New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1895-05-03
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Trenton May o.-The Voorhees, Investigating
Committee held another all-day session to-day
and went higher Up" with startling results.
Henry c. Kelsey. Tor twenty-five years Secre-
tary of the State of New-Jersey. was put on the
stand at 10 O'Clock this morning. and so SEN
sat.onal were the disclosures that Mr. Corbin
had not completed his examination at . O'Clock
this evening when the aged Secretary begged the
counsel and the committee for time 10 prepare a
statement in which he hopes to disprove an ap-
parent steal in the salaries account allowed him
for clerical hire averaging about $4,000 annually
for several years past 1t clearly shown
and admitted that Secretary Kelsey had for years
been illegally using the States money In his prl-
waite business. and that to-day he Is indebted u
the State some $4,000 with only Sl44i in DanK
70 his credit The transactions Of the CLERK
Hume in collecting interest on state moneys
deposited with the Burlington County banks were
shown to be but petty pilftring. so to speak,
compared with the gigantic transactions of the
Secretary Of the state. Mr.. KELSEY admitted
holding back the States money. amounting in al.
10 about 81, coo 000 for year, when Mr.. Corbin
showed by the law that IL should have been
turned over TO the Treasurer quarterly. IL not
daily. and he confessed to having invested this
money in his private business. and to making
big profit on it without paving the State one cent
~ interest He confessed to having owed the
state as high as $4,000 at time. when his
bond is but $1,000 and admitted that he had
frequently to borrow the amount to pay the
sum due when the fiscal year ended For
twenty-five years he has deposited the States
moneys in the Trenton Mechanics Bank In his
own name and never as Secretary Of the state
Of \ew-Jersey Certain fees of the PrerogatiVe
Court amounting to many thousands OF dollars
in the aggregate. which IL has been supposed
the State receiving as part of It's revenues
Mr. Kelsey has retained for his own use under
his own construction of law. despite the protest
OF a State Controller.
THE LAW IN THE CASE.
The DAYS proceedings opened by Mr.. Corbin ex-
n,aining the law necessary TO an understanding
Of the developments later in the day. Prior to
1879 the counsel explained the Secretary of state
was paid IN fees derived from his position as
clerk Of the Court Of Errors and Appeals clerk OF
the Prerogative Court register OF the PrerogatIve
Court. clerk of the Court Of Pardons and Com
missioner Of Insurance. on March ~. lN'' the
Legislature passed an act providing that the
Secretary Of State receive. in lieu OF all fees. an
annual salary OF $4,000. with $4,000 additional FOR
extra clerk hire. and stipulating that the FIRST
Assistant Secretary should continue TO receive
his salary Of $4,000 per annum.
In 1891, Mr. Corbin said. a law was enacted
fixing the fees Of the Prerogative Court to be COL
,ected by the clerk Of the court; 1t did not say
that these fees should be paid into the state
Treasury. but Mr.. Corbin believed that was the
intent Of the act. as the act OF 1879 clearly pro-
vlded that the Secretary OF State should receive
a stimulated salary instead Of fees. From that
time. however. up to the present the Secretary
Of State has retained those fees and made no re-
turns Of them to the State
supplement Of the general act concerning
corporations provides that the secretary may
compile and publish list OF the New-Jersey cor
porations and pay for the same out OF the re-
ceipts. The law Of 1891 providing for the ming
OF certificates Of foreign corporations and setting
forth that each corporation shall keep an Office
I'm this State gone over by Mr.. Corbin at
length He produced the returns Of money re-
ceived nv the Secretary Of State. beginning with
the quarter ending June 30. 1873. The net fees re-
turned to the Controller up TO December 81 1873
were s267l 49, and accompanied the return or
the amount paid for clerical hire which had been
deducted from the fees received. This. Mr.. Cor
bin considered superiuous. He then produced
several DELAYED statements Of the fees received
by the Secretary Of State up to May o. lssi' "heh
the term Of the Secretary Of State expired. One
sls44s AZ was sent. and the State was not actu-
ally INTERCEPTED in these fees at the time. MI Cor
bin said. but later on when all fees should be re-
turned In detail exactness was not SHOWN. here
Mr. Corbn read the returns. for the four quarters
OF the first year under the new law when the
fees belonged 70 the State. as follows: Quarter
ending January 81. 1892 81 .4O2 50; quarter ending
March 81. 1852 S. 791 "a: quarter ending June ~
1882 S2l7g 70: quarter ending September 30. 49,,
s.2si q. Mr.. Corbin said:
draw attention 10 the fact that these last three
returns appear all 10 be sworn 10 ana 'ut , IT,.
the same day. October 81. 1852. ana say thaI w
returns from this Office have not been mace
quarterly but Instead have oSsh for Quarterly
statements and the returns show apparently INA,
they were returned quarterly but ac'uaiiy 'heS
made yearly $500. 90
These bring up to iss9 and the supplement 70
the act relative TO corporations. This act proVlocs
that whenever company alters or , cnangeS IL" %
capital Il must pay fee. ana TINS prinss III a
the language OF the act provides that the money icy
shall be paid 10 the Secretary OF star LOT n rn
Mere frequently very large. and. instead Of being
paid in quarterly you VIII oos:rye voc ihey "ere ~ n
S5 ns en and I v Sns viii see from following
schedule the amounts return ne III; sn sa I 81
1851 $3.50 G2 1855 SCI 60 ~ s9 81 20 ,S ' s s9 az a.
&C. n ls s2o ,s lss 2 fliSs' b. 1885, ''' '' q
OF his sum the receipts from Official fees W YER
ss2 81 from private aais e. n ne'' Corpora ORA
lion certifcates s84 4O7 3d. total. ssl7j25 IT, From
this expenses should be deducted 10 the amount
OF 81, JGi 90.
A RICH NINE WELL WORKED.
Another fact Mr.. Corbin desired to call 10 the
attention OF the committee was that out OF 'he
money received from corporations the CLERKS IL
the Secretary Of States office were paid. WINE
the law Of 1879 said clearly that the Secretary o
State should be allowed $4,000 per annnm FOR th'
rgr, % fier |
money wac maid under the guise OF "enforcinl
the corporation laws" "A little Joker discov
cred in each corporation law Mr.. Kelsey sue
ceeded in forcing through the Leeisiatu!e' cr
In 1850 ga 20 was received from the Cor
poration Tax. and $3.50 was deducted for ex
penses In 1890 the total amount received ron
corporations was 800 095 50. and the expenses
s7o6. ,bn came year a total Of ST. 299 so was re
r.,,,1s o. ,nsurance ~ which 81. S4S SO de