The San Francisco call., 1908-11-19
T. ". SMITHSON
IS SHORT IN
HIS ACCOUNTS
Cashier of Merchants Associa=
ton Makes Partial Confess
sion of His Defalcation
Experts Discover Deficiency of
$4,000 in Cash on Ex-
amining Books
Revelation of Embezzlement Due
to Scandal Over Forgery
of Vouchers

Frank w. Smithson, cashier and con-
fidential agent of the Merchants asso-
citation, is short in his accounts. The
discovery was made yesterday by ex-
perts who have been at work upon
the books of the young man. When
confronted with the facts Smithson
made a partial confession. The short
age will exceed $4,000 and may reach
$4,000. The accounts have been Jug
gled until they have become a tangled
mass, which it will require a weeks
time to unravel.
The embezzlement comes close upon
another scandal in which Smithson,was
involved. Two weeks ago he was ar
rested with three others on a charge
of forging Southern Pacific freight
vouchers. Smithson admitted that he
had forged the names of shippers, but
maintained that he had not done SO
with guilty intent. He declared that
he had acted at the solicitation of Jack
son H. Gordinier and denied that he
had profited financially.
Experts Find Shortage
1t was after this episode that L. NJ.
King, secretary of the Merchants as
sociation, began an investigation. Ex-
perts were called in and brought the
shortage to light.
Smithson had always been rated as
an industrious. energetic empioye. OF
pleasing personality and gracious man
ner, he was ever ready to oblige and
in this way had won the esteem of his
employers. He had drawn to himself
increasing responsibilities and was
trusted in all the affairs of the organ
ization.
Aside from his Office duties smithson
supervised the banquets and dinners
given by the association and collected
the dues from the large membership
At the same time he acted as book
keeper and in this way was to a large
extent his own auditor. His accounts
were checked up by King at different
times, but suspicion was not aroused
until he was arrested in connection
with the voucher forgeries.
of model habits. He is less than 80
years of age and has never been pa
tron of the racetrack or the gaming
table. 1t is believed that his irregu-
larities have covered long period and
that only small amounts were DETECTED
at time from the association treasury
Trusted Clerk for Years
Smithson has been trusted clerk
with the association for many years."
said King last night. I'VE never, until
a week ago, had reason to believe that
his accounts were not correct He was
not an expert book keeper, and for that
reason 1 frequently went over his ac-
counts. I found no discrepancies and
continued to trust him until he was ar
rested with three other young men and
charged with defrauding the Southern
Pacific. At that time he was exoner-
ated by one of his associates, who
stated that he had made Smithson his
dupe"
King acknowledged that Smithson
had confessed that he had taken some
of the funds of the association, but the
exact amount had not been determined.
The association is protected in this
matter" continued King. "Smithson is
under a bond of sufficient size to guar
antee US against loss. do not know
whether the railroad company will
press the charges against Smithson on
the forgery accusation. We have de-
layed action until we can learn the ex-
act amount of the shortage
MRS. NAT GOODWIN SAYS