Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1875-11-01
From the Boston Advertiser.

From the Boston Advertiser.
THE OTHER SIDE OF 4 STORY.
The danger in accepting partisan state
ments making pretended exposures OF OIL
cial. wrong-d doing is finely illustrated in
the case of the Pennsylvania State treas
ury. A week ago report OF a committee
of the House of Representatives of that
State was industriously telegraphed over
the country. It made very damaging ac-
cusa,ions against the treasury, and the re-
fusal of the State Treasurer to appear and
testify was artfully used as confirmation
of the charges. Mr.. Mackey, the officer
accused, has now made an answer which
appears to be complete. The reason why
the persons summoned did not respond to
the summons of the committee was that 1t
was illegal, had no power to enforce any
legal process. and was evidently designed
to help the democratic party rather than
expose any real frauds. Nevertheless, Mr..
Mackey now takes up the charges OF the
committee and answers them seriatim.
The committee charged that the treasurer
had unlawfully taken from the sinking
fund the sum of 100000. This looks
bad enough. because it is true that the
sinking fund is less by that amount than
it should be- But it happens that the
Treasurer was forced 10 use it to meet
general expenses, the revenues being in
sufficient so that as Mr.. Mackey very
neatly puts it, "ii the Treasurer owes the
sinking fund 3,400, 900, the State owes
1.-THE Treasurer %, 400, 600"
Another charge was that in ten years
the State Treasurers have received credit
for the payment of 81, 1928. 30l on account
OF interest on the public debt, more than
was actually due or paid. The Treasurer
meets this with fiat denial, and for proof
copies the bank accounts Of the treasury
and the. statement of interest paid at his
office, which show that less has been re-
ported paid than was allowed by the au-
ditor. A third charge was that more by
Sl21, 428 had been taken for premium on
gold purchased to pay interest than was
actually paid. To support his denial. the
Treasurer gives the dates, amounts and
premiums on gold bought during the
years mentioned, as well as the names OF
bankers and brokers from whom it was
purchased, showing that the premium in
Eve years had been only 1878 in all
or less than fourteen per cent, and max
ing it necessary in order to prove the
truth of the charge that gold should have
been bought since June. 1870. at an aver
age premium of four per cent. The only
other accusation of financial mismanage-
inent was to the effect that the State had
lost 81 100000 In twelve years by the
failure of Treasurers to put treasury bal
ances on deposit at six per cent Mr..
Mackey does not mention the circum-
stance that banks are not in the habit OF
paying so high interest on deposits. but
he does point to the facts that there is no
law authorizing the Treasurer to require
interest on public funds, that public Off
GERS are prohibited from receiving any in
terest OF such deposits, and that not par
ticle OF evidence has been brought for
ward to show that the law has been vio-
lated. And finally the Treasurer remarks
that although the committee was instruct
ed TO begin with the accounts of the last
democratic incumbent of the office, these
accounts have not been examined at all :;
and that the committee, although com
menting upon the significance of the re-
fusal of the Treasurer to recognize them
as committee, entirely omitted to men
ton the fact that he offered the freest ac-
cess to all his books to them as individual
members of the Legislature.
Thus is exposed the groundlessness OF
all the charges against what The demo
Gratis are constantly referring to as the
Pennsylvania treasury ring" The de-
fence is complete al every point, and the
report, which was in its essence a case OF
false pretences, is shown to be malicously
untrue. 1t not to be expected that DEM
ocraic papers which have published the
conclusions OF the so-called committee
will take any notice of the other side OF
the story. as common justice would de-
mand. but the people ofPennsylvania will
not he deceived by the partisan falsehood
Governor Iilden has the most important