The Rutland daily globe. [volume] (Rutland, Vt.) 1873-1877, 1874-05-27

The state of New York is again in danger
of suffering Il large pecuniary loss through
financial irregularities or criminal negli-
gcnce and carclessness in the keeping of
accounts. 1t is less than year ago that
defalcation of three hundred thousand dol
lars was discovered in the Office of the state
treasurer, and the tax payers were compel
led to make up the loss. That defalcation
would have been impossible IL the law had
been obcyed, and the state comptroller and
treasurer had properly discharged the du-
ties Of theirrespectve oilices-duies which
the law enjoined upon them for the very
purpose of preventing "A transportation
of the public funds Soon after, it was
discovered that theJe was a large deficiency
in the "sinking funds" which the statutes
required to be kept intact, with annual al
ditiohs, save when it was used for the pay
mcnt of the bonded debt of the state, to
meet which it had been provided. There
had been, if we remember correctly, no ac-
tual tampering with or stealing of the
money and securities belonging thereto, but
the law had been violated and the funds
Incorporated. Again were the tax pay
ers called upon to make up the loss. In
addition to the ordinary taxes, additional
levies have been made to meet the defalca-
ton and Misrepresentation. And now
comes another proable loss, which is due
entirely to disregard of business princi-
pies in public offices and Il looscness in
keeping accounts, unless it shall prove, as
is possible, that it is another case of dis
honesty, a defalcation, the stealing Of pub
lie money.
Under the canal system of the state, con-
tractors have been compelled TO deposit
certain per cent of the money value OF
the form of money, bonds or negotiable
securities. This was held in trust, to be
repaid on the satisfactory performance Of
the contract or to indemnify the state in
case of failure on the part of the contrac-
tor. AT the last session of the legislature,
and among its last acts, n law was passed
making the commissioners of the canal
fund.- the repositories of these trust funds
instead Of the state treasurer, and the
treasurer was directed to transfer the same
to these commissioners. 1t has been as
certained that the state has received, and
ought TO have deposited somewhere, ninety
seven thousand dollars of these trust funds
or securities; but the question is where
are they? The state treasurer, Raines, has
recently became insane-and some are un-
charitable enough to say that the passage
of this law caused his insanity. However,
this may be, money or securities cannot be
found or any record thereof. \ careful
examination of the records and accounts in
the treasurer's office has been made by the
deputy treasurer and chief accountant,
but they have been unable to find anything
to show where this ninety seven thousand
dollars or any part Of it has been deposited
Raines, being insane, could give no account
of it, if he would. Thus the case now
stands, with the prospect that the tax pay
ers of New York will again be called upon
to make deficiency There may have
been no actual dcfalcation, no misappro-
prlaton of public funds, but there certainly
has been criminal carelessness and ncgli-
gencc in keeping public records and ac-
counts. Of course, an insane man cannot
be punished, but sane meA so handling
trust funds merit the same treatment which
would be awarded to one who actually con-
verted the money to his own use. Three
separate cases of this kind of criminal care
lessness and negligence, all within eight
months, ought to wake up the people OF
New York. If it don't, nothing will