Los Angeles herald., 1905-04-27
TAX COLLECTOR
IS A DEFAULTER
E. G. SMITH OF SAN FRANCISCO
A FUGITIVE
MANY THOUSANDS ARE TAKEN
Total Amount Of Defalcation Esti.
mated at Between $4,000 and
$685. ,ooo-Polloe Hope to
Apprehend Him
BY Associated Press.

BY Associated Press
SAN FRANCISCO, April 2e.-Edward
o.. Smith, tax collector of this city and
county has been officially declared to
be a heavy defaulter and today the
police authorities sent broadcast tele-
grams telling of his disappearance and
asking for his arrest The amount
of his alleged embezzlement is said to
he at least between S54, 900 and S690O0
but the actual condition of the financial
affairs of his office is as yet unknown
owing to the shortness of time the ex-
perts have been working on the books.
Six days ago Smith announced that
he was going on vacation and stated
that he intended visiting the southern
part of the state. No attention was
paid to his departure until this fore
noon, when John Smith, cashier of the
office, who is a brother of the tax col
lector, found an entry in the delinquent
tax account by which 1t was made to
appear that the Southern Pacific COM
pany had failed to pay S39,1 ,112 within
the legal time, Cashier Smith at once
formed that the money had been re-
Gently paid to Tax Collector Smith per-
sonally in two installments and that
the company held a receipt for the
money.
Cashier Smith, after comforting with
Chief Deputy McCabe, reported the
matter to Mayor Schmitz, who immedi-
o+a
lector from office and appointed Me-
Cabe as temporary tax collector.
The police authorities were also noti-
fled and all important points through
out the country were furnished with
Information concerning the case and re-
quested to arrest the tax collector.
Experts from the grand jury and the
finance committee of the supervisors,
aided by a corps of clerks, at once be-
gan checking up accounts and it is
expected that a report will be made
tomorrow at the special meeting of the
supervisors that will, to some extent
show the financial situation of the tax
collectors Office.
Handled Large Sums
Soon after the mayors announce
ment that Smith was short in his ac-
counts came the statement that the
absent man had two weeks ago secured
$15 600 from Chief Deputy City and
County Treasurer Devote. Smith, by
virtue of his position, had had many
financial transactions with the treas
urers office and according to Devote
had often given his personal check to
cover Withdrawals of money, particu-
larly in the matter of changing into
gold the great amount of silver col
lected by the United Railways. 1t
appears, according to DeVoto's story, |
that Smith accommodated the United
Railways by acting for them in reduc-
ing their bulky silver receipts into gold
and Devote said he had probably al
together given Smith a quarter of a
million dollars where only personal
checks We're given. These transactions
were only from day to day and Smith
always made good his checks. except in
the last instance of the $4,000. 1t was
reported tonight that an additional
shortage of $4,000 has been discovered
in Smiths office.
With the suspension of Smith came to
light the statement that two years ago
he had appropriated to his own use
$165. 900 of the city's money and that
his brother James B. Smith, had made
good the shortage.
Mayor Schmitz was authority for this
statement. Schmitz said that follow
ing this discovery Smiths family de-
cided to put him under surveillance
and his brother John was made cashier
in order to protect the funds.
Smith is married man and a drug
gist by profession. He is in his early
forties. He was very popular and when
he ran for supervisor several years ago
he received the highest vote of the
candidates at the election. He was
subsequently elected tax collector by
great majority. Since the announce
ment of the shortage in his office stor-
les are being told about his interest in
racetrack matters. It is alleged that
he was a heavy bettor at the Emery
vile track. but did not personally GAM
BILE. all of his money so placed being
handled by an agent
The police profess to be hopeful of
securing his arrest, although admitting
that his six days start would greatly
handicap them.
LOOKING FOR SMITH