The New Orleans Democrat. (New Orleans, La.) 1875-1876, 1876-02-16
ponort of the House Committee
Appointed 10 Investigate the
Treasurer'S Books.
william Pitt Kellogg, A. Bubuclct, Jacob
Hawkins, II. &. Dibble, Alfred Shaw,
and j. II. Oglcsby Charged
with Felony.
noes The Wheeler Compromise
Cover This OnenSe 7
The Funding Board and its Crooked Ways.

Hon. Jules Aldigc, Chairman OF the
oommittee appointed to investigate
,be hooks of the State Treasurer, made
Yesterday the following report:
ro,he Honorable Speaker and Members Of thu
uouse OF Representatives OF louisiana:
- oonnliancc with a resolution adopted b,
~ ~ honorable body on the w. day Of January
w I'm vnur committee was appointed To investi
w w he books. papers and vouchers Of the State
Auditor and Treasurer.
Ills Ia and accounts Of the State Treasurer and
ppr,seut this report. embracing exclusively the
aas Of that official
..aartain from the Treasurer, his cashier and
aasesants the details OF tho Office the manage
I'M oi lis affairs and the laws having special
rtsrcnee TO the receipts and disbursements OF
uT TTnJer the law. the Treasurer cannot receive
any State funds without an order from the Audi
iar nor can he pay out any State money OF
moneys without proper warrant from the
a"ditor The Auditors order must specify the
namouni 10 be placed to the credit of each sepa-
raie fund. and every warrant must specify to
what account such disbursement IL TO be
yonr committee were informed by the Terra
sarr that his books would be found kept In
strict compliance wltf, iaw, ana tnM ali tle war-
staied that the Supreme Court. having sustained
hm in his claim to be the fisca! agent under the
constitution, he had selected the Louisiana Ma
tional bank ms the depository of the State funds.
Three distinct and separate accounts are kept
bhim In this bank. The first. known as the
general account: the second, as the coupon in
isrest account Of 1874; the third, w the coupon
interest account Of 1875. All moneys received
are ,eposed 10 the credit OF the general ac-
count, but are credited on the books to the ac-
count to which they respectfully belong; and
when money is needed TO pay the interest
eoupons of either year the amounts necessary
Il meet this interest are withdrawn from the
general account and transferred. by deposits. TO
ihe credit Of the interest coupon accounts.
The books Of the Treasurer, when mt first ex-
amined. appeared to be correctly kept; your
committee ascertained, however. from Mr.. Camp
upon his books were, simply. from the. vouchers
handed to him by tho cashier. and that he had no
personal knowledge Of the cash transaction Of
ihe Office.
In consequence, your committee requested the
Treasurer to submit to them his stub check
hook for the purpose OF comparing the amounts
harged thereon with the warrants which must
have been issued for the payment of the same
Our object in checking the stub check
look was TO ascertain If the Treasurer had ut
any time drawn out or disposed of the State
lands without the proper vouchers.
Your committee, by this process, discovered
that the following checks had been drawn by the
Treasurer without warrants:
Sr q Ut "rrows g"yss for ss w. 1ash osi
lst tro checks numbered W. ana ess. Tor
S0e each lo order Of tho same W. =. Burrows;
nsgs; On Oe 6 ls74 one cheek s,e num9cr"d ,ar ri
nam6erM icos on tho stab hook L, Tho order ~
| III 0gleSby,, Fiscal Agent. and charged R on the
/ sabbook as being drawn against the interest
fund, for s0.o00: .. On the same Day. announcer
i check numbered 1857 on tho stub book also
4 drawn in favor Of j. II. Oglcsby. Fiscal Agent.
4 s1anst the same fund. for s2bo0; o. On Jan 2.
lf5 a check drawn in favor OF J. H. Oglesby.
Fiscal Agent, against the interest fund. Tor si6,-
WR
Day loan of s50,00o was made TO J. II. Oglcsby.
/ hxal agent The entire amount of the loan was
i sidenIly drawn from the interest funds OF the
Il @e: but In what manner 1t does not appear
i rom any entries or records in the Trcasuror's
j dhee beyond the above described check.
Il ION the 3ist of March. 1875. u check. num-
tfed 500 on tho stub book, Tor sig,2s 30, o
On the same date chcck No $40 for $4,000
lor all tho above detailed disbursements
T. mounting. in the aggregate. 10 Sl9sii7 81 ana
tMwn from the interest fund. no warrants were
Apwn
These disbursements nrc clearly in violation
dsccion T. Of act No. 3. Of 1874. known as the
hhding Bill. and section $40. Rev. ~.
