REPORT OF SPECIAL COMMITTEE APPOINTED BY THE TWELFTH LEGISLATIVE ASSEMBLY TO INVESTIGATE THE STATE TREASURER’S OFFICE ^ L ^Hy JUL Un, UlVl msiTy 0F m Of /U//VO IS period: January i, 1903, to January 1, 1911 BISMARCK: TRIBUNE, STATE PRINTERS AND BINDERS 1911 . REPORT OF SPECIAL COMMITTEE APPOINTED BY THE TWELFTH LEGISLATIVE ASSEMBLY TO IN- VESTIGATE THE STATE TREASURER’S OFFICE FOR THE PERIOD COM- MENCING JANUARY 1, 1903 AND ENDING JANUARY 1. 1911. CONCURRENT RESOLUTION. Whereas, the committee in the investigation of the state treasurer’s office in its report to the legislative assembly filed on February 27, 1911, sets forth certain irregularities in and about the conduct of the business of said office into which it had not sufficient time to inquire, and Whereas, said committee in its report recommended that a committee be appointed to carry on the examination of said office. Therefore, Be It Resolved, by the house of representatives, the senate concurring, that a committee of three, two members of the house and one of the senate, be appointed to carry on the examination of the state treas- urer’s office in conformity with the resolution authorizing the appoint- ment of the committee which has just reported in this matter, and the committee to be appointed aforesaid is especially instructed to examine the office with reference to possible loss to the state of interest on state funds. Such committee is authorizzed to employ the assistance of a skilled accountant. Be It Further Resolved, That such committee make its report to the Governor not less than sixty days after the close of the present session. A copy of such report shall he mailed to each of the members of the legis- lative assembly, such report also to be submitted to the next legislative assembly. Be It Further Resolved, That as compensation for this work each mem- ber of such committee he allowed five dollars per day. Purusuant to the above resolution the speaker of the house appointed as members of said committee Frank E. Ployhar and Harve Robinson; # and the president of the senate appointed H. W. Allen. To His Excellency, the Hon. John Burke, Governor, Senate and House of Representatives of the State of North Dakota : Gentlemen : — Your committee begs leave to report that immed- iately after adjournment of the legislature, said committee met and organized by electing Frank E. Ployhar, chairman, and H. W. Allen, secretary. After organizing the committee secured the services of Mr. D. D. Devine of St. Paul, Minnesota, an expert accountant, and proceeded with the work as authorized by the concurrent resolution. 4 REPORT OF SPECIAL COMMITTEE Before proceeding with the details of the investigation we quote sections of law from the Revised Codes of 1905 governing the col- lection of state taxes, in -order to give the exact procedure required by law, and show each and every instance that came under our observation in the nature of errors and omissions : ARTICLE 8. STATE ACCOUNTS WITH COUNTIES. Sec. 2379. Auditor to keep account with each organized county. The state auditor shall keep an account with each organized county of the state in which each county shall be charged with the amount of delinquent tax now due the state and with all sums hereafter levied in each county for state purposes ;'and credited with all sums paid into the state treasury on account of such taxes. Sec. 23 32 . Auditor to deliver to state treasurer order on county treasurer to furnish. He shall require the several county treasurers to furnish him with a statement, attested by the county auditor, on the 15th day of each month, showing the amount of state taxes collected during the pre- ceding calendar month, and the October statement shall be an abstract of the total receipts by the county treasurer for the preced- ing year. Sec. 2382 . Auditor to deliver to state treasurer order on county treasurer. The state auditor shall immediately after receiving the statement provided for in the preceding section, draw and deliver to the state treasurer an order on each county treasurer for the amount so certi- fied as collected for the state, and charge the state treasurer with the same, giving the county credit for the amount and sending to the county auditor of each county a duplicate of such order or draft. Sec. 23 8 3 . State treasurer to notify county treasurer. The state treasurer shall notify each county treasurer of the amount of such draft or order and designate the manner in which the money shall be forwarded to him, and upon receipt of the same shall forward such draft or order to the county treasurer with his endorsement, and such draft or order shall be the county treasurer’s receipt for the amount stated. All funds collected by or in the hands of the treasurer of any county in this state shall be promptly remitted by such county treasurer without expense to the state, and at the risk of the county treasurer, for which the county treasurer shall be allowed his actual expenses by the board of county commissioners. COUNTY TREASURER’S REPORTS. The first work taken up by the committee was the examination of the county treasurer’s reports from the various counties in the state of the amount of state taxes collected, and found the following omissions or errors : REPORT OF SPECIAL COMMITTEE 5 Stutsman County, collections for April, 1 9 08 , uncollected. .$ 95.00 Richland County, collections for April, 1908, uncollected.. 525.05 These amounts will be paid as soon as the proper draft is made by the state auditor as the following - letters indicate: Jamestown, North Dakota, March 20th, 1911. D. K. BRIGHTBILL, State Auditor, Bismarck, N. D. Dear Sir: — In checking over our ledger as per your request of March 18th, we find that we are long the sum of $95 on the April report of school funds. Resp-cctfully yours, W. W. FORD, County Treasurer. . Office of the State Auditor, Bismarck, N. D., March 27, 1911. KARL MIKKELSON, Wahpeton, North Dakota. Dear Si-r: — Under the date of May 20th, 1908, Stephen Braun, as treas- urer of Richland County, mailed me the report of taxes due the state for the month of April, 1908, to be $525.05. In checking up, the expert accountants do not seem to be able to locate that draft covering this amount and I would appreciate it very much if you would let me know if we have failed to draw on you for the April report. I shall appreciate a reply at your earliest convenience. I am, Yours very truly, D. K. BRIGHTBILL, State Auditor. Office of County Treasurer, Wahpeton, North Dakota, March 28, 1911. MR. D. K. BRIGHTBILL, Bismarck, N. D. Sir: — Your letter of the 27th at hand and contents noted. With refer- ence to the amount due you for April collections in the year 1908 will say that you have a balance, for the amount that you stated, $525.05. Will be glad to have you draw on us at any time you see fit. Yours respectfully, K. L. MIKKELSON, Treasurer. By W. G. Worner, Deputy. collection; of school land funds. In connection with the checking of the county treasurers reports to the state land commissioner, our attention has been called to the unusual lapse of time before said funds were covered into the state treasury. For instance, the collection for Cavalier county for December, 1902, school fund amounted to $61,544.99. This report was received by land commissioner Jan. 15, 1903, draft No. 5967 was drawn for this amount on April 22, 1903, being a loss of ninety-one days inter- est at 3 per cent, or $461.58. 6 REPORT OF SPECIAL COMMITTEE The collection for Bottineau county for December, 1908, school fund, amounted to $147,493.11. This report was received by the land commissioner from the county treasurer of Bottineau county January 13, 1909. Draft No. 9493 was drawn for this amount on March 12, 1909, being a loss of sixty days interest at 3 per cent, or $737.46. The collection for Stutsman County for May, 1909, school fund amounted to $72,491.58. This report was received by the land com- missioner June 17, 1909. Draft No. 9875, drawn for this amount Sept. 13, 1909, a loss of $519.50 interest to the state. Below is given a partial list of the various delinquent collections that have come under our observation : COUNTY DATE Amount Co. Treas. Report Re- ceived by Land Dept. State Auditor’s Draft Draft No, Cavalier .... Dec. ’02 61,544.99 l-15-’03 4-22-’03 | 5967 Grand Forks . 8,966.92 l-21-’03 4-2 2-’ 03 5966 Nelson 20,367.47 l-13-’03 3-14-’03 5933 Ramsey Dec. ’02 64,540.93 l-31-’03 4-22-’03 5959 Towner 48,739.59 1- 9-’03 3-18-’03 5952 Walsh Dec. ’02 33,960.43 1- 3-’03 4-14-’03 5960 Cavalier 28,691.53 2-14-’03 4-22-’03 5965 Grand Forks . . 35,289.48 3-ll-’03 4-22-’03 5964 Ramsey Jan. ’03 6,661.65 2-28-’03 4-22-’03 5963 Walsh Jan. ’03 29,715.49 2-24-’03 4-14-’03 5962 Grand Forks . 43,736.64 2-29-’04 4-25-’04 6591 Ramsey 31,584.65 2-25-’04 6- 4-’04 6590 Ramsey 78,212.67 l-28-’05 4-2 5-’ 05 7089 Ramsey Jan. ’05 27,375.69 3- 9-’05 4-25-’05 7090 Cavalier July ’07 2,789.23 10-15-’*07 7-2 3-’ 08 8953 Benson 32,655.33 l-18-’09 3-12-’09 9492 B'ottineau .... 147,493.11 l-13-’09 3-12-’09 9493 Burleigh .... Dec. ’08 3,801.31 l-4-’0'9 3-12-’09 9491 Cass Dec. ’08 34,717.13 l-15-’09 3-12-’09 9494 Cavalier Dec. ’08 45,913.35 l-27-’09 3-12-’09 9495 Dickey 13,019.77 l-18-’09 3-15-’09 9496 Foster Dec. ’08 7,754.30 l-20-’09 3-15-’09 9500 Grand Forks . 18,627.50 l-18-’09 3-15-’09 9501 DaMoure Dec. ’08 4,009.91 l-12-’09 3-15-’09 9505 McHenry Dec. ’08 6,862.09 l-18-’09 3-15-09 9507 Morton 1,966.91 l-19-’09 3-15-’09 9512 Nelson 18,637.92 l-15-’09 3-16-’09 9513 Pembina 4,861.69 2- 2-’09 3-16-’09 9515 Pierce 13,054.68 2- l-’09 3-16-’09 9516 Ramsey 20,956 06 2-ll-’09 3-16-’09 9517 Ransom 9,796.96 1-1 5-’ 09 3-16-’09 9518 Richland Dec. ’08 13,266.28 1-1 6-’ 09 3-16-’09 9519 Steele Dec. *’08 11,455.19 l-18-’09 3-16-’09 9521 Stutsman 12,232.71 2-12-’09 3-16-’09 9522 Towner 23,367.49 l-ll-’09 3-16-’09 9524 Traill 16,638.97 l-15-’09 3-16-’09 9525 Walsh Dec. ’08 16,428.02 | l-16-’09 3-16-’09 9528 REPORT OF SPECIAL COMMITTEE COUNTY DATE Amount Co. Treas Report Re- ceived by Land Dept. State Auditors Draft Wells 8,674.47 l-22-’09 3-16-’09 Barnes | 25,215.26 2-13-’09 5-14-’09 Benson . . Jan. ’0i9 13,811.69 2-1 7-’ 09 5-1 5-’ 09 Bottineau Jan. ’09 5,754.52 2-15-’09 5-15-’09 Cass 23,867.19 2-16-’09 5-15-’09 Cavalier . . . . Jan. ’09 52,551.01 2-20-’09 5-15-’09 Eddy . . . Jan. ’09 1,851.67 2-18-’09 5-15-’09 Foster 9,763.93 2-26-’09 5-15-’09 Grand Forks . . . . . . . Jan. ’09 22,515.45 2-23’09 5-1 5-' 09 Griggs 4,210.10 2-15-’09 | 5-15-’09 Hettinger . . . Jan. ’09 2,036.38 2- 3-’09 5-15-’09 LaMoure . . . Jan. ’09 4,662.86 2-13-’09 5-15-’09 Logan 1,772.40' 2-13-’09 5-15-’09 McHenry 9,839.82 2-18-’09 5-15-’09 McLean 5,294.69 3- 5-’09 5-15-’09 Morton . . . . Jan. ’09 2,329.39 2-23-’09 5-15-’09 Nelson . . . Jan. ’09 33,731.04 2-16-’09 5-15-’09 Pembina . . . Jan. ’09 15,980.04 2-17-’09 5-15-’09 Pierce . ... Jan. ’09 9,872.00 2-13-’09 5-15-’09 Ramsey . . . Jan. ’09 33,465.61 2-18-’09 5-17-’09 Ransom 11,619.35 2-16-’09 5-17-’09 Richland . . . Jan. ’09 9,746.18 2-15-’09 5-17-’09 Rolette Jan. ’09 4,945.32 2-17-’09 5-17-’09 Sargent 1,341.45 2-15-’09 5-17-’09 Steele 7,400.23 2-17-’09 5-17-’09 Stutsman . . . . Jan. ’09 13,970.79 5-18-’09 6- 8-’09 Towner 29,802.87 2-19-’09 5-17-’09 Traill . . . Jan. ’09 4,860.26 2-16-’09 5-17-’09 Walsh 20,025.90 3-17-’09 5-17-’09 Ward 1,906.00 3-25-’09 5-17-’09 Wells 7,400.56 2-25-’09 5-17-’09 Barnes . . . Feb. ’09 15,220.55 3-22-’09 5-17-’09 Cavalier . .. Feb. ’09 6,326.91 4- l-’09 5-17-’09 LaMoure ... Feb. ’09 26,693.56 3-19-’09 5-17-’09 Ransom ... Feb. ’09 11,094.94 4- 5-’09 5-17-’09 Sargent . . . Feb. ’09 20,892.05 3-17-’09 5-17-’09 Towner . . Feb. ’09 3,331.91 4-12-’09 5-17-’09 Ward . March ’09 4,468.22 5-21-’09 9-23-’09 Bottineau . March ’09 36,144.68 4-21-’09 6- 8-’09 Rolette . March ’09 13,545.23 4-27-’09 6- 9-’09 Towner . March ’09 27,701.75 4-21-’09 6- 8-’09 McHenry . . April ’09 66,121.26 5-17-’09 6-25-’09 Towner . . April ’09 4,607.38 5-14-’09 6-25-’09 Ward 225,347.58 5-16-’09 6-14-’09 Wells . . April ’09 99,903.82 5-21-’09 6-25-’09 Morton . . .: May ’09 4,934.63 6-16-’09 9-10-’09 Cavalier 3,055.18 6-16-’09 9-ll-’09 Stutsman . . . May ’09 72,491.58 6-17-’09 9-13-’09 McHenry . . . June ’09 10,148.56 7-12-’09 9-15-’09 Ward 3,464.86 9- l-’09 ll-12-’09 Foster ... Feb. TO | 68,186.91 1 4- 1-TO 1 5- 9-TO Draft No. 9530 9648 9649 9651 9654 9655 9658 9660 | 9662 | 9661 | 9663 | 9665 | 9667 | 9667 | 9670 j 9672 I 9673 [ 9675 I 9676 | 9677 | 9678 | 9679 | 9680 | 9681 | 9683 | 9734 | 9684 | 9686 j 9687 | 9685 | 9688 [ 9690 | 9695 j 9700 | 9708 | 9711 | 9713 | 10049 ! 9735 | 9737 J 9736 | 9759 j 9761 | 9758 | 9760 | 9823 | 9849 | 9875 | 9941 | 10198 | 10660 8 REPORT OF SPECIAL COMMITTEE Allowing ten days as a reasonable time from the receipt of the statement of collections from the county treasurers until the drawing of the draft by the state auditor, we have computed the interest for the balance of the time on the accompanying list of delinquent col- lections at 3 per cent and we make the loss to the state, $9,468.87. To make this clear, if the collections were made within ten days of their receipt the money would have been deposited to the credit of the state at 3 per cent and would have earned the $9,468.87. If this were a complete list the amount would be materially increased. The statutes are very indefinite as to the manner and time that the land commissioner shall have in covering these funds in the state treasury, but it is the opinion of your committee that the above list is self-explanatory and that more than a reasonable amount of time has been used in making the returns- to the state treasurer. PERMANENT SCHOOL FUNDS AND STATE INSTITU- TION INVESTMENTS. The checking of this fund', was a gigantic task, as one can readily see from the fact that the interest for the year 1910 alone aggre- gated $187,373.46, most of which was in small installments of $10.00 and upwards, and covered a period of eight years, during all of which time this fund has never been checked. Considering the large amount of money involved the interest checked out remarkably well. Below are quoted the omissions and errors : School District 41, Pembina County. Coupon due Sept. 1st, 1903 : $ 90.00 (Collected but not credited. Bowen School District 62, Sargent County, coupon due Nov. 1, 1903 ' 28.00 (Collected but not credited.) School District 7, Towner County, coupon due Oct. 1, 1903 42.00 Coupon due Jan. 15, 1904 70.00 (Collected but not credited.) Isabell District 23, Benson County, coupon due July, 1904 7 $24.00 Paid July 7, 1904 14.00 Balance St. Joseph District 25, Ward County, coupon due Jan. 1, 1905 $12.00 Credited Jan. 14 2.00 Balance Roosevelt District 58, Ward County, coupon due Feb.. 1907 $40.00 Credited Feb. 16, 1907 10.00 $30.00 $ 10.00 $10.00 Balance REPORT OF SPECIAL COMMITTEE 9 Romness District 9, Griggs County, coupon due July, 1907 Coupon due July, 1907 . . . .