Santa Fe new Mexican. [volume] (Santa Fe, N.M.) 1898-1951, 1904-04-16

margins in Santa Fe Railway stock
during that time. On the 18th ol
March, however, Daniel ]. Sully and
the cotton trust went down and Knae
bel suffered the same fate Since
| then he has been trying to recuper
ate his losses, and has been borrowing
money to make up his shortages in the
county and school funds but could not
borrow sufficient amounts to hide and
cover them up and naturally they were
discovered by Travelling Auditor SAT
ford in his examination of the accounts
which commenced about four weeks
ago.
In this connection unfortunately, it
appears that some monies intrusted to
Colonel Knaebel as secretary of the ir-
rigation commission of the Territory.
amounting to something like $2,500
was also used by him and were swept
away in the disaster.
This is the situation at this writing.
The many friends of Colonel Knaebel
look upon his defalcation of the coun-
ty and school funds as having been
committed under temporary alterations
of mind and the hope that he will be
able to straighten out and make good
the funds unlawfully appropriated by
him and that speedily, is universal 1t
is believed if his bondsmen pay up
Colonel Knaebel will do his utmost to
retrieve himself and pay back the
sums advanced as soon as he possibly
can. He stated yesterday and today
that he would give up all of his per-
sonal property in this endeavor. He
feels the situation very keenly and is
thoroughly broken up over it. He
cannot explain matters. except that
the stock gambling mania was too
strong and overpowered his good judg
ment and honesty. He does not try to
deny matters but admits his corrupt
acts, and malfeasance in Office. Tray
cling Auditor Stafford and the county
commissioners of this county have ex-
pressed their willingness to do all they
can to aid him to settle with the coun-
ty and there seems to be no desire on
the part of anybody to push him to
extremeties but to give him chance
and time to straighten out this very
unfortunate and deplorable state of af-
fairs and to reimburse the county and
school funds in the sums taken by
him and lost in Wall Street. The New
Mexican gives the facts above as it
has obtained them from reliable au
ont Hocirn in n.
ner to exaggerate the case, but as a
public journal it is in duty bound
neither to palliate nor to hold back any
facts which it has learned concerning
the matter. The people, and especial
ly the taxpayers and property owners
of this county, have right to know
and the New Mexican gives the story
above in as simple and as plain man.
ner as the sensational circumstances
of the case will admit. This paper re-
members that for many years Colonel
Knaebel has enjoyed the confidence
and good will of this community and in
conjunction with the many good citi-
zens of this town and county sincerely
deplores Colonel Knaebels fall from
place of honor, respect and good will
to that of defaulting official
A representative of the New Mexi-
can interviewed County Commissioner
Arthur Seligman concerning the mat
ter today. Mr.. Seligman stated that all
he could do in the matter was to stand
by what was right and proper for the
lo fu nd nf thn toy-
payers and that his oath of office re-
uuired him to see that the defaulting
treasurer and his bondsmen replaced
the sums short in the treasurers ac-
count in the county and school fund
Just as speedily as possible. He had
no desire whatever to do any more
than his duty, but that he would do,
and would vote at the meetings OF the
board of county commissions in ac-
cordance with the desires expressed.
He was willing to allow Mr.. Knaebel
all legal and lawful claims, but would
insist that every cent of money just
ly due the county and school funds be
refunded at once and that if this is
not done that legal proceedings be in
stituted. He thought and expected
that his two colleagues on the board
Chairman Kendall and Commissioner
Quintana were of the same mind and
that the board would act in accordance
with the best interests of the taxpay
ers and citizens regardless of conse
quence.
This afternoon the New Mexican
was informed that at the meeting oi
Colonel Knaebel's bondsmen this fore
noon Colonel Knaebel agreed to sub
NIT schedule of his property at once
and that it was resolved by the bonds
men to raise the amount of the short
ages and to see that neither the coun
ty nor the school funds would lose 6
cent. The news of this will be graft
flying to the taxpayers and citizens O
the county and is certainly the bes
way out of the difficulty. The New
Mexican has good reason to believe
that this proposition will be carried
out in good faith and that the count!
will not suffer to any degree or in an!
manner. This makes the situation
much easier and better for all concern