New Orleans Republican. [volume] (New Orleans, La) 1867-1878, 1876-02-25

hursemest of the appropriations managed
the payment according t. their ~n views
OF who should have the preference
In 1874 an appropriation to pay tho
issued bv the General Assembly during tis
years 1870, 1871 and 1879, WHICH have been
approved by any committee Of the senate
or House appointed or directed 70 examine
said outstanding warrants, vouchers or
checks" was made iu uIspechc terms as
to the amount 1t was stated tha! me
necessary amount ia hereby appropriat d.
This appropriation was Immediately en-
Joined by the Attorney General beca1ae
unconstitutional.
Again, in 1875, at the regular session, a
Board of Audit was created ana soOo.ooV
was appropriated to pay Oft the "hoatins
debt" Of previous years.
Az before stated, the Auditor warranted
for $6Sl6 65 of the floating debt, SO ap-
proved by said Board OF Audit. when again
the Attorney G. neral enoned further pay
ment That there is still small portion OF
this floating debt Justly due is probable,
but how to distinguish it from the traudu-
lent ia the question.
The act NJ. 3, approved January "a, 1874.
only authorizes the exchange of ''consoli-
dated bonds for bonds and ''va!id war
rants drawn previous to the passage OF
said act No warrants drawn after Jan
uary 81, 1874, could be funded, therefore,
except in violation of the funding act, ana
of the contract thereby made with the
holders of said consolidated bonds. Nrv-
ertheless Sl3s, 557 }3 of floating debt. per
haps genuine, but composed in part at least
of ''Pinckey Smith, warrants or vOuchers,
! for which the Auditor issued six warrants,
dated March II, 1874 lin disregard OF the
| Injunction OF cOnrt restraining the payment
| of claims under the act No. 80 Of 1874, were
| funded on the txenty-nirth day of August,
| 1874, clearly and unmistakably in violation
| of the provisions of the funding law.
Judging by the evidence of the members
| of the Funding Board, no quorum was
present when these 1874 warrants, for
| ''hOating Oebts,' known as Sahiosu wa!
rants" were funded. The Secretary or
| state AYERS that fully ten sessions We're con
ahmed in discussing the question whether
Or not these warrants should De
| funded, but that he refused TO consent TO 1t
to the last. He says that at the last meet
ing, when they were SAID to nave peeE
funded. only the Auditor. Treasurer and
himself remained discussing but still leav-
| ing unsettled the question OF funding. tie
| left them still firm in his dies Mt, and the
| next day heard that the funding had been
agreed to. By whom! The two remaining
! members. Four members are required ior
quorum, and the Governor; L'eu'ehant
and the Sneaker of the House, deny being
nresent. and declared that they never con
| san+ad n this funding. See record OF evil
dence in appendix. The Secretary OF State
states that the Auditor engineered" this
funding. and issued the bonds without au
shority A minority OF the Fundlps boaru
| certainly had no right to fund the warrants,
Int. why did the other member taclty as
sert To IT by non action afterward! Ii not
directly. was it not indirectly agreed to-
The funding was accomplished at any rate ,
and thus so much was added to the consoh-
dated debt of the State illegally.
In September, 1874, there was meeting
of four members of the Funding Board at
tho Fifth Avenue Hotel, in New York city
The Secretary of State, Lieutenant Cover
nor, Sneaker of the House and Fiscal Agent,
constituting quorum, we're present FROM
evidence obtained, 1t seems that evidences
of ..tioating debt" of some KIND, Whether
Auditors warrants or genera vouchers W
p;nckuey Smith warrants or vouchers ID
unknown to the committee, were suoinittec
:. ar "talked of as to be submitted for fund
mo The Fiscal Agent left before any
funding was agreed upon, and did not re-
, turn. The Secretary of State left the room
before, as he says, any business was Trans
acted. or anv obligations were presented,
{ eycent what purpoIted to be such in an uR-
onened package on the table. When ne
| returned to the room, says Mr. Deslonue'
1 Sacrerarv of State, he was told that the
: ashes in the fireplace, to which MS atten-
tion was called, were the remains OF STARE
+ obligations-about Sl70 0oo, as MT. Lowe,
q savsSs creed to be funded and there and
f then DESTROYED. Messrs. Lowell and Lieu
e tenant Governor Antoine say that the evi-
Q darces of debt were burned as stated, out
q Mr.. Deslonde says he has no knowledge OF
d any burning or funding, as does Mr'
J. Baldwin. Mr.. Desionde denies haIiu
: Mr.. Baldwin. A minority of two couiC
not. under the law, transact business ano
= conclude funding or burning OF funoed
# obligations. and there is no record among
# the minutes of the Funding Board
= or in the Auditors record OF funolng anc
y exchange of bonds OF what II anythlp9
g was funded in New York. Nevertheless, II
,. ia held that the board, at a meeting IN New
d | Orleans after the return OF tia member;
: Who met in New York, confirmed Tia actor
l. of the board in New York in funding some
k thlng-what, is not stated. Mr.. Lower
f. saws that he furnished list OF what wa
funded and destroyed in New YORK TO Tn
l. Board of Audit about one year ago, bu
" your committee have not seen this list.
20 No consolidated bonds, however, hav
- haen issued in exchange for ths nOatlD
D. debit said to have been burned IN Ne7
RS York.
70 notwithstanding the law that only wal
Of rants drawn prior to January "a, 10 o.
/
ne s2237 go 80 have beed funded.
r. In the Auditors report for 1879, pag
or | sixtv.one. it is said that of the ''funda0.
an | GENERAL fund warrants, including warrant
of i.sued during 1874 for claims OF 1913, thel
~ had been funded $765 202 SO, leaving Oh
d. standing January l. 1876 $24l ,656 e.:
al Il is plain that the Funding Board ha'
m .ransceuded the law in funding warran
* drawn since the passage of the fundiI
,er act. and your committee deems 1t
ia \ duty to call attention to the tact OF
M having been done. Ii 1t is to be continue
era at the discretion of the Auditor. as heret
.h fore. without authority OF any law perm
for ting it to be done, and If what has be
80, done is adopted as a precedent. then t
ant Auditor will himself become a board
ar audit" with powers sufficient to warra
nm for and fund any amount of floating del
:, a whatever NAV be it's nature, OF past yea
in The door for the admission OF any am'u
wn of legislative vouchers OF ls'0 1871, Il
i'm and 1873 will be wide open.
Adj Your committee call particular attentl
,er | RI the fact which, after eliminating
dis | errors. is positive and unmlstakable, Il
for $40 400 Of bonds and SIG, AIS Is of warral
lad and other obligations which were fund
have NOT been destroyed, according to I
nroces yerbals of obligations destroy
lers which we're funded. This is exclusive of
nus bonds and warrants funded after OctO
pon n. 1875, and in thu month of November
liso lowing, which were not included in
lul proces verbals of the destroyed at the
are burning, on the twenty second and TWEEN
. NV third days of November last.
snts "n". n"o ,,arrants vorr comr,;t,aa ars
lem Don". "nN 49, ,,,a 40 GO +bat &c 10
! olo ooti hyy