$29.19 . . . . 15.00 Credited July 6, 1907 $43.19 33.19 Balance $10.00 School District 14, Cass County, coupon Jan. 1, 1908 : •Credited Jan. 7, 1908 due $24.30 21.50 * Balance o o Lockwood District 69, Ward County, coupon due July, 1908 ' $32.00 Credited Aug. 10, 1908 20.00 Balance . . $12.00 District 77, Ward County, January coupon 1. . .$29.99 January • coupon 8 20.00 Credited Jan. 9, 1909 $19.99 41.66 Balance • $ 8.33 District Spring Lake, McLean County, coupon No, 12 $38.00 Credited Aug. 10, 1909 18.00 Balance $20.00 Total $333.33 As a result of the investigation, Mr. D. H. McMillan, former treasurer, has covered $240.00 into the state treasury to cover the omissions during his term of office. The balance of $93.33 has not yet been paid. , Of this amount Mr. Albert Peterson owes the state $65.00 and Mr. G. L. Bickford $28.33. REPUDIATED BONDS. Bonds Nos. 1 to 13 inclusive, amounting to $5700.00, were issued Jan. 28, 1892, by School District No. 50, Barnes County, North Dakota. On August 8, 1893, 'one year’s interest at 7 per cent, amounting to $399.00, was paid by said district and nothing has ever been paid to apply on principal or interest since that date. The state of North Dakota by its Attorney General brought an action against School District No. 50, Barnes County, for the recov- ery of the amount due on the bonds. The action was tried before 10 REPORT OF SPECIAL COMMITTEE Hon. E. T. Burke, Judge of the Fifth Judicial District, and judg- ment entered for the defendant. From this decision the state appealed, and in an opinion handed down by the Supreme Court, March 13, 1909, (See 18 N. D. page 616) the judgment of the lower court was affirmed. FEES COLLECTED BY INSURANCE COMMISSIONER. We quote from the Revised Codes of the State of North Dakota for 1905. Sec. 379. . Record of Fees. Penalty. Every state auditor or deputy state officer required by Section 84 of the constitution of this state, or by any provision of the laws of this state to cover into the state treasury all fees and profits arising from such office, shall keep a record of all such fees- or profits in a book kept for that purpose, which book shall be the property of the state. They shall report to the state treasurer monthly the amount of such fees or profits received verified by oath, and at the same time pay the amount of such fees or profits to the treasurer, taking dupli- cate receipt therefor, one of which shall be filed with the state auditor, and the auditor shall charge the treasurer with the amount thereof. Any person violating the provisions of this section shall be deemed guilty of a misdemeanor, and upon conviction shall be fined in the sum of not less than fifty dollars, nor more than one hundred dollars, in the discretion of the court wherein he is con- victed. Below we give the amount of the monthly collections received by the commissioner of insurance and the date they were paid into the state treasurer. Some of the monthly balances have been held for a considerable length of time at a loss of interest to the state. For instance, the February, 19.08, collection, amounting to $75,820.56, was turned into the state treasurer on April 14, 1908, six weeks late, at a loss of interest to the state of $262.44. Another instance is that of the February, 1909, collection, amount- ing to $49,733.06, -was turned in April 1, 1909, or thirty days pa^t due, at a loss of interest to the state of $124.33. REPORT OF SPECIAL COMMITTEE 11 Month Collected Amount Date Paid State Treas. $ 7,050.48 1-31-03 27,787.84 3-9-03 16,163.51 3-31-03 7,984.89 5-4-03 895.53- 6-2-03 603.00i 7-1-03 129 7.0 O' 8-1-03 299.80' 9-1-03 326.00' 10-1-03 546.48 10'-31-03 251.00 11-30-03 110.00 1-2-04 9,935.46 2-2-04 28,930.04 3-2-04 14,425.51 4-1-04 7,113.96 | 5-3-04 2,357.62 | 6-1-04 930.20 | 7-2-04 394.00 | 7-30-04 217:90 | 8-31-04 286.00 10-5-04 231.70 | 11-1-04 322.00 | 12-2-04 199.00 | 12-30-04 25,580.65 | 2-4-05 24,143.27 1 3-6-05 7,596.25 | 4-1-05 2,935.15 | 5-2-05 1,058.84 | 6-3-05 2,303.36 | 7-7-05 8,656.60 | 8-2-06 614.00 | 9-6-05 406.87 | 11-3-05 499.00 | 11-3-05 454.25 | 12-6-05 149.00 | 1-9-06 1,689.56 ) 2-21-06 33,971.46 | 3-17-06 11,248.24 4-10-06 32,141.48 [ 5-10-06 786.00 | 6-23-06 2,527.90 | 8-21-06 507.80 | 8-21-06 698.00 | 9-21-06 555.00 | 1 1-17-06 471.35 1 11-17-06 413.00 | 12-20-06 558.00 | 247-0'7 3,501.10 | 3-11-07 56,273.80 | 4-2-07 25,544.6|4 | 5-8-07 1,071.60 | 5-25-07 8,281.09 | 6-29-07 762.67 | 8-6-0'7 574.00 | 9-28-07 591.00 | 9-28-07 095.76 1 11-25-07 January, 19 03 . . . February, 1903. March, 1903 April, 1903 May, 1903 June, 1903 July, 1903 August, 1903.... September, 1903. October, 1903... November, 1903. December, 1903. January, 1904... February, 1904.. March, 1904 April, 1904 May, 1904 June, 1904 July, 1904 August, 1904.... September, 1904. October, 1904... November, 1904. December, 1904. January, 1905... February, 1905.. March, 1905 April, 1905 May, 1905 June, 1905 July, 1905 August, 1905 September, 1905. October, 1905 . . . November, 1906. December, 1905. January, 1906... February, 1906.. March, 1906 April, 1906 May, 1906 June, 1906 July, 1906 August, 1906.... September, 1906. October, 1906... November, 1906. December, 1906. January, 1907... February, 1907 . . March, 1907 April, 1907 May, 1907 June, 1907 July, 1907 August, 1907.... September, 1907. 12 REPORT OF SPECIAL COMMITTEE * Month Collected Amount Date Paid State Treas. October. 1907 587.87 11-25-07 Novembber, 1907'. 411.00 12-31-07 December, 1907. 223.14 6-8-08 January, 1908 4,541.66 75,821.56 9,925.52 8,463.50 3,547.97 676.00 349-08 February, 1908 444-08 March, 1908 • • 5-26-08 April, ' 1908 5-2.6-08 May, 1908 8-31-08 June, 1908 8-31-08 July, 1908 474.00 10-28-08 August, 1908 471.00 10-28-08 September, 1908 365.00 10-28-08 October, 1908 330.00 3-3-09 November, 1908 2,365.69 172.58 3-3-09 December, 1908 3-3-09 January, 1909.‘ 20,008.55 49,733.06 16,302.40 12,872.0:9 1,110.00 9,652.65 6,027.35 473.00“* 3-5-09 February, 1909 44-09 March 1909 . . 6-2-09 742-09 April, 1909 May, 1909 743-09 June, 190'9 10-2-09 July, 1909 10-2-09 August, 1909 11-3-09 *August 24th, 1909 875.85 8-24-09 September, 1909 476.00 11-3-09 * October 2d, 1909 2,192.59 572.00 10-2-09 October, 1909 11-3-09 November, 1909 438.00 12-4-09 December, 1909 357.00 2-8-10 January, 1910 1,140.80 43,358.42 25. 932.05 40.123.06 11,885.13 | 12,532.08 989.25 3-29-10 February, 1910 4-28-10 March, 1910 7-140 April, 1910 1 S-31-10 May, 1910 8-31-10 June, 1910 | 10-19-10 July, 1910 • • ! 10-29-10 August, 1910 September, 1910 • • * . . . | 1,316.94 | 429.00 | 10-2940 10-29-10 | 12-13-10 October, 1910 605.75 November, 1910 587.75 12-13-10 December, 1910 382.00 | 12-30-10 1 ^Represents monies that a former legislative committee reported to have been unlawfully withheld by the Commissioner of Insurance. CHECKING OF STATE WARRANTS. The committee checked the state warrants for the eight year period called for in the resolution and only found two conflicting items. These were warrants issued to the Bismarck Tribune Com- pany for printing in process of completion and were issued under the' following section of the Revised Codes of 1905 : REPORT OF SPECIAL COMMITTEE 13 Sec. 63. Printing accounts. How certified and paid. When the account of any contractor under this article shall have (been adjusted, the commissioners shall certify the same to the state auditor, who on receipt thereof shall draw his warrant upon the state treasurer for the amount thereof ; provided, that in the current execution of such contracts the commissioners are empowered, in their discretion, to deliver to such contractor a certificate for an amount not exceeding seventy-five per cent of completed work, upon the contractor filing with the commissioners a statement of work done, for which amount the state auditor shall give his warrant upon the state treasurer to such contractor/’ Under this section, the Bismarck Tribune Company, on May 17, 1907, through its manager, made a demand on the state for $1000.00, and warrant No. 71869, was issued to said company for the amount above stated. On December 9, 1909, a similar request w^s made on the part of the Bismarck Tribune Company for $2000.00, and warrant No. 85658-, was issued to them. When the complete bills on which the above advances were made, were presented to the auditing board,' they failed to deduct the above amounts from said bills as provided for in Sec. 63, and up to the present time no deductions have been made. On the other hand the state has at nearly all times been indebted to the Bismarck Tribune Company to the extent of from $1,000.00 to $10,000.00. It would seem to your committee that both the Bis- marck Tribune Company and the auditing board are subject to criticism, the former for not deducting the advances made from the original bills filed later, and the latter for not insisting on their deduction. We believe that at least quarterly settlements should be made with the Bismarck Tribune Company. At such times bills should be filed for all completed work and if correct should be promptly approved and allowed and adjustment made for any and all advances. 14 REPORT OF SPECIAL COMMITTEE INTEREST ON STATE MONIES. The resolution especially calls for the thorough investigation of interest on state monies, and in this particular phase of the work your committee has devoted considerable time and feels that its work has been very thorough. Below we give a tabulation showing the average amount of all monies on hand to the credit of the state for each year, the amount of interest received, and the per cent. If the total amount of monies had been deposited in the banks the state would have received an average of 3 per cent : Year Average Balance Amount Interest ’ Average received. per cent. (McMillan’s Term.) 1903. $ 818,614.67 $12,563.32 1.53 1904. 713,514.93 17,143.85 2.40 (Peterson’s Term.) 1905. $ 661,630.10 $18,338.10 1906. 1,154,602.57 31,596.16 1907. 1,272,130.00 37,788.22 1908. 1,038,342.32 27,881.12 (Bickford’s Term.) 1909. $1,634,537.83 $45,608.77 1910. 1,641,762.88 46,176.25 2.77 2.73 2.97 2.67 2.78 2.81 The discrepancy in the average rate of interest received by the state during the term of the several state treasurers can be accounted for by the fact that during D. H. McMillan’s term as treasurer large amounts of money were reported as cash on hand, (exclusive of the monies deposited in bank) and on which the state received no interest. For the year 1903 the total average balance of state monies was $818,614.67. Of this amount the average cash daily balances pur- ported to be carried as cash in the state treasurer’s vaults (and on which the state received no interest) fluctuated in amounts varying from a few thousand dollars to over half a million, the average daily balance for the year being more than a quarter of a million, or to be exact, $271,906.00, as the following tabulated statement will show: REPORT OF SPECIAL COMMITTEE 15 1903. January 1 . January 2. January 3. January 4. January 5. January 6. January 7. January 8. January 9. January 10. January 11. January 12. January 13. January 14. January 15. January 16. January 17. January 18. January 19. January 20. January 21. January 22. January 23. January 24. January 25. January 26. Tanuary 27. January 28. January 29. January 30. January 31. February 1 . February 2 . February 3 . February 4 . February 5 . February 6 . February 7 . February 8 . February 9 . February 10. February 11 . February 12. February 13. February 14. February 15. February 16. February 17 February 18i February 19. February 20 February 21 February 22 February 23 February 24 February 25 . February 26 February 27 $ 196,800.00 197,000.00 197,000.00 197,000.00 197.100.00 197.300.00 197,300.00 197.300.00 201.900.00 201.800.00 201,800.00 204.700.00 188.200.00 138,300.00 139',800.00 61,800.00 64,100.00 64.100.00 60.400.00 60.800.00 49.200.00 47.400.00 43.300.00 44.000. 00 44.900.00 10.600.00 5.200.00 2.200.00 2.400.00 3.100.00 . i 11,200.00 13,100.00 13,100.00 13,100.00 13.100.00 13.500.00 13.000. 00 13.100.00 13.100.00 . 103,300.00 . 103,300.00 . 103,600.00 . 103,600.00 . 117,000.00 . 117,000.00 . 117,000.00 . 117,000.00 . 117,700.00 . 106,600.00 . 107,300.00 . 109,000.00 . 106,400.00 • 106,400.00 . 106,400.00 71.300.00 . 132,500.00 . 132,500.00 . 132,500.00 16 REPORT OF SPECIAL COMMITTEE 1903. — Continued. February 28 March 1 March 2 March 3 March 4 March 5 March 6 • • March 7 March 8 March 9 March 10 March 11 March 12 March 13 March 14 March 15 March 16 March 17 March 18 March. 19 March 20 March 21 March 22 March 23 March 24 March 25 March 26 March 27 March 28 March 29 March 30 ^ March 31 April 1 April 2 April 3 April 4 April 5 April 6 April 7 April 8 April 9 April 10 April 11 April 12 April 13 April 14 April 15 April 16 April 17 April 18 April 19 April 20 April 21 April 22 April 23 April 24 April 25 $ 143,400.00 143.400.00 143.700.00 143.500.00 154.000. 00 155.000. 00 166.200.00 167,800.00 167.800.00 185.200.00 182.800.00 182,800.00 155,900.00 155.900.00 464.100.00 464,100.00 464.100.00 464.500.00 464.500.00 606.800.00 479.400.00 484.300.00 484,300.00 484.300.00 485.000. 00 485.100.00 485,100.00 485,100.00 485,100.00 485.100.00 513.000. 00 529.200.00 500.200.00 502.100.00 503.600.00 503,600.00 503.600.00 503.800.00 504.000. 00 504.200.00 504.700.00 505.400.00 505,400.00 505.400.00 506.700.00 507.300.00 507,300.00 507.300.00 509.000. 00 509,000.00 509,000.00 509.700.00 510.400.00 511.100.00 511,100.00 511.100.00 654.100.00 REPORT OF SPECIAL COMMITTEE 17 1903— Continued. April 26. April 27. April 28. April 29. April 30. May 1 . . May 2. . May 3. . May 4. . May 5. . May 6. . May 7 . . May 8. . May 9. . May 10. . May 11. . May 12. . May 13. . May 14. . May 15. . May 16. . May 17. . May 18. . May 19. May 20.. May 21. May 22. . May 23. May 24. . May 25. May 26. May 27. May 28. May 29. May 30. May 31. June 1 . June 2. June 3. June 4. June 5 . June 6. June 7. June 8. June 9. June 10. June 11. Jupe 12. June 13. June 14. .Tune 15 . June 16. June 17. June 18. June 19. .Tune 20. June 21. 