The leader., 1902-07-09
The State Treasury Scandal.

The State Treasury Scandal.
1t is, of course, all according to law,
but it seems funny shape taken by
the prosecution in the State Treasury
embezzlements. Cashier Raiford. who
was legally trusted by the State Treas
urer with the State money, secretly
proposed and arranged to loan it out
in violation of law. He is to go un-
punished, while the State seeks to send
Rush, the man who acted for Raiford in
finding borrower, and who was under
no bond or trust to the State, to the
penitentiary. 1t is 10 be hoped that
there is some ulterior design in such
proceeding that will reconcile it to
common sense view of justice.
Again-it seems to be the common
impression that Treasurer Showers is
to go unprosecuted. This is simply un-
believable. The State witness, Raiford,
testifies that the Treasurer knew moth
ing of the loan through Rush-that
"Stowers was not told of it because he
had enough deals like this of his own".
And that money was being loaned to
three Jackson banks-that the Treas
urer was in the habit of lending large
sums to the Jackson bankers on his
own account, some secured and some
unsecured. Furthermore, that at the
time of the Memphis loan the "Capital
Bank had $65, 900 on six weeks time.
In other words, Mr.. Raiford being the
actual custodian of the funds, and wit
Messing his principal making loans to
Jackson bankers, saw no reason why
he should not turn an honest penny
the same way for himself. 1t is i'm
possible for the State to rest with the
prosecution of Rush. If he is guilty
the Jackson bankers are more so, by
virtue of their greater responsibility,
and because'in his case he was sought
out by the man who had the State
money and asked to take hand in bor-
rowing it.
No development of the trial has oc-
casioned more comment than the fact
brought out in the cross examination
of the Governor that there was short
age of $4,000 detected in the count of
that official the month previous to
the discovery of the Rush loan. The
Governor was not permitted by the
court to answer the question of the
attorney for the defense" he did
when he discovered the shortage?
The report says the Governor wanted
to reply, but there must be a mistake
here. Whatever his answer as to why
he did not then and there stop this
criminal loaning out of the States
money, it concerns the Mississippi peo-
pie. And if he wanted to take them in
his confidence he could have done so
any time in the past eleven months.
The judges ruling did not prohibit him
from telling the whole truth of the
matter to the reporters, as. soon as he
left the witness stand.
The jackson correspondent of the
Memphis Scimitar reports the "impres-
sion about the court house, that all
hands twill come clear" If so the
public will wonder what is the use of
laws prohibiting and providing punish
ment of the things confessed and
proven as to the lenders and borrowers
of the State moneys. According to
this same correspondence the jackson
citizens" have reason of their own for
satisfaction. He says: "The citizens of
Jackson are congratulating themselves
that they perhaps got an up to-date
electric car line by and through this
deal, as Mr.. Jones, of Memphis, the
man who borrowed the money, was the
promoter and builder of the line".-
Vicksbarg Herald.