat of old Cass County. This is but a glimpse of the situation.

At this time railroad building was at white heat. All kinds of schemes and graft were rife in the land. A railroad was projected from St. Louis west to Kansas City and was built part of the way. There were two routes talked of in this part of the State. One from Sedalia north¬ east, by way of Chappel Hill, in Lafayette County. The other from Sedalia by way of Holden and Harrisonville. Kansas City was the objective point of both routes. The parties projecting the railroad were ready to accept the route along which they could secure the largest dona¬ tions. In common parlance, the parties putting up the largest graft fund could get the railroad.

The brainy men favoring Pleasant Hill saw either of these routes lor the railroad would forever kill their dream of being a county seat. At this juncture supporters made overtures to Harrisonville supporters to pool issues against the Chappel Hill route, as a matter of county pride. To effect this it was necessary to raise a larger fund than the supporters of the Chappel Hill route. It could not be raised by personal subscrip¬ tions. The people were too poor for this hope. The scheme of county subscription to stock was suggested by the railroad grafters. This bait was swallowed, boots and britches, by both the supporters of Harrison¬ ville and Pleasant Hill. This was the undoing of both towns, to a very great extent. The far-reaching scheme was discovered too late. Many serious, and at the same time ridiculous, things occurred over this mat¬ ter. The best men we had, at both Harrisonville and Pleasant Hill, did things which subjected them to criminal prosecution. They winked at men voting several times the same day on the same proposition. Thus they approved repeaters at the polls. High-toned gentlemen, ministers of the gospel, deacons of churches and laymen, above reproach in char¬ acter, never hesitated to put up their personal wealth - money - knowing the slush fund was to be used to influence legislators and corrupt others with official power.

Such was the state of society in those dark days. It was thought on both sides that it was necessary to protect their homes. As a part of the deal between the two towns, the new county and prospective county seat efforts should be dropped, thus leaving Cass County intact and Har¬ risonville the seat of government and Pleasant Hill to get the railroad. So on the 8th day of May, 1857, by a large majority, Cass County voted to subscribe $150,000 to secure the route of the Missouri Pacific Railroad through the county. The then county court, without a dissenting vote, made the necessary orders under this vote as the order of appointment of an agent to make the subscription on behalf of the county. The mat¬ ter stood this way without further action by county or railroad projectors until the 17th day of August, 1860.

On this last date the county agent, with the approval of the court, and the attorney representing the railroad parties entered into a radi¬ cally different contract than the one voted or formerly ordered by the court. The subscription was changed from $150,000 voted, and so ordered to $100,000, and instead of having payments of three annual pay¬ ments, as voted and ordered, this contract provided for the issuance of bonds, running a longer time, to be delivered to the construction com¬ pany as the work progressed. These bonds were two hundred in number, of the face value of $500 each, and practically to bear ten per cent, in¬ terest from date, payable semi-annually.

These bonds were prepared and delivered to Hugh G. Glenn, special commissioner, appointed by the county court. Certain survey work was done out from Holden, requiring by the terms of the contract the pay¬ ment of $1,500 (or three bonds). So three bonds were, on May 14, 1861, delivered by said special commissioner, pursuant to said contract, the order of his appointment and report of the engineer of the railroad com¬ pany. The war came on, the work on the railroad ceased, and Glenn held the remaining $98,500 in bonds. His troubles seemed more than one man should bear. He could not destroy them (which would have been an act of justice), for then he would be liable to be accused of stealing them. Should the bonds be found in his possession and taken he would be sub¬ jected to criticism. There was nobody to whom he could deliver the bonds, no county court, and if there had been, they were not entitled to them under the contract. There was no person representing the railroad company, and should there have been, they were not entitled to the bonds, the work required in the contract not having been performed. What should he do? Should he be killed, as was imminent, the bonds taken and put into circulation, then his old neighbors were liable to say he or his family had profited by the matter. These bonds were stolen by marauding bands, as some have said.

During the year 1862, small children of the special commissioner had, in their play, discovered these beautiful papers and proceeded to divide and play with them. It was at that time worth a full grown man's life to be caught out, particularly from home. Glenn traveled by night, and hid out by day, and carried these county bonds to Fort Leavenworth, Kansas, and delivered them to Colonel Hunt, the United States officer in command. These bonds were faithfully delivered by Colonel Hunt to the general government at Washington, D. C. The general government, not any robber band, delivered these bonds to the Missouri Pacific Rail¬ road Company. This contract was complied with and work under the contract done.

