The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1894-03-16

80 no psrsonai knoste3es Of ROY u.urh
,ss,s vas n the eisy treasury on JAY 2.
ssae from What 10 rot from The
1o!Aa0um statement He admitted
.as' the Washington National hank has
sssa the essy e.etif On . credit gwen 70
80 oenk ~ tbs Chase National bank. Of
Ses York city. Witness admitted tia.
ne testified that the sncusy Wa De-
kos.ssc IN the bank In the name of A<sosrh
Af1s. CITY sreaszrsr, he didn's know Of his
c.n knoSisdgs, bat that sueh vas his
Judgment.
IN redirect examination witness sesss-
nsu snas July s0 Sunday. sud that the
once Was closed On jay 4. also that
0onsy IN the banks was paid cut on
ccscks and also credits on the Chase Va
uonai bank He had drawn cheeks on tho
BANKS and had made . few deposits Of city
innds ir the banks In the name Of Adosph
krus. city treasurer.
o, re-cross-<xamination witness I'D
mitted that he did not intend 70 SAY that
cheeks on the Washington National bank
we're paid out Of noseys received from the
Chass National bank belonging 20 the city.
and in fact did not know what particular
moneys the checks we're paid vita.
= O. Graves vas recalled and testified
that he did not know Of his own person al
nosiscge whether the 5000 check on his
bank had been paid or not, and long
vransie ensusd over the question
whether the witness could TESTIFY
from the banks books, the defend
ants objection being finally sustained.
Alderman I. n. Dsulton. chairman Of
the joint finance com mites, wa tie next
AnA EnA
IL, lsS2. the committee met 20 make the
sefni-aunual examination Of the city
books, vent to the treasurer's Office. but
could not ind Krug: inquired for aim !;
telephonsd for him. bat could not aseeY-
tain MS whereabouts: went 80 the treas
urer's ONCE sbout ESQ q m: examined
the bonds in the city clerks Office: got .
list from Knof Of the banks In which city
funds were on deposit; examined the treas
urer's Office IN the afternoon; found there
In TIE saie various notes. unpaid checks.
city and county. street improvement and
school warrants. afgrezating in the neigh
borhood of 81, go: the checks were sched-
uied and the warrants we're not paid !;
found notes and warrants In little black
pocketbook in tin box in the vault; the
notes were taken charge Of and scheduled:
the notes aggregated SIS 33T; the warrants
may have amounted TO So. 900; the entire
notes found aggregated So, AT: on re-
checking found that notes to the amount
OF SIS. 100 belonged TO the North End bank;
the rest belonged to the ONCE; the war
rants aggregated $50. 2Oo OIL.
On the question whether the notes,
checks, etc, found belonged to the city,
Mr.. Lewis objected, and during the areu-
ment which ensued. a. Ii Vas noon. the
court excused them until I .. m. The
court ruled that the notes. warrants, etc,
must be produced. He also warned the
state that It must produce original docu-
ments instead of pursuing the line il had
been going on Of evoking their conteuts
by personal testimony.
In the afternoon Mr.. Daulton testified
that he turned over the notes and war.
rants found IN the treasurer's Office TO Mr..
Durie. They were handed to witness. who
identified them and the final report OF the
finance committee. On prelimi nary cross
examination witness stated that among
the matters considered by the committee
were statements made by the officials Of
the banks Upon the question whether
the committee had verified its inform alton
from the bankers by tho daily reports Of
the city treasurer to the comptroller. q
long argument ensued upon the admissi-
bili,y Of the committee's report made in
such o way. and the court took the trouble
to examine the authorities on the question,
finally sustaining objection. The amount
OF money found by the committee in the
treasury vaults aud on deposit in the
banks September IL. ls8. the witness IVES
not allowed to state. The com mittee did
not find from the books Of the treasurer's
Office the amount of city money on de-
post in the banks. but did ind the
amount which should have been on hand.
IL was $ca5. aco 10: the amount on hand
was Sill. 2io % Witness identified one Of
the notes found by the committee among
krug's papers. which was offered Ia evil
dence. IL was dated thirty days after
July 2, iso2. The defense made . s,rcnu-
Gus objection 10 Its Introduction in evil
dencc. and another argument ensued, in
which Mr.. Lewis Was victorious.
The witpess was then cross-examined,
and testified that he had spoken with the
following bankers: Some one he did not
know in the Seattle National bank, Mr..
I.atimer. Mr.. Spencer. Mr.. Furth. Mr..
Graves. Mr.. Wheeler aud Mr.. Marconnier,
about the city funds in their possession.
Some of the notes were turned over 20 Mr..
Krug's bondsmon. The securities found
I'm the ONCE were: Unpaid checks. s2s.-
5i4.6e; miscellaneous items, 81 COS %. and
notes, ali sggregating fios. So. p.
Jacob Farih. president OF the Puget
Sound National bank. testified that hs
had . conversation st his bank with krrg
on the morning of September IL last.
Krus told him that he had about &ss1 600
worth Of school and city warrants which
he had bought and desired 20 sell. in order
10 have the money in the treasury, as the
finance committee Mss about TO investi-
gate the financial condition OF the city.
Mr.. Furxh askei krug to bring him
abatement OF the condition OF the treasury
showing the exact standing of its affairs,
and tald him tia, If il was al right he
would fnd huver for the warrants. The
abatement Of the condition Of the treasury
WAS never gwen to him. krug had sought
10 Aisnose OF warrants 30 him once several
months oefore, when the ousersation Was
substantially The same as the last time.
Agter the meeting in she bank witness hsd
no. seen krug or communicated With him
for several months afierwsrd.
On cross-sramlnation witness said he
had known Krug long time aud the lat
ter was accustomed To come 10 bin and
A. K over his financial affairs. On enc oc-
easioa Fahrman had told him that be had
warrants aud had got them from krr..
The state objected 10 this line Of exansas-
ton, but Mr. Lewis promised 20 make &
very psr.irent later. whsreupon Everybody
cransd their neck. forward 50 as not to