The evening herald. [volume] (Albuquerque, New Mexico) 1914-1922, 1915-02-09
Senator Hollis Speech on
the Blood Investigation
Bill and Related affairs

ident Of that institution. than WHOM
no superior as an educator ever az
listed In New Mexico. would he sum
marily discharged from that lnstitu
ion by virtue OF the fact that he wa
a Republican M had oeen ole ed a
a Wember Of the constitution con
vention from Dona Ana county upoi
the Republican ticket. Ana the threa
was carried into execution. They re-
fused to re-elect him and other goo,
Republicans. the best men whom ",
have ever had In the institution fol
lowed him.
The president Of the Frs, stat,
bank 81 las Cruces. which failed on
the 9TH day OF December last. ma,
been like a spider in his web. dlctat.
liz the policies Of the Agricultural
college. Mr.. N. O. Llewellvn wa,
elected secretary and treasurer Of ths
board Of regents immediately follow.
ing his appointment a. q member OF
that board. In June. 1912, ne gave a
surety company bond. Within a yer,
few months thereafter the surety
company which signed the bond. for
reasons which were quite satisfactory
W Nv NNNNlNAHH . NNNt no nunf re
quested to be relieved from its liabI-
icy, u having developed. SIR. Presi-
dent, that the First state bank of
Las Cruces, which was the depository
OF approximately ~seventy-hye To eighty
thousand dollars 81 the college money.
was unable 10 induce any surety com
pany authorized to do business i'm the
state Of New Mexico to sign a demos.
TORY or indemnifying bond TO the sec.
Rotary ana treasurer OF the college.
For reasons NJ yet unexplained. the
surety company which signed tae
hrst bond 81 Mr.. Llewellyn was Ber-
mitted 20 withdraw therefrom and
Mr. Llewellyn Was called upon to
procure another bond. which was not
furnished until March, 1914.
In June following. the surety com.
pany which signed that bond served
notice upon the governor OF New
Mexico, upon the attorney general.
upon the president of The board OF
rcseuts, and upon the secretary and
treasurer of that board declaring It's
desire to Withdraw as surety uf5n
that bond The attorney general touk
the position. and I think correctly.
aud l am advised so informed the
governor, that under the terms OF that
pond the surety company could not.
serving such notice, relieve itself
from liability, and declining 10 permit
the company to Withdraw. The COM
pany. however, insisted, and. / am re-
llaoiy Informed. stiil insists. that Dy
Its action u did relieve itself from
liability. The best lawyers Of the
having been advised OF the facts.
agree hat the surety company can
ont escape It's liability by virtue OF
that notice. BE that a. 1t may. follow.
ing tie giving OF that notice, which,
as ! said, was In June. iglt. about
the 25th Of september OF The same
the surety company accepted
the premium upon The bond. so that
the surety company upon the aond OF
Mr.. L~icWellNn IN liable. II IL given
positively uy the attorneys for
mat company that they do not pro-
Go pay the amount Of bond un-
Tess they are required 10 do 50 by
The judgment OF the court of last re-
sort The governor and the travelling
iudttor-at least the goVernor-was
W. ''AN. ~ hAlANf NI the IO~
li'r. that thc company desired 10 be
relieved OF its Liability. - far as the
record disylOsos, no word OF warning
was given, no action taken looking to
the protection OF this large amount OF
money ia the First state bank.
though no surety company would sign
IN indcmnifNiug or depository bond
IT,.
The First state bank Of Tucumcari
was organized by a man named Hugh
Swift who for about eight or ten
months prior 10 the or~ganization of
bans had been cashier OF the
FIRST state banK of Las cruces. It
"ns organized oy making a debit and
credit entries upon the books of the
state bank OF Tucumcari and
he First STATE bank OF Las Cruces.
II had a briof career and a rotten
About october. 1913, that
bank failed, Immediately following
rs failure Mr. swift, lbs cashier, Was
indicted. likewise r. n. II. Smith. the
president of the FIRST State bank OF
Cruces, who together with Swift
iad organized ne First State bank OF
rucumcari. Mr. Smith was indicted 1,
-embclzlement ana conspiracy TO
'mbezzle and the indictment IL stili
pending against him, the case never
been brought To trial, Know
edge OF that fact was. of course, pos
iessed by every well informed citizen
II the state. me still no precaution
Sas taken TO safeguard these public
monies.