Lincoln telegraph. [volume] (Bath, Me.) 1836-1846, 1841-06-03

islature Mr.. Williams made no statement Oh
this transaction in his annual report II II were
right and iustifable, why dd he not name IL anu
give the reasons upon which he justified it, to be
Judged of by the Legislature2 Was it a traRsac-
ton that would not bear an open, frank and man
" exposition that it was buried up IN his annual
report in charge debt to Counties, towns, and
ndvduals-$66,G6 7 76." This could not have
been accidental The payment OF the other state
scrip was charged under its appropriate name,
and schedules of the details annexed-but THIS
800 900 was charged as payment for debt to
Counties, towns and individuals state these
facts only for the purpose of showing the msera-
BILE results of the policy of sustaining the govern
ment by loans, instead OF returning 10 the sound,
safe policy which prevailed prior to 1880. your
Committee further state that interest on Temporal
ry loans made by the late Treasurer, is included
in the aggregate cost Of obtaining the permanent
loan. Ii appears by the schedule annexed to this
report, thai temporary loans as late as October
2Sth, were made although the amount OF funds
on hand was very large, according to the accounts
in the books eff the office.
The apparent amount of cash on hand, accord
ing to the accounts, was rs follows:
July |, 1910, $45S,9O2 l3
Aug. !, 403,l34 %
Sept !. 436,14S IS
Oct l. 405,245 36
Nov l. 33944S 81
! The whole balance of amount of loans negotia-
ted by Mr.. Williams was credited under date OF
June goth, although the negotiations were not all
made, nor the money actually received till long
after this period or else there could have been no
reasons for making these temporary loans. Up
on this point, Mr. Williams says, in his explana-
tons to the Committee, that, "although there
was nomnally upon the books of the Treasury,
balance to the credit of the State, at the time of
the negotiation of the temporary loans after June
Both, yet portion of the funds were not with
out a violation of an honorable understanding
with the banks and Individually available till Oc-
tober.
| Such is Mr.. Williams's statement of the fact,
but the explanation hardly meets the case. The
cash received during The months of August, Sep
TENDER and October from the permanent loans,
might have been credited by accident under date
of June 30th, but fso, this is not merely nomi-
nal and formal matter 1t is OF Importance and
substance for the stock notes issued were on in
terest from date, and they were dated at the time
of the passage of the resolves. The amount cred
ited being the balance of permanent loans nego-
tiated under date of June 3Oth 1910, was $479,-
s12 so, and if this sum was not actually received
or available till the last of October or November,
to the Treasury, the accumulated interest on this
amount would be, and would appear, much less,
if reckoned only to June Both, than if cast up to
October and or November, and the accumulated
interest on this amount was lost to the State, I'M
til it became available to the Treasury. Your
Committee, in their report, state that the amount
of interest paid upon these temporary loans was
$4,9l4 70, many of which were made between
the 3Oth of June and 2sth ofOctober, while there
was an apparent amount of funds in the Treasu.
nv, before stated "a part ofthese loans OBJ
tanned on pledge of the State stock security"
To illustrate the expedients resorted to, l will,
Mr.. Chairman, with your leave, read copy of a
note given by the late Treasurer and also to show
how and on what terms and security, some of
these temporary loans were obtained. The note
is as follows:
$4,000
1853
NEW York, May IS, 1910.
Thirty days after date, without grace, prom
Use to pay to f. d. Comstock, President, order,
ten thousand dollars. for value received, with ill.,
terest at the rate of seven per cent. per augum,
having deposited with him collateral security,
with authority to sell the same on the non-per-
Torrance of this PROMISE at public or private sale,
without notice } three bonds of the State of Maine,
of ten Thousand dollars each, numbered Nos.
l45, LAG, and 147, making in all thirty thousand
dollars of the State loan of $780, of the 9TH Of
March, 1s40 (Signed) DANIEL WILLIAMS,
Treasurer of the State of Maine.
This note carries out its own illustration. 1t
requires 20 comment, explanation. Such q
note, secured by State bonds for $4,000 as col
lateral security, coupled with the RICH. to sell the
same at public private sale, without notice, on
the performance of the promise, stands out
as an important fact in the financial history of the
past year, and Speaks volumes the shifts d expe-
dents to which the Treasury was reduced, I'M
der the operation of the financial policy which
has prevailed. Such, Mr.. Chairman, some of
the facts connected with the fiscal operations of
the past year, facts which have an important
bearing on the question now under consideration.
They show the immense expense, TO which the
State is subject, in raising money by loans, the
looseness of doing business which has crept into
practice, and consequent exposure of the public
funds, and the credit .ofthe State impaired. In
view of these results is it not time to arrest the
evil, and reduce the expenditures ofthe Govern
ment, to the lowest possible limit, and provide
other resources to the treasury than further is
sue of State script and further resort to loans.
In my Judgment, the wellbeing and future pros
perity of the State requires this at our hands, and
the people demand il of this Legislature. Let a
careful exactness and retrenchment in the ad-
inistration of affairs succeed to the looseness and
lavish extravaganza which has prevailed, and the
State NAV vet be redeemed from the load of debt
by which it is now oppressed and weighed down.
The reasons assigned for abandoning State tax
es, and changing the whole financial policy ofthe
State, have failed, utterly and completely failed.
Gov. Dunlap in his message in 1886, congratula-
ted the Legislature on the truly Furnishing con-
diton of the treasury, and the finances of the
State. JsThe public domain said he, " is of in
calculable value fit belguarded with vigilance
and disposed of by slow degrees, the revenue to
be derived from it may ultimately be made to
meet the ordinary expenses of our Government
Not only did the Executive rely upon the income
of our public lands, to defray the necessary ex-
penditures, but the Legislature of 1886 declared