The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1894-04-18
THE WALDRON NOTES.
Effort to Collect Them Precip-
itated the Failure
WERE THEY REALLY DUMMIES?
n %, Treasurer Rogers IL short-fa-
cems's New Admiaistrssios
Takes Charge.

s. WBATcoN, April lS.-ls peeiai IL % ssfs.
+ Gus complication Of the countys financial
affairs brought TO light by the disclosures
resulting from the closing By C. W. Wal
3 dron of the bank Of Fairbaven and hss re-
tisement from the Whateon County bank
continue TO be the absorbing topic OF pub
lie interest throughout the county. Inere
seems 70 be some disposition manifested TO
inname public sentiment upon the ques-
& ton In such manner - 10 intensity the
unfriendiy feeling unfortunately existing
between the people OF the bay cities The
treasurer, bis deputy and most OF his
bondsmen are residents OF Whatcom. while
Mr.. Waidron. the chairman OF the board
of commissioners and the county attorney
and his deputy. as we'll az the experts en-
ployed in the examination Of the county
BOOKS, are Farhaven citizens. When the
unfortunate affair became public Saturday
public indignation was aroused 70 high
pitch. especially here in Whatcom. Men
gathered in excited groups upon the street
eoeners and the air was filled with aii sorts
q rumors. even mob violence. At first
thsrs was no disposition manifested in
Tairhaven 10 excuse what they ct first
thought appeared TO be . most fragrant
end deliberate breach Of trust on the psrt
d Mr.. Waldron as the depository OF Q
large portion Of the county's funds. But
when his side OF the story became known
public sentiment underwent o material
ehange, TO the extent that q Considerable
shsre Of the burden OF responsibility was
shifted upon the treasurer and the CON-
misnoners.
For months past IL has been known TO q
number OF persons, among them the Posr-
lyfEILiaEscER correspondent, that the
usasurer was virtually short In his &C
counts: that Is. that considerable portion
u the money which should have been in
the treasury. and which his reports repre-
Dsnted to be there. was in the form Of tar
secsipts. notes and other paper carried a.
cash. To such degree had the treasurer's
jenisncy and disposition to accommodate
bis friends extended that the commits
sioners. when the facts became known to
them late last fall. took from him, or
persuaded him TO reiinquish. all authority
/ 10 sign checks. and intrusted this RESPONSE
biity. - we'll - the custody Of all public
money, to his deputy. r. r. Hundschy.
When the grand Jury WAS In session in
November 1t WAS placed in possession Of
some OF the facts bearing upon the condi-
ton OF the treasury. and an indictment of
the treasurer unguestionably would have
resulted II he had not secured from the
banks and personal friends funds and
paper with which to make q showing that
vas accepted az satisfactory at the time.
II Is now reported that his apparent short
age then was $50. 600. but. however that
may be, il is certain that he obtained from
four banks four certificates Of deposit az
Gregating little over $50. 200, which did
not represent funds on deposit in those
banks, but were. nevertheless, accepted
- cash by the commissioners for
the purpose Of making . temporary
settlement and o showing satisfactory
70 the grand jury. Two of these certifi-
Gates were issued by Mr.. waldron. one Of
them for $i4. 800 and the other for So ZOO,
and he asserts positively, and his asser-
sion Is supported by the statements made
by his attorneys and to some extent by the
s4nvocai admissions Of the officials con-
eerned, that they were given merely 40
accommodation paper" or As dummies
Tor the purpose already indicated, and
I With distinct understanding that they
we're TO be returned. They were returned
4 By the treasurer himself and with his in
dorsement after the December settlement
vas affected, but were again secured by the
deputy treasurer for use in making the
January settlement. and have since been
! held, il Is claimed, by order of the commits
uoners. Mr.. Wadron says that when 1t
became apparent that the accommodation
1 would have to be indefinitely continued
he tried to get the certificates back and il
see others which would be non-negotable.
. was the certificate given by the Bennett
National Bank, but he was unable TO do
\ %, and, learning that demand was likely
70 be made upon him al any time TO paw
TIE amount which they purportei to rep
resent. he acted upon the positive advice
i o. his attorneys and precipitated
] the fight in the manner already
j nported. first securing all of his deposit
ots. except the county, with certificates
i upon the Bennett National here and the
Ctizens bank in Fairhaven. He is still
n severely criticised for not protecting the
u county in like manner 10 tho extent of the
II As1o In actual cash belonging 10 the
county that he has really had, but. having
loaned large portion of his deposits IN
The ordinary course OF banking transac~
tons he could not do this and provide also
Tor the immediate payment of all of his
Individual depositars. and. his tight being
Win the county. his attorneys ali advised
him 10 let the county wait for its money
snsil the dummy certificate question is
ettled. NJ. Rogers. the treasurer. AYERS
Nat he gave ample security for the certi:i-
Gates, tina, they were accepted by the COM
niss.oners a. cash. and that he had at the
Tine and had now right to treat them 10
ash. But tho fact remains that for weeks
While these certificates were in his posses
Son the interest on the county bonds re-
named unpaid. and the amount Vas
snaily raised from other sources. The
usasurer never issued single check
III aeainst the amount which the disputed
sn'heates proposed TO represent.
HI As TO the alleged securities for the dunn
Ri sizes Mr.. NAidFun SAYS IL Is not true. IS
Rated by the treasurer at the public meet
i sag last night. that he has mortgage
III assa To all the tEeasurer's property and
81 e'aet securities In personal notes amount
III hs 10 t20o. worth in the aggregate. ac-
III 0flng 20 the treasurer. twice the
III snoaht o! the certificates" lie declares
HI Iai the so-callei deed is not deed at ali,
III vi simple agreement made several
III 'NSs after the certificate was issued, and
al aHtue legal value, and that the notes
III va he holds are for aecu, s., 0da instead
ehaoo aud.. not worth Is cents on the
Id s0sAss The TACT that the eoaaty's atvis-
70 nasly refuse 70 accept these securities
III Nrtarn for he certificates. even ia order
- get iae sish0. adds some weight Ia
III ss.aFon estimate Of their value, aud 10
As determined contention thai II Was
All sever lnNe~SsAa3 @tthey hv himself Tie