The Perrysburg journal. [volume] (Perrysburg, Ohio) 1853-1861, 1857-08-27
The Treasury Defalcation.

! peoples money is subject in which Iuen of az
parties are mutually Interested. This being tn
case, we have determined to make the foil winl
liberal extract from the rep<t of the treas ry in
vesligsting committee, the eRtire document being
TOO lengthy for cur columns This extract EN-
braces the conclusion of the report aud contain,
the impressions of the committee and genera
statement Of the fact, as shown by the books and
other evidences at their com nand
How long has thi- deficit existed? To hi.
qne,tio the hooks OF the office furnish answer
/ 1t is not TO b. expec ed lhtt they would thro v
| any light thu III i-ct Offender do not volun.
tarily furnish evidence of their guilt. or make a
record Of their crimes
! The f,ct and circumstances i.clns-d by the
1 Eitnes-e, who bavr appeared before us and
| 'hose testimony will be ully examined in anoth
er place, ia the opinion Of the under signed clear
ly show that the ;efilcati,n is not # ec,nt tie
We have said in a FORMER page IF the RepOr
that there is doubt hat the val ,nce called fp,
by the hooks of the Auditor and Treasurer was in
the treasury at two different rIm"> dur ng tn
past year w. have Just expressed the O,jinio
that the d. ticIt has txistrd for a on time priort
the NamlnatIOn made by The JOINT COmmitt, f
and by the AadIior Of Stite How, then, was the
lale Treasurer enabled to p Olucr the money OF
its equivalent to these different exam ner, p
! Whence We're the funds pr cured supply the
deficiency, and conceal the def lcrtIOn1 he eX
planatiun is u'uIshed by Mr. Glh>on'S deposition
The eX animation by the Js mt Committee and
by the Auditor of State were made early in De-
cember. Prior to this date he Auditor had is ued
tn the Treasurer of State drafts On the county
treasurers, payable ea the 24rh f December, un
der the pruviiu o; The act of 1856, for the pur-
pose of meeting the January Interest on he for
eign debt Of cuurse. the Treasurer could not
properly be charged with the amount of the drafts,
until hey were cL-hed by the drawers. Mr. Grb-
son, however, in some INSTANCES, sent notices OF
the fEct that he held sucn drafts to the county
treasurer, who once forwarded to hiR The W hole
- ptrt'oR of the suns drawn for, he stIl hold
/ ,s lh' drafts. hrn the Committee aud the Au-
4 examined the Treasury he trra-nrrr pro-
dur'd tue funds which h al been paid the
drafts to max" up he def iencv, ana the drafts
ia mselves TO sh W that they had not b pad
In other in-tancrs. he sent he drafts to Banks
for co lection with the request that ceriirc te
OF depO-l' for the amount should be raturn 'd to
him, These certificates were also produced to he
examiners, with statem nts either exp e-srd ~
Implied that the TRAITS on viii h hrS ", re- predi
Gated had not been paid. In thus trausa sion a.
90 re there was II ,Thing i'm. eI IN the conduct
vi the Ba K or of their uffic -
They have, iInocently pre- me urni,hcd y
portion OF the means by VIII ch the de ptiou was
practIsed upon the several examiners The prOh :
f banking depend, in great manner, upon the
time wnch e.apses between the is ur OF notes and
thrIr presentation Tor payment Su lOug hev
are kept IN circulation the bank enab ed To re-
verse the ordinary incidents Uf indebted ness-that
L. she receives instead paving interest upon her
debts. 1t is therefore matter of Importance to
ry bank To- put lis notes into circulation at dis.
tance from home or in places where they are ilSe-
y to he retained for bust purpJ Jses aud not re-
turned fJr iedemptIun. To accomplish tLis ubecT.
and to postpone the presentation Of their paper
the banks resort to many dev ices. The rr a,ury
of our St,te has been subsidiary to his pu pos,
The State has been subsidized by capital to assist
In the accumulate lou of wealth aud the Increase of
its profits. The bank have deposited Iheir notes
with the rea .urer of State, with the promise or
understanding from him, that they should he paid
out the cred of the State residing points
remote f.um the location of the bank, and n
sums deposited, refunded after it had been paid
out. The J,>ti,nouy shows that large sums were
thus deposited, and that frequently long time
elapsed before deppSiJOrs called on The Treasurer
for their rooney. The Treasurer was thu. furnish
ed with the means of deceivpg the most saga.
ciVu' aud a,tute ex,mi,r rs. he had he money
always Ou hand T., exhibit though not a cent Of
II hcl'nse 10 the Sta'e, or was properly in its
Treasury. Indeed, the Stale seems to have b,en
in 1t, pgcnu AIRY transaG. ions, cOsey all ed with
these slliutioDs Nearly all of the taxes wero
paid into the reasury thro Oh the banks. Banks
were the Leposiors of the State aud the creuiturs
OF the Sae were paid by checks on the banks -
There is little IN the SpOndence Of the office
for several yeas past to distinguish il ON that OF
bank, except that the writer subscribed himself
Treasurer OF State, instead of - Cashier.
For the control which the banks have exercised
over the public finds the Treasurers are not
wholly responsible The Legislature oil the State
has sanctioned and encouraged it. The act pro-
viding for the protection of the canals and The
collection Of tolls, requires the collector to deposit
all money received By them in some bank desig-
mated 10y the Treasurer OF STATE.
The act making appropriations for the year
1887, authorized the County rreasurers to make
their pay ment into the State Treasury BY depos.
tius tue sums due the SIate IN some neghboring
bank The same provision was incorporated inlO
the appropriation bulls for 1871 and lS12 The
Jaw OF 1916. thai. fruitful souIce Of mischief in
our financial administration, has aath ,rzed the
con inuance of the practice up to the present.
time State rreasurers have collected the State
taxes fro n the banks and not rom the county
treasuHsrs,