The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1905-07-21
KELLY CAN'T GIVE BOND.

TO near Inem-
HOch Insists on Open Meeting.
81 have no objections to such an
arrangement" said Governor Hoch,
s'but / want it distinctly understood
that 1 am not bound to secrecy about
what goes on in such a meeting.
want to be left to exercise my judg-
ment about what 1 will give to the
'That's understood. of course said
Mr.. Burrow.
So by mutual consent, the members
of the council with drew to the private
room and left the newspaper men,
state house officials and representatives.
of various bonding companies and pO-
litical interests, to the number OF
about thirty, to talk about the weather
The secret conference continued for
nearly twenty minutes. 1t was then
announced that the council had de-
Treasurer Kelly to the secret meeting
should be repeated to the public.
Kelly Makes Statement.
With much evident agitation Mr..
Kelly made these remarks which
were taken down by Mr.. Burrows
stenographer:
''I have not been making an effort
to obtain this bond because the law
compels me to do do. I have been
making strenuous efforts, however, in
response to public sentiment.
1.-THE state depository law went into
effect March 18. The law states that
twenty days thereafter the treasurer
shall give a new bond. 1t further
provides that the amount shall be
fixed by the governor, on form pre-
pared by the attorney general. The
law thus contemplates that I should
have twenty days. received my no
tice to prepare this new bond on July
s, since which time I have put forth
strenuous efforts to get a surety COM
pany bond. The bond has been ac-
cepted by one company. and declined
by all others SO far heard from. The
company which offered to accept the
bond has capital stock of 100000,
and proposed to give me a bond for
which made the cost nearly $4,000 for
the 18 months.
''It has been my desire to give a
bond which the executive council could
RAISING itself. I received at 5 o'clock
last night a notice from a company
from which I had made most stren-
uous efforts to obtain a bond, declining
to write the bond I Immediately set
to work to secure a personal bond,
and up to this hour have secured
$19O,O00 on such bond, and am in
communication with friends in other
parts of the state with such results
that I am convinced that within a very
short time 1 shall have subscribed
on this bond at least 100000.
THAT the bond which has been de-
manded is excessively large have no
hesitancy to say. The treasurer of the
United States gives a bond of only $780,,
900. The receivers for the Santa Fe
few years ago gave only $3.50, 900. The
receivers of the Devlin estate give only
$125,000 each. The legislature contem-
| plated that the bond of the state treas.
urer should be fixed in such a sum that
| 600 should pay the premium and that
amount was appropriated. The amount
appropriated is not enough to purchase
more than $3.50, 900 or $500, 900 in bond.
Attacks the Newspapers.
THE failure of the First National
| bank has resulted in directing vicious
| assault upon me by certain newspape
in this state. By these papers it seems
that I am practically held responsible
for the failure of this bank. c. r. Fore
man of the"
Here J. R. Burrow interrupted,
There's no use dragging into this the
names Of prominent financiers who are
not in any way responsible. Therefore |
/ hope the newspaper reporters will omit
| the use of those names. 1t would make
trouble to have these names heralded
over the country by the Associated
Press"
Nobody has spared me in this mat
| ter replied Kelly somewhat hotly,
'and 1 don't know why I should sup
press anything. Besides these names
have all been printed"
"All right. then, if they've been
printed" said Mr.. BurrOW.
Mr.. Kelly continued: &c. r. Fore
man of the Fourth National bank of
st. Louis. one of the best financiers in
that city. is said to have lost $500, 900
in the failure. Charles G. Dawes,
comptroller of the currency under Nc
the National Bank of Commerce, lost
S263,000 c. S. Jobes, of the American
| National. is said to have lost $500, 200.
| Besides these there are numerous 9TH
| G<~..
| business ability, and who are in a
position to know better than any of
the depositors, who lost money in this
disaster.
Again refer to the time given me
| to prepare this bond. If 20 days con-
templated in the law to meet the re-
quirements was a sufficient time, GER
tainly Ia days is too short time to
make bond of that magnitude, with
| the present disturbed condition in
business affairs. If given 10 days
more time, 1 can make a personal
| bond think the amount of the bond
should be reduced to 100000"
Now let's hear from the attorney
general suggested one of the MEM
bers of the council, when Mr.. Kelly
stopped talking. Mr.. Coleman said:
I'm response to a question, or a sug-
| gestion, made by Mr.. Burrow during
the closed session, 1 gave this as my
opinion. The only power or duty of
the executive council is the approval
or rejection of the bond, and that this
council has no power to extend or
shorten the time for giving the bond.
Hoch Makes a Statement.
Now I want to say a few words,
said Governor Hoch, Sin reply to some
OF the statements made by Treasurer
Kelly.
Il want to say as a preliminary that
in my relations with this whole matter
l have not been and shall not be actu-
| ated by any personal motive. l have
| no personal grievance, but on the con-
| trary l have a kindly feeling for the
! state treasurer. What 1 have done or
what I shall do has been and will be
| controlled by a sincere desire to fulfill
| my official obligations to the state, but
the statement just made by Mr.. Kelly
| should not be given to the public with
| out some observations by me.
I can not agree that Mr.. Kelly is
| under no legal obligation TO give the