654,100.00 654,100.00 654.100.00 654.400.00 655,000.00 655.000. 00 656.200.00 656.200.00 664.100.00 666.500.00 666.700.00 683.200.00 683.200.00 686.300.00 685.300.00 601.400.00 584.600.00 584,600.00 584.600.00 584.900.00 590.000. 00 590,000.00 590.000. 00 584.900.00 585.200.00 585.200.00 587.000. 00 584.800.00 584,800.00 584.000. 00 584,800.00 584.800.00 426.400.00 426.500.00 426,500.00 426.500.00 427.000. 09 428.400.00 428.400.00 428.500.00 431.500.00 431,500.00 431.500.00 431.800.00. 431.800.00 432.500.00 432.500.00 418.700.00 451.900.00 451,900.00 451.900.00 422.600.00 423.100.00 423.100.00 425.000. 00 454.800.09 454.800.00 18 REPORT OF SPECIAL COMMITTEE 1903. — Continued. June 22 . . June 23 June 24 June 25 June 26 June 27 June 28 June 29 June 30 July 1 July 2 July 3 July 4 July 5 July 6 July 7 July 8 July . 9, July 10. July 11. July 12, July 13. July 14, July 15. July 16. July 17. July 18. July 19. July 20. July 21. July 22 July 23. July 24. July 25, July 26. July 27. July 28. July 29. July 30. July 31. August 1 . August 2 August 3 August 4 August 5 August 6 August 7 August 8 August 9 August 10 August 11. August 12 August 13 August 14 August 15 August 16 August 17 August 18 434,600.00 434.600.00 432.500.00 432.500.00 417.300.00 406.500.00 406,500.00 406.500.00 407.700.00 408.800.00 410.500.00 408.500.00 405.500.00 411.500.00 408.600.00 413.400.00 410.500.00 407.600.00 410.300.00 410.700.00 410.700.00 411.200.00 411.600.00 412.200.00 412.500.00 412.300.00 412.600.00 412,600.00 412,600.00 412,600.00 412.600.00 421.500.00 421.500.00 418.200.00 418.200.00 398.400.00 400.400.00 400.700.00 400,700.00 400.700.00 401.100.00 401,100.00 401.100.00 408.500.00 409.200.00 410.700.00 414.300.00 414.400.00 414,400.00 414.400.00 244.800.00 277.800.00 277,900.0(1 277.900.00 277.900.00 277.900.00 279.100.00 279.300.00 REPORT OF SPECIAL COMMITTEE 19 August 19 . . . August 20. . . August 91 .... August 22. . . August '23 . . . August 24. . . , August 25. . . August 26. . . . August 27. . . , August 28 ... . August 29 ... , August 30. . . . August 31 ... . September 1 September 2 September 3 September 4 September 5 September 6 September 7 September 8 September 9 September 10 September 11 September 12 September 13 September 14 September 15 September 16 September 17 September 18 September 19 September 20 September 21 September 22 September 23 September 24 September 25 September 26 September 27 September 28 September 29 September 30 October 1 . . . October 2 . . . October 3 . . . October 4 . . . October 5 . . . October 6 . . . October 7 . . . October 8 . . . October 9... October 10... October 11 . . . October 12... October 13 . . . October 14... October s 15. . . 1903. — Continued. $ 279,500.00 246,500.00 246.500.00 246.800.00 246.800.00 247.900.00 247.900.00 248.200.00 249,000.00 249.000. 00 253.400.00 ' 253,400.00 251.500.00 251.800.00 252.100.00 252.900.00 253.100.00 253.100.00 253.100.00 254.300.00 254.500.00 254,500.00 254.500.00 254.700.00 256.900.00 256.900.00 197.000. 00 197.000. 00 199.400.00 199.400.00 200 . 100.00 201 , 100.00 201 , 100.00 201 , 100.00 201 , 100.00 201 , 100.00 201 , 100.00 201 , 200.00 170,900.00 170.900.00 167.100.00 148.400.00 122.600.00 122.900.00 113.100.00 113,100.00 113.100.00 113.300.00 102.600.00 101.900.00 102.000. 00 103,(600.00 103.600.00 103,600.00 103.600.00 106.100.00 106.500.00 106.600.00 20 REPORT OF SPECIAL COMMITTEE 1903. — Continued. October 16 , $ 127,500.00 October 17 127^500.00 October 18 127,500.00 October 19 141,900.00 October 20 141,900.00 October 21 111,900.00 October 22 . . 78,600.00 October 23: •• \ . 78,600.00 October 24 • 59,700.00 October .25 5<9,:700.00 October 26 55,100.00 October 27 55,100.00 October 28 4 99,800.00 October 29 100,700.00 October 30 23,600.00 October 31 14,600.00 November 1 14,600.00 November 2 14,900.00 November / 3 ' 45,000.00 November 4 46,700.00 November 5 46,700.00 November 6 46,700.00 November 7 46,700.00 November 8 46,700.00 November 9 101,900.00 November 10 103,000.00 November 11 - 86,500.00 November 12 86,500.00 November 13 86,500.00 November 14 18,800.00 November 15 18,800.00 November 16 18,800.00 November 17 18,800.00 November 18 18,900.00 November 19 18,900.00 November 20 19,900.00 November 21 19 900 00 November 22 ’ ‘ ‘ ‘ .' ." 19,900.00 N/ovember 23 19,900.00 November 24 19,900.00 November 25 19,900.00 November ,26 19,900.00 November 27 20,000.00 November 28 21,000.00 November 29 20|l00.00 November 30 81,900.00 December 1 81,900.00 December 2 81,900.00 December 3 81,900.00 December 4 81,900.00 December 5 103,800.00 December 6 •• .*... 103,800.00 December 7 104,300.00 December 8 t 104,300.00 December 9 104,300.00 December 10..-. 110,100.00 December 11 110,100.00 December 12 110,809.00 REPORT OF SPECIAL COMMITTEE 21 1903. — Continued. December 13. . December 14. . December 15. . December 16. . December 17. . December 18. . December 19. . December 20. . December 21.. December 22. . December 23. . December 24. . December 25. . December 26. . December 27. . December 28. . December 29.. December 30. . December 31. . 110,800.00 110,800.00 111,500.00 111,500.00 43,500.00 43,500.00 43,500.00 43,500.00 43.500.00 44.200.00 50,000.00 50,000.00 50,000.00 50.000. 00 53.500.00 17.000. 00 17.000. 00 24.300.00 50.000. 00 1904. January January 1 2 . ..$ 24,300.00 24,700.00 January 3 24,700.00 January 4 24,700.00' January 5 25,500.00 January 6 25,600.00 January 7 27,600.00 January 8 January 9 84,900.00 January 10 84,900 00 January 11 January 12 January 13 January 14 98 900 00 January 15 January 16 January 17 January 18 January 19 January 20 January 21 January 22 January 23 January 24 January 25 . . . 157,300.00 January 26 January 27 . .. 159,200.00 January 28 January 29 . .. 116,000.00 January 30 212 700 00 January 31 . . . 212,700.00 February 1 . . . 212,700.00 February 2 February 3 22 REPORT OF SPECIAL COMMITTEE February 4 February 5 February 6 February 7 February 8 February 9 February 10 February 11 February 12 February 13 February 14 February 15 February 16 February 17 February 18 February 19 February 20 February 21 February 22 February 23 February 24 February 25 February 26 February 27 February 28 February 29 March 1 March 2 March 3 March 4 March 5 March 6 March 7 March 8 March 9 March 10 March 11 March 12 March 13 March 14 March 15 March 16 March 17 March 18 March 19 March 20 March 21 March 22 March 23 March 24 March 25 March 26 March 27 March 28 March 29 March 30 March 31 April 1 . 1904. — Continued. $ 424, 700.00 82,200.00 84,800.00 84,800.00 84.800.00 89.600.00 92.800.00 93.300.00 93,300.00 93,300.00 93.300.00 99.300.00 99,300.00 99.300.00 96.600.00 96.600.00 97.900.00 97,900.00 97,900.00 97.900.00 98.100.00 433.700.00 436.700.00 437,000.00 437,000.00 378.900.00 172.600.00 202 . 100.00 202,600.00 202,600.00 203,700.00 203,700.00 203.700.00 203.800.00 203.800.00 205.800.00 181.200.00 144,900.00 144.900.00 141.200.00 141.300.00 141.500.00 141,500.00 141.500.00 141.600.00 141,600.00 141.600.00 142.300.00 142,300.00 142,300.00 142,300.00 142,300.00 142.300.00 143.300.00 143.300.00 462.600.00 462.800.00 477.200.00 REPORT OF SPECIAL COMMITTEE 23 1904. — Continued. April 2 April 3 April 4 April 5 April 6 April 7 April 8 April 9 April 10 April 11 April 12 April 13 April 14 April 15 April 16 April 17 April 18 April 19 April 20 April 21 April 22, April 23, April 24. April 25. April 26, April 27. April 28. April 29. April 30. May 1. May 2. . May 3. May 4. . May 5. . May 6. . May 7. . May 8. . May 9. . May 10. . May 11. . May 12. . May 13. . May 14. . May 15. . May 16. . May 17. . May 18. . May 19. . May 20. . May 21. . May 22. . May 23. . May 24. . May 25.. May 26. . May 27. . May 28. . May 29. . 164,400.00 164.400.00 164.700.00 164.700.00 164.700.00 165.900.00 165.900.00 166.800.00 166,800.00 172.000. 00 172.400.00 172.500.00 172.900.00 174.600.00 173.800.00 173.800.00 173.700.00 151.400.00 123.900.00 123,91)0.00 123.900.00 126.300.00 126.300.00 127.500.00 129.100.00 129.100.00 130.700.00 130.700.00 309.400.00 309.400.00 309.500.00 316.600.00 317.000. 00 191.500.00 193.800.00 195.000. 00 195,000.00 195,000.00 195.300.00 195,300.00 195,300.00 195,300.00 195,300.00 195,300.00 195.300.00 164.100.00 164.100.00 165,500.00' 165.900.00 166.100.00 166.100.00' 166*100.00 166,100.00 166.300.00 166.400.00 166.600.00 148,600.00 148,600.00 24 REPORT OF SPECIAL COMMITTEE May 30. . . . ..$ 148,600.00 May 31. . . June 1. . . . .. 150,900.00 June 2. . . . • • 150,900.00 June 3. .. ... 150,900.00 June 4. . 151,000.00 June 5 . . . June 6. . • • 151 000 00 June 7. . . . . . 136’l00.00 June 8. . . 136 100 00 June 9. . . . . . 136,100.00 June 10. . . June 11. . . ... 184,000.00 June 12. . . 184 000 00 June 13. . . . . . 184,000.00 June 14. . . . • • 165 300.00 June 15. . . June 16. . . June 17. . . June 18. . . • • 167 300 00 June 19. . . June 20. . . June 21 . . . June 22. . . June 23. . . June 24. . . June 25. . . June 26 . . . June 27 . . . June 28. . . June 29. . . June 30. . . July 1 . . . July 2. . . July 3. . . July 4. . . July 5 . . . July 6. . . 167 700 00 J uly 7. . . July 8. . . 169 200 00 July 9. . . . . . 170.600,00 July 10... . . . 170.600.00 Julv 11. . . • July 12. . . ... . 151,600.00 July 13 . . . . . . 151,9^0.00 July 14. . . ... 151.300.00 July 15 . . . . . . 155.800.00 July 16. . . . . . 158,600.00 July 17. . . . . . 158,600.00 July 18. . . . . . 158,600.00 July 19 . . . 147,000.00 July 20. .. . . . 150,900.00 July 21... . . . 150,900.00 July 22. . . . . . 150,900.00 July 23. . . . . . 151,000.00 July 24. . . ... 151,000.00 July 25... . . . 151,000.00 July 26. . , ... 151,000.00 REPORT OF SPECIAL COMMITTEE 25 1904. — Continued. July 27 July 28 July 29 July 30 July 31 August 1 August 2 August 3 August 4 .... . August 5 August 6 August 7. . . . . August 8 August 9 August 10 August 11 August 12 August 13 August 14 August 15 August 16 August 17 August 18 August r9 August 20 August 21 August 22 August 23 August 24 August 25 August 26..... August 27 August 28 August 29 August 30 August 31 September 1. September 2 . September 3. September 4. September 5. September 6. September 7. September 8. September 9 . September 10. September 11 . September 12. September 13. September 14. September 15. Septembber 16 September 1?. September 18. September 19 . September 20. September 21 . September 22 . $ 151,000.00 155.300.00 155.600.00 168.100.00 168,100.00 143,000.00 143,000.00 143,000.00 • 143,000.00 143,000.00 143,000.00 143,000.00 138,800.00 138.800.00 142.500.00 142.500.00 . . 142,500.00 145.200.00 145,200.00 145.200.00 145.700.00 135.200.00 121.900.00 121,900.00 121,900.00 121.900.00 122 . 200.00 122 , 200.00 122 , 200.00 122 , 200.00 122 , 200.00 122 , 200.00 122 , 200.00 30.800.00 19.800.00 15.800.00 14.700.00 10 . 100.00 10 , 100.00 10 , 100.00 10 , 100.00 10 , 100.00 10.300.00 10.400.00 16.700.00 7,400.00 7.400.00 6.800.00 6.900.00 5.100.00 6.100.00 3,900 00 6,200.00 6,200.00 7.500.00 7.700.00 4.700.00 5.900.00 26 REPORT OF SPECIAL COMMITTEE 1904. — Continued. September 23'. . . . September 24.... September 25.... September 26.... September 27.... September 28.... September 29.... September 30. . - • . ..$ 5,900.00 5,900.00 5,900.00 14.500.00 14.700.00 14,700.00 14 700 00 October 1 14,900.00 October 2 October 3 . . . 14,900.00 October 4 ...... . October 5 October 6 October 7 October 8 October 9 October 10 October 11 October 12 October 13 October 14 October 15 October 16 October 17. October 18 October 19 si’snnnn October 20 October 21 October 22 21 000 00 October 23 oi’nnnnn October 24 - October 25 October 26 oo’vnn nn October 27 October 28 October 29 October 30 October 31 November 1 4 500 00 November 2 November 3 November 4 4 500 00 November 5 53^600.00 November 6 . . 53 600 00 November 7 November 8 77,300.00 November 9 77,700.00 November 10 November 11.... November 12 4,200.00 November 13 4,200.00 November 14. . . . 4,700.00 November 15 20,800.00 November 16 20,900.00 November 17 November 18 November 19 35,000.00 REPORT OF SPECIAL COMMITTEE 27 1904. — Continued. $ 35,000.00 52,500.00 67,000.00 51,800.00 51,800.00 52,200.00 52,300.00 52,300.00 ....... 52,300.00 53,400.00- 53,400.00 53,500.00 67,100.00 71,500.00 • • 71,500.00 73,200.00 • • 73,200.00 74/700.00 747900.00 20,200.00 • 82,600.00 82,600.00 • • 83,900.00 84,000.00 • 11,600.00 12,200.00 • • 24,200.00 27,000.00 • 27,000.00 27,100.00 ...••• 28,600.00 28,600.00 28,600.00 28,700.00 28,700.00 28,700.00 28,700.00 8,000.00 • • 75,400.00 75,400.00 75,600.00 86,000.00 Total daily balances for 1903, $99,245,900.00, divided by 365 days, gives an average daily balance of $271,906.00 on which the state received no interest. If the same had been deposited in state deposi- tories it would have earned for the state at three per cent $8,157.18. Total daily balances for 1904, $41,414,300.00, divided by 365 days gives an average daily balance of $113,463.00 on which the state received no interest. If the same had been deposited in state deposi- tories it would have earned for the state at 3 per cent $3,403,89. As can be readily seen, the state lost $11,561.07 interest on account of such large items purported to be carried as cash on hand. It has been impossible for your committee to ascertain just what the immense daily balances consisted bf, as there are no records on file November 20 November 21. November 22. November 23. November 24. November 25. November 26. November 27. November 28 . November 29. November 30. December 1 . December 2. December 3 . December 4. December 5 . December 6.. December 7. December 8.. December 9. December 10.. December 11.. December 12 . . December 13.. December 14.. December 15 . . December 16.. December 17.. December 18.. December 19.. December 20.. December 21 . . December 22.. December 23.. December 24.. December 25.. December 26.. December 27. . December 28 . . December 29.. December 30.. December 31.. 28 REPORT OF SPECIAL COMMITTEE in the office covering these particular transactions, but it is our judgment that it was not actual cash, but consisted chiefly of cer- tificates of deposit, cashier’s checks and bank drafts representing over deposits in various banks. Your committee visited the Citizens State Bank of Langdon for the purpose of verifying as far as possible the various items reported as cash on hand. We found that on May 15, 1903, $90,000.00 of state money was forwarded to the Citizens State Bank of Langdon. This sum appears on the bank books to the credit of “H. F. Baker. Special.” Mr. Baker was at that time assistant cashier of said bank. On May 20, 1903, this account was charged off and the following drafts were drawn on the Northwestern National Bank of Minne- apolis, payable to D. H. McMillan : Draft No. 28891 $10,000.00 Draft No. 28892 ■ 10,000.00 Draft No. 28893 10,000.00 Draft No. 28894 10,000.00 Draft No. 28895. 