The times and democrat. [volume] (Orangeburg, S.C.) 1881-current, 1906-05-10
Must Be Paid For by Response.
bic Parties.
GOVERNOR HEYWARD

UUuC DY L<SktotGtaAS ~ "AeeAS
Provisions for RedeemiDg
Worthless Bonds.
Gov. Hayward "Wednesday made
official Inquiry into the matter Of the
bonds purloined from the Office Of the
State treasurer says The State. The
amount so lost to the State approx
mates $4,000. The fact that pur-
loining had ben going on was dis.
covered last October and was made
public au that time.
The 6efalcation then amounted to
s16, ,403.75 The taca value OF the
bonds purloined was s12,500 and the
interest was 90, 903.75. Between that
time and, January lst the accrued in
tereat was 9281 Is and to date Ia about
e4O0 additional.
AS no announcement of any move
ment to pay has been made and as
the interest Is increasing daily, the
legislature having declined to make
an appropriation to take up these
worthless bond certificates, Gov.
Hayward thought it his duty to make
some INJURY. The officials responsi'
BILE for the making good Of the losses
suffered by the State are Capt. 3. b.
Jennings, State treasurer from 1901
to date; DR.. W. b. Zimmerman, from
1895 to 1901; and DR.. W. T.. O. Bates,
from 1891 to 1895.
Accordingly, Gov. Heyward ad-
dressed the following letter to Capt
jennings as there had been some dis
cussion as to the manner In which
the loss should be prorated and Capt.
Jennings is the incumbent In that
Cf1ce:
May 2. 1905.
Mr.. E. q. Jennings, State Treasurer,
Columbia, S. @.
My Dear Sir: I beg leave to call
your sttertion to the last annual re-
port of the comptroller general to the
general assembly relative to an in
Vestigstion of certain irregularities IN
the State treasurer's Office. This in
vestigatio1 revealed the fact that IN
the exchange of certain Brown Consol
coupon bonds the State has lost, by a
number of fraudulent transactions,
the sum of s12,5O0, together with
90, ,9O3 Is inte rest paid by the State,
making 8 total of sl6 4o3.75, and l
will be glad If you will inform me
what steps, ii any, have been taken
locking towards the reimbursement
Of the State for the loss Incurred. AS
chief magistrate I feel 1t my duty to
call your attention to this matter,
and desire to have this information
requested in order that I may refer
it to the office of the attorney general,
30 that the interest Of the State may
be protected.
D. O. Heyvard,
Governor.
In reply to the letter Of inquiry
from Gov. Hayward, Capt. Jennings
made an Official answer In which he
said:
IT am in receipt Of your letter OF
this date in re the matter of freudu.
lent transactions In exchange Of GER
tain Bro zn consol bonds OF the State.
You ask what steps, II any, have
been taken looking towards the reim-
bursement of the State for the loss
incurred.
"I answer for myself that I have
arranged for q loan with which to
purchase a 81, 900 State bond, which
will be deposited In bank to await
the decision of the proper tribunal "a
nv individual liability as State
treasurer, that with interest being
the amount reported 80 far as having
been fradulently taken during my ad.
miuistration.
II am not authorlz I'd to speak for
DR., Bates and DR.. Zimmerman, for
mer treasurers, as they have not In.
formed NE as to their intention.
Neither do I know what further &C.
zion l will be II CURED to take In the
premises, out await Instructions from
the attorney general and yourself"
The amount Of thu shortage is In
craasing daily and 1t appears that
there should be some way OF securing
it. Each Of the State treasurers who
has been hurt by the populations OF
some one has stated that his bonds
men shall not suffer and that each
Individual will pay the losses incurred
In his administration, with interest.
There is a criminal Indictment
against D. Zimmerman, bond clerk,
during the period OF all Of the trans
actions. On account Of the fact that
MI. Geo. Bell Zimmerman, solicitor
from this circuit, is a son OF one OF
The ex.treasurers, he has baen relieV.
ed OF the prosecution by courtesy,
and Solicitor James E. Davis OF Barn
Wall has oeeu entrusted with the case.
It Is believed that the State treasur'
er and bis predecessors interested In
these proceedings will ask for counsel
to assist Mr.. pavls
In a letter dated Oct. I, 1905, from
Hon. R. b. Jennings, State treasurer,
to the comptroller general, be called
attention to what appeared to be an