Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1917-10-31
SECRETARY OF
STATE AND HIS
CLERK ARRESTED
Two Men are Charged With
Embezzlement Of Sum from
Automobile Fund.


with embezzlement Of about $4,000
from automobile registration funds OF
the state, Thomas Hall, secretary of
state, and Eugene M. Walla, clerk in
the automobile registration depart
ment OF the secretary of states Of
flee, were arraigned before Police
Magistrate Bleckreid at midnight last
night and held for preliminary KAN
ination November 3 and Z, respec-
lively. Hall furnished bonds in the
sum Of $4,000 and Walla gave bail
for $4,000.
Warrants were issued on informa-
ton from the attorney generals Of
flee about 9 O'Clock last night and
were served by Sheriff French. 1t
was near midnight when the defend
ants were arraigned in police court,
where their pleas of not guilty were
taken and bonds were fixed. Per-
sonaIbondsmen were procured imme-
diately and the secretary Of state and
his assistant went home to resume
their interrupted slumbers,
Charges grew out OF an alleged
shortage in the automobile registra-
ton funds Of the state, said to have
been discovered by State Examiner ].
r. Waters. Walla has been in charge
Of the department for several years
and for the last three years the
amounts annually received by him In
payment Of automobile fees have
ranged from 100000 to $4,000.
Halls Statement.
Thomas Hall, inc statement given
the press this morning, admitted
technical irregularities in his office in
connection with the administration of
the automobile Registration fund.
There is no money shortage in my
Office" said Hall. There have been
no falsi1cations of-reports or records.
There may have been slight technical
notNlost a penny in money or property.
When the examination was made this
month Mr.. Walla was absent on a
hunting "trip and I did not know very
m.th about the details of the depart
ment, SO a~Iomplete explanation could
not he made to the examiner. 1 trust
people of the state will suspend judg-
ment fo.- a time until the matter can
be explained to the court"
Demands Examination.
Mr.. Hail wired his bondsmen, de-
manding al. immediate and complete
audit of the office. II have nothing
to conceal" said the secretary. Rec
ords and books are open for inspec-
ton and a careful audit will thor
ol:ghly vindicate me of any charge"
The shortage was discovered a
week ago today when a representative
of the state examiners Office checked
up the registration department Of the
secretary Of state. The books and
records all were in perfect order, but
showed that about $4,000 received in
payment for license tags had not been
deposited with the state treasurer.
Wal]a, clerk of the department, was
absent at the time and the discrepancy
could not be explained. Shortly after
his return Monday the safe was
sealed by State Examiner Waters and
opened that evening in the presence
of Assistant Attorney General Bren-
nan. The safe was found to contain
$500 in" Checks and $50 in currency.
Walla produced $1,000 which he had
in his desk and which he declared to
be accumulated funds from the lie
ense receipts, but the examiner and
attorney general refused to permit
Walla to include this amount with the
money in the safe.
1t is admitted by all concerned that
the misdemeanor, if any, has been
committed in a purely technical way
The aw requires the daily deposit of
license funds with he state treasurer,
but considers the failure to do so
nothing more than a misdemeanor.
Walla's predecessor, A. N. Void,
was removed from office after a short
age of $1,000 was discovered.