Daily State sentinel. [volume] (Indianapolis, Ind.) 1861-1865, 1864-04-09

truth Where il that money! In his private
financial bureau rot IN the public fIcasGry,
bu, in the hands ~ the Governors Private Sec
retarv There Is not one Inc Of statute or con
sfitu.I07al lav authorizing fhe Governor ot IN
diana a. borrow money on thc faith - tie state
10 carr On The machinery Of government. More
than that there l. an absolute cUnsfi. uti0nal
prohibition a-ainst any lac Authorizing running
tie State IN debt except for certain purposes.
Sec. ;, Art 10, Con,t Of indisna. We have
shown that tie Legislature makes l0rs; thai
body has made none authorizing tie Governor
to borrow money, for the purpose OF carrying on
tic Government And why's For a ali-sufn-
money in the treasury to-wi;, Oc;ober 81, 1863
s606, i27 20, AUDITORS Report, D. 49, Bu, this
money cannot be touched, except BY the sanction
OF law, and the Governor is afraid OF the law
making power and will not call that BODY toge-
ther es he might do. Const., Art g. sec g.
Now, although il is bis express duty lCons,.
an. 3. sec. l6,l 10 take care that the laws be
faithfully executed he not only thus attempts
20 execute without law but acts directly in the
face of the law and the Constitution. b. both
il l. provided that money belonging TO, raised
upon the faith OF the Slae shall be placed in the
State Treasury. Art. 10, Const.; Acts 1889, p.
227; G.. & II. 645. This law is direct and
positive. II is the sworn duty of the Governor
TO take care that it Is faithfully executed. G..
& r. l63. To what amount he is thus running
the people in debt there is no living man, except
himself knows; nor will they ever know while
he remains in office. But he had determined 10
do certain things whether he had the lawful right
TO do not This Is the effect of the Ian
guage he USE, namely: That whatever might
be the true aspect of the legal question" &c.
But to return. The reasons given BY the SUI
preme Court in support of the decisions made,
and BY the Governor assailed, are ample and
will be found at PAGES 329 10 35s; and brief OF
counsel and argument of Governor Morton on
pages 35S TO $50 of vol. 20, Ind Reports. After
a careful examination of those opinions and argu-
ments, we will refer to but one matter in addi-
ton; but il is such matter would, without
doubt have made short work in those cases. In
one of the opinions this sentence occurs:
II j. clear that under the present Constitution, and
perhaps fully under that which preceded IT, the power
and control the disposition thereof af
raised il vested in the Legislative branch Of the
government. We cannot say but what there might be
OF moment which might be considered
BY such branch ~ the government Of SUCH everything
Importance to justify the temporary suspension OF he
Collection OF any Considerable amount Of taxes. 1hi,
might be produced By widespread and gene al famine
or other calamity Therefore hat deJdi tBenf might
desire IN ,,trol he d,sOosfi2R II TIE funds a., he
meRt NJ tie interest on lie public deJt Page sj2
The court was then speaking of the funded
debt of the State. The suit being for the inte-
rest thereon.
We do not suppose the court then aware
of the tuct that the Legislature had By LdT, given
different direction to the funds provided to pay
said interest The law is not alluded 10 in either
of the opinions; nor cited in briefs of counsel
or argument of Gov. Morton, although he had
approved said laws. First: an act at the General
Session. 1861, p. l07, sec. levies tax for 1861
and 1862, of two cents on each one hundred dol
lars valuation and for 1868 and afterwards five
cents for the reduction and ultimate extinction
of the public debt" Section applies il to the
payment of the interest first, about which the
suit was had. Afterwards. at the Special Session
of 1861, p. Is, loan of two millions was au
thorized - To rcpel invasion, and provide for the
public defense" At the same session, p. 81 the
taxes levied and set apart TO pay the interest ant
for the ultimate reduction of the public debt, wa,
dirated from that purpose, and ordered to bt
paid on the said loan of two millions of dollars
In other words, the money ordered at one session
to be raised to pay on the old debt, was, at an
other session, because of the war, directed b,
the Legislature to be paid upon the war LOAF
then ordered This was thought necessary, W,
suppose, to give the bonds credit in tn,
market where they desired to raise money OF
them The Governor insists it would be an &C
of bad faith TO not pay the interest the oil,
debt the history of which he gives. a Hew deb
was made on the pledge of certain taxes 10 b,
raised, and these were the only means to pay tn,
interest on the old debt. 1t would he clearly a
bad faith to now take these taxes, as the Cover
nor proposes, and pay them on the old debt
He finds fault with the officers of State for re
deeming some of our outstanding bonds, afte
- A.
to pay interest on the funded debt. The matte
lis very plain. The Legislature, having the ex
elusive control of the funds, had not appropri
ated anything for the one purpose and had TO
the other. By the act of May 10, 1861, authorit,
was given TO borrow So 900, 000 and a tax o
five cents on the one hundred dollars levied ant
set apart to paw il, by authorizing the State deb
Sinking Fund Commissioners TO buy in tn,
bonds. Sec PIP. l9 and 81, Acts So. SEES, 1861
These officers, that the Govern Or was so abusing
constitute that Board. The truth i, the Cover
nor did not know exactly what he was talking
about he wanted TO raise a smoke, and max,
a little political capital out of something anC
therefore tried this dodge and failed.
Governor Morton having thus shown that h,
had quarreled with the Legislature, quarrelet
with TIE other State officers, and Quarrelcd Will
the decisions of the courts, because those deci
sions showed he had been pursuing wron.
course next discusses bis quarrel with the
AGENT OF STATE.
Indiana has an agency at New York, under III
compromise with the bondholders of the State
where holders of the stocks of the State, whel
thev desire 10 transfer them, can do so, and wher
the interest upon said stocks is payable Secs
and s. Acts 1876; sec. 4, ls47. The Legislature,
elects the Agent John c. Walker is the presen
Agent The Governor, after showing that tn
State officers and the Courts, in strict pursuant
of law, would not permit him TO unlock tn
treasury vaults at will, and that he was afraid t.
call the Legislature together, saws:
preceded 10 New York. and opened negotiations Wit
Mes-rs. NiuSlow, Lanier - Co. That atle diStin
gai'het house promptly offered TO pay the interest if III
proper evidence coud be procured 10 who we're th
stockholders enttl- 10 receive H.
He then saws that Walker refused to furnish
the list 4" in long malignant and frivolous com
munication, in which he assailed the Governor
that Is, big ingun me-" But he does not Civ
the reasons given BY Walker, and which. NJ
doubt, from what we have already said, vii
readily suggest themselves TO the reader, namely
that the Governor had no legal authority TO Dor
he could not do that indirectly which be coul(
not do directly thar he could not borrow th
money of Winslow & Co. TO paw this debt no
could he make an arrangement" by which the1
would pay il, and become the creditors of th,
State. Upon what terms did he arrange How
much interest was he 10 pay them for the use o
their money How much bonus were they tc
nav him 10 Get their fingers into this thinc 70 81