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been redeemed in stocks. hi1e the loss is not so large, it shows how, even in the most jealously guarded system of business, error and some times wrong may creep in. Disparity Noticed Before. As far back as -two years ago Mr. S. T. Carter, bookkeeper in the office of the state treasurer, called to the attention of the ways and means com mittee ;rhe fact that there was some thing wrong with the interest paid on stocks and the coupons paid on bonds. What this trouble was, no one at that time could tell, although it was seen that the state was actually paying more interest than was mathematical ly proper. At that time no intent was suspected or the matter could have been aired. Mr. Carter had been called before the ways and means committee -Eo testify in regard to the petition of Mr. George H. Cornelson of Orangeburg, who stated that his brother, who had lived in Australia had died, leaving $o,oooo in South Carolina bonds which could not be found. It was while looking into the Cornelson matter that Mr. Carter first had his atten tion attracted to the disparity in the interest accounts. About a mon-rh or six weeks ago Capt. Jennings received a letter from some ladies in Charleston in ref--r ence to some bonds in their posses sion, and in looking up the raLord with referenc. to these bonds it was -found that there had been, substitu ion. This was the first intim.' the state treasurer had of the trar.s actions which are now suspcted of -being fraudulent. He saw that the entries were -in the bandwriting of MT. Zimmerman, and yet thinking ihat it was a clerical error, telephone-i to Mr. Zimmerman to come to the state treasurer's office. Mr. Zimmer man stated that he would be there that afternoon at 4 o'clock. Two days elapsed and as' he had not seen Mr. Zimmerman the state treasurer again 'phoned to his ho,use and Mr. Zimmer man stated that he had been unwell but would be there the next morning at io o'clock. Suspicion First Aroused. As Mr. Zimmerman failed to keep that engagement, Capt. Jennings fear ed that ;rhe extent of the error, as he thought it might not be known to Mr. -' Zimmerman, and he wrote a letter under date of Septem!nber 18th asking Mr. Zimmerman to call and explain a matter of consider'able importance to Mr. Zimmerman and to the 'office. After some delay Mr. Zimmerman drove up to the east door of the state capitol and called for Mr. S. T. Car ter, and informed Mr. Carter that it would be of no use for him to make an examination of t.he entry which had attractred attention as it had been made- so long aigo that he could not explain it. Subsequently Mr. Zimmerman ap peared in the corridor of the capitol building and explained to Capt. Jen nings that it would not be worth while for ihim to try to explain the matter as he had no recollection of it. This execited the suspicion of the people in the office and Capt. Jennings imme diately notified the comptroller gen eral and demanded a searching inves tigation of the books in which the records were kept. The Comptroller's Report. Comptroller General Jones yester day submitted to Capt. Jennings the following report made after a very searching examination: "In your letter directed to me as comptroller general, dated October 7th, you state that there appears to be an irregularity irn the matter of ex change of a certain Brown coupon bond, and the amount covered into a stock certificate. That the state ap pears to have lost the amounrt of this bond and the interest at 4 1-2 per cent. for several years. You ask that I, as comptroller general, under section 672, volume I, of the code of 1902, make a full investigation of the status of the s'tate's securities as therein required. "In conformity with the above re quirement, I have personally examin ed, with the help of S. T. Carter, book keeper, and J. Fuller Lyon, bond clerk, all the security transactions of the state from January 1st., 1894, to date. From February 2nd., to .May 23rd., 19o1, I find a number of fraud ulent transactions, aggregating $12, 500; or in other words, these trans actions have increased the state's bonded debt -t that extent, together wit $3,903.7 interest paid thereon. makmg a ::otai o1 ,16403.75 "These items going to make up the various transactions are fully itemized and hereto- appended. The examina tion reveals the fact that the bond clerk during the period in which these transactions appear upon the books has falsified or erased the numbers of certain bonds surrendered for ex change and has abstracted bonds pre viously cancelled and has substituted the same at a later date for such bonds surrendered, and has evidently, as shown by the interest account put the bonds so erased as uncancelled on the marke-. "This is clearly shown by the fact that all transiactions during this period appear in the handwriting of the same bond