Chronologically, other bonds were issued, but we are following up the bloody bonds. At the close of the war these bonds remained unpaid. The county had received no certificate of stock, nor had the work pro¬ gressed as agreed in the original plan of subscription. In 1869 the St. Louis & Santa Fe Railroad Company was organized for the purpose of building a railroad from Holden, Missouri, to Paola, Kansas. An attempt was made to turn these bonds to this new company for said pur¬ pose. On August 14, 1869, the county court made an order of record, legalizing these old Missouri Pacific bonds, dated in 1860, so far as in the power of the county court so to do. They provided in this order that these bonds should be used in the construction of the St. Louis & Santa Fe road from Holden to Paola.

1869, the St. Louis & Santa Fe company transferred to the "Land Grant Railway and Construction Company of New York" all their bonds, voted by the several townships (Camp Branch, Grand River, Dolan, Everett and Coldwater), and also assigned all their right, title and interest to said old Missouri Pacific bonds, named in the order of August 14, 1869, in consideration of this transfer said Land Grant Railway Construction Company agreed to build and complete the railroad from Holden to Paola, which said construction company did do. Matters stood thus until

1870, when the Missouri Pacific Railroad Company submitted a proposi¬ tion to the county in the alternative, viz.: To issue stock of their road to Cass County upon the county paying principal and interest on these old 1860 bonds, or to return to Cass County these 1860 bonds on being released from liability to issue stock as was originally provided by the subscription stock. It seems the Missouri Pacific Railway Company still claimed some interest in these bonds. The county accepted that part of the proposition for the company to return the bonds and the county release the railroad company from liability to issue stock. An agent was appointed to so receive the bonds, release the railroad company and to dispose of the bonds under the order of the court. The agent of the county received the bonds and under the order of the court turned them over to said construction company.

In 1870 the county court refused to fund these bonds. Then fol¬ lowed court proceedings by mandamus in the Circuit Court, the object of which was to compel the county court to fund these bonds. At this juncture, Gov. B. Gratz Brown appointed J. D. Hines to the office of circuit and ex-officio county attorney. It thus became Hines' duty to look after the county's interest in these legal proceedings. Able attor¬ neys were employed by the county or citizens to assist him in this work. This cause was to be heard on its merits at the April term, 1872. In February, 1872, the citizens of the county sought by injunction to restrain the issuances or funding of these bonds. Hines, having knowledge this proceeding was about to be taken, as county attorney and for the county, sued out before the then Circuit Judge another injunction to restrain the county court from obeying the writ of mandamus already served on the court. Why these extraordinary proceedings when the county court had gone on record "to resist so doing to the bitter end?"

Hines, having filed his suit, first takes a certificate of the clerk show¬ ing this fact, and procured from the Circuit Judge an order dismissing the first injunction suit - known as the Harrelson injunction. This order of dismissal Hines put in his pocket for use when the time came. It was talked at the time that Hines was going to California on impor¬ tant business and hoped to return in time for the regular April term, 1872, at which time the Circuit Court proceedings were to be heard on their merits. Just before train time, going east on the 1st day of March, 1872, James R. Cline, the law partner, filed Hines' order of dismissal of the Harrelson injunction, issued as before stated by the Circuit Judge. A. D. Ladue, claiming to be attorney for the Land Grant and Trust Com¬ pany, dismissed the above named mandamus proceedings against the county court. Cline at once took from the deputy circuit clerk certificates of these dismissals to the county court, then conveniently in session, and the county court, seeing the legal obstacles appeared clear, issued their infamous order legalizing these old 1860 bonds, then amounting to the handsome sum of $229,000. Judges Stevenson and Forsythe were pres¬ ent, constituting the county court, when the minutes were signed, and closed this transaction. Judge Copeland was not present when this order was made. Forsythe at once started for his farm. Cline and Stevenson, with their confederates, got out of the county before the people realized what had been done. The bonds had been signed up by Stevenson and O. P. Yelton, properly dated, previous to the order, and all was ready, including attaching the county seal.

It was developed in litigation following that the signing and sealing was done at night in a back office of Hines & Cline's law office. Then followed indignation meetings, the organizing of the committee of seventy and further litigation. Sheriffs and deputies sought for Steven¬ son and Cline. Stevenson roamed for a time. Hines went to California, never to return. Cline was caught in Kansas and released under habeas corpus proceedings, caught again and gave bond, then he, too, roamed for a while. After leaving town on the evening of the issuing of the bonds, Cline, Stevenson, W. B. Nichols and perhaps others, went by way of Holden to St. Louis and at the Southern Hotel of that city, divided the spoils. Nichols got $35,000. Cline got $55,000 and Stevenson got $12,000. Ladue got, for himself and R. S. Stevens, $127,000. The bonds, Ladue put in the express office ($127,000), were recovered by the county; the $55,000 allotted to Cline were recovered.

