The New York herald., 1871-09-12

numDer or warrants lie mas 80 0te5CeQ 10 Vbliu.
ity OF, as already drawn, may DO derived from the
fact that during two years and half thrty-nine
thousand two hundred and nity.seven OF them, as
defendant finds by recent investigation, nave passed
And this defendant. further answering. AYERS that
amounted to the sum Of $50 ss4 e1o 81, and not to
the sum OF $2l. SOs ss6 ST. as set forth in the COM
scai year OF $50 amounted to ihe sum Of sci 1885,,
3l3 81 and not The sum OF $23 56al27 H. as set forth
IN SAID complaint; and that the sums paid INTO the
1869 and 1870 on account OF assessment collections
the sum OF $7.65s,SS5 IS, and not the sum OF
snadtd nd st du III sa ss s2 s bsoa Sapha he1j
was paid into the treasury or the city and county
he sS% genera s ses At 30
and this defendant AYERS that the figures OF the
And this defendant AYERS that the allegation con.
tained at folio 81 OF the complaint that during the
period last mentioned the sum OF $l47,7lS,s!o 20
was paid into the treasury, Is marvellous misap'
And tins defendant AYERS that he is legally advised
by counsel and believes that the allegat ons con.
tanned In the complaint between fohos 21 and 20.
folios 81 and SO, and more particularly OF matters
this cause OF action. and therefore, and on that ac-
count only this defendant herein omits to contro.
And this defendant, further answering, AYERS that
moneys expended for city and county purposes are
derivable from two general sources:.First, from
taxation In each and every year. In order 10 deray
current expenses Of the city and county govern.
ment, and to pay the interest on bonds already
be issued, and authorized by law to be issued, ana
to pay the enormous proportion OF State tax which
York, and which source alone Is called approprta-
ton account by the law and the usage OF tho Finance
unwonted expenditures, In the nature OF providing
for city improvements from proceeds obtained to
county reu e varying from two o. seven zen! per or
cent above par, and throw upon far distant years
the payment OF such rather .han
large and excessive taxation, and to period when,
by the natural accreon OF value the real and per.
sona property OF The city and county OF New York,
promoted and assisted bV these various improve.
ments, will nay the principal OF The bonds with the
least Inconvenience to taxpayers another gen.
eration THIS second account Is called special and
trust account and has no connection In law or fact
should not be confounlcd with H. as Is done In
And thus defendant, further answering, AYERS In
this connection that almost alone Of all The cities of
the Union or OF Tho world the bonds Of this city or
county are not susa upon the mere city Or county
real anu personal property pledged W law for the
payment OF said bonds amounting as deponent Is
informed and believes, by the testimony OF renowned
experts 10 the sum or $243,0S5.499 aud that In al
most every case III which bonds have been issued
the proceeds have been used substantially and pune
tually for the purchase or permanent obtaining Of
something which would taugbly represent the prin.
represent The Croton Water stock. the various pub.
lie buildings, school houses, aud conr; houses
sent Public Education stock. building Loan stook
and Court House STOCK and Market stock; and Cen
trail Park STOCK Is represented, not only bv the Cen
trail Park Itself anu by Tho immense reservoir therein
erected. but by The Improvement and enhancing
value OF property for purposes OF taxation immedl.
provements In other OF the various parks and public
places OF the city.
Improvement stock is represented by opened
streets, widened streets. bonevards and acauisi-
tiOns OF property, for new parks aud for developing
uninproved property In the suburbs OF the city to
meet the speedy and pressing demands made BY
large and influential taxpayers, including the plain
till Ill TINS case for the development OF the upper
And this defendant. further answering, AYERS that
the debt contracted by the city anu county OF New
York during the late prolonged civil war; including
the bonds issued for the payment OF war and RIOT
claims, amounted to the sum OF Sl2,GSS,6U0. for
which the city has TO show commercial prosper
lty, springing from cementcd union and Tranquil
government, aud an example OF loyalty, consist
And this DEFENDANT, further answering, AYERS on
Information and beler, that at no distant time o
be repaid TO the city or New York by the general
government.
tnat the bonds named In the plaintiffs complaint at
folio 49, have to snow Tor them the eXtingutshment
or embarrassing claims aud entangling litigation
engendered ana f09tercd FOR long series OF years
by complicated conncting and subdivided systems
OF local government In city and county departments,
utterly independent or one another. And this de-
fendant AYERS thar these Iast-nared bonds not
only duly authorized by three different Legislatures
aud approved by two different governors but were
contemplated by the said Legislatures 10 be for very
large amount, otherwise UUllIs would not have been
And THIS defendant. further answering, AYERS that
tie bonds authorized ny the last Legislature (the
issue non Issue or winch forms the general sub.
ject matter OF this aciiolj duly aud widely dis
csed in all their history, effect anu bearing not only
In The Legislature and In the Executive Chamber,
but In the forum Of public opinion by State and city
newspapers of all parties and their purport scope
and extent fully considered and understood, and
tnat the allegations or surprise or novelty concern
ing them appearing In the complaint unwar-
ranted by facts Of common noioiicty
And this defendant, Iurtlicr answering, AYERS that
he Is advised by counsel anj believes that 1t Is Ob-
gatory upon the city and county authorities to issue
these bonds under authority VI the Legislature
And this DEFENDANT further answering AYERS that
there are IN the city and county divisions OF the FL
called tile ppiOpraglon ACCOUNT ami the other
called tho special AMI trust Account" Tue first
named account coinprenendS everything that enters
into the yearly taxation, ana tue second account
cOmprehcnls all receipts Of and proceeds OF bonds
and that it mas pcen usual and customary In admu.
istering The AFFAIRS Of the Finance Department. In
both tho city ani county SUBDIVISIONS II there was
OF cash in either the city county trea-
sury, to employ tho same for the payment OF current
expenses or trust expenses. always keeping each
account intact from interference with the other and
| II by so doing saving O( interest could bc made,
Tut always aud in every case mover spending Tor
current expenses more than was duly aud regularly
| appropriated, or than was TO be reimbursed from
the collection OF taxes avas OF loans and regular
revenues, and always by the most meth0dical aud
Inspection OF the Fiaance Department more re-
cenIy made, AYERS ~ be III system, In regularity ana
In detail as perfect Us the bookkeeping OF The United
States government or VI any oanH or trust institu
| ton Ia The country.
Ana this defendant, further answering AYERS that
|
many classes and numbers OF bonds arc authorized
TO be issued. IL would be manilesty preIudical TO
the financial interests Of the city to place all the
bonds on the market at once, although the necessity
for the expenditure OF the proceeds Of the bonds
The objects Tor which they are authorized was I'm
minent ut one and the same time; and defendant
AYERS, on Information obtained from the Finance De.
partmcnt, and on his belief, that Immediately after
the adjournment OF the Legislature 1t became
! sary " provide for immediate expenses under the
00ects specifically SET forth In the complaint at ioos
90 and t6-tlat Is TO say, for aqueduct alterations,
City Park improvements. DOCKS fire telegraph assess
ment and street improvement funds and boulevard
improvements; ana that, as the C0mptroller found,
| tlrety best upon tho market before issuing the
Other and as the payment VI their interest could be
| levied by taxation over and beyond the amounts
ordered To he raised by the two per cent law, the
Comptroller did 80 with great advantage to the city
treasury In the way OF premiums, intending there.
after TO issue the other bonds that were authorized
! by law, AMI for the manifest benefit and proper