Fremont journal. [volume] (Fremont, Sandusky County [Ohio]) 1853-1866, 1856-05-09
NO. b.

80 . RU., ID. =
could act with a knowledge of tue state Of
funds, and the demands upon the Treasury,
to make engagements for the necessary ex-
change to meet July interest. In this 1 ex-
pect to use money certificates now held, but
as yet have made arrangements for only
S65,000 besides the exchange now held
The cost of all the exchange | now bo1ai
has been $3.50 to the State, and hone
to produce the requisite amount upon terms
equally advantageous to the State. Every
certificate of deposit not designated as @eoi-
lection | had a right to present for payment
on the day of their date, and have never
agreed or been requested to hold them a
single day. | have said to Bankers that
would notify them if possible, before using
their certificates. | am respectfully,
w, H. GIBSON, Treasurer of State.
This was accompanied with statement
showing the date, nature and amount of
each draft and certificate of deposit then
in the Treasury, which I had on the 18th
of March. And now the alarming discoy-
cry Is made, that l had held some of them
.'from fifteen to sixty days This is called
a ''loose and irregular mode of managing
the finances of the State.7 The gross
amount was S296, ,291.26, and in my. note
of the 18th | had stated why | held them.
Many banks held demands against the
State which was to pay in their own eer-
titicates. | am willing TO abide the public
Judgment upon this ''loose and irregular
transaction. 5f =.
Mr., Kelley knows that all the banks
were responsible, and in addition L have
stated that the State would owe the banks.
Why, then, this alarlnl / held consider
able amount in sight drafts upon Now York.
| had no account in New York, nor arrange
ment for the deposit of funds there. l
knew the drafts would be paid on presen-
tation, as they hare been since. l had set
out to procure exchange at the least posi-
bic cost, and what had procured for $3.50
would cost now $500. At the suggestion.
however, Of Mr. Kelley, was directed to
convert what l had, and to collect the GER
tifcates of deposit. Every business man
will admit the absolute folly and waste of
this legislative order, which 1 had to obey
at loss to the people of at least $1,000.
But one alternative is left to me in procu-
ring exchange. .
The object of Mr.. Kelley appears to have
been to place the State at the mercy of
banks when exchange is wanted. | must
go to the banks and pay any rate of pre-
MUM demanded. Thus tho exchange of
the State for a year, will cost at least IS, ,OOo
when it should not cost $500. But as it is
Mr.. Kelley's policy, it must be right.
have but to execute the Legislative will, and
shall do it without hesitation.
Here, however, is the richest announce
ment of the committee:
he committee have reason. to believe,
viewing the condition of the funds in the
Treasury, and the large balance due from
the late Treasurer at the time Of giving up
his office, the various times when parts Of
that balance were paid to the present Treas
urer, and the fact that there still remains a
largo balance in his hands-that most of the
drafts, certificates of deposit and acceptances
now in the Treasury were paid TO the pres
ent Treasurer; and were obtained by him
with the understanding on the part of the
parties furnishing the same, that they would
not be presented for payment until the de-
mands on the Treasury should make it nee
essary to demand their payment. This may
fairly be inferred from the statement Of the
present Treasurer contained in document c.,
IN which he says-I have said to bankers
that l would notify them if possible before
using their certificates"
Now this paragraph is unsupported by
truth or evidence, and am reluctantly fore
ed to think it proceeded from dishonorable
motives. How much of balance remain
ed in the hands of the late Treasurer at
the date of this report! Not one cent, ex-
cept what was suspended in broken banks.
| now state what l stated in several com
munications to Mr.. Kelley, that did not
hold certificate of deposit bill of exchange
or acceptance that had been paid to me by
the "late Treasurer.
Tho documents appended to the report
show this. Ishowed him what certificates
DC. l didhold, and most of them were is
sued in Columbus, and there was direct
wayof ascertaining whether l stated the
truth or not. '
He was possibly interested in some of the
banks, and at anv rate mioht have learned
all about my business with them. Why
deal in unkind conjecture, when the real
facts might have been ascertainedl Here,
without the courage to make direct charge,
he deals in suspicious" He would do by
indirection what be dare not do openly. l
can respect the bold assailant, but not an
official traducer. Then Mr.. Kelley says
that Messrs. Tomb, Huss & Co., and the
Seneca County Bank owe the Treasurer
Sl47,00O. If true, they would be good for
it. But is he sustained in exhibiting the
affairs of these institutions when he says
nothing about others owing much larger
amount? Is it because he owned no inter
est in the banks named9
The amount is said to be about $l47, 900,
Of which over $4,000, consisted of sight
drafts on Newly ork and Ohio banks. Why
not state then, that these banks really
owed only S65,0oo? l had taken, as 1 do
take every day, drafts in payment of pub
lie dues. Tomb, Huss & Co., and the
banks were not liable to pay these drafts,
II - IL L