Daily Ohio statesman. [volume] (Columbus, Ohio) 1855-1870, 1861-02-26
OHIO LEGISLATURE,
IN SENATE. s'.ae
MONDAY, February 25
ADJOURNED SESSION

IN SENATE. 9,ai 81
MONDAY, February 25
.7- AFTERNOON SESSION. i.a ala
A call of the Senate was demanded and
eighteen Senators anewered to their names
The Sergeant-at Arms was despatched for alb
sentees, and several members appearing within
the bar, on motion, all further proceedings under
the call were dispensed with.
The PRESIDENT laid before the Senate the
following report, which was read and ordered to
be printed:
To the Honorable Senate Of Ohio:
In compliance with the resolution OF your
honorable body of the 2lst inst, the Receiver
of the Seneca County Bank respectfully re-
ports
That he has not, since his report of the 2Ssh
of February, 1860, in any manner or way, nor
iD any shape or form, received any moneys for,
on account of, or from the business OF the SEN
eca County Bank entrusted TO him--and respect.
fully suomt that he never has had in his posses.
session single asset ofsaid bank. On the 25th OF
April, 1857, the said bank transferred its entire
assete, amounting to over 1921 ,OO0, TO a new
bank organized under the Law of 1851, said as
Sets forming its capital stock and means of doing
uu5iuCcb. fAtttI DTlci VI bothO oO'ea
weeks, on the resignation OF Mr.. Gibson, i'm
PEELED by the fear Of seizure by treasurer Stone,
its assets we're again transferred to private
banking house, under the name of Charles s.
Johnson & Co who, for more than eighteen
months. were left unmoleeted to scatter and
make way with them, and eventually became
bankrupt G iHh
The present Receiver came into possession
of the books Of the bank, In September, 1858;
after further delay, occasioned from want Of
power, which was obtained by the action OF the
legislature, in the spring Of 1859, every effort
was then made to recover something from the
wreck, creditors bill was fled, number Of
suits brought, in some of which failure was
experienced, and others were for the time be
ing suspended, and have remained 60, from an
entire wsnt of funds to prosecute.
The existing circumstances In relation 10 the
bank, on the advent of Treasurer Stone into
that Department, imperatively, demanded an
examination into its condition, and the follow
ing up and seizure Of It's assets, then so recent.
ly disposed. Mr. Stone had discovered the exis-
tence of fraudulent issue of its notes for cir
culation, to large amount, and compelled its
return, and might well have supposed the exist
ence of other frauds, which time has proved to
be too true. The records of a new institution Of
the same name and same stockholders, were In
the State Department, and the failure to bring
the stockholders then to an account, is the cause
Df the trouble and loss, in relation to this
Bank. It's means then were abundant, and but
little depressed. The subsequent bankruptcy
of c. L. johnson Il Co. renders it almost i'm
possible to recover, the Receiver finding an in
aoeent holder for every asset he has been ena--
oled TO trace. His suit with the stockholders,
be has assurances from his counsel, (Col.
Swayne) shall be brought to an issue In few
lays, when, if means be furnished him, he
loubts not, some ten to twenty thousand dollars
nay be recovered.
The Receiver again respectfully submits, and
laims that the owners of the $50 900 and more
# the notes Of the bank, are fully entitled to
It least their prorats ehare of the whole
mount of the bonds Of the bank deposited in
he Treasury of the State, amounting to $209,.
il8, at the time of its fraudulent closure.
The bonds actually in the Treasury in July,
657, amounted to $77520. The organc law
# the bank forbids that the bonds Of q bank
hall be reduced by paying out, to less amount
han Its capital stock. The capital stock Of the
'ank was 100000. Again, the bank by lis
'wn act has put itself out Of existence, and
transferred its assets in direct violation of law.
3onds to the amount OF 1921 1923. for which cir
ulation was returned, are still kept back from
be banks, and the illegal manner In which the
emaining 100000 OF bonds has been seized and
TO the exclusive benefit Of the State,
las been fully set forth In the report of the Re.
eiver of the 2sth Of February, 1860. No cash
means, as required by law, existed in the Treas
Try, for said alleged redemption. and had
here been, the State possessed no precedent
s..k kkn 81 l.. A.
manner than the citizens OF the State who had
eceived those notes in the course Of busi-
less. +9sa1e99
The Receiver also respectfully submits that
here are claims for large amount in the hands
Il the State, held as the property of w. II. Glib
ION, which be believes, II permission be given
lin, he can fully establish to be the property OF
he bank, and that there is q large amount of
interest, exchange and premiums due on the
tocks of the bank hypothecated by the State
Ulcers to the Ohio Life Insurance g. Trust Co.,
md involved In the settlement of the State with
aid company, which he believes has never been
ettled. In justice to the note holders and
oil that bank, these matters should
III be adjusted and decided. ~,
In his report OF February 2 1860, the receiver
las given detailed statement OF his expend-
lures, and showing that for his own services,
or now nearly three years, ho has received only
81 400, and he now states that there are certain
balances, arising from interest on bonds and
,verdrafts upon the bond, on the books Of the
reasury, exceeding the appropriation OF ST..
100, paid to him, to an amount, II fairly stated,
# 81 900, and that the said balance has, for
he last three or four years, been subjected to
eduction by charges not legitimately due in
be treasury ofice. a lf
The Receiver disclaims any.intention to i'm
'ugn the Official integrity and honor of the
He charges, however, that his 70
nissness and mistakes In duty, and singular as
umption of power, has worked q great wrong
o interests entrusted to him, and his official
'ath compels him SO to state. sa
~ ~ JAMES Y CLAYPooLE.
CorUnBUs, Feb. 25, 1861.
On motion, the Senate resolved itself into com
niitee OF tie Whole Mr.. Schleich In the
,hair--and considered several bills. Cd rising,
be Chairman reported back, @ on hfT
S. B. No. 245-Authorizipg the payment Of
ne claim of Bartlitt& Smith, which was laid on
be iabie. ~
Also 8. B. No. 24l--To provide for and regu
tie street railroad companiesj which was re-
.rred TO select committee of fve--Messrs.
ollins, Holmes Ferguson. Breck and Pot
in. .et ~ rt tf4g 4f
The PRESIDENT laid before the Senate
from the Governor, transmit-
Ing memorial from the trustees Of the Ohio
University, relative to the condition and the
'ants OF that institution, all of which we're laid
n the table and ordered TO be printed. 1 4