The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1895-08-29
THAT VERY BAD DEAL
Involving the Court House Bonds
Bigger Than Supposed.
TWAS $3.50 THAT WAS GIVEN AWAY

By the County commissioners Instead
OF S55O-HOw the Deal Was Man1pu-
lated.
The Shawnee county court house bond
deal seems to have been more interesting
for the middle men, than was at first
supposed and instead of making $3.50 out
of the transaction. the "gobetweens" &C.
cording to the records cleared $1,750 on
the deal.
While it is impossible to tell how the
money was divided, or whether Ar. A. B.
Quinton got it all, it is clear that the
county is out $1,750 just because the
county commissioners did not attend to
their duty by making the sale them
selves.
The records of the state school fund
commissioners concerning the purchase
of the Shawnee county court house bonds
on August %, show that it was agreed to
take the last $4,000 of per cent bonds
at par ION consideration that the interest
coupon falling due January 1, 1895 be
paid in full to the state annual school
fund"
The facts about this deal are that the
bonds 20 in number for $1,000 each bear
the date of May, 1894, and the interest
on each bond amounts to $40 semi annu-
ally. When the bonds were sold three
tured making interest due amounting to
$50 on each bond or 81, 500 on the twenty
five.
Instead of detaching the matured
coupons and saving the county that in
terest the county commissioners turned
the complete issue over to Mr.. A. B.
Quinton in consideration of $25 900, the
par value OF the bonds, and in addition
paid him a commission of $3.50 for max
ing the sale.
Mr. Quinton then having the entire
issue of bonds and coupons in his posses
sion, turned over to the state school fund
commissioners the bonds, but detached
the three matured coupons from each
bond, the understanding being that the
January '96 coupon, which was partly
matured when the purchase was made,
should be paid without protest
By this deal Mr.. Quinton and his asso-
ciates not only secured the $3.50 commits
sion offered by the county commissioners
for the sale of the bonds, but they Sc
cured 81, 800 interest which the county
must pay on the coupons which should
have been detached before the bonds
| left the hands of the county commits
| sioners.
County Clerk McCabe says the COM
missioners ought not to be censured for
this deal, as they had offered the bonds
to the state school fund commissioners
and thoy had been refused, because the
school fund commissioners said they had
enough 4 per cent bonds.
It is true the bonds were offered some
time ago and were refused, not because
the bonds were not good, but because
the school fund commissioners thought
they ought to invest in bonds bearing a
| higher rate of interest.
After waiting several weeks and no
better bonds being offered the school
| fund commissioners say they made up
| their minds that it would be bet er to
invest in the Shawnee county per cent
bonds than to have the money lie idle in
the treasury.
The county commissioners might have
known about this if they had been look
ing after the interest of the county.
A prominent state house official in
! speaking of this deal said: "The county
commissioners could just as we'll have
made the sale themselves and saved
the county that $3.50. If the commits
sioners had so desired the sale could
| have been made by telephone. as the
school fund commissioners wanted the
|