Preble County Democrat. [volume] (Eaton, Ohio) 1857-1859, 1858-01-07

could have occurred
II will be observed that the system
now established resembles, in some re-
spects, that of the independents ,Treasu.
ry Of the United States The -resem-
blance would be, almostcomplete, except
MS to receipts and disbursements ofreve-
nue. in coin, If the Treasurer of State
were excluded from actual custody of the
public money. and 81 payments were re-
quired to be made to repositories, and
all disbursements by drafts upon them,
under suitable restrictions and reuSla-
tions. qksa-Gk4a-IksG-ff7I
sEMBLANcE OF A STATE sUB-TREAsURY
REcoMsfENDED. i<'' 7Ht
f4recommend a provision of this ma
ture, and that hereafter all, public mon
eys be required to be collected and dis
bursed in specie or notes 6ofispecie pay
ing banks of this State, and that no
payment be made, from the Treasury of
any sum under twenty dollars otherwise
tn n in coinSoTEvery guard with. eg-
lslatite wisdom can devise should be
provided against future misuse of pub
lie funds. I recommended also that
provision be made for thorough exami-
nation into the condition of the County
Treasures and full reports of the re-
suits for the information of the General
Assembly. :
Some further provision of Law is ne
cessary in regard to the cuItldy and
transfer of State and Federal bonds
held by officers of State, as security for
the circulation. of banks. At present
the bonds belongingto the Independent
Banks are held by the Treasurer, while
those belonging to the Free Banks are
held by the Auditor In ease of insol-
vency, the bonds are required to be-sold
by the officers, holding them, and the
proceeds applied in full or pro rata pay
ments of the circulation. The large
powcrs conferred for these ends are la
BILE TO great abuse, and have, in fact,
been greatly abused. l see nc reason
why the bonds belonging to all the
banks should not be deposited with the
Treasurer, and such checks imposed up
on his action, through the agency of
the Auditor and otherwise, as well eff
fect1aIly guard against all abuse: I re
spectfully recommend to your favorable
consideration the suggestions contained
in the report of the second special ex-
animation of the Treasury, herewith
transmitted. sfai
The transactions above detailed, to-
gether with the outstanding liabilities
of 1855, have seriously affected the fl
n~ancial condition of the State, as con
nected With revenue and disbursement.
HOW OUR ACCOUNTS STAND.
To obtain a clear idea of the actual
situation. it will be necessary to revert
to the close of the fiscal year 1915.
The balance in the Treasury 81.
the 18th of November, '55,
applicable to the disburse-
ments of 1856, was, ac-
cording to the report of the
late Auditor of State ST5S,510S9
But of this balance there had been
deposited with failed bank and bankers,
by the out going Treasurer, 2G4,G36 &c;
aud there was retained by him under
claims for exchange, though not credit
cd by the Auditor, SlS.457 10; and
there had been uulawfully distracted.
as appears from the reports of Mr.. Spar
row and of the present Treasurer, $5T9,-
oil 90; making an aggregate of $685.
COL 76; showing instead of an available
balunce of $703,5 $40 81, a real deficit of
S99,433 96.5g =
To provide the means of carrying on
the Government, in the absence of the
reported balance, the outgoing Treasu-
rvr. obtained from the County Treasu-
rers the sum of S760,715 20, and appro-
priatcd the sum of $94, 1856 35, held in
trust for the bill-holders of the Canal
Eank of Cleveland, making an aggregate
Of $3.50, 5U2 O5; of which he disbursed
in payments for the State, $547,4 a OF;
and paid over TO his successor, in diff
erent sums and at different times, 1903,
sos 81; being the whole amount thus
obtained and appropriated, except ST..
1872 GA; of which last sum he retained
for exchange, claimed to have been paid
for the january interest, $2,725 81
The small balance is included in tn,
defalcatioi as rsPprtedJb by the preseht
But not only was there this actua
deficit Of cash means, but debts also ex
listed, contracted in 1855, and as to thu
greater portion, without warrant of law
to the amount of S639,665 rs. These
debts originated in supplies and labor
furnished to the State and its institu
tons, for the most ipartlin good faith
and the creditors therefore, could no
properly be denied payment.
The actual condition of the Treasur,
is. exhibited by the following statement
Aggregate sums deposited with faile'
banks aud bankers, retained for ex
change and unlawfully distracted, 1903
O04 Is; add the amount, retained a
exchange paid for January interest, sc
$2,7S5 81; also the amount of debts o
1855, unpaid, s639,665 rs; the tota
amount is 81 ,445,3 96 05. This tota
exhibits the amount by which the con
dition of the Treasury was worse tina
it would have been had no money bee
deposited except with depositaries Civ
ing ample securities; had arrangement
been made with these depositaries a
they doubtless might have been, for tn
payment of the interest IN the Stat
debt without cost for exchange; had n
money been unlawfully distracted, an
had no debts been created to be pal
out of the revenues of subsequent year
Now, if from this total of 81, AS SOC
05 there be deducted the reported ba
~. 49, .f-- 49, ~ .A -. III I'd. .