The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1895-10-24
NIGHT BE WORSE OFF.
CITY of Tacoma Hasn't Lost
Any Money Recently.
THE eoocs WARRANTS ARE PAID
II the Banks win Their Suit and Ee-
turn the Warrants the City VIII
Burn Them.

Tacoma. Oct. Especial Popular feel
ing which has been running AiSn ausths
a week past. caused BY the fisciosuFes y.
the Bank Of Tacoma case. The taIEef1 q
the Commercial bank and the suits agaif'st
the city brought By The Columbia $atlofai
and Gieruan-American banks. : beG N
ming to subsfde. and the talk UPON me
streets has been considerably niodtaeo.
The clear head and sober judgment among
the substantial citizens and TAX payers N
being asserted and the assertion - being
made that the municipality Is not so bad
Iy Off as has seemed and as has been MADE
% appear.
During the excitement Of the past few
DAYS popular rumor has been kept busy
circulating ali kinds OF stories, and the
main facts regarding the cifys CONDITION
seem to have been lost sight OF. The state
snent has been frequently made In the
newspapers that the city treasury has
been looted to the extent of $4,000. and
that the water extension fund OF $4,000
has been Gisslpated and wholly lost. Sober
minded citizens arc beginning 10 realize
now how seriously these statements 1nJEre
the eity's financial standing, fir more,
IL Is cIaiSaed. than the circumstances war
rant.
Said a wcli-known city official today:
THE city has not been hurt as badly as
people say. We are no worse OF than
we were eighteen months ago. when
Boggs went out OF office. The mischief
was done then. and we are Just learning
OF IL now. II, as the courts have held,
the $4,000 of Boggs warrants. for which
the last city treasurer gave public coin.
were paid and redeemed AT that time by
the transaction, then the city can never
be made to pay them again. In other
words. the treasurer unlawfully redeemed
general fund warrants out OF the order Of
their issuance. To say that the city has
fruf No Ia hsrf hn fell of = .
Bank OF Tacoma and the refusal OF the
Columbia National and German-American
TO honor the city's checks. when IL is
known that Boggs deposited the Illegal
warrants with these banks and that the
city's credit did not represent cash, is abb
surd on its face. and wholly untrue. To
be sure. S2l2.090 OF the water extension
fund has been invested In outstanding
warrants. but the city has saved the diff
ference between the 8 per cent interest
on the bonds md the 10 per cent. which
the warrants drew"
Acting on the suggestion conveyed I'm
the above. the acknowledgements CORE
spondenf interviewed a number Of promI-
nent attorneys, who have no interest i'm
the litigation pending i'm the courts and
whose knowledge Of the law entities their
views 10 the highest respect. Said one:
"A city warrant is not like n negotiable
note. II IL subject TO defense in the hands
value. and without notice. a warrant
must stand upon its merit and is at all
times subject 10 any defense that may ex-
list against 1t. The city can be compelled
10 pay only valid warrants. and II Il can
be shown, as has been claimed, that there
are records of the warrants bought by
Treasurer Boggs. then / see no reason
why tho city should lose anything by what
are known as the Boggs warrants. II ap-
pears 10 me that proper settlement
would be to allow the banks TO return
what they received from the city. or to
charge the city's balance with the amount
OF valueless paper they can show they re-
ceived."
Matters at the city hall are unchanged.
City Treasurer McCauley is rustling for
his new bondsmcn. and has until a week
from Saturday TO obtain them Mr.. Me-
Cauiey's friends claim that the finance
committee has done much TO damage his
case In advance by preparing and publicly
submitting their report TO the council last
Saturday. In which severe charges are
made against the treasurer They say that
In the face OF the report It will be we'll
nigh impossible for Mr.. McCauley to give
good and sufficient bond OF 500 90 I'm the
very short time allowed him. Those who
are working I'm Mr. McCauley's behalf say
he was elected by the people of Tacoma.
ana that no summary proceedings To re-
move him from ONCE and appoint another
In his stead should be allowed