The weekly Portage sentinel. [volume] (Ravenna, Ohio) 1854-1861, 1857-07-02

III is well Known that ever since the time
Of Whtchill, and during the time of Bliss,
there were defalcations in our Treasury. II
is well known here that the Bliss defalcation
was occa stoned by trofficIng in the moneys
Of the State, loaning out moneys to Insur-
ance Companies, and the like infammable
oncerns--institution which come up in a
night and pass away with celebrity of rot
tenness unexampled in chemistry. Here is
10 be found the source OF these financial
troubles. The system Of accountability was
"loose, meagre and inadequate" to begin
with; but the radical wrong was the prac-
tice of dickering with banks and brokers,
and farming out the State funds for private
| nggrandizement.
And here let me say that while the legis-
lature of winter before last passed some. ex-
cellent restrictive laws to remedy the first
defect, they sanctioned by resolution OF
April 9th, 1866 the proceedings by which
the last defect was cured foF the benefit ol
Bliss and to the loss of the State. | refer
TO the resolution "relative to confirming the
contract of the Canal Fund Commissioners
with the Columbus Insurance Company;"
the effect of which was to sanction this very
dickering with outslders--out of which these
troubles have flowed. The reprehensible
policy thus endorsed by this resolution shuts
the mouths of all who voted for it, from ev-
er complaining of either Bresin or Gibson
for the illegal use of State funds by de-
posites in private or corporate banking con-
Germs.
Let me then frankly discuss these two
sources of our financial troubles. ,Withou,
i knowledge of them, you can have no ade.
quate idea of the persons to whom the obi.
um should attach.
First, ss to this loose system of accounta-
blity:
When the new cons titution was made,
and the officers elected under it took their
seats, the State Auditor, Mr.. Morgan, in his
report of December, 1852, (page 9), called
tttention to this matter Of loose accounta-
bliy, in the following language: ...
"An examination OF the laws organizing
the local treasures OF the various counties
of Ohio, and those having reference to the
Treasury of the State, will awaken surprise
that the system OF accountability prescribed
for the former is so explicit and complete
whilst the laws applying to the latter are
loose, naea9re and inadequate. The impres:
sion is general one, that all moneys paid
into the State Treasury become an mme-
date charge against the State Treasurer on
the books of the auditors office-and that
4 the, daily receipts ct the one, as matter OF
daily record its the other.% The extent to
which this impression is erroneous, may be
Judged by the fact that tie late Treasurer OF
State, "A. A. Bliss, Esq at the date of his
! retirement, was credited on the books Of his
Office to disbursements to a larger amount
than the liabilities with which he was charg-
led. This fact unexplained would seem to
prove that the State was in his debt; yet it
will be seen by reference to the special re
port Of the present Treasurer, dated De-
cember %, 1859 Mr.. Bliss transferred 10
him the sum Of $l,ll4,242 81, being bal
unce which appeared by his (the late Trea-
surer's) own books to be due to the State
AS necessary. consequence of system
that is so inherently defective, the accounts
of the Treasurer of State are mainly adjusted
by himself alone, and on retiring from office
he settles, not with the proper auditing officer,
bit toith his successor. - -. .
Still no law passed at the first session
of 1859. Democrats were in the mujority
and could have arranged system that would
have given us greater accountability. They
neglected this matter, In the multitude ofdu-
ties devoVed on them by the new Constitu'
tion. Again in 1858, the Auditor, Mr.. Nor
gan, reiterated his requests and urged them
SO pertinucously that in winter Of 1853
and '54 law was prepared and almost
passed,---a stringent law Ike that of '56, but
was lost by certain management, which is
better understood now than it was them
This was the language of Auditors Report
Of 1853. 1t shows his prescience and saga
city. ...f ...... ....
"A sense of duty requires repetition of
The effort made in the Auditors last annual
report, to impress upon the Legislature the
necessity Of placing the revenues of the
State under additional checks and safe,
guards. The impression is nat
ural as we'll as a general one, that all mon
eys paid into the State Treasury become an
immediate charge against the Treasurer, on
the books of the State Auditors Office, and
that the daily receipts at the one, are mat
ter of daily record in the other. The ex-
tent TO which this impression is erroneous,
may. be judged by the single fact that during
the months of November and December, '52,
payments of money were made to the Trea-
sury amounting to cum exceeding three
quarters of a million of dollars, of which the
Auditor had no official Information until the
following month of February. This occur
renee, although extraordinary, is neither
new nor the only one of it's kind. It viii
serve, however, to illustrate the utter abb
sence of accountability which exists be-
tween the Treasury and coordinate depart.
l a. fs