The attention of the Treasurer being called to
| Ase Irregularities he alleged. In explanation
! the payment of the sum of $40, Dos ?6. repre-
4 Snted by checks No g94 E7, 9eS ana 1907 tnat
4 DEAL warrants to that amount; but that. on tho
4 blowing day. discovering that there were no
hndsto the credit of these warrants, ne had re-
saested that the money be refunded ana tl,at
Ms request had been complied with. ,
\ happears that the monies were drawn on the
dates following. to-wit:
Check No. 9e4, Oct 1874. 81, ,2os o6: check NO o
02 fs7l sh 900 check No. g9S. Oct. q 1874 5000
4 check No. 1901 Oct. r. 1874. $1,000: and no refund
4 Hof these $40. Dos 96 appears on the Treasurcrs
/ subbook before the 25th Of February, 1875. Ii
aa Is the real explanation, thcn an Illegal ~,
MrSement was made ana no entry was made
| a the books ard II remained uncovered Tor
/ more than four months afterwards.
Mamount, Of slo.2os 50 appears to nav. been
III fgfth th..f fEnh ln
i ht by check numbered 800 on the stub book.
and charged TO the interest fund oi 1875
This amount was paid back TO the treasury in
Aeinllowing manner: On March 81. by warrant
No A26 for $500, on April 7. by warrant No. 3a27
Mfao, on April Z, by warrant No. 1871 for $500
sApril Il. by warrant No. h9j Tor st2'. on ApriI
noy cash deposited to the credit ot the IN
trst fund of 1874. sl7 .osj 95. making total OF
Il yRag m
Thc explanation gisen by the Treasurer of the
nlres and counter entries relating To thls sum
n @x99S % are unsatisfactory.
= The following cheeks appear on the stub book
9have been drawn to the order of J. II. OgiesDy
Sal agent, and charged 10 the interest fund:
October 81. 1874 check No. 1853. for 10000
October 81 1874, check No. 1887 for 25,ooo
ihe Treasurer when called upon to Produce
warrants for the two checks above dcscrlDcu
VA. V@unable to do SO: but he immediately gave to
n ivur committee. representing the same rs
r.Oler vouchers two checks drawn by nm as
hhSahsuroron the Louisiana National Bank noth
Iecks being to the order Of j. IL. Oglcsby, Fiscal
a
el9perly cancelled by the bank. One. check
4 Goeo was dated October ~. 1874: one. II
max tor s2sooo. WAS dated October - 1874.
4gssr sSppo ,s1 q RaymfI%' vousasr o1 pr
%a Is the evidence of other payments made
Ta,m Tu. Oh the cath and 18th OF the same month.
|;mmittee have since aScrrtalned from tne
rusiana National Bank that the check for
II M was placed to the debit of the State Treas
/ sson Ss On the 2sth of October. 1874. and that OF
"'"on the 2ath of October 1874
@rgard to this disbursement Of $4,000 the
Surer submitted sworn statement made by
ssen the nth Of June. 1875 to l.. II. Gardner.
the eypsgs appointed n May sS t.
asss ~ hereto annexed. and the testimony
san W your committee during their invcsti-
hn.unasselop the following facts:
&TGooer. 1874. Governor Kellogg urged npon
ma d,Asurer the necessity of using the state
Gasnssent pf the Police e Board. j. II. oeleshy.
Noan. lSadvance funds to the extent OF the
s~1aat s~sat agreed upon by his contract with the
Cst,oqpo.ltan Board of Police copy of this
NTTus hereto annexed for reference.
measurer. at first refused to comply with
4hhsya viier request Subsequently he seems
hv ',Msiaed to the representations made To
sslv,a ule Governor of the importance and
No totbanse necessity OF paying the police force
In hvtLe sIuong pressure brought To bear upon
8ato ne Me Governor and his friends 10 induce
H@d Vohseht TO the diversion Of the public
3G n IN Ia October 1874 first advance Of SIS 900,
hiencaae e stale interest funds, was made, as
esancssu ny. py cheeks Nos. 1852 and 1857. Further
I@Usrss ,o out q the same fund. were made in
AaskXo ns.by cash from safe S33.5lo 81: by
Isre.a,,; NV; u. sl6.4sa Is. These two last amounts
Esalng $4,000 co.
30ds nd aaaVanees, made out of the State interest
"etei III direct and fragrant violation OF the
srsndh their investigation, your committee
cunt tsa ~ shaf on the 18th of February: 1875 an
credi, q .S =. was deposited in the TreasYry