Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1915-09-08
Nebraska
governor TO TAKE
HALL CASE TO COURT
Nebraska Executive Charges State
Treasurer with Aiding Rela.
tives and Friends.
HALL FAMILY NOT FORGOTTEN
(From a SAD correspondent.l

(FrOm starr correspondent
LINCOLN, Sept. 7.-(Special. )-Charging
State Treasurer George Hall with acts
in office in connection with the giving Of
his bond as state treasurer that If in
vestigated would place the latter in the
penitentary. Governor John II. More
head fired his big .forty-two centmeter
gun in the direction of the custodian OF
the state money boxes this morning. He
charges that Hall entered into an agree
ment with the agent of the bonding COM
pany whereby the premium was to be
divided among relatives and friends of
the state treasurer and asks the treas
urer to make an explanation.
He accepts the challenge of the state
treasurer to take the matter of issuing
of warrants to certain departments to
the courts and says that as soon as the
supreme court convenes the matter will
be brought before them and the aeustion
decided whether the governor is breaking
the law or the treasurer exceeding his
authority in denying payment of ofod
commission warrants and those OF other
departments.
Governor Backs Gerdes Bill.
The statement of the governor is as
follows;
have seen Mr.. Halls statement and
The part referring to the best methods
OF handling tn funds of the pure food
department IL os the most importance. l
believe all public funds should be paid
into the state treasury and drawn out by
warrant When in the senate / advocated
and voted for the Gerdes BILL believing
that paying all money into the state
treasury and drawing 1t out by q warrant
would protect honest officials from un-
just suspicion and criticism, as we'll as
keeping check on dishonest one.
| am aware that the deputy food COM
missioner. Mr.. Hartman. in whom ] have
money collected in his department. pay
ing out what is needed for the running
the statetreasurer. But ! stiil contend
that the best way Is to pay money out
by, warrant, os that complete check and
the department.
have never asked Mr.. Hall for my pay
until due, and had nothing to do with
the presenting of claims by any official
before they were due No claim of mine
has ever reached his office, except the
vides. 1 have not asked for mileage books
or any expenses outside of the salary
the constitution provides. and that Is the
Guardian of Taxpayers.
resent any inference that I have not
protected the taxpayers of this state to
the full extent of my ability AS l said
the expenses Of my department many
thousands of dollars as am in favor
Of the retrenchment Of the expenses of
the state and the handling of our affairs
as we would try and handle our private
He mentions in his statement my asking
him to do something contrary to our con-
stitution. talked to Mr. Hall, as the
constitution provides that approve his
BOnd Of 1 OS S instead Of %osS SsSrG as he
and I had ADVOCATED efficiency. economy
was to the s1 on the f bond Ss
giving bond of 100000 instead of
SsSs g. i SuI IA saYe b the state e a. s6
tect the taxpayers of the state as the
banks now are nearly all under the state
guaranty law. This at one time was our
greatest danger, but now even II loss
would come, the very worst would not ex-
ceeG the erS amount Nf the bond bond suggested
prised a. few days later to finl that he
heart and presented bond for 1000 o.:
recent et investigation ind as oD'b Believe
the reason for his changing so suddenly.
The loca lagent Of the bondlng COMPANY.
honest UPRIGHT man and IN no '' way dis.
honestly connected with this transaction,
o %Si the nts e pa tS Sy S9 stats of @
on this bond Mr.. Hall demanded Of the
rgent. that this commission be divided
JOHN at vera %erdon S sa n' M SfGrns
vice eop president Of the FranklIn bank .:
w G. Dorsey and 5000 to James Conklin.
Hall Asked to Explain.
Just why this $500 should not have been
returned to the state treasury 1 should
Ike to have Mr. Hall explain; If Mr..
belonging to himself. he would have a
right to this money, but when 1t comes
the treasury. which he is so anxious 10
protect, 1 cannot understand how he car
Justify himself in transaction OF this
lie says that the banding company is
unwilling that he should pay the ex-
penses OF the pure food department, the
most natural thing in the world, they
have their $4,000. and would like, as l
would presume, to be relieved entirely
of any responsibility. especially when the
they should make such q ruling. If he
will turn the $500 paid paid to his friends
into the state treasury, pro-rate back the
1920; I will secure a bond from just as
reliable a company, and see that this
company will permit the expenses OF
the pure food, and oil Inspection depart
ment, department which brings in mel
$4,000 per year more than the running
expenses. to be paid.
What's Cause of RumpusI
Is it not fact, Mr.. Hall. that your
Crouch dates from the day that four OF
the five members of the Board of Edu-
duce the taxes of this state $4,000 which
by action and by word displeased you
very mucn. Inc TOUR or flV6 members
may have made a mistake, but we were
governed entirely by the returns of the
assessors of the different counties and
the estimates made by the legislature OF
the needs of the various departments
after ell were provided for, we still had
surplus of something like $1,000 May
Il not have been selfish reason, as II
appeals to me that it was in the writing
of the board With a great amount OF
money In the treasury, you could have
more bank accounts and a greater po-
litical machine. Or il may have beer
that you could have given more aid Ia
the banks that you and your relatives
are interested In.
You have stated to parties that YOU
have no state money deposited in your
banks. This may be correct as far as
direct deposit is concerned, but since you
have been state treasurer, banks I'm ths
vicinity of your Franklin bank have mor'
than $1,000 deposited with you, some oi
which were not customers before yot
were elected and who now have STATE
money. The Verdon bank. of which YOU
brother Is president and the Hall family
own and control. has SIS 800 OF state de
posits, Do You not think that your In
terests are being pretty well taker
care Oft
saving One Per Cent.