clerk. It seems that the bond clerk in the State treasurer's of fice has ch'arge of all bond transac tions." When he had received the report and the itemized statement from the comptroller general, Capt. Jennings forwarded these to the 'attorney gen eral's office with a request to be ad vised as to the mode of procedure. Mr. Leroy F. Youmans, the assistant attorney general, replied in the fol lowing terms: "I am .in receipt of yours of tod'ay enclosing copy of yours of October 7th to Hon. A. W. Jones, comptroller 'general, and his re ply to you of this date. You ask 'chat I instruct you as to your duties in the premises. If, of your own knowledge, you know, or if from information ob tained from others you believe or if as a conclusion from circumstances you have a just cause to believe and do believe that-the bond clerk refer red to has committed the offense charged in the correspondence, it is your duty to proceed in the criminal courts against the said bond clerk. Civil proceedings will be a matter for further consideration." Warrant Sworn Out. When thus advised, Capt. Jennings asked the a'ttorney general to make out the warrant for the arrest of Mr. Zimmerman. The warrant charges breach .of trist with; fraudulent intent and larceny of Stcate bonds with the purpose of devoting the proceeds to his own personal use. In his affidavit upon which the war rant was issued, Treasurer Jennings recites the transactions narrated by Mr. Jones and concludes: 'That -at all these dates one Daniel Zimmerman was the bookkeeper in the office of the Sta:te treasurer and especially entrusted by the three treaurers of the State named above in succession, with the performance of the duties of the treasurer in the sur render of Brown coupon bonds and the issuance of sitock certificates in ex change th:ere for. 'That in connection with tihese transactions, bonds surrendered and which should have been cancelled, have been abstracted from the State treasury and substituted at a la;ter date from such bonds surrendered and the numbers of certain bonds have, this deponent is informed and be lieves, 'been altered in the writing thereof to the prejudice of and with the in:tent to defraud the State. "That this deponent is informed, has just cause to believe and does be lieve th'at the said Daniel Zimmerman has been 'gu'lty of the offenses above set forth; has in so doing committed a breach of trust with fraudulent inten tion, 'has stolen the bonds aforesaid the property of the State, has unlaw fully increased the State's bonded debt to the extent of $1:2,500 besides $3,90375 interest; that -this deponent, Win. T. Bates, Wmn. H. 'Timmerman, A. W. Jones, J. Fuller Lyon, S. T. Garter, are material witnesses to prove the same." When the examination was . first concluded, no evidence of fraudulent transactions during Capt. Jennings' administrations had been discovered, but by a careful revision it was found that there was one such in April, 1gor, two months after Capt. Jennings came into office. The full statement of the items discovered is given else where. One of these was on Jan. 15, 1901, just four days before Dr. Tim merman turned the office over to Captain Jennings. Mr. Zimimerman's Disappearance. There was some delay in the prep aration of the warrant and Dr. Bates and Dr. Timnmerman, the two former State treasurers, who still have a very sympathetic regard for Mr. Zimmer man, drove out to his house to pre pare him for w'hat was coming and to the matter I It lay wi-hil h> Pc "xe' to do so. Vhen they arrived at Mr Zimmerman's home about noon the: were informed tha khe was at the in surance office ofi . 6. L. Miller They drove without delay to the offic, of Mr. Miller and were informed tha Mr. Zimmerman had just left. Tha was about i o'clock and it was no until 4 o'clock that the warrant wa placed in the hands of Sheriff Cole man. As soon as the warrant ha been sivorn out, the news was mad public, and Mr. Zimmerman's friend as well as the officers of the law wer all on the lookout for him, but he ha not been seen since the time or abot the time he left Mr. Miller's office. Dr. 'immerman Hard Hit. It will be some time before it ca be told definitely in whose administrn tions these affairs occurred, but a present it appears that the liabilitie will be about as follows: W. T. C. Bates .. .. .. .. ..$ i,2c W. H. Timmerman .........Io,5c R. H. Jennings.. i... ,4c Total.. ..... ....