The New York herald., 1922-03-05
ILLINOIS GOVERNOR
ON TRIAL TOMORROW
Len Small to Answer Charge
of Conspiring to Defraud
the State.

WACKEcAN, H.. March 4.-For the
first time in the history OF Illinois its
Chief Executive will go on trial during
his term or office in the court house
here on Monday. March 6.
Not since the impeachment and re-
moval OF William Sulzer from the Gov
ernorship of New York in 1913 has the
Governor OF any American State faced
charges so serious or which have at
tracted such widespread attention as
those pending against Len Small,
twenty-eighth Governor OF Illinois, and
his fellow defendants. Lieut.-Gov. Fred
Il. Sterling and Vernon Curtis, banker
OF Grant Park, I'll.
In IlIinois's l04 years of Statehood
only two other Governors have ever been
indicted while in office. and in each OF
the previous cases the court dismissed
the charges without trial because OF
their trivial nature.
Governor Alone to BE Tried.
Although Gov. Small and Messrs.
Sterling and Curtis are charged jointly
with conspiracy to dcfraud the State
through embezzlement Of funds from the
state treasury during the terms OF Mr..
Small and Mr.. Curtis as State Treas
urer, only the Governor will go on trial
here Monday. Mr.. Curtis. whose case
was brought to Lake county from
Sangamon county with that OF tho Gov
ernor. was allowed a separate trial by
Judge Claire C. Edwards, presiding IN
Circuit Court here. Lieut.-Gov. Sterling
did not ask for change OF venue anu
his case Is still pending in the SanGamon
County Circuit Court at Springfield.
Originally there were four indict-
ments against Messrs. Small. Sterling
and Curtis. three OF which involved the
Governor. but only one--tthe conspiracy
case--remainS.
One indictment. charging the three
defendants with enlbezzlinS s,ooOoc, Was
ouashed by Judge Edwards because OF
technical errors. The court also quashed
several counts in the conspiracy indict-
ment. which remains to be tried. ana
a charge of operating confidence
game. The Judge then ordered the Gov
ernor to trial on an indictment charging
enrbczzlement OF $4,000 during his term
as tate Treasurer, but the state OBJ
jected TO trying this case first. and
when the Judge insisted c. Fred Aloru-
mer States Attorney OF Sa11gamon
county. dismissed the indictment.
The fourth indictment. which was
Mr.. Sterling with crnbezzNng 100000.
Conspiracy Indictment.
The conspiracy indictment charges the
two former Treasurers with entering
into a conspiracy with Mr.. Curtis TO
dcfraud the State out OF large sums due
It as interest. Curtis owned the char
ter OF the Grant Park Bank, q former
private banking institution. which, the
state alleges, absolutely ceased TO
function as a bank after 1S0s.'' Grant
Park is a town OF GOO population in Kan
kakee county, few miles from Gov.
Small'5 home.
To this private bank, the State al
Ieges, Mr.. Small and Mr.. CurtiS-thc
former as. State Treasurer in 19t7-1S and
the latter in 19l9-20-lent millions OF
State funds with no other security than
Mr.. Curtis'S certificate of deposit. The
money was then loaned to four Chicago
packing companies - Armours. Swifts.
Morris and the Cudahy Packing Com
pany-on short term notes paying from
to per cent. interest, of which, il is
declared. mot moro than per cent"
was turned into the State treasury.
The bill OF particulars filed by the
State says the total profits in the al
legged conspiracy are unknown because
records of the Trcasurer's office when
his term expired and because part or the
books of Swift & Co. .'haye not yet been
found" The State charges the three
defendants, with the late Senator Ed
ward Curtis. brother and business part
ner of Vernon Curtis, kept S535. 900 OF
state funds for their personal and pii-
vate property and the property OF 9TH
ers unknown" in addition to the sums
OF interest retained.
Two Sets OF Books.
Gov. Small and Licut.-Gov Sterling
kept two sets of books while in the
Ireasurers Office. the State says, one ac-
counting for the so-called vault fund"
which was loaned to banks throughout
The State. and the other. known as the
safe fund,' covering money placed in
me Grant Park Bank. During Mr..
5malfs term. the bill of particulars al
leSes, the funds tn the Grant Park Bank
alone earned s924.O6s2s In interest.
while the total amount OF interest, dis
counts and PROFITS accounted for BY sfr.
small from all funds In his charge was
only st50,oio.i2. The earnings on the
Grant Park transa ciions alone exceeded
the total OF all interest accounted for bv
the Governor by sfsi,05e.i6, the bin al.
loses.
The State estimated tho earnings OF
funds In the Grant Park Bank during
Mr. Sieriing's term It largely in cx-
cess Of sS43.7Ss.2i.r declaring the exact
total Is unknown because the Swift &
CO. books have not been found. The biz
alleges that Mr.. Sterling failed 10 turn
over 10 the state az least s3f5.63f.i5 OF
The Interest earned on the packers loans.
During AIR. Small's term a. Treasurer
TIE Grant Park Bank is said 10 have had
tne use OF si1.sis.s00. while IN Mr.. Storl-
inS'- two year term sfi.500,000 was
placed In the pretended and fictitious
bank"
Demanded the Money.
When Edward A. Miller, present state
Treasurer. took office IN January. 1921.
fHe state eas.m tne Grant ~ ~ garsf etffi