Fremont journal. [volume] (Fremont, Sandusky County [Ohio]) 1853-1866, 1856-04-25

Totai.-. si-ofs,5s4 "A q
Mr.. Gibson, in communication to the
committee, dated March 90, 1856, herewith
submitted, marked G., states that he has re-
ceived at various times between January IA,
and March 5th, 1856, from his predecessor,
Mr.. Breslin, the gross sum of S836,IOl 81,
leaving in the hands of Mr. Breslin on the
29th of March an unpaid balance of $2l2,-
432 81 8.
Had the money of the State been kept in
the treasury, or with the depositaries Of un-
questionable solvency and pecuniary ability,
the committee can see no reason why this
balance should not at once, have been paid
over by the late Treasurer to his successor.
on the transfer of the office. This, in the
opinion of the committee, should in all cases
be done; and We are gratifed in being able
to state that the act passed at the present
session positively requires it.
1t however appears that large sums of the
public money were deposited with. or loan
ed to, companies, individuals or institutions
which were not of that high character for
pecuniary responsibility that was requisite
to make them fit depositaries for moneys so
deposited or loaned. The result is that
considerable portion of the funds that should
be in the treasury, ready to meet the de-
mands upon it, is at present, to say the least
of it unavailable for that purpose.
There appears to be balance due from
the City Bank of Cincinnati on account of
public moneys deposited in said bank by the
late Treasurer, Mr.. Breslin, or by his orders
The sum Of es11 es
From the Commercial Bank Of Toledo, on
From Daniel Beckei CDayton) )------ 507a5 As
From Nv. Cones Co. CCincinnatD------ 47,799 s.
Total exclusive of interest) )-..... sos. .824 IA
The City Bank of Cincinnati, as already
known to the public, has failed. The com
mittee have not been able, as yet to obtain
any reliable information in regard to the
dividend which the bank will be able to
pay to its creditors. 1t is however proba-
bic that portion of this debt may even
tually be realized.
Judging from information that the COM
mittee deem reliable, the committee believe
that the balance due from the Commercial
Bank of Toledo will be paid in full, as the
assets of bank, in the hands of receivers,
consist mostly of lands, town lots and bull
dings, or of deferred payments on sales of
real and personal property. Full payment
can not be safely anticipated in less than
two years.
Mr.. Beckel has executed deed of trust
of certain parcels of real estate to secure
the payment to the State, (or to Mr.. Bres-
lin, late Treasurer, in the case he shall have
discharged his liabilities to the treasury
of $4,000 of the above stated balance
These payments arc, by the condition Of
said deed of trust, to be made by INSTALL
ments payable at various times from Jan. l,
1857 to Jan. l, 1858, as will appear by
documents marked H. and l. herewith sub
mitted
Ofthe probability ofrealizing the balance
due from W. W. Cones & Co.of Cincinnati,
who have also failed, the committee can not
speak with confidence. Those who know
something of this late company differ in
estimates of the divided they Will pay, or
which may by legal proceedings be collec-
ted of them. The committee place little
reliance on moneys that may be realized
from this source.
From the testimony of Henry P. Bow
man, Treasurer of Hamilton county, corrob-
Grated by that Of R. G. Hazlewood, Treas
urer elect of the same county, (see docu-
ments herewith submitted marked K. and
L. it appears that the standing of w. W.
Cones and company for pecuniary response
bility, at the time of placing the public mon
eys in their hands by the late Treasurer, or
by his orders, was not such as to warrant
those transactions without first taking
adequate security for the repayment of the
large sums of money placed in their hands.
There is also reason to believe that part at
least, of the moneys Of the State thus put
into their hands, was used to establish the
Kanawha Bank in Virginia, and to give cur
rency, in this State, to the paper issued by
that bank. 1t would also seem that the
late Treasurer was, IN some way, interested
in that bank. Although Mr.. Cones, who
is understood to have been a stockholder
in the bank, and who must undoubted
ly have known whether or not
Mr.. Breslin was also a stocAhOlder, de-
clines to answer the question put to him on
that point (see document NJ it is difficult
to explain by any other hypothesis the
strong interest manifested by Mr.. Breslin TO
sustain the credit of the paper of that
bank. When TO these circumstances we add
the declaration, on oath, of Henry P. Bow
man, that ''it was understood by him that
Cones & Co. and Mr.. Breslin were interes-
ted in the Kanawha Bank as part owners"
thero seems to be little room to doubt that
the late Treasurer was interested in the
bank, and used the funds of the State to
put it in operation, or at least, to sustain its
credit.
The committee can not forbear to express
their decided disapprobation of the prac-
tice of using the public moneys, either di-
rcctly or indirectly, for purposes of private
or TO build up or foster any pri-
vate company or institution, more especially
one in which any officer or agent having
the custody of such moneys, may be inter
ested
Stringent laws of a penal character, COM
bined with frequent and searching examina-
lions, by the Legislature or its committees,
into the management of the moneys and
finances of the State, seem to be absolute
y necessary to prevent great depreciation
Il.