Iron County register. [volume] (Ironton, Iron County, Mo.) 1867-1965, 1881-01-13

.o...te holds in trust for the public school fund
and for the seminary fund S303l ,OOO which
bonds have been SO defaced as to destroy
their negotiability, in accordance with law
of the last Legislature. This leaves in circu
annual interest is only 1915, $40 This does not
include the temporary loan of $3.50 600 which
willfall due next June.
THE MASTIN DEFICIT
The State Treasurer, in January, 1879. re-
ported balance of the money in the Treasu
ry was ''deposted and held" as follows:
National Bank OF state. ..............S 3,043 %
The MaSt1n Bank. 2S6,lSI 50
Reid and Chrisman. .............. 5000 90
Clinton County bonds in vault. 49, 900 90
The deposits and investments of the moneys
herein stated were made without the consent
OF the Attorney-General and the Governor,
md Whatever security the Treasurer may
GeneI a. nor to the Governor to learn whether
or not it was satisfactory. In brief, the de-
nosits of "a moneys were made entirely on
the responsibility of the Treasurer. and with
out he advice or consent of any State officer
empowered to pass on that que Stion. In the
month of May. 1879, there was paid to Colonel
to him from the Mastn Bank. In October.
1879, the sum of $1,000. deposited with Reid
statement. If those bonds belonged to the
State, then the money received ID, on the
should have been paid into the Treasu-
ry. In December, 1879, the Mastin Bank
January, 1850, for the year 1879, it is stated he
has realized i the asst named sum n from his
against the Mastin Bank" Another reduc
June. 1880, of $4,000, said to have been re
ceived from one of the suretes upon the bond
safe keeping and return of his deposits, and
paid in consideration that this bOndsman
shall be held to no further liability on that
account. In the month of July last the fur
hnr dpfncfpd
deficit, which was received from the assignee
of said bank as a dividend on claim allowed
in favor of Col. Gates against it. From time
to time. the amount of money deposited with
the National Bank of the State of Missouri was
disappeared from the Treasurer's report
There is now the sum OF SlSS ,522 90, as
claimed by Col Gates, held by the Mastin
this sum should be paid before the meeting of
the Legislature, but those promises have not
yet been redeemed: No settlement was ap-
proved by the Legislature of the Treasurer for
the first two years of his term of office, nor
was a settlement of his accounts made at the
not permit nor authorize a suit to be brought
against Col. Gates and his bondsmen; and the
first time suit can be brought on his official
bond will be when he shall 1ail to deliver to
his successor the funds which have been en-
trusted to his care and safe keeping. If there
shall be no deficit-if all the money with
which he stands charged shall be legally ac-
counted for or paid to his successor-then no
suit can be maintained. But if, on the con-
",
money which came to his hands, and pay to
his successor the balance (if any there shall
bond for the deficiency. But it is claimed the
State has priority OF payment over all other
creditors in cases of insolvency, and that this
Mastin Bank That the State, by express stat
utory enactment has priority of payment over
penses of last sickness in case of the estates of
deceased persOns-and also priority of pay
ment of taxes assessed on real estate, is true.
-of
any other cases? Good reason exists to cause
such statutory provision to be made. but the
enactment of a law of that import can not
have a retroactive effect. If the State can as
sert AM maintain priority of payment in the
case of the Gates deposit in the Mastin Bank,
good faith has paid the dividends in the same
manner they have been paid to Col Gates,
then must all who have received We Dividends
and made to refund the payments already
made to them, or sufficient to pay the deficit.
And if priority OF payment to the state exists
sureties of Col: Gates, who have already paid
than foThim can 4 assert .n this prin n
COL Gates shall now pay into the Treasury the
SIS 522.s5 now held by the Mastin Bank, those
sated to ai the rights Of the state.
REVENUE BONDS.
In 1877 found the Treasury in q depleted
condition. Certificates of indebtedness had
been issued, liabilities had been incurred, and
in the year 1876. amounting to more than
$3.50 600, as stated in my special message to
the Legislature in March, 1877. The revenues
of the State at that time were insufficient to
meet the exigency. I recommended tenn
porary loan to be made to supply this casual
deficiency land would have recommended a
larger sum, but the Constitution forbade). in
accordance with the provisions of the second
clause of section A of article of the Consti-
tuition. The authority was given and the loan
was made. The revenues of the State were
inadequate to defray the current expenses Of
the State Government, the other expendi-
lures charged to revenue fund. and also to re-
deem those bonds. Hence authority was CIV
en- by the Legislature of 1879 to redeem the
revenue bonds by negotiating another per
cent loan, payable in two years. Proposals
were invited in the manner provided by law,
and the loan was awarded to the highest and
best bidder at q premium of 2x per cent,
amounting to $3.50.
RATE OF INTEREST.
recommended to the last Legislature re-
ducrion in the rate of interest. The proposition
at first was received with favor, but afterward
alarm was created in the minds of some lest
capital from other States should be with
drawn. But during that winter the Lekisla.
lures of the States of Illinois and New York
considered the questionable first named State