The Montgomery advertiser., 1905-09-15
Indiana Governor Gusts
 Cabinet Member.
IRREGULARITIES ALLEGED
Some Warm Expressions of
 opinion.
Alleged to Be Guilty of ssPIsin, Inez~ casabIe vielatisn of Law and Cross Betrayal sf rss-
 lie Trastv

Indtanapolis. Sept. 14s---Alleging tna<> David E sherrick, auditor of State, ha9 heeu guilty of a -piain and inexcusaple violation of the law and groes ps- trayal of public trust" in that ne m vested funds belonging to the State in private affairs to the extent oI .ossss aosus si4y.O00, Governor Hanley today issusA an executive order in which ne took coxnizance of . vacancy in the omce ana aDoointed Warren Hi9ier of Wa haah. as his successor. This m anecrs amounts to removal Of Mir. sherrick by the Governor. though the Vmcieh statement Is not made that way.
 The Governor gave Shsrrick untu noon today to make settlement. There was no defence, and the Governor. at ter having asked for Sherrickss resi&- nation three times, effected the re- moval. Sherrick has not been arrsste1 as yet and in his statement the uox- ernor did not say that such action was contenplatej. Mr. Sherrfck could noE he seen At noon today. In a formal statement issued relative to the naatters the Governor says he has ben invastt- watinR the conditions in the audttor'M office since the last of August, having received information that Sherrick hN0 not made the July settlement Tor the, State fund which had accrued From January to July l. 1905. He irnnnsdi-
 
 was not made.
 This amount was about s2s5. 900. In addition to this amount tho auditor in his statement to the Governor adnaitted that he was at that time chargeaple with state funds paid in since the July settIemsnts amounting 70 xtAeslN0 koE which he filed a schedule enuineFafinG tho assets he had to meet thas amount which he owed to the State- ThSsa items inzluded notes, stocks and securt~ ties amounting to S152.SS3 of which, ac- cording to the Governors letter, only ss7.ssB could be realized on.
 Dfa Not Hemiams
 At the time that this anaiysis of the assets submitted by sherrick wae made the Governor formally requested EhAr-' Trick to resign. The resignakiOu WAS lnot fortRcafninE The Governor re- l quested that Sherfick turn over tp John I D. Reed. the settlement clerk tn the auditors office. the securities enun1er~ l ated and this was not done. The Gov ernor also demanded that settlement to the extent of s145,1e7 be made with tic State by noon today and on being ad- vised by "persons whom he thought to be in a position to know. that the settlement could not be made, he aEain sent a message. this time verbal, re- duesting Sherrtck to resign. At noon the request had not been complied with and it was repeated. Again not conn piled with. the Governor entered an executive order, finding the existence of a vacancy and appointing Bigier.
 At o'clock Sherrick sent his resig- nation to Governor Hanloy, who ac- cepted 1t and entered an order appoint- ing Warren Bigler of Wabash to the office of State Auditor. BigIer accept-l ed by telegraph.
 In his letter to Mir. sherrick dated Sept. {. in answer to the letter in which Sherrick made a list of the notes, stocks etc. held by him as security for the money belonging to the State that he had used. the Governor analysed the assets in detail.
 The total amount of this schedule was more than s1T2,O00. Of this amount about $20,000 was on deposit in bank. Of tho remainder about $sl.000 was loaned on notes given by the T. H. Murry Company, hardwood lumber dealers, which notes. according to the statement of the Governor in his letter to Sherrick, were forgeries so far aa J. Fl. Murry is concerned. The analysis further says that notes for an addi- tional $66000 are practically without value. some of them being the notes of persons notoriously insolvent and others of them being stock and securi-s ties and stock of corporations that are wholly speculative in character. The further sum of s1s,500 is representa- by notes that are said to be of doubt- full value, making. according to the Governors estimate, the real value of the s172.7os worth of securities only $37,355, the difference being almost total loss.
 David E. Sherrick's bond on Ale i'd the Secretary of States ofice Is for $100,0Q0 and was furnished by the American Surety Company.