The Cadiz Democratic sentinel. [volume] (Cadiz, Ohio) 1854-1864, 1859-03-02

oil the state. Activity Was the iile OF business
with him, aud no spent up Utica was to con.
tract HE expansive powers of Treasury absorp
ton. In conjunction with John G. Camp and
Charles L, johnson, he established the
ELKHAKT County, BAKK,
At Goshen, in Indiana. The object Of start
ing this bank, as stated by Mr.. johnson, its
Cashier, was to make money simply by getting
up circulation and protecting it, looking to the
interest on the State bonds for the profit. Camp
was then President of the SAndusky City Bank,
at Sandusky City, and also of the Sandusky,
Mansfield and Newark Railroad The agree
ment between Camp and Johnson, was drawn up
at the Burnet House. Cincinnati. These parties
were to be interested Ia it,-Johnson tobnve the
manag cement and control, and Camp to assist in
giving the notes good circulation. and in pro
tecting them, and procuring the State Stocks to
be deposited with the Auditor OF the State of
Indiana. AT the time the agreement was exc
euted, the place for the name of the third party
was left blank, but johnson supposed him
TO be a frenl of Camps and suspected it was
Breslin, who was presentat the time, although he
denied it positively, telling Mr., Johnson you
"must not suppose because Camp and /
happen to be here, that am interes-
ted in, your. project" After this unquali-
fed denial, il is astonishing Mr.. Johnson
should have SO persistentIy beitvef, as appears
ininterest; and it is quite as astonishing, that
Mr.. -Breslin should, in his statement recently
made to us, declare that it was due TO Mr. John
son to say, that be was not, through any knoWl-
edge derived from him, directly or indirectly,
aware of his connection with this bank. Bres-
lin furnished the money to buy the first $50,00O
of bonds, the balance being bought on the credit
of the bank, or on Camps credit, whose part of
the business was to sign the notes as President,
k.,. Al ke- A. H. ~
heretofore stated. After the bank was started,
the manner of getting up the circulation, was for
Johnson, as Cashier of the Elkhart County Bank,
to draw on Camp, President OF the Sandusky CITY.
Bank, at 30 or 40 days, or at such time as might
be agreed upon. This paper was discounted
sometimes at Sandusky City, and at Tiffn, or
wherever it could be done, and with the pro-
ceeds, other State Stocks were purchased which
were deposited with the Auditor of State,
and additional circulation attained, with
which the drafts of johnson or Camp
would be taken up--the State Treasury being
all the time an excellent institution for the pro-
lection and holding this circulation. This ope.
ration was repeated as often as desired, or the
necessities Of the bank demanded. In this way
800 900 of North Carolina bonds were bought
through Atwood & Co; and 100000 more
through Corning g. Co., New York and alto
gether about $400, 900 were obtained, consisting
of Indiana 2% per cents, and North Carolina,
Virginia and Louisiana bonds, and about $20,
900 of Ohio bonds. Neither Johnson, Camp,
or the bank, were ever located at Goshen. A
business firm there, of which Doctor Ellis was
member, at first, and subsequently, the Gc shen
Bank redeemed the circulation of the Elkhart
County Bank, when presented to them, in pur.
suance of an arrangement with johnson TO that
effect 4.2s
The amount actually invested by Breslin in
this bank, as stated by him, was $55, ,706 &c in
stocks and premiums; 2,5G0 in gold-together,
I $58,20s 66; of which there was refunded to him,
| $3l ,596 93; leaving a balance of $26,6ll Is to
the state its unsettled" interest in the bank.
Camp sold out at the end of the first year to
johnson, to whom the closing up of the bank
was confded, and who is to account to Breslin
OF the State for their interest in it
johnson swears that Camp and ''his friend"
never received any profits, although some were
made by interest on the stocks, and in the clos
| ing up of the bank. de bought Western bank
notes at q discount, and exchanged them for
Elkhart County currency at par. He also got
the coupons on the bonds deposited with the
Auditor, by his permission, in advante of the
time they were due, by returning Elkhart notes
for them, and used the coupons to raise money
with which to purchase more deprecated cur
rency; and with that again obtained Elkhart at
It's manner as circumstances required. All the
bonds deposited for circulation, amounting te
S400 600 were taken up. from the Auditor of the
4 State Of Indiana, by johnson. Breslin once gave
him $4,000 in cash for some Virginia or North
Carolina bonds, which he (Johnson) had takeI
up by the return of circulation. Where thest
sic, 600 Of bonds now are, we are unable to as
certain. w. o. Spaythe afterwards the casbie
of the Cumberland Savings Bank, was the agen
of johnson in the purchase Of deprecated lndi
ana currency. which he exchanged for Elkhart
Large sums of money! were furnished Spayth
from the Seneca County Bank for this purpose
!, In fact, he opened banking house in For
Wa, ne. Indiana, for the purpose OF purchasing
at q discount. Elkhart currency. On the lid
! and 9th of January, 1855, Spavthe was credit
ed on the books of the Seneca County Bank will
S3. $40, for coupons from S47 900 North Carolin
bonds: and $l0l.OUO Virginia bonds, and hi
> account at large shows the relations subsistin
( between the Seneca County Bank and the Elk
= hart County Bank, and johnson and Bre.lin. =
From the firstissue of the circulation BY the Ell
: hart County Bank to its close, il was intimatel
+ connected with the State Treasury. Toexchapo
and circulate became part of the regular bus
y ness of the treasurer and his CLERKS. 5s.
J Not an min, no,tant link in the chain of al
ormstarces vgbich h;nds all thee ;ntsrests /,
s,sthsr ID syhh;ted N, IN. tast;,oo,v ~ ohnso,
5 sSSt ;nst heInra ~ nsn;c sgs,nst ind;o~s r.,
Y Paml,n no srose hv rah;ch ,ts c;,cn,a,;nn. gs
y esnerslly dIseredtsd. he had become Cashier
- fhs Seneca Cot,nIv Banh 4 nosition which
y accented from NM eods;derat;on that n would ii
d m amonsy o,her tb;ngs in ,,roteot,ng' tha =;
- cni.,;on of The E,hba,f asannftS Rsnt of IN
D. hanL Rrasl;n Voc IN fsct tfa oygner3 eam
l. ns uer contrihuted onvtbing and johnson swsa
"a that he and Damn together onlv mt in abu,