Iowa County democrat. [volume] (Mineral Point, Wis.) 1877-1938, 1891-11-27
THE TREASURY SUITS
They Are Called for Trial in the
Circuit Court at
Madison.
MesSrS. HarShaw and McFetridge
Both Made Defendants in the
Test Case.
Dispositions of GOV. RuSk. Senator
Sawyer and Many Bank
eTS arc Read.


Promptly at 10 O'Clock Tuesday morn
ing. Judge Newman took Lis seat III the
circuit court, and d few minutes later At.
torney Il VI, BaSHSord opened the case
brought 10y the state VS. MCFetridge to
recover interest received on public funds
during the term OF the latter as state
treasurer. BY stipulation the two cases
against McFetridge and Harshaw respect
lively are to be tried together so tar as the
testimony and arguments IN one are APP
pliCable in the other, but the McFetridge
case will have the priority.
A large number of distinguished citi.
EenS of the state were In court, all the
principal defendants, including Senator
Sawyer, being present, together with
their attorneys and many other noted
members of the bar, Ex-Treasurers
Kuehn and Baetz were also in the city to
witness the trial.
Mr. Bashford's opening in the main
stated facts with which the public is
thoroughly familiar He quoted the pro-
visions of the constitution and the revised
statutes relating TO the investment of
public funds, and outlined the
circumstances Of the case. After the
opening, tables printed In the
Bankers Magazine and compilations
made by Mr.. Glickman were introduced
as evidence, an objection from the defense
beng overruled. Acknowledgement O'Con.
nor then submitted in evidence the
deposition of f. c. McFetridge, taken
some time ago, which he proceeded to
re I'd until court adjourned for the noon
recess,
Afternoon Session.
The deposition related how Mr.. Nc.
Fetridge came to have the state funds in
the various banks. When he received the
office from his predecessors most of the
money turned over was in certificates
of deposit on various Jauks. At the sug.
gestion of the officers of these hanks these
certificates were transferred TO his account,
and there was an understanding that some
compensation should be paid for the use
OF the money. WGether any definite rate
of interest was decided upon MIR. McFet-
ridge did not remember. Accounts were
opened with other banks at later time.
Deposits were made with Marshall, lllsiey
& Co, OF Milwaukee, at the suggestion of
Mr.. L. S. Hanks, president of the state
bank, at Madison. MIR. McFetridge was
not sure whether he agreed to give notice
to this bank before making draft on it,
OUT ne always hlu 80 10 all Dulhs " uttt
there was large amount involved, as II
matter of courtesy, There was an under.
standing expressed in a memorandum as is
the rate Of interest to be paid by thi
bank An attempt had been made by the
attorney conducting the examination to
prove that this rate was higher than that
paid by the First National bank in Mil.
waukee, in which money had been depos-
tied before, but Mr.. McFetridge neither
denied this point ncl made very clear
admission.
Governor Rusk 5 deposition came next.
II dealt largely with his official
acts. including the inspection
of the treasurer's Office required
by law. He had never paid any attention
to the subject Of the receipt of interest by
the state treasurer; did not consider that
il was any of his business. He thought il
good plan TO have the money de-
posted IN various places throughout the
state The ia lure to invest trust funds of
tto state for considerable periods of time
was the SUBJECT of many questions,
but in general Mr.. Rusk denied that
he was in any way responsible
for such failure, if it existed. In reading
the much discussed statements regarding
the purchase of the Madison city bonds
were omitted as irrelevant.