The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1905-07-08

KeIly's Official Fate Under Con-
sideration Today.
Gov. HOch and His Advisers
Discuss Situation.
is GREAT SECRECY.
None Of Participants Would
Discuss Action.
Hay Have Adopted Plan to Dis
place Kelly.
HOch May Also Be Liable For
Neglect Of Duty.

State Treasurer T. T. Kelly has failed
to make good the Devlin deficiency in
his bond "immediately'' as required by
Governor Hoch, and nearly all this
morning and until 1:45 this afternoon,
the following gentlemen have been con-
ferring about the situation in the COVER
nor's private office;
Governor E. w. Hoch.
w. r. Stubbs, speaker of the house
J. n. Dolly, state senator.
Q. c. Coleman, attorney general.
A. R. Clark, A. W. Benson and S. 7.
Howe, members of the advisory board.
F. L. Williams. of Clay Center, the at
torney generals law partner
Fart of the time G. D. Morris, the
special accountant employed by the
state In the investigation of State Treas
-urer Kelly's accounts, has been in the
conference.
At 1:45 the members of the conference
came out of their room, and announced
that the session would be resumed at
2:30.
Governor Hoch and all the other par
ties in the conference absolutely refuse
to talk.
Governor Hoch says that it is posi-
bic that he may have something ready
to announce late this afternoon.
up to the present time he asserted
nothing has been done which can be
given out"
Judge A r. Clark said: 1--WE simply
talked over the general situation to de-
eide what we can do"
Senator Dolly said: "I think some
thing will be decided on some time to-
day But nothing has been done yet"
That Resignation in Escrow.
One of the things which the meeting
had under consideration, it is said, was
the authority of the governor to i'm
mediately accept the Kelly resignation
which he holds Gin escrow" This is
said to be the reason that Accountant
Morris was called into the conference.
1t is considered likely that he has un-
earthed some transactions in the state
treasurer's office which may make it
possible for the governor to accept the
resignation, and thus get rid of Kelly s
services.
It is not at all likely that Kelly would
stand by this resignation. The document
IS so hedged about with provisions and
conditions that it would be very difficult
for the governor to get a good ground
for action under its terms. One of the
members of the board iIltimated that it
is very difficult to determine just how
far the governor has authority to go in
his effort to get rid of Mr.. Kelly.
Governor Hoch was asked, after the
conference adjourned for dinner, wheth-
er the Resignation in escrow" had been
under consideration.
IT haven't anything to say about
that" he replied.
Can you state how the resignation is
drawn up, or whether it is hedged about
with conditions %
II think it would not be proper fol
me to discuss that matter
why was Mr.. Williams, of Clay Gen.
ter. called into the conference"
HE is Attorney General Coleman's
law partner
what was the general line of discus
sion in the confeTence?"
THAT I can't talk about"
when will you be ready to make
some statement concerning the situa-
tion?"
IT don't know Perhaps sometime to-
day"
Interviews with other persons present
at the conference had very similar re-
suits. No one would tell what had ia
ken place.
Governor Hoch has cancelled his en-
gagements to speak at the Ottawa
Chautauqua and at the Epworth league
convention in Denver.
"I very much regret he said, thai
it was necessary for me to cancel these
dates. had counted especially or
the pleasure of speaking at Denver
but 1 find that it is absolutely impossi-
BILE for me to leave the capitol at this
KeHy's ONCE Quiet.
There was nothing unusual in State
Treasurer KeIly's office this morning
Mr.. Kelly had made his move in re-
fusing to comply with the governor
demand for an immediate substitution
of some one in place of G. J. Devlir
on the old bond. He had nothing
further to say. It was up to Governor
Hoeh to make a move.
EX-State Treasurer Frank Crime:
called upon Kelly this morning, and
was with him some time. Mr.. Grimes
said;
bank will pay out 1 do not believe
that the state or anybody else will
lose a dollar. This receivership is the
best thing that could happen, for the
and win keep the property running
along in good shape. That is tbs
whole secret of the present situation
the property must be kept in opera
ton Mr.. Grimes is one of thos'
who got information which enabled
him to take his money out of the FRS
National before the crash.
do you think that Kelly will b.
able to give the new bond of $3.50,
900 ?" was asked.
'I don't care to express an opinion
concerning that matter" said Mr.
MT. Grimes is in rather a peculiat
position in the present crisis. He il
obliged to stand by Kelly, and at th'
same time he has been posing as
staunch friend of Governor Hoch, anG
Hoch has allowed him to name one O
two important appointees.
Thinks Hoch Is Liable
One of the most eminent lawyers il
the state, in discussing the situation
today, said:
at is well settled that if any publ,
Official shall neglect to discharge
duty-a public duty-enjoined upol
him by law, he is personally civil.
liable for any loss or damage whicl
the public may sustain by reason o
such neglect or omission of duty.
81 notice in one of the papers tina
Governor Hoch says: While do no
want to belittle any law on the statut
books, this one concerning the examin
alton of the treasury is about as use
less as any This will show that tn
governor Intentionally violated tn
law, because he considered it a useIes
one. Nevertheless, he and the secre
taEK of state and auditor are person