The record-union., 1895-11-12
How the Money is Placed in
Banks.
The Present Course 10 Declared by the
Corporation Counsel to be
Unlawful.

"Why YOU people of the Record
Unoin are too brash about it"
What do you mean?''
oWhy that the city is not in posi-
ton to afford it."
THAT is a matter Of difference OF
opinion. What about the principle IN
volved?"
"Oh. you are right as to that, all right
1t ought to be, but can the city AFFORD
it,"
care you not aware, Mr.. Carmichael
that it is the contemplation of the law
that the city shall afford it?''
Probably that is so. But why did
you not bring it up before election
The Record-Union has repeatedly
brought it up. 1t was an issue IN the
election
well, [ had never thought of 1t TIL
I read of it in the Record-Union TINS
morning"
1T has been frequently and Tor years
debated in the local press.
Eyes? Well 1 never saw it, that / re-
member"
1.-The Mayor sent a special message to
the Trustees on the subject last spring,
and he has several times urged it upon
the board"
well when the city can afford it, it
ought perhaps to be done.
You have a vault here in your OF
flee, your firm could rent, could it not?'
Yes, but it is not burglar proof. An
expert can enter it in moment.
How if there was safe in it?"
THAT would do; you see the door is
very narrow"
Safes are built to suit any door pas
sage"
Indeed! Well, you are all right as
to the keeping of the money. l went to
the California State Bank before cleo
ton, and asked them if they were taking
any hand, and they replied not bit,
that it made no difference to them
The California State Bank?"
Yes, they have the money
"On special deposit?"
Il believe so. I see no reason for NOV
ing the deposit until a safe or vault is
furnished. It is a local bank where our
local people do business. It has been
well kept, ] believe
'Oh, yes, but any money in a bank is
banking capital kept as this is
I went there and they showed me
the city money, all in bags, and marked
Porter "
1T is the principle involved, Mr..
Carmichael. You know that in case of
defalcation, and such things do occur
IN banks, as you know, your bondsmen
would not be protected
Probably not"
Certainly not"
We'll you are all right as to the mat
ter l admit All that occurs to me is
that the city cannot now afford the
cost
"A perfect safe can be had for all the
way from $500 to 81, 000''
i do not know as to that I have
never thought of the matter, you
know. You are right as to the principle,
/ agree to that"
And with this the interview closed.
Mayor Steinman was next called upon
and asked as to his views on the matter.
You are dead right. It is a shame the
way the money is kept
rs it on special deposit?"
No; that is all humbug"
How 500"
why, this way. The law contem-
plates that the exact money paid in. the
IDENTICAL money, shall be kept by the
Treasurer. He puts 1t into the bank.
presumably. Indeed, he does so. But
when we go there monthly to count
It the bank trots it out to US all in
shining twenty-dollar pieces. Now. as
a matter of fact, the money is paid in
for fines, licenses, tags, taxes, and so on.
IN nickels, dimes, quarters, halves, dol
greenbacks, silver certificates and so on
That money should, under the law. be
there IN the treasury, in the same char
acter as paid in. Therefore it is not a
true special deposit, for it is changed
and brought out to US on examination,
as ] have said.
You have brought this matter to the
attention of the Trustees"
Yes, more than once. Here TO his
clerk) look up the last message on that
subject. Here it is-May 18th of this
year. There are my views"
What can a good safe be had for?"
oh most any sum. Pennish knows.
Here, Mr.. Pennish, what is your mem
DRY as to the bids we had for an A L
safe?"
After some consultation the Trustee
and Mayor concluded that they had been
offered prime safe, a perfect one. as
safes are classed, for 81 500. and one
had been offered as low as 81 600
I tell you" said the Mayor in con-
clusion, this is an important matter.
and It ought to be attended to now. so
the new administration may comply
with the law. 1 tried hard enough, God
knows"
City Clerk Flint was then called upon
and asked for the Auditors reports
month by month for the year.
The Clerk hunted up and down a lot OF
pigeon-holes and found some of them
but not all.
But these reports come in monthly %
They come in irregularly"
THAT cannot be: they are made each
month. and should be here in a group"
Well. know. but they have got
mixed in some other papers"
Well, where are the examiners re-
ports?"
a search disclosed some of them, but
not all.
Wei, where are the Treasurer's re-
ports?"
search unearthed a portion Of them
and between the three the state of the
treasury for the year, so far as it has
elapsed, was found to be at the end Of
each month as follows. These sums
were in the treasury at the close of the
months named:
January -. E. $40. sos L
toIeafy .. 204 800 -
NJ h :. =. =. 245. $50 3
Arm E. :. .. =. 261, $50 =
9.dy 49,. .. $50 Gas I,
June :. =. =. 271 .;}SS >.
Juiy -. :. :. 2.3. .}ZS \.
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