Adolph Krug was elected City Treasurer in 1892. On September 12, 1893, he left town with over $100,000 in City funds. The City hired legal assistance three days later in an effort to find Krug and recover the funds. Ordinance 3029 passed on September 27, providing for his prosecution, and noted that that $295,292.70 was entrusted to Krug "over and above all sums lawfully paid out by him as said City Treasurer." The money was deposited in banks, loaned, converted to cash, and some of it spent. The amount missing totaled approximately $125,000. Krug was arrested on October 31, 1893 with five other businessmen and indicted for "using public money in a manner not authorized by law." Krug was tried and convicted in March 1894 of one count of using $10,000 for profit and sentenced to seven years at hard labor. While Krug appealed his case up through the US Supreme Court he remained free; he was arrested in 1897 to begin his sentence as he started an appeal in the federal courts. The majority of the deficit was addressed through cash, notes, warrants turned over by the bondsmen, with real estate covering the balance. The records in the Krug investigation and audit are from Clerk/Comptroller File 47439 and include warrants, correspondence, and reports. An 1894 experts report by accountants Agnew and Robinson details the condition of one of the Special Improvement Funds showing a discrepancy of $1,482.07. Lists of warrants paid, with errors and corrections, notes on tax rolls and street improvement funds, date from 1892-1894. Included is CF 66500 noting that the Parks Department bought a portion of the property turned over to the City by Krug's bondsman and that the funds were put in the General Fund to cover part of the deficit owed when Krug absconded.