10,000.00 Draft No. 28896 10,000.00 Draft No. 28897... 10,000.00 Draft No. 28898 10,000.00 Total .$80,000.00 Also on May 20, 1903, there appears on the books of the Citizens State Bank of Langdon, a special deposit of $10,000.00 to the credit of D. H. McMillan, treasurer, making a total of $90,000.00, exclus- ive of the regular account of the State of North Dakota. This special deposit of $10,000.00 remained to the credit of D. H. McMillan until August, 1903, when it was credited to the regular account of the State of North Dakota. Draft No. 28891, for $10,000.00, was retained in the possession of D. H. McMillan until October 3, 1903, on which date it was credited to the regular account of the state. Draft No. 28892, for $10,000.00, was handled in the same manner until October 8th, 1903. Draft No. 28894, for $10,000.00, was handled in the same manner until October 28, 1903. Drafts No. 28896, 28897 and 28898, for $10,000.00 each, were carried by D. H. McMillan until October 21st, 1903-, at which time they were deposited in the First National Bank of Bismarck to the credit of the state. Draft No. 28895, for $10,000.00, was used on October 29th, 1903, and forwarded to the Commercial National Bank of Chicago in part payment of the redemption of bonds against the state. REPORT OF SPECIAL COMMITTEE 29 Draft No. 28893, for $10,^000.00, was on November 3, 1903, deposited in the First National Bank of Fargo to the credit of the state. This verifies our former conclusion that the cash items carried by State Treasurer McMillan were in part time certificates, bank drafts and cashier’s checks. The above drafts total $90,000.00 and are only a small part of the cash items carried, as Mr. McMillan admitted that there were trans- actions of a similar nature with other banks. The interest on this item alone amounts to $1,125.00. It is need- less to add that the state received no interest on the above trans- action. 1905. January 1 January 2 January 3 January 4 January 5 January 6 January 7 January 8 January 9 January 10 January 11 January 12 January 13 January 14 January 10 * January 16 January 17 January 18 January 19 January 20 January 21. . . . . . January 22 ». . . January 23 January 24 January 25 January 26 January 27 January 28 January 29 January ;30 January 31 February 1 February 2 February 3 February 4 February 5 February 6 February 7... February 8 February 9 February 10 $ 86,000.00 90,700.00 90.700.00 551,100.00 551.100.00 553.100.00 553.100. 00 504.600.00 102,000.00 93.500.00 94.800.00 17.200.00 4,800.00 4.800.00 7,000.00 7.800.00 8 . 100.00 10.500.00 2.700.00 5.300.00 5.300.00 4,60-0.00 4.900.00 5.200.00 5.300.00 4.100.00 2,900.0'0 2.900.00' 553.500.00 1.500.00 1,500.00 1,500.00 1.500.00 4.900.00 36.700.00 36.700.00 37.400.00 37,400.00 37.400.00 86.900.00 38,000.00 30 REPORT OF SPECIAL COMMITTEE 1905. — Continued., February 11 . February 12. February 13 . February 14 . February 15 . February 16. February 17. February 18. February 119. February 20. February 21. February 22 . February 23 . February 24. February 25 . February 26. February 27. February 28. March 1 March 2 March 3 March 4 March 5 March 6 March 7 March 8 March 9 March 10 March 11 March 12 March 13 March 14 March 15 March 16 March 17 March 18 March 19 March 20 March 21 » March 22. ...... . March 23 March 24 March 25 March 26 March 27 March 28 March 29 March 30 March 31 April 1. April 2 April 3 April 4 April 5 April 6 April 7 April 8 April 9 $ 47,800.00 47.800.00 38.500.00 40.000. 00 33.000. 00 33.000. 00 2 , 000.00 2 , 100.00 2 , 100.00 * 1,600.00 2 , 100.00 2 , 100.00 2 , 100.00 2,800.00 2,900.00 2.900.00 1.800.00 2,100.00 9.200.00 11,800.00 13,600.00 13,600.00 13.600.00 25.500.00 1.400.00 1.400.00 1.500.00 1.500.00 1.300.00 1,300.00 284,800.00 1,300.00 1.300.00 2.300.00 1.900.00 1.400.00 1.400.00 1.500.00 1.600.00 1,600.00 2.000. 00 2,100.00' 1,200.00 1,200.00 5.000. 00 4.400.00 500.00 500.00 500.00 9.000. 00 9,000.00 9.400.00 300.00 400.00 600.00 1.700.00 1,700.00 1,700.00 REPORT OF SPECIAL COMMITTEE 31 1905. — Continued. April 10. April 11. April 12. April 13. April 14. April 15. April 16. April 17. April 18. April 19. April 20. April 21. April 22. April 23. April 24. April 25. April 26. April 27. April 28. April 29. April 30. May 1. . May 2. . May 3. . May 4. . May 5. . May 6. . May 7 . . May 8. . May 9. . May 10. . May 11. . May 12. . May 13. . May 14. . May 15. . May 16. . May 17. . May 18. . May 19. . May 20.. May 21. . May 22. . May 23. . May 24. . May 25. . May 26.. May 27.. May 28. . May 29. . May 30. . May 31. . Jun*e 1 . June 2. June 3. June 4. .Tune 5 . June 6. 600.00 1.400.00 2.400.00 2.500.00 2.500.00 800.00 800.00 1.300.00 1 . 200.00 3.300.00 1.200.00 1,200.00 1,200.00 1,200.00 1.900.00 2.400.00 3.500.00 5.400.00 1 . 200.00 300.00 300.00 2.500.00 10,400.00 800.00 1.900.00 3.400.00 900.00 900.00 1 . 200.00 1 , 200.00 1.500.00 1.600.00 2,100.00 5,500.00 5.500.00 6.500.00 6.900.00 6.900.00 800.00 1.300.00 1,300.00 1.300.00 1.500.00 1.500.00 1.300.00 1.900.00 2.000. 0U 2 . 000 . 00 2.000. 0U 2.000. 00 2,000.00 600.00 1,100., 00 2 . 200.00 2.500.00 2*500.00 2,5)00.00 3.500.00 32 REPORT OF SPECIAL COMMITTEE 1905. — Continued. June 7. June 8 June 9 June 10 June 11 June 12 June 13 June 14 June 15 June 16 June 17 June 18 June 19 June 20 June 21 June 22 June 23 June 24 June 25 June 26 June 27 June 28 June 29 June 30 July 1 . July 2. July 3. July 4. July 5. July 6. July -7. July 8. July 9. July 10. July 11. July 12. July 13. July 14. July 15. July 16. July 17. July 18. July 19. July 20. July 21. July 22. July 23. July 24. July 25. July 26. July 27. July 28. July 29. July 30. July 31. August August August 900.00 900.00 1,200.00 1,400.00 1,400.00 1.400.00 1. 500.00 1.500.00 1.000. 00 1.000. 00 5.400.00 5.400.00 5.700.00 6.600.00 600.00 800.00 1.900.00 900.00 900.00 1.700.00 1.300.00 1.400.00 1.900.00 3.600.00 4.900.00 4.900.00 8.100.00 8,100.00 11.900.00 13.900.00 10.900.00 8,400.00 8.400.00 9.300.00 6.400.00 2.800.00 2.400.00 3,100.0u 5.600.00 5.600.00 3.800.00 8.700.00 6.900.00 6.300.00 8.600.00 3.100.00 1 . 100.00 1,600.00 21.600.00 1,000.00 1,000.00 2,800.00 1.100.00 1.100.00 900.00 600.00 900.00 1,100.00 REPORT OF SPECIAL COMMITTEE 33 1905. — Continued. August 4 August 5. August 6, August 7. August 8. August 9. August 10. August 11. August 12. August 13. August 14 August 15. August 16. August 17. August 18. August 19. August 20. August 21. August 22. August 23. August 24. August 25. August 26. August 27. August 28. August 29. August 30. August 31. September 1 September 2 September 3 September 4 September 5 September 6 September 7 September 8 September 9 September 10 September 11 September 12 September 13 September 14 September 15 September 16 September 17 September 18 September 19 September 20 September 21 September 22 September 23 September 24 September 25 September 26 September 27 September 28 September 29 September 30 1,200.00 1,400.00 1.400.00 2.900.00 2.900.00 6 . 200.00 7,000.00 7.000. 00 2,700.00 2.700.00 4,400.00' 1.400.00 1.600.00 1,500.00 1.500.00 1.700.00 1.700.00 2 000.00 2.100.00 2,100.00 1.500.00 1.300.00 900.00 900.00 1.500.00 1 . 200.00 10,600.00 900.00 1,200.00 1,200.00 1,200.00 3.300.00 1 . 100.00 1,800.00 1,800.00 1,700.00 1,700.00 1.700.00 2 400.00 2.400.00 2.600.00 1,200.00 1,400.00 1,400.00 1.400.00 1.600.00 2.000. 00 1,700.00 1.700.00 3.300.00 2.400.00 2.400.00 1,000.00 1.500.00 1.600.00 1.500.00 1.700.00 1.400.00 34 REPORT OF SPECIAL COMMITTEE 1905 .—Continued . October 1 October 2 October 3 October 4 October 5 October 6. October 7 October 8 October 9 October 10 October 11 October 12 October 13 October 14 October 15 October 16 October 17 October 18 October 19 October 20 October \21 October 22 October 23 October 24 October 25 October 26 October 27 October 28 October 29 October 30 October 31 November November November November November November November November 8 November 9 November 10 November 11 November 12 November 13 November 14 November 15 November 16 November 17 November 18 November 19 November 20 November 21 November 22 November 23 November 24 November 25 November 26 November 27 1.400.00 1 . 200.00 1,800.00 5.700.00 1 . 100.00 1.900.00 4.300.00 4.300.00 1.200.00 1,200.00 1,800.00 1,800.00 2,100.00 2,400.00 2.400.00 2.700.00 1 . 100.00 1 , 100.00 1. 100.00 1.200.00 1„200.00 1,200.00 1,200.00 1,200.00 1.400.00 1.500.00 1.900.00 1,900.00 1,900.00 1.900.00 36,300.00 9.800.00 -10,300.00 2.800.00 3,800.00 3.800.00 1.700.00 1,700.00 1.700.00 1.800.00 2,000.00 3,400.00 3.400.00 3.800.00 1.300.00 3.200.00 1.300.00 1.300.00 2.100.00 2,100.00 2.900.00 3,000.00 3.100.00 1,80-0.00 5.500.00 5,500.00 5.500.00 1.600.00 REPORT OF SPECIAL COMMITTEE 35 1905. — Continued. 1,400.00 1,400.00 1,000.00 2,300.00 December 3 l 2,300.00 2,400.00 December 5 2,400.00 5,600.00 December 7 6,700.00 3,300.00 December 9 4,200.00 December 10.. 4,200.00 December 11 3,700.00 December 12 December 13 3 ( ,500.00 December 14 3,200.00 December 15 3,100.00 December 16 December 17 2,200.00 December 18 December 19 " December 20 .... December 21 December 22 December 23 December 24 December 25 2,500.00 December 26 December 27 December 28 • 1,200.00 December 29 2,700.00 December 30 December 31 4,700.00 Total daily '.balances for 1905, $5,739,200.00, divided by 365 days, gives an average daily' balance of $15,7Q0.00 on which the state received ho interest. If the same had been deposited in the state depositories it would have earned for the state at 3 per cent $471.00. 1906.. January 1 January 2 January 3 January 4 January 5 January 6 January 7 January 8 January 9 January 10 January 11 January 12 $ 4,700.00 3.100.00 4.300.00 6.500.00 3.900.00 5.200.00 5.200.00 1.900.00 2 . 100.00 3.700.00 4.200.00 5.200.00 36 REPORT OF SPECIAL COMMITTEE January 13. . January 14.. January 15.. January 16.. January 17.. January 18.. January 19.. January 20.. January 21.. January 22 . . January 23. . January 24.. January 25 . . January 26. . January 27. . January 28.. January 29. . January 30.. January 31.. February 1 . February 2 . February 3. February 4. February 5 . February 6. February 7. February 8 February 9 . February 10. February 11. February 12. February 13. February 14. February 15. February 16. February 17. February 18. February 19. February 20. February 21 . February 22 . February 23. February 24. February 25 . February 26. February 27. February 28 . March 1 . . . . March 2 . . . . March 3. . . . March 4. . . . March 5.... March 6. . . . March 7. . . . March 8 . . . . March 9 . . . . March 10. . . . March 11 ... . 1906. — Continued. $ 5,300.00 5.300.00 9.700.00 8.300.00 12.300.00 11.400.00 13.600.00 15,000.00 15.000. 00 11 . 100.00 11 , 100.00 12.000. 00 12.900.00 10.900.00 7.800.00 7.800.00 8,000.00 4.500.00 1 . 100.00 1.700.00 2 . 100.00 2,500.00 2.500.00 3.000. 00 1.900.00 7.200.00 2.000. 00 2.500.00 403,600.00 403,600.00 403.600.00 404.800.00 3.800.00 4.600.00 1.700.00 2.300.00 2.300.00 3.600.00 1.700.00 3.500.00 3.500.00 3.600.00 1.700.00 1,700.00 1,700.00 1.700.00 2.500.00 1 . 100.00 1.500.00 1.600.00 1,600.00 2,900.00 2.900.00 6.400.00 1.500.00 1,300. 0^' 1.300.00 1,300.00 REPORT OF SPECIAL COMMITTEE 37 1906. — Continued. March 12 March 13 March 14 March 15 March 16 March 17 March 18 March 19 Marc a 20 March 21 March 22 March 23 March 24 March 25 March 26 March 27 March 28 March 29 March 30 March 31 April 1 April 2 April 3 . April 4 April 5 April 6 April 7 April 8 April 9 April 10 April 11 April 12 April 13 April 14..* April 15 April 16 April '17 April 18 April 19 April 20 April 21 April 22 April 23 • • April 24 April 25 April 26 April 27 ' April 28 April 29 April 30 • • May 1 May 2 May 3 May 4 May 5 May 6 May 7 May 8 $ 2,500.00 1,600.00 1,800.00 35.800.00 36.300.00 2.500.00 2.500.00 2.500.00 2.500.00 2.600.00 2 , 000.00 159,600.00 2,200.00 2,200.00 87.500.00 3.400.00 3.500.00 3,500.00 3.500.00 3.300.00 3.300.00 3.700.00 3.300.00 3.400.00 4.700.00 4,700.00 4,700.00 4.700.00 4.800.00 16,600.0'U 1 16.300.00 1.800.00 1,400.00 1.400.00 2,500.0U 2.500.00 3.800.00 3.800.00 1,900.0U 2,000.00 2 . 100.00 2,100.00 2,200.00 3.300.00 9 . 400. 00 2.400.00 2.300.00 2.300.00 3.000. 00 1.600.00 1.700.00 2.300.00 2.500.00 2,500.00 2,500.00 2.500.00 2.000. 00 5.100.00 38 REPORT OF SPECIAL COMMITTEE t 1906. — Continued. May 9. May 10. May 11. May 12. May 13. May 14. May 15. May 16. May 17. May 18. May 19. May 20. May 21. May 22. May 23. May 24. May 25. May 26. May 27. May 28. May 29. May 30. May 31. June 1 June 2 June 3 June 4 June 5 June 6 June 7 June 8 June 9 June 10 June 11 June 12 June 13 June 14 June .15 June 16 June 17 June 18 June 19 June 20 June 21 June 22 June 23 June 24 June 25 June 26 June 27, June 28 June 29 June 30 July 1 . July 2. July 3. July 4- July 5 . 5.100.00 2,000.00 2.700.00 4.100.00 4 100.00. 9.300.00 9.900.00 2.500.00 2.700.00 2.800.00 2,800.00 2,800.00 2,800.00 3,000.00 3,000.00 3,000.00 3,000.00 3,300.00 3.300.00 3.900.00 3,900.00 3.900.00 2.400.00 6.100.00 6,100.00 6,100.00 7.600.00 1.900.00 1.900.00 7.100.00 5.300.00 5,300.00 5,300.00 5.300.00 5.900.00 9.300.00 9.400.00 5.400.00 3.800.00 3,800.00 3.800.00 4.200.00 3.900.00 3.900.00 2.600.00 2,600.90 2,600.00 1.700.00 2.500.00 5.800.00 4.400.00 4.400.00 29,300.00 29,300.00 2.900.00 . 6 , 100.00 6 . 100.00 1,800.00 REPORT OF SPECIAL COMMITTEE 39 1906. — Continued. July 6 July 7. July 8 July 9. July 10 July 11 July 12 July 13 July 14 July 15 July 16 July 17 July *18, July 19 July 20 July 21 July 22 July 23 July 24 July 25 July 26 July 27 July 28 July 29 July 30 July 31 August 1 August 2 August 3 August 4 August 5 August 6, August 7. August 8 August 9. August 10 August 11 August 12 August 13 August 14 August 15 August 16 August 17 August 18 August 19 August 20 August 21 August 22 August 23 August 24 August 25 August 26 August 27 August 28 August 29 August 30 August 31 % 7.400.00 5.700.00 5.700.00 2.500.00 9.400.00 11,600.00 14.500.00 15.300.00 5.500.00 5.500.00 5.300.00 2 . 100.00 1.700.00 4.400.00 7.400.00 10.700.00 10.700.00 108,600.00 15.500.00 5.900.00 10 . 