Tulsa daily world. [volume] (Tulsa, Indian Territory [Okla.]) 1905-1919, 1913-11-02
BIC SHORTAGE IN
NUSAOCEE COUNTY
COUNTY TREASIRER ALREADY
CHECKED uP OVER $4,000
SHORT.
AN EMBEZZLEMENT CHARGE
STATE Auditors Have Not Nearly Com.
plried nm Examination of
County's Books.

MUSkOGEE, Okla, Nov. l.-(Spe.
ciaL) L)-Fifty-fivo thousand dollars,
the amount set forth In the warrant
upon which ". II. wainwright, re
moved only few hours before an
county treasurer, was arrested yester-
day afternoon charged with embe2zle-
ment. may be merely scratch upon
the surface" II was said last night
In addition TO the $4,000. money
drawn upon two checks for 5000
ench has not been accounted for and
yesterday afternoon citizens began
presenting tax receipts purported to
have been signed by W. H. Vain
wright for the payment Of taxes upon
property which has been advertised
for sale because the records show
taxes upon the land have not been
paid.
While many Of the larger banks
have made reports 10 the auditors
there still remain to report several OF
the smaller Institutions. These re-
ports may swell the alleged shortage.
II the sum total Of these amounts.
however. does not exceed $4,000, the
NiHNAlA W WI. W am NIlEIl : bOnN.
the county will not be loser on these
accounts The county has already lost,
however, $17, 900 which amount was
up ms deposits in the Union State bank
OF this city and the Bank Of Vain
wright In which Mr. Wainwright was
Il heavy stockholder. The state guar
untee fund does not protect public
monies, II being the duty OF the coun-
~ treasurer to require bonds and
surieties from the banks to protect de-
posits OF all county monies In their
vaults IT is said that in the Instance
of these two banks. Mr.. Wainwright
cid not exact this guarantee. Mr..
Wainwrlghts bond specially ex-
empts liability for money lost in bank
failures.
Where the scandal that involves
the county treasurer's office will end
those in authority last night did not
dare predic'. 1t is thought that AT
least one other and perhaps several
II ore might become involved Sever
al of Tn banks Of Muskogee and sur
rounding country are not coming cut
of the muddle with clean skirts.
either, il was declared last night
very peculiar transaction is said to in
NoNe one or the leading banks OF
Musllogee. Mr. Wainwright apparent
IS. so the investors believe, presented
a check made out contrary to all
ethics for $4,000 upon this bank and
II was honOred The check. II is said.
was not written upon county
troasurer's check but upon an ordin-
AIRY blank bank check 1t was made
payable to cash and was signed BY
Mr.. Wainwright. All checks drawn
on the county funds ordinarily state
to whom the money was paid and for
what purpose.
Another check for So goo made out
to w II. Wainwright and paid by an
other bank. It is said, bears only the
endorsement paid" made by rubber
stamp. No endorsement upon tho
face or back of the check indicates to
whom the money was paid
The examination by the auditors ot
Mr WuinWrghts books Is not nearly
completed. in fact Il has been little
more than begun. II will be fully
three weeks Il is believed, before II
ia finished and for that reason Mr.
Wainwrlght's preliminary hearing was
set for December /
Auditors will Immediately be set 20
" ork checking the long county land
lis II it be true that money has been
paid IN for taxes. receipts given ana
ho record made on the countys
books the treasurers office is in pitt
ful shape. II this practice has been
In vogue sums accounted for may run
into enormous figures
The shortage has been covered for
many months, II is alleged. by clever
manipulation. The basic principle
vas simple The countys books
showed the proper amount OF money
In the banks when In reality the
money was not there. Mr.. VAIN
wright. II Is said, managed to have
II reported lie worked this. IL Is
charged through manipulation and
exchange of paper using the defunct
Rank OF Wainwright ss a clearing
house. The auditors are said to have
found one case In which $4,000
check drawn on the Bank of VAIN
wright was deposited In local bank,
certificate OF deposit being issued 20
Mr. Wainwright FOR the check. Il was
not until three weeks later. /. Is said.
that the check came back 20 the local
Institution marked mo funds. Dur
Ing that time. however. and during
which time The bank might easily
have made lts report. the check vas
carried by the bank as money IN de-
posit