Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1913-08-22

"On August 2, received from
T. Carter, state treasurer, copy Of &
letter to Governor Blease relative tc
the necessity of borrowing funds tC
meet the current expenses Of the
state I have waited patiently for the
governor to call the financial board
together; this he has never done. On
August Is, about II a. m, DR.. Bah
cock, superintendent Of the asylum
for the insane, presented requisition
and voucher for $2S,4S4.77. re-
quested DR.. Babcock to call back al
IL o'clock. The available funds In
the state treasury applicable to cur
trent expenses at that time were. $6.-
/ 900. At IL o'clock a check was is
sued for $8,027.76 in part payment OF
voucher and the following explana-
tory letter dictated to DR.. Babcock:
81" DR.. ]. w. Babcock, State Hospital
for the Insane, Columbia, s. C.-Dear
Sir: have voucher for $28,4S4.77 on
account Of support and maintenance
of state hospital for the insane, pay
able to order Of j. w. Bunch, treas
urer, and approved by you. The only
amount in the state treasury applica-
BILE to the payment Of these expenses
Is $8,027.76. which includes $1,S66
received by the state treasurer this
morning. l enclose warrant payable
to ]. w. Bunch for this amount. I
regret that you will have to wait for
the balance of the money due on the
maintenance Of the state hospital for
the insane until the treasury Is In
funds. The attention of the COVER
nor, ex-officio chairman Of the bor-
rowing committee, was called by the
state treasurer to this condition OF
the treasury on August 1, and I am
satisfied that the money will be bor-
rowed by the proper officers to pay
these expenses to the carrying on of
the state government. will be pleas
ed to do whatever Is in my power to
relieve this situation Yours truly,
"A. w. Jones, Comptroller General
"a meeting Of the sinking fund
commission was scheduled to meet
at IL o'clock to decide whether or
not they should make loan to the
asylum commission. When this busi-
ness and the other routine business
had been transacted, Governor Blease
called the attention Of the sinking
fund commission to the necessity or
the state borrowing 100000 to pay
It's running expenses, and after ex-
planning a verbal agreement between
himself and Col. Willie Jones and Mr..
]. p. Matthews, he said he had eff
fected the loan Of 100000, and had
signed as governor, six notes Of $780,
600 each, to be placed in the state
treasury to be used when the state
needed the money. That therefore,
the state had been paying interest on
borrowed money when a large part
of the money was left in bank with
out interest; that under his agree
ment with Mr.. Matthews, the state
would only pay interest upon the
money as 1t was used. Thereupon
DR.. Dick offered a resolution refer
ring 1t to the financial board, consist
ing Of the governor, state treasurer
and comptroller general I took the
position that the sinking fund COM
mission had nothing to do with the
borrowing of this money. 1 request
ed that my vote be recorded against
any action of the sinking fund in
the matter. The resolution was
passed. The governor handed to the
chairman of the sinking fund commits
sion six signed notes, which were
turned over to the state treasurer.
Governor Rlease handed a copy OF
the agreement between Mr.. Matthews
and himself, to the state treasurer
and comptroller general. The state
treasure Immediately called attention
to the fact that the written agree
ment and the statement Of Governor
Blease were not in accord. After the
meeting adjourned, 1 met DR.. Dick
and requested him to state what he
understood Governor Blease to say
was the agreement about the notes.
He replied the notes were to be
placed in the state treasury, and as
the state needed money they were to
be used. so that the state would only
pay interest on the notes as the money
was used. To be doubly sure that l
had understood correctly the COVER
nor's statement Of the agreement
with Mr.. Matthews, I asked Mr.. Nc
Laurin, the field agent Of the sinking
fund commission, what his under
standing was as to the statement
made by Governor Blease, as to how
the six notes were to be used. He
said my understanding was that the
six notes the governor had signed for
$4,000 each were to be deposited In
the state treasury to be discounted as
the state needed the money, so that
the state would only pay interest on
the notes as the money was used.
"The above interviews were short
ly after the adjournment of the sink
ing fund commission on August Is.
Expecting to be absent the next day,
the 10th, and as the state needed $780,
900 at once, | signed one Of the notes.
Il have had nothing to do with the
agreement made by the governor. l
have been ready at all times to meet
the governor on official business when
called upon. 1 do not allow any per-
sonal feelings which may exist to-
ward me on the part Of the governor
to interfere with the performance OF
my duty to the state. The duty l owe
the state is paramount.
1.-THE state treasurer informs me
Mr.. Matthews refused to advance
$4,000 upon presentation Of the
note for that amount stating that he
had not agreed to advance the state
instalments.
II regret very much that there
should have been this misunderstand-
ing between the governor and Mr.
Matthews. The state is out of mon
ey and her obligations are becoming