The Tucumcari news and Tucumcari times. [volume] (Tucumcari, N.M.) 1907-1921, 1918-07-04
The REFUNDING or The SANTA FE
RAILROAD BONDS BY The STATE
BOARD OF LOAN COMMISSIONERS

combcr Il. 1916 II was during this
period that all bonds of series &C"
were issued
On" OF the pleasing features OF tho
examination was the unusually com
rlctc record kept by Santa Fe county
Of the proceedings OF the board OF
county commissioners during the per.
Tod these railroad bonds wore being
issued ana refunded and m" excellent
bond register kept at that timo hv the
county cl"rk Rv these records II was
possible to determine exactly what
bonds were issued In 1891 and 1892 TO
refund the railroad bonds and 10
prove that bonds other than those 30
recorded could not have been issued
TO refund that indebtedness This In
formation was very pertinent as will
be shown.
The state board of loan commits
sioners kept \ register OF series &c"
bonds issued by them and a minute
/ book of their proceedings They did
not keep a register OF the Santa Fe
bonds and coupons taken up or incor-
porated In the Judgments against the
county funded by them, nor did the
minute book show the interest cou,
pons upon which such judgments
were based
The act creating the board OF loan
commissioners required the county to
certify its Indebtedness. The county
commissioners filed n report which
presented a correct and complete list
OF bonds, an incorrect and incomplete
list OF Judgments and no list at all OF
the interest coupons outstanding and
not reduced to Judgment The board
OF loan commissioners contented
themselves with passing upon each
claim as II was presented unsupported
By any knowledge OF the basis OF
claims already paid by which each
new claim could be checked. A reg
lister OF these things would have
shown the payment OF many coupons
subsequently, presented and would
have prevented the payment Of $751;
1859 OF duplicated claims alone.
Such a register. or the examination OF
the county bond register, or proper
credence given the report OF Indebted
ness OF the board OF county commits
sionrrs would have prevented the rec.
ogni,ion and payment OF fraudulent
bonds to the amount OF Sl2,43iGT
The examination undertaken in this
matter necessarily raised numerous
questions OF law. chief among these
were the legal obligation OF the coun-
ty 10 pay interest upon delinquent in
terest coupons and the liability OF the
state to recognize this interest in Is
suing series &c" bonds. and the right
and duty of the state to plead the
statute OF limitations upon obligations
whose collection was barred by its
terms. On the first question, inyolv-
ing more than $2SG,3l3.79 ii was con
cludcd that the legal obligation TO pay
such interest existed and on indebted
ness which was valid was properly
recognized by the board OF loan com.
! missoners. ON the second point, the
| statute OF limitations, notwithstand-
ing a decision Of the Dstric; Court
for Santa Fe county II was believed
that both the right and the duty de-
volved upon the board of loan commits
sioners to avail themselves OF this de-.
f"nsc and save the taxpayers the pay
ment OF claims which by the terms OF
tn" statute were barred.
The detailed report submitted to
the governor covers more than one
hundred typewriter pages and goes
at length into each transaction. This
IL impossible In the space here avail
able but the conclusion In each case
will BE- set forth and the names and
amounts given.
The reader is asked to bear in mind
that the mere fact that Il claim Is set
up against an individual Is OF itsol: no
evidence of wrOngdong Even when
claims are based upon duplicate pay.
mcnts or apparently fraudulent or ir.
regular bonds, the claimant must have
known of such duplication or fraud to
be- charged either by the criminal law
or by fair and sound Judgment with
guilty intentions to defraud the state.
Nothing could be- more unfortunate as
result OF this investigation than un.
! lblilutu CUhIEfS VI NibltHOlHE tHdll1l
anyone merely because in the opinion
OF the director OF this association the
board OF loan commissioners paid the
claimant more than they were legally
bound to do There Is room for rea.
aonable differences of opinions as to
the law and even II there were not
the securing Of more than full legal
payment on debt itself regular
stands upon n different footing from
repeated doubt" payments to individ.
uals who knew the claim had already
been paId-sometimcs 10 themselves
II should also be- remembered that
the over.payment Of claims by the
board although made for the most part
by the issue OF bonds was OF vital in
terest To the taxpayers. Under the
terms OF the grant Of one million acres
Of land from the federal government
lrnnt,nnaI nm MANA