The Stark County Democrat. [volume] (Canton, Ohio) 1833-1912, 1908-10-22
Testimony Offered at the Official Investigation
sions of Official Negligence Out of Their Own NJ
How investigation started.

adOpJeQ ny the iOWST uOuSS VI lnS
Ohio legislature for list of banks
containing deposits of state funds,
and the amount deposited in each,
led to the appointment of special
committee of the senate, under sec
tion 1873 of the Ohio Statutes, to in
vestigate the state treasury and state
auditors Office.
Revelations resulting from this in
Vestigation are fully set forth in the
report of the Senate Investigating
Committee, and may be verified by
testimony before the committee on
file in the office of the clerk Of the
senate, from which the extracts here
after quoted are taken.
McKinnon Did Not Know Duties
of His Office.
When Mr.. McKinnon was testifying
before the senate committee he was
asked what books of account he kept
relating to state deposits, and re-
piled:
"I think you. better take that up
with Mr.. Green (his deputy); he has
charge of that part entirely he keeps
all the accounts in there and knows
all about the facts; l do not"
Monthly Balances Kept on Slips.
Asked concerning the source from
which monthly balances of accounts
were made, Mr.. McKinnon replied:
A. From the books. The average
monthly balances from correspon-
dence and from slips that Mr.. Green
keeps,
@. What sort of slips?
A. / do not know. l never saw
them. Mr.. Green is secretary of the
board and as such he keeps the books
and controls the work.
@. What are the books he keeps?
A. You will have to ask him.
told you l cannot tell you.
Credits of Interest on State Deposits
Kept on Backs Of Certificates In
stead of in Records.
Treasurer McKinnon testified that
interest payments on state deposits
were credited only on the backs of
each deposit certificate, by his deputy,
Mr.. Green, and that this method had
been employed for three years.
O. Where does he (Green) keep
his account; keep it anywhere in his
books?
A. He keeps it somewhere that he
understands himself
O. / wonder how he knew how
much interest you had received unless
he keeps some account?
A.. He keeps 1t on the certificates;
each certificate shows the amount.
Pressed for an answer as to
whether no book account was kept
for interest payments, MIR. McKinnon
said:
Just as told you, on slips or he
keeps their correspondence"
Green Kept Record on Letters.
Charles G. Green, deputy of Mr.
McKinnon with the title of cashier,
and candidate for state treasurer, tes-
tilted that when letters were sent to
banks notifying them of the interest
due the only record of such letters
was q carbon copy, the debit being en-
tered on the deposit certificate, but
not until after it was paid.
Q. You have 140 repositories and
the interest Is all due March 1st,
and you send a letter to 140 depo-
sitories, where do you transcribe
those debit accounts in the office
here? You don't say you keep moth
ing but 140 carbon copies?
A. (By Mr.. McKinnon.) That is
on the certificates.
Mr.. Green was again asked.
@. But you must keep a record
when you send out those notices.
What is the record in this office for
the copies?
A. (By Mr.. Green.) We don't
keep any individual record. The rec.
ord is the total one as far as that
amount goes.
Mr.. Green also testified that no
register was kept OF stock certificates
held as security for state deposits,
the only record being the eoTespon-
dence itself.
@. You send out notices for these
certificates every quarter. The sally
memorandum you have Of it is your
letter?s
A. Yes, sir.
O. And when that is paid you
check of that letter. as understand?
A. Yes, sir.
Mr.. Green further testified that no
ledger account was kept of the in
dividual credits of interest, and when
pressed on that point did, not answer.
@. If, then, yeu wanted to check
up whether your 140 repositories had
paid their interest or not it would be
necessary to go over the correspon-
dence and check it; you have no
record? mo answer.)
@. You keep no interest account?
A. We keep no individual interest
ledger account:
SRound RoblnS Plan Of Transaeting
State Business.
After the state deposit board, con-
sisting of the state treasurer, state
auditor and attorney general, organ
ized and elected Deputy Green for
secretary, its business was transacted
In a sort of round robin" manner.
Asked as to when meetings of this
board were beld, Mr.. McKinnon re-
piled:
A. The meetings are no special
time. When a number of applications
.orna a.. wa aand thann aronnd 10 the