The Plymouth tribune. (Plymouth, Ind.) 1901-1911, 1908-05-28
COUNTIES LOSE
BY NEW RULING
IN LATE OPINION BY ATTCR.
NEY GENERAL STATE WILL
GET INTEREST ON $780,
600 FOR FIFTY DAYS
OF EACH
YEAR.

Bingham, Attorney-G General, holds
that the State Treasurer in settling
with county treasurers shall not be
required TO accept depository certitl-
Gates for common school tuition fund
and, in effect, declares that a part OF
Section 10 of the public depository
law is imperative This means that
the State will receive interest on ST.,
100000 for a period OF fifty days each
wear. which otherwise would be distri-
buted among the counties. This part
OF the depository law was introduced
at the request of bankers out in the
State, but on account OF a little mis-
take in the wording it will fail TO
have the desired effect That part OF
the law in question is as follows:
IN all settlements made by the
several county treasurers of the state
with the Treasurer of State the Treas
uerer of State shall accept from the
county treasurer certificates of depos-
it isued by any authorized depository
of any county in the State in payment
OF any settlement due the State on
account of the common school fund
collected by any such county treas
urer to any amount approximately
equal to the sum of money to be re-
tnrned to any such county by the
State on account of the common
school distribution, which certificates
OF deposit shall be returned to the
county in the settlement OF any
amount due such county on account
OF such distribution
Those who framed this portion of
the law evidently intended that it
should apply to the common school
school fund. This is evident because
it is the common school tuition fund
that is received from the counties,
and then distributed back TO them.
The common school fund remains in
by distribution by the State, but is
never diminished However, the AT.
torney- General holds that the term
common school fund" used in the
law must be taken literally, and that
it can not be construed to mean COM
mon school tuition fund.
If the law had been construed TO
mean the common school tuition fund
not only would the interest on these
funds have been diverted to the coun-
ties, but the State Treasurer would
have had a great additional amount
of unnecessary and announcement bust
ness 10 attend to. For example, the
treasurer of Perry COUNTY would have
estimated that ne would have $1,000
of the common school tuition fund
coming back TO his county>at the time
of the sem-annual distribution. Then
he would have kept the $1,000 in
money in the Cannelton Bank, which
is the Perry county depository, and
would have forwarded a certificate of
deposit for this amount. This certi
ficate of deposit the State Treasurer
would have placed on file to keep UNI
til the time for distribution
When the time for distribution
came if the amount due Perry county
had been $500, the State Auditor
would have forwarded 10 the Perry
| county treasurer warrant for $500.
This warrant would have been taken
from the county treasurer's Office to
.he CanneltOn bank, thence 10 a
| Louisville bank, thence to an Indian
apolis bank, thence to the State
| Treasurer Office. Then the State
| Treasurer would have sent to the In
dianapolis bank the $1,000 certificate
of deposit and check for $500 Then
the certificate and the check would
have retraced the path of the warrant.
The system would have been equally
cumbersome with respect to many
other counties which transact their
business through banks at Cleveland,
hicago and other cities outside the
State. The only apparent object of
the system was to keep the common
| school tuition fund in the county
| banks all the time.