Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1869-10-16
is;iiig;inBets Of The Tennesses Ma
81 s s,OnaI Bank Bouaht for
II ~ the State.

% seller sell Or following report from the STAT
I OF Note rurer Rust Was laid before tht
Sc Tuesday:
II TRRAsURKR's OFFIcR,
TteE NASHVILLE, Tenn, October Il. lot5. j
To the General Assembly of Tennessee:
Gentleme5s- Herewith l transmit to
your honorable body report Of the
proceedings of the State Treasurer in
regard to the settlement of the school
fund, under resolution No. 65 Of the
House of Representative, passed Feb
ruary 10, 1869, and section % Of the
appropriation Bill of the Thirty
fifth General Assembly of Tennessee.
The only hindFance to the obtaining
OF between fifty and sixty thousand
dollars of said school fund, together
Nth the whole available assets of the
banS, which amount to q considerable
sum, is, that the notes OF George r.
Rutter, President Of said bank, are in
the hands Of Judge John Norman, Of
Carroll county, Tennessee, who re-
fuses 70 deliver them TO any one until
there is some action on the subject by
this Legislature. / would cali your
early attention to this matter, a. the
longer the settlement remains unfin-
fsh,-d the loss win be obtained, as the
expenseDf the Receiver and the failure
OF parties owing the bank are cOntinu-
ally going on.
I would recommend that the Legs
lature demand the evidences of the
debt from said john Norman, and
that they be placed in the hands Of
the Attorney for the State, Mr.. Fhos.
r. Smith, Of Memphis, instructing
him 10 settle with the Comptroller Of
the Currency st Washington.
When the settlement is effected, the
Comptroller viii turn over the cash on
hand due the bank t. the State, TO the
amount Of fifty-lve Thousand dollars
also all claims and property that be
IOnged 10 said hank. Yours, etc,
J. f. RUsT, State Treasurer.
To the General Assembly of the state of
. eTennessee:
Ge,.Henen: The Legislature at its
last session authorized the State Treas
urer to prosecute unpaid claims held by
the Stale, and especially TO take such
legal action as insight be necessary to
secure the payment OF 50 much OF the
school fund as still remained due and
unpaid, etc, by resolution Of Febru-
airy 10, 1863.
The undersigned was designated in
said resolution 10 aid the Treasurer.
To carry out the objects Of this resO- !
luton, it seemed proper that the al
fii-s of the Tennessee National Bank, |
of Memphis, lin which the State Treas !
urer STAFFORD had deposited the school |
fund.-. should be closed up so far as to I
enable the State 10 obtain entire con-
troll Of its assets. ] had suggested a /
plan for effecting this to the Legisla- /
ture in the winter of SG7-S, and again /
in 1859, in accordance with the fol- /
lowing letter of the Comptroller of /
the Currency, filed as part of this /
communication, marked No. 4.
1t seemed to me evident that the 1
sooner the State obtained exclusive 4
possession of those assets. the more |
she would be enabled to realize from
them. especially ~ the expensive pro-
cess Of settling everything through
Receiver would he thereby avoided. /
The State had no source from which I
to recover this fund except the assets
of the bank, the bond Of State Treas
ureF Stamford, and the bond of tie
bank as fiscal agent, and it has been
evident for some time that these
sources are wholly inadequate 10 make
the fGnd good.
The committee OF the Legislature
expressed approval OF the plan, but 4
AAU AELA1AhE SAAAOlA hs41 AohNAA 0laAlA A4AE
resolution above referred 10, which
Mr.. Rust, your Treasurer, and /, both
construed TO be an authority 10 close
up the affairs of the bank as suggested.
Aceerdiugly, acting under my Rd-
~, Nr Ast purchased on favorable
teriGs ier the State. all the claims
aeainst tbe bank which had been aud
tied aud allowed by the Comptroller
s 0ffheC Currency, thereby presenting
Z The state in the attitude of the only
efeditor of the bank. We then went
70 Washington to effect the necessary
arrangements with the Comptroller
Tor winding upThe Receivership and
enabling the State to purchase the
assets. We arranged with the Comp
t0ller TO SLOW the States claims as
follows:
Notes Of the bank .-.-.. -... ....... $3.50 lSS 90
Certificate Of depOsis s...----...-...,. A, l52 p
Assigned or purchased claims. I,Gll % I