Weekly standard. [volume] (Raleigh, N.C.) 1858-1865, 1863-03-04
Treasurer Courts and Treasury Notes.


March, 1862, are Of opinion that that gentleman ha.
not shown the ability in the management Of our
finances, which is claimed for him by those who SC
severely censure the General Assembly for not re
electing him; while one of the committee sees in
this management nothing to blame. AS the com
mittee have been accused, by the friends Of Mr.
Courts, Of an unjust disposition to blacken his inan
cal reputation it is proper to look at both sides Of
the controversy, 80 that the public may be the
better able to form their opinion Of his conduct
No one, SO far as we know, has impeached Mr.
Courts honesty or integrity; nor do we believe
that he erred deliberately or wilfully. But while
We may cheerfully concedo that he thought he was
pursuing the proper course and acting for the best
for the State, still it is apparent that from good
nature, disposition to oblige his friends, and
want of financial orecaste and SKILL he has lost to
the State large amount of money Which has gone
into the pockets Of brokers and others, and which
the people will have to make good by additions to
their already heavy taxes.
FIgsr-THE LAW.
In December, 1861, the Convention passed ian
ordinance to provide for the raising of money for
the support of So 'ernment and for the issue of
Treasury notes Tor ss purpose of paying the public
debt a. purchasing supplies for the military forces
employed for defence in the present war, and for
! other purposes" This ordinance authorizes che
Treasurer ito issue Treasury notes not exceeding
three millions of dollars, the exgencies of the
public service may require" Section 8 provides
that said notes may be issued by the Treasurer in
payment OF any warrant in favor of public creditors,
or for the purpose of paying military officers and
troops in service, for the purchase of supplies
Tor such troops, and for payment of coupons upon
any bonds hitherto given hereafter to be given,
or for any other demand upon the Treasury by per-
sons who may be willing to receive the same in
| payment at par" &c. Section ordains THAT the
holders of Treasury notes issued under the author
ity of this ordinance, may have the same funded by
request to the Treasurer to give in exchange for
them bonds of the State" &C. These bonds were
to be six per cents and the notes were likewise to
bear interest
The notes issued under the above ordinance being
of large denominations Zone hundreds and ffties,)
they did not circulate; and it being thought that
the fact Of their bearing interest interfered with
their circulation, by an ordinance passed January
25, 1862, the interest was discontinued.
| Section 2 of ian ordinance to provide for the as
sumption and payment of the Confederate tax"
| provides in order to raise means for the payment
of said tax the Treasurer shall issue Treasury notes
fundajle in coupon bonds bearing per cent in
terest Section directs the Treasurer "to apply
the Treasury notes to be issued in such manner as
may he necessary to the payment Of said tax" &c.
! 1t being apprehendcd that the very large issues
Of Treasury notes might cause them to depreciate,
| OH tie 26th February an ordinance was passed "to
provide for funding the Treasury notes of this State
and for other purposes" Section l provides that
any Of the Treasury notes issued hereafter to be
issued under the ordinance of LIST December, 1861,
| or under the ordinance last mentioned, may be
funded in bonds airing per cent interest
| GOV. BRAGG IN ERROR.
Section of this ordinance provides "that as the
exgencies of the public service may in the opinion
| of the Governor require, before the LIST January,
1868, the Public Treasurer is authorized and re-
CURED TO issue other Treasury notes aforesaid not
exceeding in amount the further sum of 81 800 0OO
and the said notes shall be prepared signed, and
issued as in the said ordinance ratified the first day
.AA's
section as follows: land section all0ps further
issue of sl,5Oo,OOO of Treasury notes to be pre-
faced [prepared signed, and issued in the or
dinance ratified LIST December, 1861" "Author-
izing and requiring" is stronger expression than
| following"
IAN ordinance to make further provision for the
Public Treasury" provides that the Treasurer oe
authorized to issue 81, 900 more of Treasury
notes.
.rbe above is summary Of the law on the subject
THE EVIDENCE OK WHAT MR.. COURTS DID.
LIST. In his testimony before the committee, e" Mr..
Courts states that he received ordinary currency for
which he gave per cent. bonds at par" Again,
Mr.. Courts says 81 think | could have gotten a
premium for them Is per cent. bonds,) by adVer-
Using them, but did not think had authority I'M
der the ordinance of the Convention to SELL
I'd. Lancaster & Co., of Richmond, state that 8
per cent. bonds 1ere sold ut prices ranging from
1ol4 in March, to l2O in November, and ll6 in De-
! cember, 1862.
Sd. The committee show that from March to De-
cember 20, 1862 s., 1923, 500 of per cent. bonds
we're issued at par. If :hey had been sold at pre-
MUM they would have brought $322,2c7 more
4th Several gentlemen testify to the above state
ment of. Mr. Courts, but exonerate him from any
charge Of fraud.
WHAT THE LAWYERS SAY.
Mr. Moore seems to think that the public creditor
was entitled to the Treasury notes, if he wanted
them Thus be says, !" in regard to using the State
Treasury notes in payment of the dues of the State
creditors is clear that the great fear of the Con-
ven,ion was that they would depreciate; and hence
it is provided, in the first of said ordinances, that
however used in discharging public dues they shall
not be passed under par but if the public creditor
will receive them at par, he is entitled to them, if
the public exigencies require them to be issued"-
But Mr,Moore does not say that Mr.: Courts had
right to exchange per cent bonds for ordinary
currency. Gov. Bragg does not agree with Mr.
Nome. He applauds Mr. Courts for giving ponds
for ordinary currency but says he had no right 10
cell them for ordinary currency. Gov. Bragg thinks