Muscatine weekly journal. [volume] (Muscatine, Iowa) 185?-1890, 1858-02-13
SATURDAY, FEBRUARY 6, 1858.

PccuiatiOns ON the school Fund.
We find in the Gate city synopsis Of
the report of j. NJ. Beck, ESQ.,, agent of tn,
State for investigating the charges of FRAUD
brought against DR.. Eads, the late Demo.
cratic Superintendent of Public Instruction
and transfer it to our columns:
OF fifty-four notes which, came into hi,
hands as given for the school money, thirty.
eight were accompanied by mortgages, but
only about half of these mortgages were re-
corded. Some OF these notes, not many,
were given for direct loans of school fund
and made payable to the Superintendent of
Public Instruction, others were given f,r
school fund money loaned as Eads' own, and
for which twenty per cent. interest was
included in the body of the notes, AID a
third class were for property which Eads
had purchased with school money and sold
as mis- own at an advance of fifty or hun.
dred per cent. These notes were turned
over to the State and charged in his account
at their facce, making clear speculation of
SO, 400 by the use of the public money for
private purposes. In addition to this mode
of squaring his accounts, Eads deposited his
own notes for 10000, which is charged in
account to the State, although not one-haf
that amount was secured by the property
mortgaged.
Regarding this $780, what it really is
"A detalcation-the true statement of the
deficit in Eads account is as follows:
Loss on loans for want of security, $11,31S 81
Amount of private notes turned over, 33,475 90
Amount of Eads' note, 10000 90
Interest collected and pocketed, 1909 SO
Total, S65 9O3 so
Mr.. Beck estimates that there may be
enough collected on the doubtful notes and
out of Eads' property to reduce the sum to-
tai to $46, 403 80.
But even here we have not reached GER
tainty, for we are informed by Mr.. Beck
that
"The foregoing estimate is based upon
the notes and securities in n'y hands, and
not upon the amount IF money which Mr..
Eads received and disbursed. The sums he
received may be- Easily ascertained, but it
would be difficult, if not an impossible task
to ascertain the amount he disbursed. His
reports do not agree with each other; his
vouchers do not agree with his report, and
in several cases, the books and statements of
utficers receiving money from him contradict
both his vouchers and reports"
We took occasion to say last winter (con-
times the Gate Caty) that Eads ought to be
indicted and sent to the Penitentiary forth
with, instead Of being inpeached by the
Legislature and parading himself around As
leader and martyr of the Democratic par
ty. We have always continued to entertain
that opinion, aud are gra,ified to tind the
agent of the State concurring IN our view
of the enormity of the crime of James D.
Eads.
He appropriates to his own use $40, 900;
calls it loan to himself, and hands over As
vouchers therefor, note igned by himself,
and secured by mortgage on property worth
about half that amount! Code, Section
26lS provides, If an officer within this
State, charged with the collection, safexeep-
ing, transfer or disbursement of public mon
ey, unlawfully convert to his own use in any
way whatever, or use by way of investment
in any kind of property, or loan without the
authority of law, any portion of the public
money entrusted to him, for collection, safe
keeping, transfer or disbursement, every
such act is embezzlement of so mucl, Of said
money as is thus taken, converted, invested,
loaned, or unaccounted for; and upon con-
viction thereof, he shall be imprisoned in the
penitentiary not exceeding five years, and
fined in sum equal to the amount of money
embezzled; and moreover, he is forever al
forwards disqualified from holding an Office
under the laws and constitution of this
State"
"To recognize this note in any other light
than as an evidence of crime, would be set
ting premium upon the violation of law,
and giving free license to the embezzlement
of public funds"