The Mitchell capital. (Mitchell, Dakota [S.D.]) 1879-1918, 1910-05-12
In Defence Of Johnson.

Pierre Capital Journal:-The Of
forts OF the insurgent press to attack
the record and motives Of the present
state treasurer. George johnson, rsl-
alive to his conduct Of Office ID an ex-
ample Of the interruptions and dis
honorable methods pursued by them
~ the campaign Of 1908. and REIN
Augurated In the present campaign.
Inenthe and Tor that reason there
EexplatH their Interpretations for
NO sooner are the facts stated than
Etheys come back with new misstate-
ments and distortions Of the truth.
~ little history Of the conduct Of this
Office under the present state treas
urer and Of the former treasurer,
the idol Of the insurgent party, may
be Of interest to the general public.
During the first five months Of the
term OF George johnson as state
treasurer. there was q deposit in
various banks Of the state, drawing
interest 1t the rate Of three per cent
the following amounts:
January, 1908 ......... .$280,0OO
February, 1909 .......... 100000
March, 1903 ............ 305, 1000
April, 1909 ............ 349,2OO
May, 1909 595,5OO
These items we're mostly on time
certificates Of deposit which did not
mature until the expiration Of six
months has been in the neigh
does not appear any credit on the
books of the state treasurer for in
terest received during these early
months but the records shows and
was familiar to the parties furnish
ing the information to the insurgent
press that for the months Of June and
July there was received into the state
treasury nearly $4,000 of interest for
three months alone, whereas the av-
erage amount received for other
month has been in the neigh
hood of $1,100, showing that these
excessive amounts for these two
months was accrued interest for the
previous six months.
During the first Is months of
George Johnson's term he collected
and accounted to the state $15,931.-
SO interest received on public funds.
At the time Of taking charge of
office of state treasurer there was
no law whereby the treasurer could
demand interest from banks holding
deposits Of state funds other than
the special law relating to the Irvine
plant fund. In connection with this
matter the state treasurer asked for
and received an opinion from the at
torney general relative to this mat
ter. which was In part as follows:
II will say that the state de-
positary law contains an emery
ency clause and went into effect
at the date Of it's approval
March 8, 1909. But until the
state board of finance named
the depositaries and until the
depositaries SO named, complied
with the requirements Of the
law as to furnishing bonds, etc.,
they did not come within the
operation of the 1909 law and
therefore could not be compell-
ed to pay interest as therein
provided. Until such time, the
money held in the banks was re-
ceived without a requirement as
to payment Of interest, and there
fore they could not be compell
ed to pay interest. But after de-
positaries have been named then
you should require such de-
positaries to give bond for the
money they have on hand and
pay interest beginning immed-
lately thereafter or else with
draw the deposits"
1t will be noticed that the attorney
general states: THE MONEY
HELD IN THE BANKS WAS RE-
lCEEIVDD WITHOUT A REQUIRE
MENT AS TO PAYMENT OF INTER-
EST. AND THEREFORE, COULD