Daily State sentinel. [volume] (Indianapolis, Ind.) 1861-1865, 1864-02-15

COLLAR. diverted from the original PURPOSE pnd
apyrJpfiate,l u the extingui~hment Of the new
1ebt bv that law authorized 70 be contracted. a.
appears by the act which is here set out IN iull:
An act making additional provision Tor the payment Of
the two millions Of dcsrs authorized b. the
- the General Assembly. approved Nay u, le6l
AFrEovEp JrsE 4, ls6l.l
''SEorIox ] BE - e,,acfed ~ ne General 4ss.nIfy
of ne afe ~ Ladina, That the tax levied for state
Debt sinking Fuud purposes fcr the year ls6I and s6x
aid provided Tor the ls6 AMI for each ard every
snuf,ng a. rtaif fund. therein named 10 the rsvnsuf Of
tue public debt and rsisHg reyeuue the support u
schools. aud 20 repeal oil laws in conflict there
with approved March O. ISL. shaH be, ard
hereby appropriated and applied the redempt 81 the
debt aud 90 be created under the provisions 81
entitled An act 20 authorize the Governor issue
bonds TO appoint Board 81 Loan Commissioner. and
defining their duties, requiring the Sinkng Fund Com
m-sioucrs purchase bonds dening their duties IN
aon 10 the interest received the same and levying
tax O. meet the payment q the interest and he prnc
pal Il the bonds be sold approved May II, Is5l
'sEc 2 All laws and parts 81 laws coming Ia conflict
with the provisions Of section one II ths ac 80 a. To in
terfere IN any wise with the direction therein given
intended 10 be given, 20 The proceeds arising from the
tax named, shall b. and the same hereby repealed
aud Suspended IA their operation until the principal and
the teres Of the loan 10 be extnguisLed shall have
been fully hqudated.
hereafter the Indebtedness Incurred by the
u Indiana IN providing supplies and aid aid gov
In putting Gown the present rebellion, the
money paid the securities given such assump
toB shall the benefit Of holders Of the bonds of
payment Of which provision Is herein made and the state
Debt sinking Fund Commissioners hereby directed TO
apply the funds securities Ia this section l.
contemplated 10 the Liquidation Of the debt. with the
payment Of which said state Debt hiking Futd Commits
0ners charged and thai said securities shall neither
be loaned otherwise disposed q than in tbs section Is
provided.
herein provided for should refuse exchange the
for the Federal Gown securities, IN the
said bonds could not be redeemed by said Commissioners
not exceeding their par value then and in that
hereby empowered and directed funds ars-
ing from the tax to be levied for the tNtnguishmen Of
the said loan, and the securities contemplated in section
three Of this act. ia the two and oneha and five per
cent. stocks Of this State.
'SEc. 5 An emergency declared exist for tho i'm
mediate taking effect Of This act it sha therefore be in
force from and after is passage
In this IL will be seen that there is no law pro
vidug a fund for the payment of the funded debt,
until this newly created debt of two millions
shall have been paid-exccpt that provision of
the law whereby the State Debt Sinking Fund
Commissioners are required 10 apply all the
money in the Treasury not appropriated in the
purchase of the stocks of the State, when the
war loan bonds cannot be purchased ION reason.
able terms.
INTEREST UPoN THE FUNDED DEBT or THE STATE
REASONS WHY IT NOT PAID.
The interest on the funded debt Of the State is
not separate item of indebtedness. known TO
missioners Of the State Debt Sinking Fund to
paw the same
So much solicitude felt upon this subject.
and such opposite views entertained rs to the
powers of the Officers of State 10 pay the inter-
est on the funded debt OF the State this officer
entertaining the opinion that there was 10 law
authorizing the issue Of warrant upon the
Treasurer for les payment. with the deepest re
gret that the fair honor OF Indiana should be
-i,l flf.sf.. her
plighted faith chose 10 maintain what il con
ceiyed 20 be the law Gxei by the legislature for
its government and refused - issue warrants for
such purpose This refusal superintendent an
action in the Marion Circuit Court 20 compel the
issue OF such warrant from this office for the
payment OF the interest on the funded debt OF
the State Upon appeal from said Court to the
Supreme Court of the State this office sus-
tanned in its views which opinion will be seen at
full length in Vol 30 Indiana Reports, and a.
these decisions (as there are two) fully explain
the causes which led the litigation, make them
part of this report.
Here follows The opinions of the Court, which
on account of their length omit
UNLIQUIDATED CLAIMS AGAINST rHE STATE.
This Office has to the fullest extent, endeavor-
ed 10 meet and discharge all claims, whether to
resident or non resident claimants. having on all
~
the duties of this office. and the decisions of the
Supreme Court rendered in relation thereto.
IL is greatly to be regretted that there so
many claims OF merltOriOuS character due to
our own citizens. whose payment has to be
postponed until provision is made by legislation
TO relieve them.
1t is ais, to be regretted that the old creditors
of the State. the holders OF the iu:.dcd debt who
when The STATE was burdeued by debt upon
sha Nj tn lie int
forward to relieve her from the foul stain OF re
pndiation 20 which she seemed inevitably driven,
aud made sacrifices which enabled the State to
mlintain her stand along side her sister States.
should now be put off and al the available reve
nues OF the State applied hr~t to the exIinguish-
ment OF a newly contracted debt
THE ARSENAL.
The Arsenal, which appears from varou,
sources TO have been the offspring ct the $500.
600 appropriation made 10y the Legislature at It's
special session IN 1861 for the purpose OF supply
ing arms aud munitions OF war. seems to have
acquired statu. owing responsibility To the
authority OF the State. No reports OF either re-
ceip;s or expenditures. ol the operations of The
same. have besn m tie 70 thi- dep srtmea, since
the adjournment OF the last Legislature
This department would respectfully reque>
your EXceliency, to whose management thai
fund WAS entrusted to furnish the necessary in
FORMATION. 80 tNat m adjustment Ol tHt tbttIe~
of the State lif any, in the Arsenal may be had
and relieve the public anxiety in relation there
to.
CONTINGENT FUND.
The Legislative Acts OF Special Session 1861
page ,. by al act approved My 8, lo6l, apDro
priated 100000 ~ military contingent fund
providing THAT the same should be drawn on th
order of the Governor, specifying the articles an'
from whom purchased. the services rendered ant
bv whom. etc. Afterwards, by the first section
of act approved May 81. 1851. Acts O
Special Session le6l page B. the LegislatuI
appropriated 81 600 900 Tor military purposes
aud by the same act created an auditing commit
tee To supervise its expenditure. The act pro
vided that the Auditor of State is expressly pro
hibiled from paying any claim, of any description
whatever. except for legislative expenses. ont q
the Appropriation made in the first section Of III
act. until said claim has been audited and cert
hei 10y said committee. majority OF them
la the report of your Excellency 10 the l.egis
lature OF 1868. dated January 30, 1863. SHOWING
the disposition OF the military contingent fund,
6ud the following:
"On the 1T day OF June 1861, in answer to
resolution of the Senate. inquiring what lsburse
ments have been made under the military con
tngeut fund. / reported 70 that body that | la
examined and passed vouchers TO the amount O
1888. I27 1c. for the subsistence clothing. equip
ment aud transportation of troops raised in thi
Safe for State and Fetsfai purposes, from whic
IL would appear that the military contingent fun
WIS exhausted This report made from IN