The Richmond palladium. [volume] (Richmond, Ind.) 1855-1875, 1863-01-16

name OF every officer and private soldier
who has entered the army from Indiana.
with the number OF the regiment, company
or battery to which be belonged. Such |.
report would be invaluable hereafter as a
work o. history.
STATE AGENCY.
The report Of tie Hon. K. n. Hudson,
Agent Of State, is herewith laid before you,
and your attention invited to the recon-
mendations 10 it. ia change the form Of in
debtedness, BY substituting coupon bonds
for certificates pf stock, and abolish the
office Of Agent Of Site as a, present or
gained. BY the terms 81 tie cornpromise
with the bondholder- made in 1916, the
state Is required TO keep an Office in New
1ork for the transfer OF our stocks and the
payment OF the interest on them. But this
agreement can be compiled with fully by
selecting some responsible bank. in such u
manner as may be determined by the Legis-
Iature. to reric rm the duties that are now
devolved upon the Agent Of State Under
the present sy stem the risk attending the
solvency of bank has 10 be incurred for
the Agent, having no means Of safe keeping
the money RENTED 10 him by the Treasurer
Of State. deposits it in bank, and in payment
OF interest 10 the holders Of our stocks gives
his checks upon the bank.
necessarily done through the bank, am OF
the opinion that the rest of it could be de
volved upon the bank, with increased safety
and economy to the State.
In 1916 the Sta'e Of Ibdiana made an
adjustment with her creditors, under which
the former State bonds were 10 be surren.
dered and cancelled upon certain conditions,
and new stocks issued 10 exchange Dot
OF this adjustment sprang the Indiana FIVE
per cent. stocks, as known in the New York
market.
One Of the conditions of the adjustment
was that the State should establish an a2en-
cy in the city Of New York for the transfer
OF these stocks aud the payment of the in
terest upon them.
BY express enactment OF The Legislature
It was provided that these new certificates
Of stock should be transferable only at the
agency in New York, on books provided for
that purpose When stock was tran sferred
tho old certificate was taken up and cancel
led, and new one issued, made PAYABLE to
the person 10 whom the transfer was made
These certificates were not payable TO the
bearer, did not pass by delivery from hand
to hand, and were not negotiable in the
sense Of the law merchant. IL was expressly
intended they SHOULD not be- At and before
the time OF the adjustment spoken OF, IL was
claimed by the State that numbers OF her
bonds, which had been deposited in New
York, or hypothecated for small sums OF
money, and for which the State had received
little or consideration, had been improp
erly and fraudulenty put into circulation.
But as they were genuine. made payable
20 the bearer, and the property in them
passed by mere delivery, she could not do
otherwise than recognize them "a valid OBJ
legations. These circumstances led to the ,
new stocks 70 carry out the new arrange
men., printed forms Of the certificates Of
stocks, signed by the Auditor and Treasurer
OF the State of Indiana, were deposited with
the State Agert. in the city Of New York
TO be by him countersigned and filed up as
TO dates, amounts, names OF parties, and
registered in books provided by the State
Tor that purpose. 1t IS not improper 10
state here that this form and mode of trans
fer. before being enacted into law, was
submitted 10 and received the approval of
Charles Butler, Esq, the agent and repre-
sentative OF the bond holders, at the time
Of the adjustment referred TO. as | am in
formed and believe. Fears. were enter
tanned, however, that by the fraud or CON
trivance of The State Agent, false certif.
Gates might be issued and frauds perpe,ra-
ted Accordingly. the State Legislature,
by an act which took effect on the / tn day
OF March. 1859, changed the mode and
place Of issue OF certificates Of stock.
By this act it provided that, thcreaf
ter, no certificates Of stock should be issued
by the Agen, of State, bat the presents-
ton TO him OF certificates for transfer. lie
should receipt for them, and Immediately
transmit them to the Auditor of State. at ,
indianapolis; that the Auditor should cancel
them and file them in his ONCE, for preser
walton and reference, and issue, in the name
of the person to whom the transfer was 10 Z
be made. new certificates of stock. 20 be
signed by him and the Treasurer of State. /
and after registering them in book to be
provided by the Auditor for that purpose,
send them to the Agent of State. 10 be by
him registered and delivered 10 the proper
person, upon presentation of the receipt /.
The fourth section OF this act declares that I
any certificate of stock. issued or transferred
in violation Of the provisions Of The act,
shall be deemed fraudulent and void as
against the State of Indiana. 1t will be
perceived this act throws additional and in
my opinion. abundant safeguards around
the issue of the stock. To avoid the dan
gers and temptations which this change in
the law was designed to guard against. as
soon as the new law went into operation,
the blank certificates. signed by the officers
of State, in the hands of the State Agent.
should have been promptly withdrawn by
the officers Of State and destroyed. This
was not done.
When Col Hudson, the present State
AGENT. came into office, early in February,
1859. he found in the office in New York. !
three bound volumes Of the forms, which |
he immediately cancelled. by punching
hole through the signature of each form.
SLOWER FRAUD.
In this connection l invite your attention I
to the gigantic forgeries vi Indiana FIVE per
cent. stocks which have been committed in 4
New York
The Hon. James A. Cravens was elected 4
State Agent in February. 1859. He held /
the office about nine months. during which 1
time d. Z. Slower acted as his clerk He