100.00 10.300.00 11.800.00 11,800.00 13,000.00 6.300.00 4.000. 00 2.700.00 3.400.00 3.100.00 3.100.00 2.500.00 2,300 00 7.100.00 2 . 100.00 2.000. 00 2,300.00 2.300.00 2.600.00 8.700.00 24,800.00 24,800.00 2,000.00 2,000.00 2,000.00 2.400.00 5.500.00 5.800.00 2.800.00 2,100.00 . 2,200.00 2,200.00 3.700.00 3.100.00 2.300.00 4.900.00 1.900.00 40 REPORT OF SPECIAL COMMITTEE “ 1906. — Continued. September 1 September 2 September 3 September 4 September 5 September 6 September 7 September 8 September 9 September 10 September 11 September 12 September 13 September 14 September 15 September 16 September 17 September 18 September 19 September 20 September 21 September 22 September 23 September 24 September 25 September 26 September 27 September 28 September 29 September 30 October 1 October 2 October 3 October 4 October 5 October 6 October 7 October 8 October 9 October 10 October 11. October 12 October 13. October 14. October 15. Otctober 16 October 17. OctoDer 18. October 19. October 20. October 21. October 22. October 23. October 24. October 25 . October 26. October 27. October 28. 1,700.00 1.700.00 1.800.00 2,000.00 2,500.00 2.500.00 2.700.00 3.300.00 3,300.UU 3.400.00 1.600.00 1,600.00 8,100.00 1,600.00 1,600.00 1,600.00 1.900.00 1.600.00 2,100.00 2,100.00 2.300.00 3.000. 00 1.600.00 1,600.00 2.000. 00 2,000.00 2.300.00 2.400.00 2.100.00 2,100.00 2,600.00 1,600.00 1,800.00 1,800.00 1,900.00 1,900.00 1.900.00 2.000. 0u 3.000. 00 3,000.00 1.700.00 1.700.00 1.800.00 1,800.00 4.800.00 1.700.00 1.800.00 38.500.00 12.500.00 12,500.00 12,500.00 12.500.00 12.800.00 12,800.00 1,800.00 1,800.00 1,800.00 1,800.00 REPORT OF SPECIAL COMMITTEE 41 1906. — Continued. October 29 $ 1,900.00 October 30 29,500.00 October 31.... 1,700.00 1 2,500.00 2 3,800.00 3 85,100.00 Nnvpm h-p.r 4 85,100.00 November 5 ' 85,800.00 6 3,000.00 7 3,000.00 8 3,400.00 November 9 1,200.00 Nnvfimhftr 10. . 1,600.00 November 11 1,600.00 November 12 1,600.00 November 13 1,6,00.00 Nnvftmhpr 14 2,100.00 November 15 1,500.00 November 16 2,100.00 November 17 3,100. .00 November 18 3,100.00 November 19 2,400.00 November 20 5,400.00 November 21 5,500.00 November 22 5,600.00 November 23 6,500.00 November 24 9,000.00 November 25 9,000.00 November 26 3,100.00 November 27 . . 2,200.00 November 28 ... 2,200.00 November 29 2,200.00 November 30 3,000.00 December 1 2 700 00 December 2 2 700 Ou December 3 4,200.00 December 4 8,800.00 December 5 1,900.00 December 6 2,800.00 December 7 3 100 00 December 8 3,100 00 December 9 3,100.00 December 10 1,800.00 December 11 2,300.00 December 12 1,700.00 December 13 1,800.00 December 14 1,900.00 December 15 4,600.00 December 16 4,600.00 December 17 6,700.00 December 18 2,100.00 December 19 2,900.00 December 20 ^ . 8,100.00 December 21 2,100.00 December 22 2,100.00 December 23 2,100.00 December 24 6,000.00 December 25 6,000.00 42 REPORT OF SPECIAL COMMITTEE 1906. — Continued. December 26 $ Decenlber 27 December 28 December 29 December 30. December 31 7.100.00 1.300.00 1.400.00 33,900.00 33,900.00 1,400.00 Total daily balances for 1906, $3,977,500.00, divided 'by 365 days gives an average daily balance of $10,897.00 on which the state received no interest. If the same had been deposited in state depositories it would have earned for the state at 3 per cent $326.91. 1907. January 1 January 2 ....$ 1,400.00 600 00 January 3 6,800.00 January 4 January 5 January 6 1,000.00 January 7 6 900 00 January 8 January 9 January 10 January 11 6,400.00 January 12 1,600.00 January 13 1 600 00 January 14 1,700.00 January 15 2,800 00 January 16 January 17 1,400.00 January 18 l,400.0u January 19 January 20 1,400.00 January 21 6 700 00 January 22 - ' 20*200.00 January 23 20,600.00 January 24 9,600.00 January 25 ; 7,900.00 January 26 6,700.00 January 27. . . 6 700 00 January 28 6*500.00 January 29 5,900.00 January 30. ... • January 31 800.00 February 1 , 3,000.00 February 2 1,400.00 February 3 1,400.00 February 4 1,400.00 February 5 2,000.00 February 6.. 2,600.00 February 7 11,800.00 February 8 1,400.00 February 9 1,800.00 February 10 REPORT OF SPECIAL COMMITTEE 43 1907. — Continued. February 11 $ 4,700.00 February 12 4,700.00 February 13 5,700.00 February 14 6,500.00 February 15 .'i .:.... 21,600t00 February 16 21,800.00 February 17 21,800.00 February 18 25,800.00 February 19 4,200.00 February 20 5,500.00 February 21 5,600.00 February 22 5,600.00 February 23 4,300.00 February 24 7,100.00 February 25.... 2,300.00 February 26 2,300.00 February 27 2,300.00 February 28 •• 1,000.00 March 1 2,200.00 March 2 3,700.00 March 3 ,, 3,700.00 March 4 4,100.00 March 5... > 3,700.00 March 6 23,800.00 March 7 24,300.00 March 8 24,200.00 March 9 " 24,200.00 March 1i0 24,200.00 March 11 12,100.00 March 12 10,100.00 March 13 10,200.00 March 14 : 10,400.00 March 15 10,400.00 March 16 10,500.00 March 17 10,500.00 March 18 9,700.00 March 19 1,600.00 March 20 1,700.00 March 21 1,800.00 March 22 1,900.00 March 23 2,200.00 March 24 2,200.00 March 25 • 3,100.00 March 26 3,600.00 March 27 .' 4,000.00 March 28 5,300.00 .March 29 5,600.00 March 30 5,800.00 March 31 5,800.00 April 1 11,500.00 April 2 69,200.00 April 3..... 69,700.00 April 4 5,700.00 April 5 6,000.00 April 6 6,000.00 April 7 6,000.00 April 8 6,200.00 April 9 5,500.00 44 REPORT OF SPECIAL COMMITTEE 1907. — Continued. April 10. April 11. April 12. April 13. April 14. April 15. April 16. April 17. April 18. April 19. April 20. April 21. April 22. April 23. April .24. April 25. April 26. April 27. April 28. April 29. Aprn 30. May 1. . May 2. . May 3.. May 4. . May 5 . . May 6. . May 7 . . May 8.. May 9. . May 10. . May 11. . May 12. . May 13. . May 14. . May 15. . May 16. . May 17. . May 18. . May 19. . May 20. . May 21. . May 22. . May 23. . May 24. . May 25. . May 26. . May 27. . May 28. . May 29. . May 30. . May 31. . June 1. June 2. . June 3. June 4. June 5 . , June 6. . 1.400.00 700.00 800.00 900.00 900.00 1.900.00 900.00 7.700.00 9.200.00 10,000.00 800.00 800.00 1.300.00 3.900.00 4.000. 00 2.500.00 1 . 100.00 2,200.00 2,200.00 2.300.00 2.500.00 3.000. 00 4.300.00 4.300.00 4.600.00 4.600.00 2 . 200.00 2.300.00 29.200.00 32.800.00 32.800.00 3.100.00 3.100.00 6.000. 00 6,000.00 15.900.00 16.200.00 10,000.00 2.700.00 2,700.00 2.700.00 3.600.00 4.500.00 4.500.00 4,500.00 4.500.00 5.600.00 7.700.00 7.700.00 8,000.00 8,000.00 8.300.00 8.500.00 8.500.00 9.300.00 13.100.00 13.200.00 13,200.00 REPORT OF SPECIAL COMMITTEE 45 1907. — Continued. June 7 • • $ June 8 • • June 9 June 10 • • June 11 June 12 • • June 13 • • June 14 ....*. June 15 • • June 16 June 17 • • June 18 June 19 • • June 20 June 21 • • June 22 June 23 • • *....■ June 24 June 25 • • June 26 June 27 • • June 28 June 29 • • June 30 July 1 July 2 •• July 3 July 4 July 5 July 6 ... July 7 July 8 • • July 9 July 10 July 11 July 12 July 13 July 14 July 15 July 16 July 17 ■.....; July 18 July 19 July 20 July 21 July 22 July 23 . July 24 ...... July 25 July 26 July 27 July 28 -. July 29 July 30 July 31 August 1 August 2 August 3 14 , 200.(00 1 , 700.00 1 . 700.00 1 . 800.00 1 , 800.00 3 , 500.00 3 . 500.00 6 . 900.00 8,000.00 8,000.00 5 . 000 . 00 7 . 700.00 8 . 400.00 5 . 200.00 5 . 700.00 2 . 200.00 2,200.00 2 . 400.00 3 . 400.00 1 . 800.00 2 . 400.00 5 . 200.00 14 , 800.00 14 . 800.00 5 . 700.00 5 . 200.00 5 . 600.00 56 . 000 . 00 10 . 500.00 13 . 300.00 13 . 300.00 9 . 200.00 6 . 100.00 6 . 900.00 17 . 200.00 11 . 400 . 00 . 12.100.00 12,100.00 8 . 400 . 00 , 6 . 400.00 7 . 400.00 5 . 700.00 3 . 100.00 3 . 300.00 3 . 300.00 2 . 300.00 4 . 600.00 4 . 000 . 00 3 . 900.00 3 . 900.00 7 . 600.00 7 . 600.00 8.000. 00 8 . 400.00 8 . 900.00 9 . 500.00 5 . 600.00 7 . 000.00 46 REPORT OF SPECIAL COMMITTEE 1907. — Continued. August 4. August 5 . August 6. August 7. August 8. August 9. August 10. August 11. August 12. August 13, August 14. August 15 . August 16. August 17. August 18. August 19. August 20. August 21. August 22. August 23. August 24. August 25. August 26. August 27. August 28. August 29. August 30. August 31. September 1 . September 2. September 3. September 4. September 5. September 6. September 7. September 8. September 9. September 10. September 11. September 12. September 13. September 14. September 15. September 16. September 17. September 18. September 19. September 20. September 21. September 22. September 23. September 24. September 25. September 26. September 27. September 28. September 29. September 30. 7.000. 00 3.100.00 2.000. 00 2,000.00 3.300.00 3.400.00 5.300.00 5.300.00 4.200.00 5.100.00 1 . 200.00 1,800.00 19,700.00 1,500.00 1.500.00 1.300.00 1.700.00 2 . 100.00 3.100.00 2.300.00 2.500.00 2.500.00 5.600.00 5.200.00 1.700.00 3.500.00 2.300.00 2.700.00 2.700.00 3.200.00 3.200.00 6,000.00 10,000.00 5.200.00 1.600.00 1,600.00 4.400.00 2.700.00 3,000.00 4.700.00 3.000. 00 4.000. 00' 4.000. 00 2.400.00 4.100.00 4.000. 00 3.300.00 3.000. 00 3.700.00 3.700.00 2.100.00 2,100.00 2,100.00 2,100.00 7.100.00 8.300.00 8.300.00 2 . 100.00 REPORT OF SPECIAL COMMITTEE 47 1907. — Continued. October 1 $ 2,800.00 October 2 •• 3,200.00 October 3 3,500.00 October 4 v. 1,500.00 October 5 2,300.00 October 6.. ••.... 2,300.00 October 7 ? 1,500.00 October 8 •• - 2,600.00 October 9 2,900.00 October 10 1,400.00 October 11 •• 1,500.00 October 12 2,300.00 October 13 2,300.00 October 14 2,800.00 October 15 2,800^00 October 16 3,100.00 October 17 : 3,800.00 October 18 3,900.00 October 19 3,500.00 October 20 3,500.00 October 21 3,600.00 October 22 3,600.00 October 23 3,600.00 October 24 3,600.0U October 25 1,700.00 October 26 1,700.00 October 27 • • 1,700.00 October 28 1,700.00 October 29 1,700.00 October 30 3,700.00 October 31 4,300.00 November 1 4,300.00 November 2....-- 4,600.00 November 3 4,600.00 November 4 29,800.00 November 5 3,800.00 November 6. . • • 4,000.00 November 7 4,000.00 November 8 12,200:00 November 9 12,400.00 November 10, . • • 12,400.00 November 11 4,000.00 November 12 3,800.00 November 13 1,900.00 November 14 • • 2,400.00 November 15 2,400.00 November 16 2,900.00 November 17 2,900.00 November 18 2,900.00 November 19 3,000.00 November 20 • • 3,200.00 November 21 3,800.00 November 22 2,100.00 November 23 2,100.00 November 24...-. 2,100.00 November 25 2,100.00 November 26 2,200.00 November 27 2,200.00 48 REPORT OF SPECIAL COMMITTEE 1907. — Continued. November 28 November 29 November 30 December 1 December 2 •• * December 3 December 4 December 5 . . . • • December 6 December 7 . December 8 December 9 • • December 10 December 11 December 12 December 13 December 14 December 15 December 16 December 17 December 18 December 19 December 20 December 21 December 22 December 23 December 24 •• December 25 December 26 December 27 •• December 28 December 29 December 30 December 31 $ 2,300.00 2,300.00 2,300.00 2.300.00 4.400.00 4.900.00 7.400.00 3.200.00 3.800.00 3,800.00 3.800.00 73.800.00 4.600.00 1.900.00 174,400.00 174,400.00 174,400.00 174.400.00 119.700.00 119.800.00 119.800.00 120.900.00 70.900.00 71.300.00 71.300.00 72.400.00 70.700.00 70,700.00 70.700.00 70.600.00 70,000.00 70,600.00 1.800.00 2,200.00 Total daily balances for 1907, $4,037,300.00, divided by 365 days gives an average daily balance of $11,061.00, on which the state received no interest. If the same had been deposited in state depositories it would have earned for the state at 3 per cent $331.83. January 1 January 2 January 3 January 4 January 5 January 6 January 7 January 8 January 9 January 10 January 11 January 12. January 13 January 14. 1908. 1.800.00 6.500.00 7,000.00 7.300.00 7.300.00 7.200.00 2 . 100.00 2,600.00 8,800.00 10.400.00 12 , 000.00 7.500.00 7.600.00 11.300.00 REPORT OF SPECIAL COMMITTEE 49 1908. — Continued. January 15... $ January 16 • • ^ January 17 January 18 • • January 19 January 20 • • January 21 January 22 • January 23 January 24 • • January 25 • • January 26 - January 27 • • January 28 January 29 • • January 30 January 31 February 1 . February 2. February 3. February 4. February 5. February 6. February 7. February 8. February 9. February 10. February 11. February 12. February 13. February 14. February 15. February 16. February 17. February 18'. February 19. February 20. February 21. February 22. February 23. February 24. February 25. February 26. February 27. February 28. February 29. March 1 . March 2. March 3. March 4 . March 5. March 6. March 7 . March 8 . March 9 . March 10. March 11. March 12. 13.100.00 14.900.00 11.500.00 11.500.00 16,000.00 15.000. 00 16.000. 00 18,000.00 13.700.00 8,100.00 8,100.00 5.900.00 2,000.00 2,000.00 2,000.00 2.500.00 3.200.00 3.100.00 3.100.00 2.400.00 9.400.00 2,000.00 2.300.00 2.800.00 23.200.00 23.200.00 26.200.00 30,300.00 30.300.00 24.300.00 24.400.00 24.300.00 24.300.00 25.200.00 25.300.00 25.600.00 23.400.00 22.400.00 22,400.00 22.400.00 22^500.00 22.600.00 22.900.00 22.700.00 23.300.00 24.100.00 24.100.00 23,000.00 23.900.00 24.200.00 27.300.00 23.900.00 24.100.00 24.100.00 26.700.00 23,900:00 25.600.00 26.500.00 4 . 50 REPORT OF SPECIAL COMMITTEE 1908. — Continued. March March March March March March March March March March Marc a March March March March March March March March April 1 . April 2 . April 3 . April 4. April 5 . April 6. April 7. April 8. April 9 . April 10. April 11. April 12. April 13 April 14. April 15. April 16 April 17. April 18. April 19. April 20. April 21. April 22 April 23. April 24. April 25. April 26. April 27. April 28. April 29. April 30. May 1 . May 2. May 3. May 4. May 5 . May 6. May 7. May 8. May 9 . 13 • • $ 14. 15 i'. 16 17 • • 18 19 20 21 22 .-r. . .V..h 23 24 25 ; . . . rv V , ■ 26 27 28 29 • • 30 31 25.500.00 27.400.00 27.400.00 27.900.00 27.900.00 28.400.00 29.200.00 29.200.00 28.400.00 28.400.00 *28,400.00 28.500.00 28.700.00 28.700.00 29.300.00 28.900.00 28.900.00 29.900.00 30.200.00 27.800.00 32.900.00 35.200.00 35.400.00 35.400.00 36.400.00 45.400.00 46.300.00 27.800.00 29.500.00 9,500.00 9.500.00 11,100..00 86.900.00 8.500.00 5. 200. . 00 3.000. 00 1.900.00 1.900.00 7.800.00 7.800.00 1.800. . 00 2 , 000.00 2.400.00 3.200.00 3.200.00 3.800.00 4.400.00 3.100.00 4.200.00 4.400.00 4,400.00 4.400.00 6.300.00 7.900.00 8,000.00 12.600.00 13.300.00 13.500.00 REPORT OF SPECIAL COMMITTEE 51 1908. — Continued. May 10 May 11 May 12 May 13 May 14 May 15 May 16 May 17.... May 18 May 19 May 20 May 21 May 22 May 23 May 24 Ma.v 25 $ 13,500.00 7,300.00 27,400.00 22,800.00 25,600.00 26,700.00 24,800.00 24,400,00 24,800.00 25,100.00 25,500.00 25,500.00 25,500.00 25 800 00 May 26 25’, 600.00 May 27 23,600.00 May 28 23,600.00 May 29 May 30 24,300.00 May 31 24,300.00 June 1 June 2 26,800.00 June 3 29,300.00 .Tun ft 4 28 400 00 June 5 . ... 