Indiana State sentinel. (Indianapolis, Ind.) 1861-1865, 1862-06-09

Charles W Chapman vs. wiIloughby H. Reed
ct al-Kosciusko 9. C. Affirmed, with three
per cent.
Samuel Martindale vs.. Joseph Brown ct al
Benton c. c. Dismissed.
William c. Deacon vs.. Lydia A. Schwartz
Enoch Railsback ct al. vs.. Benjamin kOOns-
Wayne c. p. Affirmed
Edwin c. Anthony VS. Benz j. Sloudeker-
Delaware c. C. Affirmed, with ten per cent.
David Durham CT al. IS Hugh Hanna, Ex-
ecutor-Miam G. c. Affirmed.
William L. Brown ct al. VS. James II. Lucas
ct al-Cass c. C. Affirmed
Telamachus Odell, Administrator Lazarus
NJ. Brown-TippecanOe c. p. Reversed.
Benjamin Ccaklin VS. Leondas Winslow ct al.
Wayne c. p. Affirmed.
Walter March ct al. vs.. CORTLAND Palmer ct
al.-Delaware G. Q. Reversed.
James E. Walters ct al. VS.. William J. Bebout
Rush c. p. Affirmed with FIVE per cent. dam
ages.
The Fraudulent Issues OF Indiana
state Bonds.
Wall street has been in a cOmmOtion for sever
al days past the preliminary development of
fraud in the issue of Indiana State bonds that
bids fair 10 assume gigantic dimensions, and is
likely to eclipse anything of the kind that has ia
ken place in Wall street during the last twenty
years, possibly exceeding the Schuyler frauds so
long notorious. There is yet a great deal Of
mystery about the whole affair, and no one knows
the number of bonds issued or theamOunt fraudu-
enty thrown upon the market. There appears
to have been the greatest possible ooseness about
their issue, and vet one can tell-not even
Mr. Slower himseli-the amount that has been
offered to the public.
Whatever fraud there is in this matter seems
to have grown out of the loose manner in which
the business done at the Office of the Indiana
State agent in this city, and extends back to
1889. 1t appears that the State authorities have
been in the habit of sending a blank book of
bonds to the State agent in this city each and
every year. These blank bonds were all signed
by the necessary State officers and registered be-
fore they were sent from Indianapolis, and only
needed to be filled up by the agent here and coun-
| tersigned by him to make them valid; nor did
the State officials require statement of the num-
Der issued, or the return of the books at the
close of the year. The State agent, up to the
latter part of the year 1859, was also per
mitted to employ the signature of his
deputy or clerk in verifcatiOn of the certf-
cate as finally issued. This practice prevailed
until the hazard of this loOseness caused change
in the system of verihcauOn; but, strange to say,
the State officials did not even then recall the
blank books that were used under this loose sys-
tenn but left them where further irregular issues
coulI be made. 1t is rumored that one or two of
these books disappeared from the office, and that
the blanks were filled up and extensively used 70
rai,e money in Wall street. The State authori-
ties long since apparently had suspicion that ir
regular issues were being made, but took no steps
to stop them, simply securing the passage of
law declaring that the State would not be
resi- onsible for any irregular issues made in New
York.
1t further appears that the State officials Of In
diana were here about six months since, or at
L. To-, Let a.,H
that time cognizant of the fact that there was a
large irregular issue, and after consulting with
the State agent, legal officials and parties in Wall
street, pledged themselves to keep il State Sc
cret on the ground that exposure at that time
would iDure the credit of the State and prevent
their negotiating the six per cent war loan then
on the market. In this manner they succeeded
in covering it up and keeping the fraud from the
public until few days since, and are thereby
guilty, under the laws of this State. of compound
|, ing the felony and punishable by Imprisonment.
All those officials who knew that this fraud ex
listed, and connived at il by not taking immediate
steps to expose and arrest it and punish the guilty
parties, have committed a criminal act, and are
punishable alike with the principal in the affair
by Imprisonment; and let us see if our legal
officials and courts of justice will discharge their
duties.
1t has already been ascertaned that nearly two
millions irregularly or fraudulently disposed
of here, and it may vet be shown that as many
more, or even double and treble the amount, may
have been sent to Europe and disposed of there.
Inasmuch as the agents we're permitted TO fill up
the blanks just as he desired and dispose of them
whenever he chose, there is no telling at present
what has been done, nor the real extent of the
fraud committed The Indiana State officers,
who consulted with parties here several months
since in regard 10 the exposure, acted, it is said,
under the idea that the credit OF the State would
suffer by the exposure. Their silence in the mat
ter, that it has come out, has injured the
States credit hundred fold more than if il had
been promptly and fearlessly met at that time.
Had decisive course been taken by the State
officials, the financial world would have that
there was desire on the part of the authorities
of the State protect its interest and credit but
the other hand, they being in possession of the
facts, with full knowledge of the fraud, as the
sequel shows. their countenancing the act until
the natural result of business makes it known to
the public, places the State in the position of
aiding and assisting the fraud, and makes its Of
fcers accOmplices in compromising the felony by
keeping it a State secret" Their case is one
, which demands immediate, decisive and prompt
action on the part of our legal officials here.
Mr.. Slower, the person who is charged with be-
ing the principal in the affair, has been arrested
and will no doubt be punished; but the matter
should not be permitted to rest there. 1t is Of
the greatest possible moment that the financial
e record of the Northern States should be without
T a blemish and purged of every suspicion of fraud
during the trying times that we are now going
through. European Governments should not
have the opportunity to single act on the part
: of any of the Northern States that could awaken
the least suspicion or tend to injure our credit.
The connivance in this fraud on the part of the
officials of one State reflects upon all of the
loyal States, and the only way to remove this
, blemsh is for our authorities to boldly and fear
lessy take hold of the matter and deal out 70 the
guilty parties the punishment that their attempt
to cover up the fraud justly merits. Every and
all officials who countenanced the fraud, and are
thus guilty of compromising the felony, should be
dealt with according to the full extent of the law
Let the proper authorities in New York whose
duty it is the laws in reference to these
negligent and guilty officials to it that they do
not increase still further the number of guilty Of
fcals by remaining quiet and taking no steps to
bring about their punishment Let them promptly
proceed TO remove the stain from our financial
record and good name that the criminal act Of
E these State officials has placed upon it. This
much at least the public demands at their
hands-N Y. Herald, 4fh.
Sickness among Indiana Troops.
> letter from the special correspondent Of the
Na,- Vorl, T,-;I,,,. datal raar Eo-t D;llovr eov