The Evansville daily journal. [volume] (Evansville, Ia. [i.e. Ind.]) 1848-1862, 1859-03-11
The BresIin Frauds in ohio.

lin. and Gibson-three successive State |
Treasurers-by whom the State was robbed |
of nearly a million of its funds. By the re-
port it appears that most careless, irregu-
lar, and irresponsible system of accounts |
were kept through ten years administration
of the pnblic finances, which left them open
without any check to the use and CONVEX
sion of the treasurer and his friends. They
were treated more as the private spoils of a
clique, than as property for which the Urea
surer was responsible. By the books, the
committee were unable to determine within
some hundreds of thousands lot dol
lars, what amount had been received and
was deficient They rely chiefly on the adj
missions of the defaulters themselves, to es-
innate the sums distracted. The parties
who were instigators of the frauds and Sc
cured the fruits of them, are men in g high
social position" and some of them promi-
nent politicians" The Committee give an
accountssof the system of financial manage
ment which led to these frauds, and which
has been as prevalent in Indiana as in
Ohio, to stop which the embezzlement bill
passed by the Legislature and vetoed by
Gov. Willard, was introduced. The Com
mittee says;
In Ohio, and we think we may venture
to say in many other States, the Treasury
| was considered, by many, as the special and
rightful subject of banking depredations-
| not in the way of direct distractions or
| thefts of money, but as affording facilities
| to the shrewd within it, and their friends
without, to become enriched without incur
ring the risk of loss, or danger of exposure.
1t was so much additional capital furnished
by the people for the use of the chartered
| few. The practice had obtained; and was
! publicly known to exist, with but little
comment, and without condemnation and
without law to effectually prevent it, that
the Treasures of State, and city, county,
and townships, were depositing moneys in
their official keeping, with various banks
and bankers, upon which they received in
| terest as a perquisite of their ofiices-and
for which, of course, they never accounted
to the State, or other authorities; their de-
positories, in the meantime using the funds
thus deposited, for their purposes, and stipu-
lating TO afford every facility to the Treas
urers for concealment. Occasionally, the
attention of the Legislature would be called
to the subject; but some resolution of en-
quiry, ill-conceived for any effectual purpose
of exposure and misdirected by some par
ticipant in the profit in the Legislature, and
therefore easily avoided by those skilled and
practiced in these illegal operations, would
be the only attempt at investigation. Thus,
year after year, with the perfect knowledge
! | ~ fha nd al
, Assembly that such practices existed, both
the Treasurer and his repositories continued
to enjoy perfect immunity from legislative
enquiry and exposure; and emboldened by
r success, and enriched by these unlawful
f gains, thu grew more "liberal " and more
reckless of risks As evidence of the uttel
disregard of laws as they existed at the
I time of the transaction, Messrs. Sill, Woods
{ and Bliss Canal Fund COMMISSIONERS, made
= large loans of the Sinking Fund to the
, Little Miami, Cincinnati, Hamilton & Day
ton, Cleveland 4 Columbus, Cleveland &
Pittsburg, and the Akron Railroad Comga
MES and still worse, to the Columbus In
surance Company, which latter loan tn
!, General Assembly, in 1856, absolutely lie
i galized-thus relieving the State officer
from liability for a loan to bankrupt Insu
: rance Company, made in the very face of
# law forhidding it.
But the number of these leeches was no
to be decreased; and new plans had been de
e vised, and other subjects secured to satisf
: their demands All that could be desired
e had been admirably accomplished in l845
e when under the bank laws new depredators
in new forms, and still more ravenous, wer
> created and scattered throughout the State
: that they might feed upon County Treasur
II ers, and enjoy a brief use of the people
: money before it reached its final destination
the State Treasury The County Treasur
IL ers, and even Township Treasurers, follow
II ing the example of those in higher positions
Il were soon taught by their adjuncts, thei
/ interest in the Treasurer, and with wha
: ease they could make a little, withou
mourning any risk. They at once adde
ST their opinion and influences TO sustain tn
lie existing abuses. In locations where N
lie chartered banks were established, still anc
l. Their swarm of more hungry and less scru
y pulous fnanciers sprung up-the banker
; and brokers-with two and three per cent
D.; month proclivities; and they, working i
e primary and ward meetings, and at tn
d elections, nominated, elected and defeated tn
man who was " with or against them
id their efforts.
N who would listen to no suggestions, and aC
rs cede to no demands to loan or deposit, h
al was requested to permit his friend simply t
he 't assort'' his currency as there might be
little advantage obtained, even from tn
n handling i'll the way of Z" exchanges =
lie Thus were all receivers of the public money
Sc subsidized for the purpose of sustaining the;
al outrages upon the security of the Treasnr,
ne and the fidelity of the officer
of So intimately blended were the trans2C
tons of County Treasures and small banl
tie ers, that in some parts of the State, to IL
A. personal knowledge of some of the memhe
he of this Commission, upon court-houses wei
al bankers signs and from the very door
IA the Treasurer's office protruded =" Bank
OF while within, occupying the same Office al
he owning the safe in partnership with Il
a county, was the banker who loaned the pc,
pies money at three per cent. per mont
on and perhaps "assorted'' for the Treasurer.
ry Combined as one man, these interes
to were formidable at the polls, and in the LIE
tie islature; and, in fact, created that publ
he opinion which seemed to justify the uses
~.