February
10, 1916 - Two indictments were returned by the Ramsey
County grand jury this afternoon against R. C. Pickit, former clerk of the
state investment board, charging forgery in the second degree in connection
with the recently discovered irregularities in the handling of certain trust
funds of the state.
Three secret indictments against Walter J. Smith, state treasurer, for first degree larceny, were also returned.
Pickit has been formally arrested. Bench warrants have been issued for Smith.
Pickit is charged with forgery in connection with two warrants on school districts that were cashed at the office of the State Treasurer Smith, after the endorsement of the school treasurers had been forged.
One was for $18,000, under date of May 29, 1915, and the other for $6,000, under date of Aug. 21.
From his bed in a Minneapolis sanatorium, Smith told a reporter late this afternoon that he was innocent and could explain everything satisfactorily. At this point, however, he was warned by his close friend and sanitarium manager G. C. Cardoff that his doctors did not want him to talk because of his illness, which ended the conversation.
This is the second time in Minnesota history that a state treasurer has been involved in a scandal relating to alleged misuse of state funds. In 1873 William Seeger, then state treasurer, resigned while the state legislature was preparing to impeach him for alleged defalcation of $180,000. It was later shown that Seeger was not at fault and the shortage was made good.
Friends say that Pickit’s downfall is due to his love of the “high life.” He is 32 years old. Joy rides, cafĂ© parties, automobile trips, extended tours, pool, etc., were said to be the causes of his undoing.
Three secret indictments against Walter J. Smith, state treasurer, for first degree larceny, were also returned.
Pickit has been formally arrested. Bench warrants have been issued for Smith.
Pickit is charged with forgery in connection with two warrants on school districts that were cashed at the office of the State Treasurer Smith, after the endorsement of the school treasurers had been forged.
One was for $18,000, under date of May 29, 1915, and the other for $6,000, under date of Aug. 21.
From his bed in a Minneapolis sanatorium, Smith told a reporter late this afternoon that he was innocent and could explain everything satisfactorily. At this point, however, he was warned by his close friend and sanitarium manager G. C. Cardoff that his doctors did not want him to talk because of his illness, which ended the conversation.
This is the second time in Minnesota history that a state treasurer has been involved in a scandal relating to alleged misuse of state funds. In 1873 William Seeger, then state treasurer, resigned while the state legislature was preparing to impeach him for alleged defalcation of $180,000. It was later shown that Seeger was not at fault and the shortage was made good.
Friends say that Pickit’s downfall is due to his love of the “high life.” He is 32 years old. Joy rides, cafĂ© parties, automobile trips, extended tours, pool, etc., were said to be the causes of his undoing.
Bemidji Daily Pioneer; “Treasurer Smith and Pickit Are Indicted by Jury. Clerk is Formally Arrested; Bench Warrants for Smith Reported Issued. Smith Makes Public Statement of Case. High Life Blamed for Downfall of Investment Board Clerk by Friends.”;
Feb. 11, 1916; p. 1.
Walter J. Smith, Minn. state treasurer
St. Paul Pioneer Press; Feb. 8, 1916; p. 1.
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