New-York tribune., 1873-12-16
THE TREASURY FRAIrDS

fiSu REPORT OF PUBLIC ACCOUNTANT WARREN
THE DEFICIENCY OVER Si50O00-LARGE AMOUNTS
USED BY SOMEBODY DURING SPRAGUEs TERN
FOR UNAUTHORIZED PURPOSES.
The official report of William f. Warren,
tho Public Auditor and Accountant TO the Controller on
the defalcation from the City Treasury was made pup
lic yesterday He began his investigation more than
two months and has been engaged the greater part
OF the time with six assistants in prosecuting the WORK
The rcpOr itself is very yolumin0us In 1t reference Is
mlde to previous report of Oct 1873, for information
10 the condition Of certain OF the city funds This
final report therefore. relates only to the general fund
exclusive OF school moneys. the speca; fund.- and the
fund.
Mr. sprague began his duties Treasurer January,
1862 when be received his predecessor the Hon. N
Morse. the balance then on hand, which amounted 70
SgI5,SaC co. Mr.. Spragues receipts from all sources
from Jan l. 1869, to Sept l5 1873, were $66l6s769 23
This added to the amount on hand when he entered
odIce makes total Of ss3O6O65 2G Against this he is
credited with payments and transfers amounting to
s5322756 96. leaving balance apparently due from the
Treasurer Sept 15 1873, of sSOSS0s &c. From this
there he deducted bank balances the credit OF
the city amounting TO <29s2095 D. which leaves
explained deficiency Of Sl0l,2l3 H.
The result of the investigation shows. only that
rhere deficit In the city treasury of slO 792 90
besides and in addition TO the $4,000
money and large amount " interest set forth in
previous repogt-ba hat ras the constant practice Of
sopebodE during the VhOe Of Mr. SDrdguc's ofo1fce
% use for outside and hoy Ori,ed purposes and
J1r rarions periods large OF ne public money in
trusted 10 him for SAFE KEEPING and which seems
IansJeoprdzeL chiefly, though not wholly, for individ
ual gam
How was IL possible for the Treasurer, or any
@ &c & Wiz oI n 70 use h ehe n0Ie{ IN 9Ss way with
slswers that IL could not have done 10 the Control
Ter IN oiee when this practice began had exercised the
vigilance which it was his plain duty 10 have used He
says: eau find no records OF that lime in the Control
lers office OF any account from the Treasurer The
public money on deposit at given date Everything
Indicates that the Treasurer allowed manage
which both tho State laws and city ordinances provided
should always be exercised by the Controller. Whe all
moneys were required 10 be paid To the CITY Treasurer
the duty or that officer deposit tue same on the
i,ysei rs receipt IN one or moro Of the desgnatfd
ever the practice 81 the TreasSrer or some per
s e 70 70 e and ino e fen re m
poss ~ IN IVA, sSl;Ngs M 2ept s1s E9 accounts beng
lite or no danger OF such operations being discovered
by tho Controller For the sake Of cOny..S:.s, IeteI
VEos hereafter. propose to designate the moneys 20
gli W the treasurer and withheld from deposit for
Various periods, as the Retained Fund" I ind noth-
ing " soN t1aI any portion OF the moneys depos
!leo as required by Law, wss improperly drawn
or applied.
aoweyer surprisng It may appear evidence of the
oet conclusive character has been hat
aLs NJ 7prasao bad been IA office two weess more
been retained by somebody. from deposit In bank
Previous 20 Feb g. 1852 the aggregate OF such retained
amounts reached the OF S3OOO0O part Of which
returned until several months aerward. The most
ample proofs of these statements furnished by the
tsbes, While large sums were retained withheld
from deposit from day TO day. at other money
returned IA varying sums from $1,000 upward O S2O0000
gde result for the first year 1862 is Dc $780,
On Dec. 81 1870 the short was s39Oess 4S
Dec ~, i57l II was s55302S 22 Dec. 81, 1S72 Il
Sis96I7 49, and September, 1873 IL S10e96 A.
These balances are exclusive OF large amounts or in
not show TIE use that was made 81 The money during
lsreenton as above nor the amount Of profit derived
fom sucL use Neither is thero asy entry aecount
FOUND 10 Indicate the which the loans
guI Investments OF such money were made.
INTEREST
According % statement No. = tue total Of Interest
deposits received sni credited 10 the by
Treasurer Spg1e tunng his Of OBe $29S11 30
On which amount there charged aud credited by
us several deposit banks the following