28,500.00 June 6 24,800.00 June 7 24,800.00 June 8. . • • 24 100 00 June 9 24,’ 800.00 June 10 29,000.00 June 11 29,400.00 June 12. 29,400.00 June 13 29,700.00 June 14 29,700.00 June 15 29,800.00 June 16. . • • June 17 29,800.00 June 18 74,400.00 June 19 Jun-e 20 June 21 23,900.00 June 22 23,900.00 June 23 • • . 24 200 00 June 24 24,200.00 June 25 June 26 June 27 June 28 June 29 June 30.. •• 28 100.00 July 1 July 2 July 3 July 4 July 5 July 6 52 REPORT OF SPECIAL COMMITTEE 1908. — Continued. July 7 July 8 July 9 July 1C July 11 July 12 July 13 July 14 July 15 Julv 16 July 17 Julv 18 July 19 July 20 July 21 July 22 July 23 July 24 July 25 July 26 July 27 July 28 July 29 July 30 July 31 August 1 . . . . August 2 . . . . August 3 . . . . August 4 . . . . August 5 August 6. . . . August 7 . . . . August 8 . . . . August 9. . . . August 10.... August 11 ... . August 12 ... . August 13. . . . August 14. . . . August 15.... August 16 ... . August 17. . . . August 18 ... . August 19 ... . August 20 August 21 ... . August 22.... August 23. . . . August 24 ... . August 25 ... . August 26. . . . August 27 ... . August 28 ... . August 29 ... . August 30 ... . August 31 ... . September 1 September 2 27.900.00 30.609.00 30.700.00 28.700.00 27.000. 00 27.000 00 26.500.00 24.700.00 30.300.00 24.500.00 28.700.00 26.300.00 26.300.00 29,100 00 29,709 09 30.500.00 30.500.00 31.300.00 28.500.00 28.500.00 25.400.00 25.400.00 26.500.00 24.800.00 25.300.00 25,300.00 25.300.00 25.400.00 25.400.00 40.500.00 41.000. 00 25.500.00 26.400.00 26.400.00 26.500.00 25.500.00 31.900.00 25.600.00 25,600.00 25,600.00 25.600.00 27.100.00 25.600.00 25.600.00 26.400.00 26.000. 00 25.900.00 25.900.00 26.400.00 27.100.00 27.100.00 27.200.00 27.400.00 26.600.00 26.600.00 27.200.00 27.100.00 27.600.00 REPORT OF SPECIAL COMMITTEE 53 September 3 September 4 September 5 September 6 September 7 September 8 September 9 September 10 September 11 September 12 September 13 September 14 September 15 September 16, September 17, September 18, September 19, September 20. September 21, September 22. September 23, September 24. September 25. September 26. September 27. September 28. September 29. September 30. October 1 October 2, October 3 October 4 October 5 October 6. October 7, October 8 October 9 October 10, October 11, October 12 October 13. October 14, October 15, October 16, October 17, October 18, October 19. October 20. October 21, October 22. October 23. October 24. October 25. October 26. October 27. October 28. October 29. October 30. 1908. — Continued. 28,100.00 28,300.00 28,300.00 28.300.00 27.900.00 27.900.00 30.300.00 30.300.00 28,000.00 28,000.00 28,000.00 27.800.00 26.500.00 26.800.00 26,800.00 26,800.00 27,800.00 27.800.00 26.900.00 26,000.00 26,000.00 25.500.00 2-6,000.00 26,000.00 26,000.00 26,000.00 26.600.00 26.900.00 39.900.00 28.100.00 25,300.00 25.300.00 25.400.00 27.500.00 25.300.00 25.400.00 26.200.00 26,700.00 26.700.00 32.100.00 25.600.00 '27,000.00 26.600.00 26,600.00 28,400.00 28.400.00 25,000.00 25,000.00 25.100.00 25.200 00 25.800.00 25.900.00 25,900 00 25.900.00 25.400.00 28.700.00 28.700.00 51.400.00 54 REPORT OF SPECIAL COMMITTEE 1908.— Continued. October 31 • • November 1 November 2 November 3 November 4 • • November 5 November 6 November 7 November 8 November 9 November 10 • • November 11 November 12 November 13... Noveber 14 • ■ November 15 November 16 November 17 November 18 •• November 19 November 20 November 21 November 22 • • November 23 November 24 November 25' November 26 November 27 November 28 ••.... November 29 November 30 December 1 • • December 2 December 3 December 4 December 5 December 6 •. December 7 •• December 8 December 9 December 10 December 11 December 12 December 13 December 14 •• November 15 December 16 December 17 December 18. . . • • December 19 December 20 December 21 •• , December 22 December 23 December 24 December 25 December 26 December 27 •• $ 23,500.00 23,500.00 23,500.00 23.500.00 23.700.00 25,000.00 25,000.00 25,000.00 25.000. 00 22.400.00 24.500.00 22.700.00 23.800.00 22.500.00 22,500.00 22.500.00 23.400.00 24.900.00 22.500.00 23.100.00 23.200.00 23,200.00 23,200.00 23,200.00 23.200.00 26.300.00 26.400.00 24.000. 00 25.400.00 25.400.00 24.400.00 36.200.00 37.100.00 38.900.00 25.800.00 23.100.00 23.100.00 23.300.00 23.800.00 29.000. 00 11.600.00 11.900.00 12.900.00 12.900.00 22 . 100.00 22.300.00 22.700.00 24.400.00 75.200.00 75.200.00 75.200.00 23.600.00 23.700.00 241.500.00 241.700.00 241.700.00 195.600.00 195,600.00 REPORT OF SPECIAL COMMITTEE 55 1908. — Continued. December 28 December 29 December 30 December 31 . . . • • Total daily balances for 1908, $9,840,800.00, divided by 365 days gives an average daily balance of $27,000.00 on which the state received no interest. If the same had been deposited in state depositories it would have earned for the state at 3 per cent $810.00. For the purpose of investigating the excess deposits in the various banks of the state during the administration of Albert Peterson, state treasurer, for the years 1905-6 7 7-8, your committee visited the following banks,: First State Bank of Ashley, Cogswell State Bank, First National Bank of Lidgerwood, Barton State Bank and the First National Bank of Rugby. Nothing irregular was found at the First State Bank of Ashley and the Cogswell State Bank, except that for nearly the entire period covering four years, these banks had amounts of state funds in excess of the amount they were designated for. At the First National Bank of Lidgerwood for the purpose, of covering the amounts of state deposits in excess of the amount it was designated for, it was customary prior to the time of publishing the statement of banks showing the amount of state funds therein, to transfer certain sums from the state checking account to cashier’s checks, thereby making the balance in the bank appear less than it really was. Immediately after the statement was published, the cashier’s checks would be credited to the regular account of the state. In the meantime the cashier’s checks would be carried as cash on hand in the treasurer’s office at Bismarck. On September 26th, 1905, the balance due the state from the First National Bank of Lidgerwood was $24,363.54. The designa- tion at that time for said bank was $15,000.00, making an excess of $9,363.54. On this date $12,500.00 was transferred to cashier’s check No. 1810, thereby making it appear that the deposit in this bank was only $11,863.54, when in reality it was $24,363.54. On October 3rd, 1905, the cashier’s check No. 1810 was cancelled and the amount credited to regular state account. On October 25th, 1905, a similar transfer of $12,000.00 was made. The amount of items carried as cash on hand are not large as compared with his predecessor in office, but show a loss to the state of $1,939.74 in interest. At the First National Bank of Rugby we found the following conditions : : In 1906 this bank was designated as a state depository in the sum of $5,000.00. The state deposits during the year amounted to $19,951.03, an excess of $14,951.03. For 1907, $34,036.11, an excess of $29,036.11. 98.900.00 100,800.00 80,300.0*0 83.700.00 56 REPORT OF SPECIAL COMMITTEE For 1908 the designation was raised to $10,000.00. The amount for that year fluctuated from $10,000.00 to as high as $15,316.13, an excess of $35,316.13. Your committee found evidence that would tend to prove that there was a special agreement or understanding between Andy H. Jones and Albert Peterson, state treasurer, whereby Peterson received monies in excess of the regular 3 per cent interest allowed the state for maintaining unusually large balances in the First National Bank of Rugby. For instance, on August 14th, 1906, draft No. 17584, for $100.00, was issued by the First National Bank of Rugby payable to Albert Peterson. This draft was paid to the Cogswell State Bank and bears fhe endorsement of A. Peterson. On August 14, 1906, draft No. 17585, for $200.00, was issued by the First National Bank of Rugby to Albert Peterson. This, draft is stamped paid August 22, 1906, by the First National Bank of Rugby. October 23, 1906, draft No. 18683, for $2Q0.00, was issued to Albert Peterson by the First National Bank of Rugby. This draft was' paid through the Cogswell State Bank and bears the endorse- ment of A. Peterson. December 26, 1906, draft No. 19685, for $1000.00, was issued bv the First National Bank of Rugby to Albert Peterson. On Decem- ber 31, 1906, this draft was cashed by the First National Bank of Lidgerwood, said bank issuing their time certificate of deposit No. 1369, payable to A. Peterson. On June 7, 1907, this certificate of deposit was exchanged for cashier’s check No. '3414, for $1025.00. This cashier’s check was cashed by Mr. Peterson at the First Na- tional Bank of Lidgerwood on July 8, 1907. August 17, 1908, the First National Bank of Rugby issued its draft No. 26755 for $220.00, payable to Albert Peterson, treasurer. This draft was cashed through the First National Bank of Bismarck and bears the endorsement of the “State of North Dakota, Albert Peterson, Treasurer.” March 19, 1908, the First National Bank of Rugby issued its time certificate of deposit No. 3808, payable to A. Harris. On November 2. 1908, this certificate was cashed by said bank and bears the endorsement of “A. Harris” and “State of North Dakota, Albert Peterson, Treasurer.” In connection with this certificate the name of A. Harris was a fictitious name and use’tl for the convenience of Andy Jones. After an examination of the bank it does not appear that Albert Peterson personally or as state treasurer, ever gave any considera- tion for these drafts and time certificates other than *the keeping of a large balance of state money in the First National Bank of Rugby and the Barton State Bank, in which Andy Jones was interested. REPORT OF SPECIAL COMMITTEE 57 For the purpose of verifying the above conclusion, we quote a copy of a letter which was dictated by A. H. Jones and directed to Albert Peterson. The copy was taken from the stenographer’s note- book at Rugby and has been vouched for by affidavit. “Rugby, N. D., October 23, 1908. “Albert Peterson, “Cogswell, N>. D., “Dear Sir : I received word the other day that you drawed your $5000 out of the York State Bank. I have been going over our accounts and find that you have not complied with your agreement made with you and as long as you couldn’t there is no reason why that you are to keep $3500.00 of my money. I want you now to return to me $1500.00 of the money and keep the balance that is in the bank here now, here, and at Barton, and if not, I want you to return the whole business. But if you will send me a draft for $1500 and keep the balance here I will call it a settlement. I have been played horse with as long as I am going to be now and it is about time I said something, and I want to receive a remittance from you on receipt of this letter. You ought to pay at least $600 of mileage and expenses running to see you ever since I made the deal with you, but if you will send me, on receipt of this letter $1500 and leave the balance that you have in our banks he-re, I will call it a settlement and I want to hear from you together with the remittance. No talk goes with me. I had your terms last summer in good shape after paying you my money and I paid you over $7,500.00 all told. Forty- eight at Rugbv Fifteen at Barton and there were to be $15000 left with McCarthy with his string of banks until you was out of the office. Now, what I want is some of the money back that I have put in. It is the fall of the year now and I suppose the money that I gave you done you some good as well as the money you deposited with me done me some good. “Yours trulv, “(Signed) ' A. H. Jones.” Upon investigation we found that on the dates corresponding with the issuance of drafts and time certificates of deposit to Albert Peterson, that the personal account of Andy Jones was charged with the different items as stated in said drafts and time certificates. Prior to 1908 the Barton State Bank was not designated as a depository for state funds. Notwithstanding this fact, state funds were deposited with them as follows : For the year 1905, amounts varying from $1441.00 to $5000.00. For 1906, from August 3, to December 31, $10,000.00. For 1907, from January 1, to October 1, $10,000.00 ; from October 1, to December 3, $9395.00; from December 3, to Januarv 1, $6395.80. 58 REPORT OF SPECIAL COMMITTEE For 1908, at which time they were designated as a state deposi- tory for $10,000.00, during the year the balance varied from $5,904.00 to $15,094.28. On May 18, 1908, the Barton State Bank issued its time certificate of deposit No. 1204 for $1500.00 payable to A. H. Jones. To offset this certificate the personal account of A. H. Jones was charged with $1500.00. We find this certificate to have been paid on Nov. 4, 1908, by the Barton State Bank and bears the endorsement of <4 A. H. Jones” and “State of North Dakota, Albert Peterson, Treas- urer." No money consideration passed from Mr. Peterson to Mr. Jones for the issuance of this certificate which leads us to believe that the consideration therefor was the maintaining of a large bal- ance of state funds in the Barton State Bank. ~ 1909. January 1 . January 2. January 3 January 4. January 5. January 6. January 7. January 8. January 9, January 10 January 11. January 12 January 13 January 14, January : 16. January 16 January 17 January 18 January 19 January 20 January 21 January 22 January 23 January 24 January 25 January 26 January 27 January 28 January 29 January 30 January 31 February February February February February February February February 5 83,700.00 9,700.00 9,700.00 9.700.00 11,800.00 1.028.300.00 1.037.800.00 1.052.500.00 1.056.400.00 1,056,400.00 721.600.00 835,000,00 198.200.00 201.700.00 178.400.00 150.900.00 150,900.00 85.400.00 7.600.00 7.600.00 8.700.00 10.800.00 5.200.00 5.200.00 11.400.00 1 . 200.00 5.200.00 3.300.00 3,000.00 3,000.00 3,000.00 900.00 900.00 900.00 23.400.00 23.800.00 21.600.00 21,600.00 24,100.00 59 \ REPORT OF SPECIAL COMMITTEE 1909. — Continued. February 9 February 10 February 11 February 12 February 13 February 14 February 15 - * * ' $ 22,700.00 22,700.00 26,700.00 27,700.00 33 100.00 February 16 February 17 February 18 27,200.00 February 19 24 000 00 February 20 February 21 February 22 February 23 February 24 29 300 00 February 25 ..... 