The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1888-03-21
WHERE ISKENTUCKY'S CASH
don. James w. Tate. Treasurer of Stats
for More Than Twenty Years Past,
Suddenly Disappears, and an Incomplete In
vestigation Shows Shortage of $4,000 900
Prominent Men Said To Be Involved.


Prominent Men Said To Be Involved.
LOUISVILLE, KY, March 20.-An Evening
Times special from Frankfort. KY. states that
Governor Buckner this morning suspended
Treasurer of State James w. Tate Tate is
charged with defalcation in his Office. and, it is
said has fed the State The defaultiDR official
has been Treasurer for twentyone years He
was considered the soul of honor and the news
will produce a tremendous sensation through
out the State It is thought Tates shortage
will amount TO between $50, 600 and $3.50, 600.
A later dispatch from Frankfort states that
the investigation Immediately instituted on the
recommendation of Governor Buckner has, MP
to III o'clock this morning. disclosed deficit in
Tates office of $3.50 600. and that the irregulari-
ties seem TO run back eleven years The discov-
cry of Tate's shortage is the result of the exam
ina tion of his books commenced some days ago
by an expert accountant The Governor has
placed the Trsasurars Office in charge of Auditor
Hewitt and Attorney general Hardin. In his
message to the Legislature Gov Buckner says
he has reasons Tor believing the deficit TO be
large, and recommends that immediate in
vestigation be ordered. In the House q commit
tee was at once appointed, and ordered TO prose-
cute an investigation in connection with the off,
investigation the Office, of course, will be closed.
The State has abundant resources at hand. and
all current expenses payments, ETC., will be
met without interruption delay.
Treasurer Tates bond is for $500 900 and in
well covered. He in Louisville Saturday
night. when he was observed TO be drinking
I'd. an unusual thing for him. Since that
he has not been seen and his Whereabouts
Unknown
James William Tate was elected State Treas
in 1867, having been nominated by the
Democrats He has been reelected contin uously
at each election since then. making his tenure Of
Office twenty years on Aug 81. last. In the last
Democratic campaign Mr.. Tate had no opposition
for the nomination as State Treasurer Everybody
laughed at the idea of opposing 'honest old
Dick Tate" He received the Democrats nomi-
nation for the tenth consecutive time. His ma
iorites have always stood among the larc on
his ticket, and honest, jolly 'sDick" Tate has
been one of the most widely known and uni
versally liked men in Kentucky. In addition to
being State Treasurer he commissioner OF
the sinking fund, aud of those Entrusted
with the management Of the Sta.e penitentIary.
The exact amount of Tate's shortage it is i'm
possible. yet, state, but it anywhere
from $3.50 900 to $500 000
The following is the message from the Gov
ernor read to the Legislature:
tves:
''Itls nv painful duty to announce to you the
fact that, for reasons which appear In the
companying of the Governor, Auditor and
Attorney general, the Treasurer of the State
has been suspended from the exercise of his
official duties. The hasty examination of his
books induces the belief that there is large de-
fct in his accounts. This examination was
made yesterday. The action reported TO you
was taken last night as soon as the deficit APP
peared. The fact Is communicated TO you al
the earliest moment for your information and
action It IS believed that the bond or the
Treasurer will fully any possible deficit
that more complete investigation will reveal.
In the meantime the Auditor and Secretary of
State have been directed to take temporary
charge of the Office of the Treasurer
rs. B. BucKEER'
Accompanying the message was one of the
same import from the sinking fund commission.
ers. On motion. committee was immediately
appointed to act with the State officials in pros
ecuting the investigation
The first intini <tion of the shortage came yes.
terday morning, when a comparison of the Aud
itors statement of what should be 10 bank
showed that such amount was not there
This, coupled with the fact that the Treasurer
had not been seen since FRIDAY morning. when
ne left, ostenslbly for Louisville cansed an ex-
animation to be made, with the result that the
States money discovered have been
squandered In large amounts. Up 10 Ill A. NJ,
the books had examined sufficiently ia
show a shortage of near $3.50 900.
The investigation was brought about by the
strange conduct of Tate himself. On Thursday
last Senator Wright states that he had a long
talk with Tate, who questioned him closely and
at great length IS to the exact provisions In
tradition treaties between the United States and
Canada, and also made lengthy inquiries on tha
treaty between the United States and Mexico
At the conclusion of the talk, which was one of
great length, Tate thanked Senator Wright for
the information 1t began 20 be rnmored around
the streets that there was only small amount
in bank the credit of Tate and when the
Treasurer not either Friday or Sat
urday. Auditor He wett suggested that an inves-
I.gaUon OF the circumstances sncnid DC lmme-
diately made. What has become of the money
no one can tell Tate never specu-
lated nor gambled. He is said
not to have been an extravagant liver
but year by year the money has leaked out, the
shortage Seeming TO run back a dozen years. II
said Mr.. Tate his son-in-law. Alfred Mar
tin. mp in business few years ago. which bust
ness proved Improbable. but this could not
have cost over 10000 The almost universal
theory is that Uncle Dicks" kindness of heart
away with his business integrity.
Mr. Herndon, of this city. at ona
time teller in o bank at Frankfort, that
Tate's defalcatlon will involve parties and State
the custom of many of the State officials TO 60
to Tate and get him to cash notes for them.
promising to pay their vouchers were
due. When they secured their vouchers. how
ever, they would defer payment and the good
natured Treasurer failing to push these claims,
accumulated mass of such securities as by this
time must be simply appalling.
There is indication that Mr.. Tate took any
amount with him. The largest part OF ths
shortage seems to have occurred in 1886 and
1887 OF course, tho report of the investigators
alone will furnish definite light as to when and
20 whom Mr.. Tate loaned the money. lie is said
that memoranda in the Treasurer's Office show
loan of $25, 900 to the Yeoman Company. and
another OF $50. 900 to certain whisky trust.
These statements cannot be verified or proven
false until the Auditor and Secretary of State
com plete their work, nor can 1t be asceriasned
whether or not these amounts, IL borrowed, were
ever returned
1t has been Mr. Tate's custom to settle up
every year, and till there the
least hesitation on the part of the Treasurer to
square accounts with the Auditor. This time,
however there DELAY and procrAStinAtlOn.
When Auditor Hewett announced his readiness
for the annual settlements. Treasurer Tate put
him off His cash-book was not at entered M;
then other excuses were made. This thing has
been going since January, until at last thu
Auditor got urgent. On Thrrsday Mr.. Tate
went TO Louisville. saying ne would be back an