$12,IC To this of course must be added th interest which will increase the tot; amount lost by the State of Sout Carolina and to be recovered on th bonds,$3,9o2. It is alleged that the fraudulent er tries were made in this wise: A part having bonds might prefer stocks i exchange. The papers would be pr< sented and the transfer made. The instead of cancelling the bond tb clerk in charge, apparently, woul take out one of the bonds when thei would be large package and at som convenient date would put it on tb market as if it were a negotiable ir strument instead of i bond whose val dity had been wiped out by the e) change. The bonds of the state ai payable to be:arer, just as a bank nol or other currency, and the stocks ai payable to order only. The interest on the bonds is th same as the .interest on the stocks, bt the coupons on the bonds may be pr4 sented by any one whereas the intei est on the stocks is 'sent in checks t parties in whose name the stocks ar made out unless the state treasure has 'been notified of the transferC the stocks. For that reason man people prefer stocks to bonds an there are issued sometimes as many a I,350 cert.ificates in a year. -How It Could Have Been Done. To show how easily this kind C transaction might have been mad without discovery except by acciden there are on the books of the stat treasurer bonds of this issue alon valued at $3,374,000 and stocks value at $2,226,000. Since the date of th issue of these bonds there have bee issued 4,044 (bonds of the denominm tion of $i,ooo and 2,134 bonds of t'h denomination of $5oo. Many of thes bonds have been exchanged for stock and therfore it wi4l be apparent the fraudulent transactions might . hav occurred as the employees of th treasurer's office are considered abov suspicion and the bonds are not count ed. It is said that when a package c bonds would be returned in exchang for stocks it would be very easy t cancel nine of the bonds and substi tute for the tenth a. cancelled bon which had been taken up several year before. The legis'lative investigatin, committee would count merely th bonds as units without inspectin them, and if the number corresponde wih the number reported exchange for stocks within the year, ther wold 'be no suspicion of the fact tha for a bond exchanged inrigoo0 and .tha stance in 1895, had 'been substitute for a bond ech'anged in 19oo and tha th'e latter had been 'taken from th package and 'had been sold. The stat would therefore be paying 'interest o: the bond which should have bee cancelled as well as upon the stoc: certificate which had been issued'i place of the bond. As Mr. Zimmerman was chargel with the custody of the bonds, a's h was che one responsible for markini the exchanged 'bonds 'cancelled" an, as the entries on the books were is his handwri:ting, it is easy to connec him with the fraudulent exchange. Hi many friends hope that there wil be some way in which the matter cai be cleared up and Mr. Zimmermai prove thait he was not guilty of th< serious offenses charged. Fraudulent Bond Transactions. Following is Comptroller Gcnera Tmes itemied-r s+tament envering ELEVENTH CAR Choice Ten ess JUST RECEI and while it lasts goes for Best -Patent, Cotton, - Best Half Patent, Cotton, This makes eleven hundr< short time. t While we are doing the Fl are also leading in Dry Good ing, Millinery, &c., &c. We goods, carefully selected it Baltimore, and want everybi see for themselves and be c are headquarters and the pr< all kinds goods at very bott 0 pay $40.00 for Sewing Mach drop head $17.93, guarante - high tone, 12 stop Organ $50 Choice Western Seed Oats e Thousands of bargains in < h Almost impossible to mentio MOSELE1 TWVrO FOR 4 e0 Special Offer on Our Cough d Cut out this adv. and hand it in wit] e you a package each of our 25c. size Cc e , for the price of one until the first of e this special offer that will not be repe made solely that you may test the meri I- One or both are apt to be needed at an - @make a saving, and be ready to treat a e $ as one appears. When bought at regul e are guaranteed. ,e MAYES' DRUG FOR BARGAIN IN FUR NIT e . AND IHOUSEHOLD C ~COME TO Kibler, Den NEWBERRV When Wanting Somethil CALL ON Geo. D. Day tCod Fish Balls,[Deviled Cri pered Herring, French Sa Boneless Herring, Roast N Beef, Lunch Tongue, Slic Chicken and Potted Turkey, 4 Pineapple, Mushroons, As Salad, Pickles-Sweet and ! lets, Cheese, Coffee from 15< Cream of Wheat, Quaker C Force, Peanut Butter, Butt4 Ferris' Breakfast Bacon, Ted Spices for Pickling, Vinegar Apple, Fresh lot of Chocolate pound. Phone 1 10. OF THAT ,ee Flour VED, -- $5.25 4.45 .d bbis. sold in a >ur business, we s, Notions, Cloth are brim full of i New York and dy to come and :nvinced that we )per place to buy Dm prices. Why ine? We sell good Bd; good Walnut 00. , sacked 55 cents. )ur immense line. n them all. f BROS. and Cold Cure. 25c. and we will give ugh and 25c- Cold Cure November. We make 0 ated this year, and is * s partly at our expense. V time. Buy at once, cough or cold as soon 'ar prices these remedies STORE. URE GOODS is&Co , s. C~. g Good to Eat enport. bs, Shrimps, Kip rdines, Lobsters, utton and Roast ed Ham, Potted rated and Sliced paragus, Celery sour, Junket Tab :. to 35c. per lb., ats, Grape Nuits, er Beans, Olives, tley's Tea, Mixed -White Wine and Can dies 40c. per