The Guthrie daily leader. [volume] (Guthrie, Okla.) 1893-1996, 1899-05-22
TERRITORIAL FUNDS
And the Covering of Interest Received
Daily Deposits


on Daily Deposits
The covering into the territorial
treasury OF SLsis.63 as interest re
ceived on daily deposits OF school land
lease money wiz probably relieve
Governor Barnes Of lnrther annoyance
from inquiries by the Logan county
grand jury. Governor Barnes was
sole custodian OF the funds until the
school land board recently adopted a
a new system of rules by which the
three members OF the board became
Joint custodians OF the money,
Governor Barnes deposited the in
terest money with Treasurer Thomp-
son on May 3, Had he failed TO do so
before the next term OF the district
court of Logan county, the case would
undou btedly come before the grand
jury. The last grand Jury had the
case Of Governor Barnes under consid-
Grafton, as il had that of Treasurer
Thompson. The grand jury was pre-
vented from taking action in the case
of Governor Barnes in this way: Judge
BuTford said il could not be disputed
that the earnings of a public fund
| belonged to the fund. There was no
| law. however, prohibiting a banks
paying interest on deposits OF public
| funds, nor was there anything to pre-
vent a public officers accepting the
interest If it could be shown upon a
final accounting that a public officer
had failed 10 turn over such earnings,
the officer was liable to prosecution
| for felony.
The grand jury had evidence that
both the governor and treasurer had
failed to account for interest received
by them The treasurer was indicted
for the reason that in lis full account
ing last November he reported no in.
terest. The grand jury then turned
its attention 10 oGovernor Barnes. Tit
question was raised by Judge BurforC
whether Governor Barnes, as custodi
an OF the school land moneys had evei
made final accounting. The cour
held that the governors semi-annua
covering Of funds into the territoria
treasury was only a partial account
ing. There was no oklahoma law re
curing the governor TO make a full
accounting. With this fact before hin
Judge Burford held that there would
be no opportunity to proceed agains
the governor until his term of ofiic
/ expired, when, as general proposition
Of law he would be required to ac
! count for all moneys in his possession
2 The conclusion was reached b
4 many persons that from territoriH
? standpoint Governor Barnes would nc
= be further molested by the grand jur
S until his term of Office was at an enc
. The unexpected happened, however
I and the school land board was reol
j ganized through the protests of ". N
n Jenkins territorial secretary, VIII
succeeded in having the three mem
bers OF the board made joint custoS
ians OF the funds This required th
y governor to make a full accounting {
: all moneys in his possession. II
a turned over about $4,000 to the newl
y organized board, but no part OF tn
y sum was for interest received on de
!, posits.
Accordingly it became necessary fC
- him to account for the interest in o
y der TO escape a roundup with the gran
=, jury next November as his enemit
. were laying plans by which the gran
jury would be forced TO renew its II
quiries
! The sum OF Sl,s1s.53 turned over
" Gov. Barnes is the first interest {
= school land funds ever paid into tt
- territorial treasury by any person
q, coNtIS tnc ptIlou pcbWt1h Wn9 =
q 1897, and May /, 1899, little less thl
- y two wears. During the sitting Of u
- last grand jury it was rumored tn
* the interest received on school Lar
- deposits amounted to about 400
+? This information IS supposed to ha
~ leaked from the grand jury, but II W
, nevertheless mere hearsay, and u
- findings OF the board OF education a
= more exact in stating what was r
eeiyed. The financial report submitt
K by the board OF education does n
al seem to be any part Of its official d
ne ties, as the school lGnd department h
ay full power 10 control its own affairs.
Since the moneys passed from I
control of Gov Barnes the school la
board has made no arrangement
which interest is 10 be paid on dai
es balances. The deposits are small
al this time OF year. When they beg
X increasing rapidly the board will 7
ay quire interest TO be paid. {. 81