The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1906-01-17

Jan a. 1901-..... 1,067 6S
Period from Jan
Jan p. 1903 . 12.os4.19
Period from jan
Jan, Jan, 9. iso5..... 1sHss s7l.4o s12so.s1
Period from Jam
june So 19o5. 257 SO
Total .......... .S14S2s.52 $7H.49 s1.58s. so
The tabuIated statements do not show
in any summarized form whether the
interest on the Oklahoma warrants
which it is said has been lost to the
state accrued before or after the war
rants were disposed of by the treasurer
The language of the report on this point
says: These cancelled warrants have
been examined but there was nothing to
reveal the dates on which the warrants
left the possession Of the state treasurer.
or through whose hands they passed
before collection other than the collect
ing banks" In estimating further ac-
cruing losses to the state by the dis
posal of warrants not yet called" by
Oklahoma. the report says
Schedule No. of Exhibit L shows
the loss to the state to June 20, 1905 on
warrants which are still uncalled by the
/ territorial treasurer but which have
been accounted for as collected on the
amount must not be considered as the
total loss to the state on uncaIed war
rants, as interest continues until thirty
days after the call is made by the terri
tOrial treasurer.
For a comparison between the regis
tered dates and the call dates of the
warrants contained in Schedules No.
and No. ,, it is estimated that the in
terest bearing time of Oklahoma terri
tory warrants would be about twenty
five months which bears out a state
+ ment made by the territorial auditor.
Assuming the interest life of these
warrants to be two years, the total
amount Of interest that would accrue on
the uncalled warrants of a face value
of S1.296.21. as shown by Schedule No.
of Exhibit l. at per cent per an
num- would be S9,754.35, which would
make loss to the state on these war
rants Of se,S35.42, being the difference
between the earning power of the war
rants and the premium received for
them by the state treasurer" Page 13.
Statement of the Warden.
IN a statement made by the warden
of the penitentiary to the state account
ant of remittances made by him to the
state treasurer from January 1, 1898, o
/ May 81 1905. is included an item of S14,
/ 133 90, covering the face value of Okla
homa warrants Nos 1890 to 1885 inclus
! i've, which amount is shown to have been
/ RENTED by him under date of May u,
1905, and for which he holds a receipt
/ without number, bearing the same date.
/ These warrants must have been in the
/ possession of the state treasurer on June
80, 1905, but did not appear on his books
at that date and were not presented to
US for verificatiOn- After the receipt of
statement from the warden Of the peni-
/ tentiary showing this item to have been
remitted on May u, 1905, the matter was
( investigated and it was found
that the face value of these warrants
/ was represented by state treasurer re-
ceipt No. 1868 dated July 90. 1905, and
! accounted for to the general revenue
fund on that date, together with interest
amounting to S22094, which would equal
the accrual from April II, 1903 the date
, on which they We're registered by the
territorial treasurer. to July 90 1905, the
date that they were disposed of. On in
quiry Of the state treasury we were in
formed that these warrants had been
disposed of on July 20, 1905, to the
Fourth National bank of Wichita. The
loss to the state in interest by reason of
the sale of these warrants is not shown
in our statements, as they were realized
on by the state treasurer subsequent to
the closing date of our examination.
Investigation of the records of the
auditor OF the state developed that fact
that the items comprising the above
amount were not recorded by him until
July 20, 1905, although the copy of re-
ceipt in his file signed T. T. Kelly, state
treasurer, by J. D. Kelly, assistant state
treasurer, bears date of May u, 1905
Page Il.
Report at page 10 says:
'On October 80. 1905, we submitted
the following to you, suggesting thai
we be furnished an independent lega
opinion in writing:
Has the State Treasurer authority
under the law to discount or tiisnoss ol
prior to the time o. their redemption
Z by the Territory of Oklahoma, war
rants issued to the State of Kansas fol
the keeping of Oklahoma prisoners
which warrants were stamped No
paid for want of funds "
In response to this inquiry tht
? opinion of the attorney general wai
t submitted to the effect that the stat'
1 treasurer was without authority of lav
TO sell or dispose Of warrants, the prop
: erty of the state, otherwise than 3.
= Surrendering them upon payment o.
Oklahoma. Later the opinion of Hon
o orable j. d. Mcfarland upon the sam
t question was procured and submittef
= 10 the accountants, and in effect IS TN
e same as the opinion cf the attorne,
b general Copies of both opinions ar
5 set forth in the report
What State Loses on School Fund.
The portion of the report Iha
deals with the Annual School fun
% challenges the most attention.
The differences or discrepancies ar
= tabulated by the accountant under til
general heading OF Excess Of inCares
accountable over interest accounte
far to the Annual school fund"
o As basis for determining the Sin
=. tefest accountable" the accountant ha
n regarded all coupons maturing afte
+ the bonds to which they are attached
= became the property of the pernanen
= school fund, as belonging to the STATE
ana Jnag when such coupons are paiC
the proceeds thereof should be ac
l. counted for to the annual school funC
s -