The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1899-07-01
AFTER M'CARDY AGAIN
ASSEMBLYMAN KIRKB TAKEs AN
OTHER TURN AT THE FINAN-
-=- CIAL BUZZ SAW
HEAVy~PERcHAsE OF BONDS
The COmptrOIIer Saw a Chance tn
Get Hold of 100000 Worth of
Bonds STssred by tho County, So
He BAHglst Them - The Seventh
Ward. AASemblyman Objects to
Such RosAtbilities.

Such ROsAtbiIities.
AssemhiSndan Kirke. chairman of the
ways andS means committee Of the as
sembly, IS on the trail of Comptroller Nc
Cardy over what the Seventh ward coun-
Gilman claimszis an unwarranted with
draWal Of funds from, the city treasury
by the comptroller.
During his recent visit East Comptroller
5McCardy had an opportunity to purchase
100000 worth of bonds issued by the
county in 1887 for the erection and COM
pletien of th7 present city hall and court
house. The bonds were not due until
May 2. 1917, and drew ~ per cent in
terest, but the comptroller considered
they were cheap at the price offered and
agreed to purchase them. paying
premium Of S1S,44O and accrued interest
to the amount of $56712 in addition to
the face of the bonds.
To pay for the purchase the comptroller
drew a draft on the National German
American bank of this city on the local
coupon account and on his return drew
city order for the amount which was
paid to the bank by q city order duly
+ signed by the mayor, city clerk and him
self. ..,.,
Assemblyman Kirks claims that the
city comptroller had no right or author
ity to take any such steps without the
consent of the common council. Further
than this MIR. .l0irke holds that the char
ter demands that the funds of the water
hoard shall be disbursed only on a proper
order from the water beard, duly signed
by the president and secretary of the
board, and this, he claims, was not Sc
cured. ~
In order stoIhave the transaction fully
investigated ~Assemblyman Kirke, at
meeting Of the committee of which he Is
chairman yesterday afternoon offered the
following resolution which was recon-
mended to pass:
Whereas, The National German-AmerI-
can bank, of the city of St. Paul did on
or about June II, 1899, pay a certain draft
amounting to the sum of $119, 00712 from
FUNDS deposited by the city treasurer in
sald Dank to the credit of the local coupon
account, without any warrant or author
i nNa from the city treasurer of St. Paul.
Whereas, city. warrant No. IS, 629 was
9raWn IN favor of the city treasurer under
oate OF June 22s 1899, and signed by the
the sum ei of seTK End city comptroller for
1tty whatsoever Of the common council Of
the city of st. Paul, and
whereas, the sinking fund of the board
OF water commissioners now stands de-
bated as follows: 100 bonds, 81 900 each,
100000; premium paid for same. s18 440:
asccrues interest, $567.12; total. $i19,OO7.12;
LOT t winch debit there has been deposited
with the city treasurer the following Sc
cur1ties, namely: Fifty Ramsey county
CITY nall bonds, Nos. 474 to 52S. both in
elusive. Fifty Ramsey county city hall
RI hot fT1OI
hundred bonds in all Of $1,000 each, total
SlOO, 900. Bonds dated May 2, 1887. Bonds
due May 2,sl9lf. Interest at AZ per cent
per annum and payable semi-annually
Each bonds having thiFtyssix- COUPONS
attached for. $22. so each, all for account of
board of water commissioners sinking
Whereas, the board of water commits
s1onersa and thes common council OF St
Paul has never authorized. the purchase
of said bonds or the DISBURSEMENT Of any
money whatever for said account, and
Whereas. from the foregoing transact
ton there appears to be loophole for the
disbursement of city funds without proper
warrants or check on the same, and
Whereas, the charter of the city of ST.
Paul expressly provides that the funds Of
the water board shall only be itsbursed
signed by its president and secretary and
countersigned by the city comptroller.
Therefore, be it ordered, that the cor
poration attorney be and he is hereby d.
rected to investigate the legality of the
foregoing transaction and report the facts
to the common council for its information.
Comptroller MeCardy when shown the
resolutions last evening and asked if he
had anything, to say declared he had not
Il notice that the resolutions provide for
the legal depal tment Of the city making
an iflvestiga ton and this I suppose will
be done. Let them go ahead and inves-
tgate. There is one misstatement of
facts in the resolution and that Is that
the water board did not agree to the
transaction. That is not correct"
Further than this Comptroller McCar6v
refused to discuss the matter THE bonds
purchased ere now in the hands of City
Treasurer HOrstaa are credited to the
water board stalking fund for which fund
the comptroller stated when the deal was
closed the purchase was made. The
comptroller after the purchase was made
admitted that he had secured good
thing for the water beard sinking fund
and secured an Investment which would
pay 3l5 per Sscento interest On 100000 for
nineteen yeaps.< -