Vermont watchman and State journal. [volume] (Montpelier, Vt.) 1836-1883, 1846-03-12
TO THE TAX-PAYGNG COMMUNITY IN
VERMONT.


1t Is proposed to publish in this paper, series of
numbers, on the imperections of the system Of ac-
counting in this State. The subject will be essen
italy financial, and the object the proper admins
tratlon OF the public revenue In treating the sub
ect, design to speak of the law relating to fees
and accounting as it was, from 1897 to 1912; and
from lS42 to 1885, when new law was enacted
essentially changing the system introduced by the
act of 1912,
In speaking of the old law, in force before 1872
with the cause of the repeal or essential modifca-
ton of the act of 1912, by the act of ls45 also
comment upon the act of lS45-consider its de-
feels as contrasted with the act of 1872 and its
probable operation upon our finances, while it shah
continue in force Our remarks upon these laws
must necessarily be brief and somewhat desultory.
The law existing for 45 years before 1872 regula-
ting fees and accounting, though modified from
time to time, always essentially defective, and
could never secure "A faithful application of the
public revenue to the purposes of government. 1t
could not always secure the States rights for it
had not the means of knowing the States claims.
1t could not compel our citizens to be honest for it
could not know when they embezzled the public
funds Claims against the State were several times
paid, because presented at different boards, author
lied to settle them, and the law had made no pro-
vision to prevent snch practice. Errors and frauds
in accounting might occur to an indefinite amount,
without possibility Of correction, for an order on
the Stale Treasury covered all defects and there
ing in securities, as IN bonds. judgments, fines
costs, &c, was wasted to an enormous amount be-
cause 1t was made the proper duty of no man to
guard all these Interests against loss and exorbit
ant and unreasonable remuneration was awarded
tor comparatively triiing services, because no doc
unent exhibited 10 the people or to the Legislature
the disproportlon between compensation and ser
vice.
These imperections, IN our laws of accounting,
had been partially realized by sone before the ses-
sion Of the Legislature in 1871, when by Joint
resolution of that body the Auditor of Accounts,
anon! other duties therein assigned him. was d-
rected to report to the then next session, what
notifications Of the laws was necessary to secure
more thorough accounting, by every officer or cit
lzen being IN the receipt Of money belonging in
any wise to the State Of Vermont" The duty thus
imposed led to the disclosure OF the 70 lowing facts
Illustrative OF the truth Of the preceding remarks.
claim was presented 10 the proper board for
allowance, and on foil consideration of the facts
was dsallowed it was Withdrawn, and subsequent
ly presented TO another board aud allowed, at Il
just sum, as was supposed, and the amount was
paid at the Treasury. Another claim was present
cd as above. and allowed, and the amount, also
paid out of the Treasury. This claim was agar
presented at another board, and allowed at great
or sum. Claims have been allowed by the Genera
Assembly, with an express condition, that the allow
ance shall be taken us final settlement OF the
clam, and in short time, the claim has agalI
peeu presented and allowed, aud sometimes TO
still q, alter amouut.
Another defect in the law before 1S42, was, tina
In some cases II secured no accounting from per
SONS lntrusted with the public funds. The direct
ors OF the old Vermont State Bank were unde
bonds =" for the faithful discharge of the duties O
their Office" but the law had provided no board tc
inspect the conduct Of those directors and, o.
course the Legislature knew nothing, less or more
about the concerns of that bank, than the integrt,
OF those directors induced them to disclose. The
Legislature had not the means of charging those
directors with all the State funds coming into then
hahds Tor 1t was always in their power to us(
those FUNDS to subserve their own interests for q
tong ttme al least, before knowledge of the fac
could aVall TO secure the public rights.
Such a case occurred at the MiddIcbury branch
and judgment of about $4,000 was recovered A.
ga'nst The directors which was finally RENTED t.
them by the Legislature, and lost to the State
Here was wide space lett open, which might be
occupied by corrupt and dishonest practices; ane
when we take into the account, that the act eslab
fishing that bank authorized the directors to borrow
money to fill their vaults, so that the deposte,
might extend to three hundred thousand dollars il
each of tour branches, and that discounts might b,
made three times the amount of all those authorlz
ed depostes sum equal to S3,600000, and tina
me ialth OF government pledged for the re
denPuoh OF all the paper thus put in circulation
II Is amazing, that the Legislature should have re-
lied upon SUCH feeble means to protect the fund,
OF treasury, all OF which are supplied by direc
taxation This bank was established in lSOG an,
IN lo22 an agent was appointed to settle its con
Germs. His powers were ample to collect all debt,
and demands" he was under bonds faithfully I,