The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1908-05-18
Judge Dana Adjourns Hearing
of Kelly Case.
Requires Time to Prepare His
Instructions.
DEFENSE COMPLETED.
Rely on Point That Money Was
Illegally Deposited.
Use States Petition in Other
Case to Prove This.

The case of the State VS.. The First
National bank to recover on state funds
in the sum Of $4,000 from the banks
sureties, will not reach the Jury until
Tuesday morning. All the evidence
was in at 2:30 this afternoon and Judge
Dana adjourned court until tomorrow
morning in order to have time in which
to prepare his instructions to the jury.
These instructions will be elaborate
and cover multitude Of law points
brought up in this case. The inStruc-
tons will be written. and will have
great weight in the final conclusion
reached by the jury.
AT noon today the defense introduced
the telegram sent by c.: c. Coleman,
then attorney general, to the Title,
Guarantee and Trust company sureties
for Treasurer Kelly, at the time of the
failure of the bank, in which Coleman
stated that Treasurer Kelly had $547, 900
wrongfully deposited in the First Ma
tional bank, and demanding recogni-
ton of their liability to the state for
this sum.
The defense introduced it's evidence
this morning. r. L. Thomas, clerk of
the district court; Alfred A. Rodgers,
local representative of the bond COM
pany; ]. c. Botkin, assistant secretary
of state; f. M. Bowman, assistant
cashier of the First National at the
time during Mr.. Kelly's administration
as SldlS tIcdSuIoT, anu waiter fdyn6,
an employe in the state treasurer's Of
flee for the past five years. were all
placed on the stand by the defense.
principally for the purpose of Identify
Ing certain papers In the case offered
as evidence. The states petition in
the case of the State VS.. T. T. Kelly
and his sureties. the Title Guarantee
and Trust company, was read in court
by counsel for the defense. By it they
sought to prove that the state itself,
which now alleges that Kelly's account
with the First National was within the
law, had alleged that Estate Treasurer
Kelly did unlawfully and without
authority place and leave on deposit in
the said bank the sum of $547 900 of the
states funds, and through this act and
the state this sum- The reading of
the states petition in the other case
bore out the assertions of the defense
in every detail The petition was filed
by c. c. Coleman. then attorney gem
eral. and it set forth in strong and
concise language the charges that the
state treasurer had acted unlawful
ly in placing and leaving this immense
sum Of money in the First National
bank from April IA to July 8, the date
Of the banks failure: That no depos-
its were made after April IA, yet near
ly three months later there yet re-
manned over half million of the
states money in the bank contrary to
law. Thus the defense took up the
states own allegations that Kelly's ac-
count with the First National was
unlawful and offered them as evidence
in this case. Cashier Bowman testi-
fed that Kelly's account with the bank
was an ordinary running account, the
same as that of any other deposition
The defense sought to show, all the
way through, that Mr.. Kelly's ac-
count with the First National was
deposit account, and thereby con-
trary to any law, and not an account
for collection as by law provided,
and that the bond company was not
bound by any unlawful act, no mat
ter what its contract by law. The
state holds that Kelly's account with
the First National was an account for
collection and within the law, and
that it should recover on the terms of
an unusually strong and binding
bond.
The case has been in progress since
last Wednesday. and has been fought
every inch of the way by brilliant
legal talent on both sides
Judge Dana Saturday evening over
ruled the demurrer Of the defense
to the states evidence. This de-
murrer was argued for two days be-
for the court. In his decision the
judge merely allowed the case to 20
before the jury with all the states
evidence as admitted. The judges
decision in the matter Of the de-
murrer left the case right where it
was when the motion was filed, but in
his instructions to the jury the judges
views of the law and the evidence
ing of a decision In this famous case.