The Charleston daily news. [volume] (Charleston, S.C.) 1865-1873, 1871-05-15

will he .....................S S,SIl ,Suo So
II NAV be reasonably objected to these sug-
pestions, that the present market price OF the
bonds is only 65 per cent, While the cacula-
lions made proceed on the basis OF so per cent.
tor the bonds. But it is quite reasonable to
expect that upon this exhibition OF the exact
condition of ihe debt of the State, and upon
the concurrence of his EXcellency the Gov
ernor in the general course OF arrangement
herein recommended, there will be on lmme-
diate and considerable advance in the market
value OF the bonds, and greatly Increased iacll-
tiles for holding them of the market.
Referring now once more to the sum OF lne
state tina: they had expected to verify the ac-
count by the evidences in the comptroller's
office. but they were disappointed.
The act of August &c, 1868, authorizing an
issue of bonds for the payment OF the bills re-
ceiyable of the State, provided that the bonds
urer. Subsequent acts followed the same
course. In consequence, there is no record
kept in the comptroller's office. The preced-
ing statement, under the authority of this OIL
Ger, Is derived from the treasurer. 1t is con-
ffmed by the Governor, who united with the
treasurer, Mr.. Parker, In giving to the com.
mi!Iee every assurance OF It's correctness
several issues and sums OF bonds described
are of unquestlonable legality and force as
obligations of the State. 1t seems proper
further to explain that the bonds under act OF
August &c, 1868, ''for the payment Of the In
terest on the public debt. were at first is
sued with the above words embodied in the
form of the bonds. That these words being
deemed Objectionable, aaolher sci of bonds Tor
like amount Isl, 900, ,000) was prepared and
executed, and were sent to the financial agent
to supply the place of the Objectionable issue
OF this Objectionable issue Of bonds, $500, 900
were long since returned and cancelled, as
appears by the assurances given to your CON-
miltee by the comptroller and treasurer.
Upon the authority Of Mr. KimptOn, agent,
and Mr.. Parker, treasurer. 1t appears also that
further sum of 100000 has been returned
within few days. These have not yet been
cancelled. Mr.. Kimpton also assured the
committee that the remaining SlGo,000 would
soon be returned; that there was not any Ion
ger delay in effecting the exchange than arose
from the necessity of waiting until the several
loans matured for which the first bonds had
been pledged.
The arrangement OF having financial agent
In New York does not make a favorable im-
preston upon the committee. Copies OF the
accounts rendered by him for the fiscal years
Of 1869 and 1870 are annexed to this report
for reference, marked respectively b and Y.
The large sum in money or bonds always in
the hands of the agent is attended with unu-
sual risk in the management OF the finances oil
State; and the difficulty Of keeping the ac-
counts Of the agency and OF the treasury In
constant and regular accord Is great. II will
be seen for example, by account NJ" that al
the end OF The year. the total OF The sums
charged to the treasurer by Mr.. kimpton was
sl,0O7, ,924 81, while the sums credited to Mr..
Kimpton by the treasurer amounted TO only
$623,O00, exhibiting discrepancy OF s3S4,-
924 81, or disagreement OF 1854, ,924 81. In
like manner, account &C" exhibits disagree
ment of s294, 72G %.
It is true these accounts were recently
brought into reconcilament, or rather into
conformity, with the accounts OF the agency.
There is added to both an account OF the sub
sequent interest BY which this was effected.
Nothing appears in these accounts TO lmpeacl
their correctness, but it will be seen how Wide
open is the door for errors and disputes, II 1or
no grayer misfurtunes. 1t ~ill oe seen that
among the items brought to the credit OF The
account by the subsequent entries, are these.
viz:
Account tRl fiscal year, 1869, for cX.
penses. including interest as cSplaiI.
ed 10 the committee. ce.................S $4,000 II
At, cunt lCj CO, year, 1870, ior cX-
rsDses, laclud ng interest. e4,917 IL
Total. sl59,si4 IL
These appear to have been passed 10 the
credit CT lnc agency without being audited.
The committee understood Mr.. Parker, the
treasurer, 20 say that he had not received an
account OF the several Items OF expense that
60 to make up the TWO sums Of sGI, ,99G II, and
Of So. .977 -. These charges, as will hereafter
be- shown, add enormously 10 the interest OF
the nublic debt, nor is this tile end. The COM
mitlce iearaetlirom Mr.. kimpton that his own
proper commission as agent was not included
IN the above SUNS, and that the rale OF com.
pensation is 10. even determined or agreed
npon. ..o, >.
Your committee would have preferred 10
show with precision what rate Of interest re-
suits from th.. addition of these charges, bat 1t
Is seen that the full sum of the expenses is not
yet known, neither do the accounts show tne
exact average sum OF the cash advances made
to the treasury. Some appl oximation 10 the
truth may, however, be made In this way. ny
the report OF the mp;roler-general for 1917,
PIP. lol 10 l04, the following appear to nave
been the quarterly balances due to Mr.. Kimp-
ton by tie treasury