Union County courier. [volume] (Elk Point, Union County, D.T. [S.D.]) 187?-1913, 1895-03-07
MCCOY IS ARRESTED.
ACCUSED OF COMPLETELY WITH
TAYLOR.
Conspiracy Charged Against McCoy,
Isondsman McChesney. Lawyer Tenny
and Chas II. Wells to Loot the State
The Ruth Investigation outcome Of
the Investigation.
Chaa. McCOy Under Arrest

CPieTre Feb. q. Charles l.. Mccoy, the
well known politician, was arrested to-day
on the charge of conspiracy with Taylor
and others TO rob the state.
The arrest Of Mccoy and the parties
made co-conspirators with him arises
from the evidence that has been devel-
oped by the investigation committee
n the Interviews given to Attorney
General Crawford on his visit to Chi
cage n New York. The evidence
shows that Mccoy must have been con-
versant with the shortage long before
Its disclosure at Pierre and Lawyer
Tenny, of Chicago. confessed in his in
terview that he advised Taylor to skip
n was practically receiver Of stolen
goods His further admission that
Taylor only took a few thousand dol
lars with him shows a deal to force
settlement. and Of the 5000, 900 to $780,
600 that are known to have been sent
to Taylor in the month Of December
only a small percentage has been ac-
counted for.
The fact that Mccoy. before the de-
falcation was known. was employed to
collect amounts due the treasury, and
investigation as attorney for the de-
faulter. opens the eyes of the public
to a strange condition OF affairs.
Mccoy was allowed to go on his own
recognizance and his hearing will occur
tomorrow at 2 p. m. before a Pierre
justice.
The testimony given by Mccoy a
week age that Taylor was his client
n later by Bank Examiner John E.
Diamond that on January 8 Senator
Pettigrew paid Mccoy $500 on a note
given a Chicago bank on Taylor's in
dorsernent or recommendation
strengthened the prevailing suspicion
that Mccoy was closely connected with
Taylor In his scheme to loot the treas
ury Of the state. AS the committee Sc
cured more and more evidence it be-
came satisfied that there a been a
conspiracy and that the list OF con
spirators included the names Of Wal
ter w. Taylor and Chas. T. Mccoy,
of this state; John S. McChesney. Of
New York. and Dan K. Tenny and
Chas. H.. Wells. Of Chicago. Last night,
shortly before midnight. attachment
papers were served upon Mccoy for
bidding him from dlsposing OF any
money, notes or other valuable things
which he might have belonging to
Taylor. This occasioned a small sensa-
tion. but this morning, when it became
known that Mccoy had been arrested
the excitement knew no bounds.
The arrest was made by Sheriff
Price on a warrant sworn out by At
torney General Crawford. Mccoy
acka1 until toY,or.orry ro~ n hoorlnp
n was remanded to the custody Of
the sheriff. He Is not in Jail, but the
attorney general has warned the sher-
III that he is held responsible for the
safe keeping of the prisoner. Should
the grand jury indict Mccoy the case
will come up next May.
The non-residents alleged to be in
the conspiracy cannot be reached on
these proceedings unless they come to
this state. Civil suits against them will
be begun, however.
The Ruth Investigating committee
sent for Humphrey, cashier of the Red
field National bank, again today. This
is the third time ne has been called to
the stand. He at first refused to come,
bur on being informed hat should he
fail he would be subject to arrest, he
agreed to come. He has been called be-
cause he denied writing a letter to the
cashier Of the DeSmet bank, directly
a1tCA liz Adu SSItlIlCu Nldl ldylO ID
$4,000 on deposit in the Redfield Ma
tional bank because he held the certifi-
cate Of said deposit in the DeSmet bank
made to the First National. hi let
ter directs the transfer to the account
of Taylor personally SO that they may
certify the same SIS, 900 to Examiner
Myers.
It is alleged that the letter, which he
claims II sent was written by Taylor
n was simply handed him to sign as
cashier, was In Humphreys W hand
writing.
E.. p. Sanford, cashier OF Maj. Ruth's
bank at De Smet, was before h Ruth
investigating committee for four hours
yesterday, and the matter Of deposits
made with that bank, either by Taylor
or the First National bank OF Redfeld,
was very fully gone into. Prior to
January l, 1892, the bank had issued to
w. w. Taylor, state treasurer, two GER
tif1cates Of $4,000 each. These certif1-
Gates were several times renewed. but
after May. 1892. they ran to the Red
field bank rather than to Taylor. Prior
to July %, 1893. the amount was SO. 900.
At that time. however, $1,000 more was
received from the Redf1eld bank. Under
date OF May 4 Ruth's bank received a
statement signed by F. W.. Humphrey.
cashier of the Redfeld bank. stating
that the three certificates held by that
DdHk udU Deeu AT the tlIHS Oh
issue transferred to w. w.
Taylor. At the same time a
1etteu was received from Taylor
to the effect hat he had made. by mis-
take. a statement to the public ex
aminer that the De Smet bank had
$3.50 of state money, and said that II
would suit his wishes IL Ruth should
make his statement accordingly. Ruth
never saw this letter. but Sanford
made the statement on the
strength Of the cashiers Ger.
certificates Of deposit had been trans.
ferred to Taylor. When. however
these certificates~ were returned tc
Ruth's bank there was no indorse'
ment showing that they had ever beer
transferred. One Of these certificates
was paid, by order OF the Redfelt
bank, on December 6 last and another
on January 3 last. The third certificate
for $1,000 has never been presented fol
payment, and the DeSmet bank ma.
no knowledge as to where the certifl
cate now il. Attorney General Craw
ford has attached this money and h
believes that the state can show
claim which will take precedence oves
the claim Of the Redaeld bank.
The testimony shows that all through
the summer Of 1893 Ruth's bank had
$4,000 Of public funds, notwtthstand'
inE this fact tina. school funds were
being held back. Mr.. Sanford's ties
timony shows that Maj. Ruth did no
w,ont <h}a nnnav On July III