30 800 00 February 29 February 27 30 100 00 February 28 March 1 March 2 March 3 March 4 March 5 March 6 March 7 March 8 _ Qs’nnn nn March 9 March 10 37 700 00 March 11 .. 38*600 ^0 March 12 qc onn nn March 13 March 14 March 15 .. QsVnn nn March 16 March 17 March 18 March 19 March 20 180,300.00 March, 21 March 22 181,100.00 March 23 March 24 132,300.00 March 25 March 26 32,800.00 March 27 March 28 32,800.00 March 29 March 30 3,900.00 March 31 3,400.00 April 1 5.000.00 April 2 April 3 1,800.00 April 4 1,800.00 April 5 April 6 April 7 60 REPORT OF SPECIAL COMMITTEE 1909.— Continued. April 8 $ 18,100.00 April 9 18,300.00 April 10 18,500.00 April 11 18,500.00 April 12 20,200.00 April 13 23,200.00 April. 14 29,400.00 April 15 30,000.00 April 16 30,400.00 April 17 30,400.00 April 18 34,600.00 April 19 29,300.00 April 20 29,300.00 April 21 29,100.00 April 22 30,500.00 April 23 28, '8 00.00 April 24 28,800.00 April 25 28,800.00 April 26 29,600.00 April 27 30,100.00 April 28 30,200.00 April 29 30,200.00 April 30 30,200.00 May 1 30,200.00 May 2 30,200.00 May 3 37,300.00 May 4 29,100.00 May 5 29,100.00 May 6 '... 29,000.00 May 7 30,200.00 May 8 28,700.00 May 9 28,700.00 May 10 30,000.00 May 11 30,500.00 May 12 30,500.00 May 13 30,500.00 May 14 60,000.00 May 15 94.400.00 May 16 94,400.00 May 17 54,300.00 May 18 37^,500.00 May 19 373,100.00 May 20 379,100.00 May 21 379,100.00 May 22 379,500.00 May 23 379,500.00 May 24 144,300.00 May 25 % 71,200.00 May 26 72,100.00 May 27 * 72,200.00 May 28 72,100.00 May 29 70,500.00 May 30 70,500.00 May 31 .. 70,500.00 June l’.'. V 74,100.00 June 2 71,200.00 June 3 71,100.00 June 4 73,400.00 REPORT OF SPECIAL COMMITTEE 61 1909. — -Continued. June .Tiirift 5 6 $ 75,100.00 75 100 00 June 7 70 900 00 June 8 72,100.00 June 9 ... .. 73 200 00 June 10 June 11 June 12 93,800.00 June 13 June 14 June 15 June 16 . . . 296 800 00 June 17 June 18 ..... June 19 June 20 June 21 June 22 June 23 June 24 June 25 June 26 . . . . June 27 June 28 June 29 June 30 .... July 1 July 2 July 3 July July July 6 July 7 July 8 July 9 .. •’ July 10 July 11 July 12 July 13 July 14 July July 16 July 17 July 18 July 19 July 20 July 21 July 22 - July 23 July 24 July July 26 July 27. July 28 July . 29 July 30 July 31 Au S us t 1 83!000‘.00 62 REPORT OF SPECIAL COMMITTEE 1909. — Continued. August 2. August 3 . August 4 . August 5 . August 6 . August 7 . . .$ 91,600.00 86.900.00 . 85,100.00 86.200.00 83,800.00 1 200.00 August 8 . 1,200.00 August 9 . . 13,500.00 August 10. 14,000.00 August 11 . 2,700.00 August 12. 4,000.00 August 13 3 900 00 August 14. 2,700.00 August 15 . , 2,700.00 August 16. . 27,900.00 August 17. 28,400.00 August 18 . 28,600.00 August 19 . 29,500.00 August 20. 29 700 00 August 21. 30’, 300.00 August 22. . 30,300.00 August 23. 5,400.00 August 24. , 2,200.00 August 25 . 1,800.00 August 26. 1 200.00 August 27 . l’, 300.00 August 28. 900.00 August 29. 900.00 August . . . 4,400.00 August 31 . 4,200.00 September 1 2,100.00 September 2 4,800.00 September 3 3,200.00 September 4 3 400 00 September 5 3,400.0u September 6 3,400.00 September 7 4,900.00 September 8 5 000.00 September 9 - 800.00 September 10 800 00 September 11 38,400.00 September 12 38,400.00 September 13 38,100.00 September 14 40,100.00 September 15 38,500.00 Septembber 16 20 300 Uu September 17 20^400.00 September 18 20,400.00 September 19 20 400.00 September 20 20 400 00 September 21 8,800.00 September 22 8,800.00 September 23 . 199,100.00 September 24 171 100 00 September 25 . 171^500.00 Seutember 26 171,500 00 September 27 . 170,900.00 September 28 . 170,900.00 REPORT OF SPECIAL COMMITTEE 63 September 29 September 30 October 1 . . . October 2... October 3 . . . October 4 . . . October 5... October 6... October 7 . . . October 8 . . • October 9. . . October 10 . . . October 11 . . . October 12... October 13 . . . October 14 . . . October 15... October 16... October 17... October 18 . . . October 19... October 20... October 21 . . . October 22... October 23... October 24... October 25 . . . October 26... October 27... October 28... October 29 . . . October 30... October 31... November 1 . November 2 . November 3. November 4 . November 5. November 6. November 7. November 8 . November 9. November 10. November 11. November 12. November 13. November 14. November 15. November 16. November 17. November 18. November 19. November 20. November 21. November 22. November 23. November 24. November 25. 1909. — Continued. $ 134,100.00 188,000.00 179.200.00 191.100.00 191,100.00 80,600.00 81,200.00 68.500.00 69.700.00 65.400.00 58.400.00 58.400.00 60 . 800.00 57.800.00 34.400.00 35.600.00 32.800.00 37.100.00 37.100.00 37.400.00 35.500.00 35.500.00 37.100.00 37.500.00 32.800.00 32,800.00 32,800.00 32.800.00 33.300.00 37.600.00 37.600.00 37.700.00 37.700.00 33.200.00 61.600.00 33.800.00 33.400.00 33.600.00 55.500.00 55,500.00 55.500.00 33.000. 00 36.600.00 36.600.00 37.700.00 37.800.00 37.800.00 36.100.00 36.100.00 36.000. 00 36.200.00 40.800.00 36,000.00 36,000.00 36,000.00 36.800.00 35.800.00 35.800.00 64 REPORT OF SPECIAL ..COMMITTEE 1 9 09 . — Continued . November 26 November 27. November 28. November 29. November 30. December 1 . December 2. December 3 . December 4. December 5. December 6. December 7 . December 8. December 9. December 10. December 11. December 12. December 13 . December 14 . December 15. December 16. December 17. December 18. December 19. December 20. December 21. December '22. December 23. December 24. December 25. December 26. December 27. December 28 . December 29. December 30 . December 31. $ 40,200.00 40,200.00 40.200.00 65.300.00 36.100.00 36.500.00 81,000.00 82.800.00 83,200.00 83.200.00 34.600.00 , 124,100.00 109,000.00 82.600.00 35.600.00 35.300.00 35.300.00 40.100.00 33.400.00 35.800.00 34.800.00 49.400.00 49.200.00 49.200.00 89.600.00 88.400.00 33.300.00 33.500.00 34.200.00 34,200.00 34.200.00 42.500.00 41.600.00 33.400.00 35.900.00 74.200.00 Total clailv balances for 1909, $34,047,300.00, divided by 365 days gives an average daily balance of $93,280.00 on which the state received no interest. If the same had been deposited in state depositories it would have earned for the state at 3 per cent, $2,798.40. 1910. January 1 January 2 January 3 January 4 January 5 January 6. January 7. January 8 January 9 January 10, January 11 $ 74,200.00 74.200.00 37.300.00 35.400.00 39.700.00 54.100.00 52.200.00 30.200.00 30,200.00 30.200.00 18.200.00 REPORT OF SPECIAL COMMITTEE 65 1910. — Continued. T anuary 12 $ January 13 January 14 January 15 January 16 January 17 January 18 January 19 January 20 January 21... v January 22 January 23 January 24 January 25 January 26 January 27 January 28 «... January 29 January 30 January 31 February 1 February 2 February 3 • • February 4 February 5 February 6 • • February 7 February 8 February 9 February 10 February 11 February 12 February 13 February 14 February 15 February 16 February 17 February 18 February 19 February 20 February 21 February 22.... February 23 February 24 February 25 •• February 26 February 27 February 28 March 1 March 2 March 3 March 4 March 5 March 6 March 7 March 8 • • March 9 March 10 ..... 12.400.00 10.900.00 13.400.00 3,700.00 3.700.00 6.600.00 1.700.00 2 . 100.00 6.300.00 1.800.00 1,600.00 1,600.00 16.200.00 1.400.00 5,000.00 4.800.00 1.300.00 2.600.00 2,600.00 2.300.00 3.600.00 2.700.00 9.600.00 5.300.00 14,100.00 14.100.00 2.700.00 3.800.00 35,000.00 27.800.00 7.700.00 7,700.00 7.700.00 19.300.00 19.300.00 9.700.00 3.200.00 454.300.00 512.100.00 512,100.00 512,100.00 512.100.00 551.300.00 437.000. 00 437.900.00 398.400.00 398, 400. *'0 357.000. 00 358.600.00 322.000. 00 42.900.00 44.700.00 44.900.00 44.900.00 41,000.00 84.500.00 87.100.00 130.300.00 5— 66 REPORT OF SPECIAL COMMITTEE 1910. — Continued. Vlarch 11. .. March 12. . . March 13. . . March 14. . . March 15... March 16. . . March 17. . . March 18. . . March 19. . . March 20. . . March 21. . . March 22. . . March 23. . March 24. . March 25.. March 26. . March 27. . March 28. . March 29. . March 30.. March 31. . April 1. . . April 2. . . April 3.. . April 4. . . April 5. . . April 6. . . April 7. . . April 8. . . April 9. .. April 10. . . April 11. . . April 12. . . April 13... April 14. . . April 15. .. April 16. . . April 17. . . April 18. . . April 19. . . April 20. . . April 21. . . April 22 ... April 23 ... April 24 ... April 25 ... April 26... April 27. . . April 28. . . April 29. . . April 30.. . May- 1 May 2 .... May 2 .... May 4 May 5 . . . . May 6 May 7. . . . 1,509.90 4,500.00 4.500.00 2 . 200.00 1.400.00 5.800.00 6.300.00 323.000. 00 106,300.00 106.300.00 101.800.00 79.600.00 74.500.00 310.200.00 6.100.00 6,100.00 6,100.00 - 6,600.00 56.100.00 24.600.00 5.700.00 11.600.00 4.100.00 , 4,100.00 5.500.00 5.700.00 6.700.00 5.100.00 21.700.00 4.200.00 4.200.00 4.600.00 3.700.00 5.100.00 5.100.00 3.400.00 4,000.00 4,000.00 6.700.00 97.500.00 26.100.00 27.200.00 166.000. 00 90.800.00 90.800.00 188.900.00 188,900.00 28.700.00 30.500.00 30.200.00 30.300.00 30.300.00 29.300.00 16.800.00 19.100.00 21 . 200.00 23.300.00 19.800.00 REPORT OF SPECIAL COMMITTEE 67 1910. — Continued. May 8. May 9. May 10. May 11. May 12. May 13. May 14. May 15. May 16. May 17. May 18. May 19. May 20. May 21. May 22. May 23. May 24. May 25. May 26. May 27. May 28. May 29. May 30. May 31. June 1 . June 2. June 3, June 4. June 5. June 6. June 7. June 8. June 9. June 10. June 11. June 12. June 13. June 14. June 15. June 16. June 17. June 18. June 19. June 20. June 21. June 22. June 23. June 24. June ,25. June 26. June 27. June 28. June 29. June 30. July 1 . July 2. July 3. July 4. 19.800.00 18.800.00 18.900.00 24.100.00 17.500.00 64.200.00 65,000.00 65.000. 00 64.000. 00 82.700.00 64.700.00 29.100.00 29.100.00 38.500.00 38.500.00 25.100.00 20 . 100.00 20,600.00 17.900.00 26.000. 00 26,000.00 26,000.00 26,000.00 26.700.00 17.500.00 21.500.00 16.800.00 16,800.00 16,800.00 17.200.00 16.100.00 16.300.00 16.400.00 16,400.00 16,400.00 16.400.00 15.800.00 28.500.00 16.600.00 17,400.00 17.400.00 16.100.00 16,100.00 16.300.00 20 . 100.00 16,000.00 16.300.00 25.600.00 15.500.00 15.500.00 48.700.00 23.700.00 23.700.00 25.700.00 53.800.00 17.500.00 17,500.00 17,500.00 68 REPORT OF SPECIAL COMMITTEE 1910. — Continued. Tuly 5 July 6. July 7. July 8. July 9. July 10. July 11. July 12. July 13. July 14. July 15. July 16. July 17. July 18. Julty 19 July 20. July 21, July 22 July 23, July 24 July 25 July 26 July 27. July 28 July 29 July 30 July 31 August 1 August 2 August 3, August 4 August 5, August 6 August 7, August 8 August 9 August 10 August 11 August 12 August T3 August 14 August 15 August 16 August 17 August 18 August 19 August 20 August 21 August 22 August 23 August 24 August 25 August 26 August 27 August 28 August 29 August 30 August 31 17.400.00 19.300.00 18.900.00 25.100.00 18.200.00 18,200.00 23.500.00 29.600.00 26.500.00 21 . 100.00 23.500.00 18,000.00 18,000.00 15.500.00 15.700.00 20 . 100.00 19.500.00 16,000.00 19,000.00 19.000. 00 19.600.00 15.800.00 15.800.00 19.500.00 15.900.00 17.600.00 17.600.00 18.100.00 17.900.00 18.200.00 18.300.00 20 . 000 . 00 1,400.00 1.400.00 1.700.00 500.00 700.00 6.600.00 7,000.00 7,000.00 7,000.00 8,300.00 8,300.00 26.100.00 26,100.00 25,400.00 25,400.00 25.400.00 25.800.00 25.800.00 26.500.00 26.500.00 40.900.00 40,900.00 40.900.00 41.400.00 41.400.00 41.100.00 REPORT OF SPECIAL COMMITTEE 69 1910. — Continued. September 1 September 2 • September 3 September 4 September 5 September 6 • September 7 September 8 September 9 September 10 • September 11 September 12 • September 13 September 14 • September 15 September 16 • September 17 September 18 • September 19 September 20 September 21 September 22 September 23 September 25 September 25 September 26 September 27 September 28 September 29 .. September 30 October 1 October 2 October 3 ^ October 4 October 5 October 6 October 7 October 8 October 9 October 10 . . . . October 11 October 12 October 13 October 14 October 15 October 16 October 17 October 18 October 19 • • October 20 October 21 October 22 October 23 , •• October 24 October 25 * October 26 October 27 October 28 $ 43,300.00 41.500.00 44.800.00 44,800.00 44.800.00 41.500.00 41.500.00 48.400.00 59.400.00 54.400.00 54.400.00 51.100.00 50.100.00 51.200.00 41.400.00 43.800.00 41.700.00 41.700.00 42.200.00 43.100.00 43.500.00 41.500.00 41.800.00 52.900.00 52.900.00 52.700.00 50.900.00 52.600.00 53.600.00 53.700.00 51.800.00 51.800.00 53.400.00 54.400.00 51.600.00 53.300.00 58,000.00 56.100.00 56,100.00 56.100.00 61.200.00 64,400.00 64.400.00 65.500.00 66.500.00 66.500.00 52.100.00 51.200.00 59.900.00 51.200.00 51,200.00 51,200.00 51.200.00 52.300.00 52.300.00 52.300.00 51.400.00 50.900.00 70 REPORT OF SPECIAL COMMITTEE 1910. — Continued. October 29... October 30... November 1 November 2 November 3 November 4 November 5 November 6 November 7 November 8 November 9 November 10 November 11 November 12 November 13 November 14 November 15 November 16 November 17 November 18 November 19 November 20 November 21 November 22 November 23 November 24 November 25 November 26 November 27 November 28 November 29 November 30 December 1 . December 2. December 3. December 4. December 5. December 6. December 7 . December 8. December 9. December 10, December 11. December 12. December 13. December 14. December 15. December 16. December 17. December 18. December 19. December 20. December 21. December 22. December 23. December 24. December 25. 50 , 9 ( 10.00 50 . 900.00 51 . 000 . 00 51 . 500.00 80 . 000 . 00 52 . 100.00 52 , 100.00 52 , 100.00 52 , 100.00 52 , 100.00 52 . 100.00 51 . 100.00 51 . 100.00 54 . 300.00 51 . 300.00 51 . 300.00 52 . 600.00 52 . 900.00 53 , 000.00 53 , 000.00 52 . 300.00 53 , 000.00 53 . 000 . 00 51 . 400.00 51 . 500.00 61 . 500.00 61 , 500.00 61 , 500.00 61 , 500.00 61 . 500.00 65 . 000 . 00 60 . 800.00 60 , 800.00 63 . 300.00 65 . 300.00 62 . 500.00 62 . 500.00 60 . 600.00 63 . 600.00 60 . 800.00 64 . 300.00 60 . 500.00 60 . 500.00 € 0 , 500.00 62 . 600.00 63 . 000 . 00 61 . 000 . 0 U 61 . 000 . 00 62 . 700.00 60 . 500.00 60 . 500.00 63 . 500.00 63 . 200.00 62 . 200.00 63 . 800.00 61 . 