After a time Stevenson and Cline had been arrested and put under bond to appear at the spring term, 1872, of the Circuit Court. On April 24, 1872, Stevenson and Cline, with Thomas E. Dutro, left Harrisonville on the M., K. & T. railroad, going toward Holden on the 5 p. m. train. At Gunn City a mob stopped the train and Stevenson and Cline received the just punishment for their conduct. Dutro was also killed ; some have thought by mistake, others because of the company he kept. Thus ended this long drawn out tragedy. Indictments of per¬ sons supposed to be in the mob followed, their trials were had and they were cleared. Perhaps two parties received small fines, which were readily paid.

In 1868-69 and '70 the struggle between Harrisonville and Pleasant Hill for the new county of Richland with a new county seat at Pleasant Hill, was revived. Action of legislatures and courts were used by either party to reach their ends. The issuance of bonds was but an incident to this controversy. The Legislature of 1868 passed an act authorizing townships to subscribe for railroad stock- and vote bonds to promote public improvements. Bearing in mind the organization of the St. Louis & Santa Fe Railroad Company, its officers and directors were local cit¬ izens, interested against the new county, favoring the Harrisonville ideal, and to build the road from Holden to Paola. It was an easy matter to get the people of Camp Branch, Grand River, Dolan, Everett and Coldwater townships to vote subscriptions to this enterprise. It was thought to be the salvation of the county. Bonds were voted and issued in amounts as follows: Camp Branch, $30,000; Grand River, $80,000; Dolan, $40,000; Everett and Coldwater, each $10,000. Afterward Grand River voted $25,000 additional.

These bonds were put in the hands of R. 0. Boggess, an attorney, as agent of the county, with which to construct the road, now the M., K. & T., east and west across the county. These bonds were faithfully used for the purpose issued and this road completed in 1871. Bear in mind, this road was built by a local company, with local money, derived from the sale of the township bonds.

To counteract the influence of the construction of the Holden-Paola road, the people at Pleasant Hill, in 1870, projected the building of a railroad from Chappel Hill, in Lafayette County, by way of Pleasant Hill to Austin, north and south through the county, leaving Harrisonville six miles to the west of the route of this road. To this township sub¬ scriptions from Pleasant Hill and Austin townships were procured. In 1871, the adherents of Harrisonville procured a subscription of $300,000 "to the aid in the construction of a railroad from Kansas City to Clinton and south by way of the present site of Belton, by Harrisonville, thence out of the county near the southeast corner of the county." The county court seems at this time to have gone "over body and soul to the plund¬ erers." These bonds were put in circulation and the county never got a cent for them, nor was a shovel of dirt moved. Other bonds were issued at the influence of Pleasant Hill to construct the Pleasant Hill & Lawrence railroad, by the name it was then known.

Many worthy citizens of the county have been condemned unjustly on account of our bond matters. The only parties known for any degree of certainty to have been engaged in these schemes to plunder the county were J. D. Hines, who, with R. S. Stevens, furnished the brains; James R. Cline, the tool and law partner of Hines; Judge Johiel C. Stevenson; J. B. Higgins, used as the bully; O. P. Yelton, deputy county clerk, as home people with W. B. Nichols and A. D. Ladue.

When all is said, was the tragedy at Gunn City a surprise? A people whose petitions, remonstrances and court proceedings were treated with contempt by a set of brigands, forbearance ceased to be a virtue and the manhood of the people justly saw it was time to act. To avenge the many wrongs this oppressed people were driven to desperation. The fearful culmination of the drama took place on the evening of the 24th of April, 1872, at Gunn City, Cass County, Missouri.

I, W. P. Gilleland, clerk of the county court within and for the County of Cass, State of Missouri, do hereby certify the above and fore¬ going to be a full, true and correct abstract of all receipts and expendi¬ tures of Cass County, Missouri, for the fiscal year ending January 31, 1917, together with a table showing the condition of the county and township bonds indebtedness, as shown by the records now in my office.

In witness whereof, I have hereunto set my hand and affixed the seal of said court at my office in Harrisonville, Cass County, Missouri, this 24th day of February, 1917.