Semi-weekly standard. [volume] (Raleigh, N.C.) 1853-18??, 1863-02-27
THE LATE TREASURER COURTS.

TIE LATE TREASURER COURTS.
We have received copy of the Majority and
Minority Reports of the committee appointed by
the Legislature to inquire why the soldiers were
paid in Treasury notes, as directed by the Con-
vention, but were paid in Confederate notes. 1t
forms pamphlet of 81 pages. We publish these
reports in full on the preceding page. Accompany
ing them, are legal opinions of B. F. Moore and
Thomas Bragg, in defence of the Treasurer and ad.
dressed to him; and the testimony Of Sir. Courts
himself, and of several brokers and others, who
bought and sold bonds issued by MIN, and of Maj.
a. NJ. Lewis, Paymaster.
The evidence appears to US to sustain all the po-
sitions of the Majority Report Mr.. Courts admits
that he received ordinary currency, Chat is Con-
fedcrate notes "fOr which he gave eight per cent
bonds at par; " that he borrowed ordinary currency
from banks, &c, for eight per cent bonds at par
that he could have gotten premium for the bonds
if he had thought he had authority TO sell--(n his
annual report he admitted that he did sell ST. 4OO
900, and realized a premium on them of near S40-
OO0) One Of his attorneys argues in substance
that he had a right 10 sell that amount but right
to sell the remainder. If that be So and as TO it
We are not sufficiently informed to express an
opluion II is certain that Mr.. Courts had only to
inform the Convention that the State was losing
and the brokers We're making hundreds of thou
sands of dollars for want Of that power and it wogid
have teen granted to him inStanter. Without i'm
putting to Mr.. Courts the slightest of personal
integrity, tine slightest participation in these
enormous gains of the brokers-for we have no
idea Of any such crimnality-we must say that in
our opinion there a wonderful derelicton of
duty i'll not applying for authority to realize for the
State this large amount Of 1922 207, which went
into the pockets OF the brokers.
The testimony of Maj. Lewis, the Paymaster
shows that he was in the habit, with the know
edge and by the request Of" Mr.. Courts, of receiv
ing Confederate notes and giving orders therefor for
s per cent. bonds at par. One broker in Raleigh
ho SC
bonds at par by such exchange, and Mr.. Lewis
himself names seven other persons or banks with
whom he made similar exchanges. 1t is not pre-
tended that either Mr.. Courts or Mr. Lewis made
any money by their operations, but it is apparent
that Maj. Lewis received from these brokers funds
that were worth less than the State securities he
exchanged for Them and that thereby the State
great loser, and the creditors OF the State, nclu
ding the soldiers, were paid in funds less valuable
than the Convention inten ded, and less valuable
than the brokers received
Just here it is proper to remark that Mr.. Courts
alleges that he had no authority, under the ord
nance Of the Convention, to sell the bonds. To
which the committee make the conclusive reply,
that he had no authority to issue per cent bonds
for any purpose except in redemption of Treasury
notes. 1t cannot be pre- tended that many of these
transactions of Maj. Lewis had any connection with
the redemption of Treasury notes. Treasury notes
were not used or heard of in many cases, but the
bonds were issued in exchange for Confederate
notes. If the ordinance could thus be diSregarded
to the disadvantage of the soldiers and other State
creditors and to the advantage of brokers' why not
also to the profit of the State?
The legal opinion of Mr.. Moore may possibly be
applicable to the case, but we confess we are not
lawyers enough to see it and that the only conclu
sion arrive at froIn u careful reading of it. is
that it is only meant to muddy the waters" to
draw off attention from the real points. He says
one thing, however, that nobody will gainsay viz:
was riu IN pppiv tha II
O0U on the 81 400 600 OF bonds sold in Richmond
but he fails say whether would have been right
or wrong to receive the 1922 2O7 of premium which
might have been realized by the sale of the remain
der of the bonds.
Mr. Bragg also devotes large portion of his
opinion to tie defence of the transaction which
suited in securing the S40,0 600 of premium-wsely
concluding that he could not be wrong in defending
that which no one called in question. But he goes
farther than his associate and far more able
sci, and contends that the Convention gave Mr..
Courts no power to sell the bonds. That point
think has been sufficiently met
As 20 the Minority Report of Mr.. FOy, we think
that decidedly more plausible than the opinion of
either of his counsel; yet it fails to the m-
presslons produced 10y the testimony.
Mr.. FOy makes one very remarkable mistake
The Majority Report enumerates per cent bonds
to the amount of 81 1919 $780, issued and disposed of
at par by Mr.. Courts between March 1862 and De-
cember 1862 Of this Mr. Foy says
I" This statement the undersigned believes is in
tended to include, and does III clude, the whole
amount of eight per cent bonds issued during that
time by Mr.. Courts"
Now Mr. Foy had only to turn to the documents
printed with the Governors Annual Message, (Ex-
hibit A. to see that Mr.. Courts, himself, showed
directly the reverse of this to be the fact. Mr..
Courts there shows that between Iarch and Sep
TENDER he issued So, 096,5OO eight er cent bonds
(besides those which he sold for $40 ZOO PREMIUM
and it is not denied that between September and
December he issued further bonds to the amount of
$l,033,052. These sums make up 81 129, 552 dis
posed at par, erclusiUe Of those sold at premium
1t is really surprising that Mr.. Courts and his
torneys should have allowed Mr. Foy to print such
glaring error as this.
The conclusion to which dispassionate men will
probably come from reading this report is that
Mr.. Courts had been guilty of any thing ap proach-
ing corruption-no such suspicion attaches to him
but that if he had possessed the nalf of that nan-
cal skill and ability which have been Claim led for
him. he would have taken care that the State hould
realize the 1928, 2O7 of premium on the bono's, all
of which went instead into the pockets of the
brokers. fayetteville O6seTrsr