300.00 61 , 300.00 61 , 300.00 REPORT OF SPECIAL COMMITTEE 71 1910. — Continued. • December 26 December 27 December 28 December 29 December 30 December 31 61.300.00 61.400.00 65.500.00 61.300.00 62.300.00 62,300.00 Total daily balances for 1910, $18,977,000.00, divided by 365 days gives an average daily balance of $52,992.00 on which the state received no interest. If the same had been deposited in state depositories- it would have earned for the state at 3 per cent $1,559.76. Total loss to the state in interest for the years 1909 and 1910, $4,358.16. An investigation of the daily cash balances, after a visit to the First State Bank of Bowbells, discloses the fact that the same con- sisted of various and divers time certificates, cashier’s checks and bank drafts issued by the First State Bank of Bowbells, Citizens State Bank of Flaxton, State Bank of Surrey, and the First State Bank of Coteau. In January, 1909, the First State Bank of Bowbells was not desig- nated as a state depository. On January 11, 1909, state monies amounting to $25,827,43 was forwarded to this bank and placed to the credit of the state. On February 1, 1909, $20,230.00 of this account was transferred to time certificate Xo. 2477. This time certificate, and the renewals thereof, was carried by the state treasurer as a cash item continuously to January 19, 1911. On April 10, 1909, it was surrendered to the bank and the following certificates issued as a renewal thereof : Cer- tificates No. 2504, 2505, 2506, and 2507 for $5,000.00 each, the bal- ance of $230.00 having been paid by draft No. 20010, on Northwest- ern National Bank of Minneapolis. The interest on time certificate No. 2477 for $20,230.00 amounted to $117.75 and was paid by the First State Bank of Bowbells by their draft No. 20011, on North- western National Bank of Minneapolis and payable to G. L. Bick- ford. It does not appear that the state received credit for this item of interest. On October 6, 1909, the above mentioned four certificates, amounting to $20,000.00, were surrendered and time certificate No. 2540 for $20,000.00, issued in renewal thereof. On March 24, 1910, this certificate was again renewed by the issuance of certificate No. 2640 for $10,000.00 and draft No. 9, on the First National Bank of Fargo for $10,000.00. On December 10, 1910, certificate No. 2604, was renewed by issu- ance of certificates No. 2695, 2696, 2697, 2698, for $2500.00 each, and were paid on January 19, 1911, at the time of the settlement with the incoming treasurer. 72 REPORT OF SPECIAL COMMITTEE Draft No. 9, for $10,000.00, issued March 24th, 1910, on the First National Bank of Fargo, was forwarded to the Northwestern. National Bank of Minneapolis and placed to the credit of the First State Bank of Bowbells and replaced on December 10, 1910, by time certificates No. 2706, 2707, 2708, and 2709 on the First State Bank of Bowbells for $2500.00 each and carried as cash items by the state treasurer until January 19, 1911. On April 6, 1910, the. treasurer of Barnes county remitted his collections for the month of March, amounting to $15,438.11. This remittance consisted of three drafts, two for $5000.00 each, and one for $5,438.11. These three drafts were forwarded to the First State Bank of Bowbells, which issued its time certificate No. 2617 for $15,438.11. This time certificate and the renewals thereof were carried continuously by the state treasurer as cash items until Janu- ary 19, 1911. Certificate No. 2617 was renewed on December 10, 1910, by time certificates No. 2699, 2700, 2701, 2702, 2703, for $2,500.00 each and certificate No. 2704 for $2938.11 and carried as cash items as above stated. On March 24, 1910, the First State Bank of Bowbells drew its draft No. 280 on the Second National Bank of Minot for $5000.00. This draft was forwarded to the Northwestern National Bank of Minneapolis and placed to the credit of the First State Bank of Bowbells and was so carried by said bank until December 10, 1910, when time certificates No. 2710 and 2711 for $2500.00 each were issued to G. L. Bickford and carried by him as cash items until Janu- ary 19, 1911. On September 26, 1910, State Treasurer G. 1^. Bickford drew check No. 5072, for $10,000.00, on the First State Bank of Bow- bells. This amount was charged to the state account at said bank and its demand certificate No. 5*328 for $10,000.00 payable to A. B. Bickford (cashier of said bank) issued in lieu thereof. This de- mand certificate was carried as a cash item until January 19, 1911. On November 26, 1910, the state treasurer drew his check No. 5590 on the First National Bank of Fargo for $5000,00, payable to A. B. Bickford. This check was sent to the First State Bank of Bowbells and its demand certificate No. 5366 for $5000.00 was issued to G. L. Bickford and carried by him as a cash item in the treasurer’s office until January 19, 1911. On December 10, 1910, the First State Bank of Bowbells issued its demand certificate No. 5377 for $5000.00 to G. L. Bickford. It does not appear in the bank records that Mr. Bickford gave any cash consideration for the issuance of this certificate. This certifi- cate was carried as a cash item in the treasurer’s office until Tanuarv 19, 1911. The treasurer of Barnes county reported the January, 1909, col- lections as being $16,569.87. When he forwarded his statement to REPORT OF SPECIAL COMMITTEE 73 the state auditor, the report was accompanied 'by drafts in payment thereof as follows : Draft No. 3607 on the American National Bank of Valley City, $4000.00 ; draft No. 660 on the Bank of Valley City, for $12,569. 87. These drafts were turned over to the state treasurer by the state auditor. The treasurer in turn forwarded them to the First State Bank of Bowbells and received back a draft on the Northwestern National Bank of Minneapolis, Minn., for the same amount. The funds were credited to' collections and the draft on the Northwestern National Bank was carried as a cash item until August 7th, 1909- when it was deposited in the First National Bank of Fargo. On March 20, 1909, the treasurer of Barnes county reported his collections for the month of February as being $15,220.55. Accom- panying this report were drafts No. 3606 on the American National Bank of Valley City for $7000.00, and draft No. 11142, on the First National Bank of Valley City for $8,220.55. These drafts were forwarded to the First State Bank of Bowbells on March 24, 1909, and draft No. 19917 issued on the Ngrthwestern National Bank of Minneapolis for $15,220.55 payable to G. L. Bickford. When state auditor’s draft No. 9690 for $15,220.55 was turned over, to the state treasurer the same was credited to collections and the draft on the Northwestern National Bank of Minneapolis was carried as a cash item until August 7, 1909, when it was deposited with the First National Bank of Fargo. On April 8, 1909, the Barnes county treasurer reported his March collections as being $11,646.14. Accompanying his report were drafts as follows : No. 11180, First National Bank of Valley City for $8,603.83 ; No. 3638, American National Bank of Valley City, for $6,000.00. The two items include in addition to the $11,646.14, $2,957.69 principal and interest payments on land contracts. These drafts were turned over to the state treasurer and were forwarded by him to the First State Bank of Bowbells. Said bank issued their draft No. 20025, on the Northwestern National Bank of Minneapolis for $11,646.14. When the state auditor’s draft No. 9576 for $11,646.14 was turned over to the treasurer, it was credited to col- lections and the Northwestern National Bank draft for the same amount was carried as a cash item until August 7, 1909. On February 3, 1909, the treasurer of Barnes county reported his January collections for principal and interest on school land con- tracts amounting to $25,215.26. Accompanying the report were drafts as follows : No. 3514, American National Bank of Valley City, $8,371.00; No. 11060, First National Bank of Valley City, $8,372.01; No. 11077, First National Bank of Valley City, $101.25; No. 581, Bank of Valley City, $8,371.00. These drafts were turned over to the state treasurer and by him forwarded to the First .State Bank of Bowbells. On May 15, 1909, the state auditor delivered his draft No. 9648 on Barnes county for $25,215.26. This was cred- 74 REPORT OF SPECIAL COMMITTEE ited by the treasurer to collections and the same amount appears in the cash items till August 7, 1909, at which time it was deposited in the First National Bank of Fargo. The above mentioned Barnes county collections for January, Feb- ruary and March, 1909, amounting to $68,651.52, was carried by the state treasurer as cash items from the time they were received by him until August 7, 1909, the state thereby losing the interest at 3 per cent for this period. EXAMINATION OF BANKS. With one lone exception the officials of the various banks exam- ined have been exceedingly courteous and rendered all possible assistance in clearing matters of interest to us. The exception is the First National Bank of Mandan, which positively refused to allow an examination of their books on the grounds that a certain state official carried the fees derived from his office as a personal account and covered same into the state treasury by the issuance of a per- sonal check, and that your committee had no authority to examine a personal account. Whether the First National Bank of Mandan refused the examination on purely the above grounds is a question, for it is an established fact that this institution paid into the state treasury on August 24th, 1909, $875.85 for principal and interest on exchange charges that had been illegally made by the Commissioner of Insurance in years past and which was reported on by a legislat- ive committee that submitted .its report at the close of the legislat ve session of 1909. Can it be possible that the First National Bank has been paying some more interest and does not want the taxpayers of the state to know the true condition of affairs? RECOMMENDATIONS. By legislative enactment the state treasurer is made the custodian of all the investments of the permanent school fund and other insti- tution investments, and under this system the treasurer makes all collections of principal and interest and is not subject to check by any other state official on these particular account?. We belie/e that the laws should be amended so as to transfer all investments belong- ing to the state into the hands of the state auditor. Under this method the collections of interest coupons and principal when due could be turned over to the state treasurer for collection and charged to his account, thereby giving the auditor a full check on the state treasurer’s office. There is no record of the trust funds of the mutual insurance com- panies and other companies which are required by law to keep a guarantee fund with the state treasurer. We recommend that the necessary books be procured at once, the same to correspond with the form submitted bv this committee to the state treasurer. REPORT OF SPECIAL COMMITTEE 75 The only record kept at the present time covering the investments of the permanent school fund and other state institution funds is an interest coupon register. We recommend that a regular ledger be opened in which an individual account be kept with each school dis- trict that is a borrower of state funds, with a controlling account as to each fund, so that the account will show at all times what the total investments are in each fund. We have consulted with the state treasurer and our recommendations meet with his approval, and we have been assured that various records and books will be installed in the near future. SUMMARY. Collections overlooked by state auditor : Stutsman County, collections for April, 1908 $ 95.00 Richland county collections for April, 190'8 525.05 Interest collections on permanent school funds during 1903 and 1904, received by D. H. McMillan, state treasurer, but not credited, (paid June 14, 1911) 240.00 Interest collections on permanent school funds during 1905 to 1908, Albert Peterson, treasurer, errors and omissions 65.00 Interest collections on permanent school funds during 1900 to 1910, G. L. Bickford, treasurer, errors and omissions 28.33 Loss of interest to the state in the handling of the school land principal and interest collections 9,468.87 Statement showing loss of interest to the state in the dila- tory method of covering into the state treasury fees re- ceived by the commissioner of insurance, approximately 1,200.00 Statement showing a refund of monies illegally charged as exchange by the commissioner of insurance 3,068.44 Statement of loss of interest to the state caused by the neg- lect of the different state treasurers in failing to keep all funds in state depositories : : D. H. McMillan, 1903, average cash on hand, exclusive of amounts in banks, $271,906.00. Loss of interest. . . . 8,157.18 Year 1904, average balances, $113,463.00, loss of interest. 3,403.89 Albert Peterson, 1905, average cash balances $15,700, loss of interest 471.00 Year 1906, average cash balances, $10,897.00, loss of in- terest 326.91 Year 1907, average cash balances, $11,061.00, loss of in- terest 331.83 Year 1908, average cash balances, $27,000.00, loss of in- terest ± 810.00 Statement showing receipt by Peterson of monies received from Andy Jones, for maintaining excessive balances in First National Bank of Rugby, and Barton State Bank. . 4,720.00 76 REPORT OF SPECIAL COMMITTEE G. L. Bickford, 1909, average cash balances, $93,280.00, loss of interest. 2,798.40 Year 1910, average cash balances, $52,992.00, loss of in- terest . 1,559.76 Statement of refusal of First National Bank of Mandan to allow investigation. In conclusion we wish to thank the various state officials for the many courtesies extended us during our examination of the state treasurer’s office. Special thanks are extended 'Major T. H. Tharal- son, deputy treasurer; Carl O. Jorgenson, deputy auditor, and Deputy Examiner Roy Nelson, for in these offices the major portion of the work was done. Frank E. Ployhar, Chairman. Harve Robinson, Secretary. D. D. Devine, Accountant. It has been impossible for Mr. H. W. Allen to serve as a member of this committee for the reason that shortly after the adjournment of the legislative session he was obliged to serve as a member of the high court of impeachment during the Cowan trial. After the close of the trial ill health and business reasons have prevented his serving. THE LIBRARY OF THE JUL It ia'zi UNIVERSITY OF ILLINOIS