Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1869-02-09
SCHOOL FUND.
Report OF the Special Committee In
the House On the Charges AgaiBsf
speaker Richards.

1 'PCnAcr AAAcuhfuS. T..
Hon. VIM. F. Prosser, Speaker pro tenn.
and Gentlemen of The House of Repre-.
sentatiVes:
The Special Committee created and APP
| pointed under House Joint resolution No.
so, to examine the testimony submitted
by The special committee ON the School
Fund IN reference to that part that impli
Gated Hon. F. s. Richards in the same. and
see whether or not said testimony is sufi-
Gent to warrant his expulsion, beg leave to
most respectfully TO submit the following
testimony, which Is in words and figures
following:
Here follow several pages of testimony
relating to the conduct and character Of i.
y. Richards, which appeared to the COM
mittee sufficiently conclusive of Mr.. Rich
ards innocence. We append resume !: !
Mr.. Richards testified
lie had, in the summer and fall of 1866,
several transactions with the Tennessee
National Bank of Memphis, amounting in
the aggregate 10 several thousand dollars.
The first accommodation had 10 bank was a
discount for 5000 note at sixty days, in
dorsed by +. NJ. White. The next a dis
count Of note for $500, Endorsed by Rolf
5. Sanders. The next, and last accommo-
dation was for $500, drawn by me in Chi
cago, October 81, 1866. paid that draft
in greenbaeks.
Mr.. Richards submitted the following
telegram from j. II. Hill. receiver Of the
bank, dated Memphis, February 4, 1869:
The only $500 piece of paper against
You among the papers Is your note in
dOrsed by Il. y. Saunders, dated January
81, 1867"
Never received one cent from Rutter or
any other person, either directly or iadi-
rectly. Rutter told him emphatically that
the evidence, as reported, was false. Mr..
Ruster, upon several occasions, asked his
influence to secure the reorganization of the
Tennessee National Bank, stating that par
ties in New York would advance money or
take stock 10 the amount of $500, 600, and
make No. Eank, aud secure the interests
of the State; and said if l would give my
influence, my note should be taken care Of.
Told Mr.. Rulter desired my note taken
care of If could do it honorabiy, and pro-
tect the State; that Col. F. NJ White had
for years been my friend, and hat / must
protect him if possible; but whether 1
could pay the note or not, the State would
lose nothing. Had been annoyed by Rut-
ter. Had told Rntter that anything be
could do to save the State he would do il,
and if it was the latter way would use his
influence to have the bank organized.
@. State whether or not you have paid
the $500, draft for which you drew on
the Tennessee National Bank of Memphis,
and referred to 10 your letter, dated Chica-
go, Oct, 81, 1866.
A. / went TO Chicago to get married, and
found myself short of money, and drew
for the $500 referred to. j paid the draft
as responded to in my answer No. 2, and
verified to by telegraph dispatch of to-day,
Feb. 4, 1869.
Q. Explain what resolution is referred
to in your letter to Mr.. Rulter, dated at
Nashville, March 4, 1867, and whether or
not you received any pecuniary compensa-
tlon for your effort in that behalf. a
A. do not remember the resolution re-
ferred to, but presume it refers TO sustain.
ing the Tennessee National Bank, or au.
thoriziBg a settlement with the bank. l
opposed Mr.. Rutter in every way | could
from becoming the depository Of the State
Funds, as my votes show; but after |
learned that he had got the funds favored
mild means for securing the funds, beliey-
ing il was the only way which the State
could be saved. Conferred with some Of
the best financial men in the State in re-
gard to saving the State fund from LOSE.
never received nor expected 10 receive one
cent for anything done in the premises.
Q. Was there any money received by
you from Rntter or any one else from the
81 a.. A.,
Rutter, dated blouse of Representatives,
Jan. q, 1867" and was your action in the
premises because of peeuniary cOnsidera-
ton, or a desire to 10 the best thing posi-
bic for the State, according TO your cOnyie-
liOns of duty2
A | never received any money or other
consideration for any action named ia said
letter; | simply desired, AZ | have before
said, to have the bank saved, believing it
was the only means by which the State
| could be saved from loss.
q What was meant by the following
ing letter TO Rutter:
NASHVILLE, December, G, 1868.
FRIEND RUTTER: YOHrs received. BOs-
son received letter from you and had it
read and referred. OF course he has post
| ed you 30. | did not write, deeming it
unnecessary. l am doing well, and will
| do all can here 10 have the mslter closed
up.
| | meant that | desired 10 have the mat
| ter Of the Tennessee National bank clea Q ]
| up by the Legislature or authorizing the
/ Governor to appoint committee for that
| purpose, as | have been informed that
| what fund was left, was being squandered
by litigation, and it was to the best inter-
ests Of the State to have final settlement.
| am still Of the same opinion.
| Had extensive business transactions with
various banks in Memphis extending to
about $500, 900; was elected to the General
Assembly in August, 1867, and qualified
in October following; became acquainted
with Rutter in '63 or "a have been init.
mately acquainted with him since, but not
| so intimate as with other bankers; is 8
member Of the General Assembly now foul
years; think he had some transactions
with Mr.. Hill Of the Tennessee n ,tiOna
| Bank, while he was Cashier Of that Insti
| tuition, bat only saw Butter in regard t
discounts of notes; it is the custom to die
count notes with only one endorser ant
without collateral7.
Q. As you had voted against Rutter'
bill in Nav, 1866, what new relation ex
listed between you and him that he SHOULD
have accommodated you to such an exten
so soon afterwards?
A. No relation except that Of business
0. In your letter from Chicago, datet
October 81, 1866, you say that you hsv'
drawn for $500, and then say, "Your kind
ness will be appreciated in practical way.
What does this latter expression mean?
A. 1t means that l would pay the draf
at az early a day as possible. The lette
addressed to Rutter January Fl, 1867, i
addressed to him as president Of the bank
and means that was in favor of restoring
the bank, believing it was the only wa,
the State could be saved from loss NJ,
understanding at that time was that Par
ham was acting in some capacity to try L
save the bank. | seen Parham often, bu
| did not in any way confer with him unit
the time the bank was about to fail, whel
favored sustaining the bank as a mean
of saving the State.
Q, At or about the time that letter wa
written was not this the condition of al
fairs: The committee had collected Z
Rutter some $340, 900 of the money, an
the question before the Legislature wa
| how this amount should be invested, ant
Won and Parham were working together L
have it restored 10 Rutter?
A. Am not certain Of the condition, bu
| favored sustaining the bank. Rutter ha
) slid several times that if the Legislator
= would give him time, and restore tn
A fund, he would give $500, 900 security, an
] at one time offered to lean the State $500
r 600 to meet lis interest.
d Q. 10 your letter Of Dec. 6, '68, TO Ru
ter, you say, Il am doing, and will do, a
/ can here to have the matter closed up