National Republican. (Washington City (D.C.)) 1872-1888, 1875-10-11
TREASURER HAGRUDER's ACCOUNTS.
The Complete Statement Of the Expert, Mr.,
Warren.


Warren.
Mr.. W. E. Warren, the expert accountant, has
as is we'll known, been engaged for some time In
examining, verifying and revising statement oil
the accounts Of James A. Magruder, the late
treasurer Of the Board Of Public Works, prepared
by Msjor o. L. Behle, and in ascer aiming the
balance due from or to Mr.. Magruder. Major
Behle, the accountant employed by the board oil
audit, has been engaged in unraveling the &C.
counts for some time.
THE ACCOUNTS.
The cash book of the treasurers office appears
to have been intended to contain original entries
various kinds Of certificates issued by the Board
Of Public Works and bonds OF the District gov
eminent delivered over to the board as cash.
All entries in the cash book were Afterwards
journaliEed, and thence posted in the ledger No
balance was ever made In the eash-book. except
on two dates-April %, 1873 and October 30, 1873
carried down 10 the new accounts, though no &C
counts have been found showing the items COM
posing the balance at those dates or at any other
time.
THE JOURNAL
contained variety Of entries other than the daily
transactions entered in the cash-b0ok. Contract
ors on the public works were charged and certih-
Gates Of Indebtedness were credited for payments
made to the former in such certificates; but the
ledger accounts with such contractors and with
the certificates of Indebtedness were never cfosed
The
CASH PAYMENTS TO CONTRACTORS,
after being charged to the treasurer and credited
to cash, were also charged to the contractors and
credited to the particular improvements on &C.
count Of which they were paid out, but such &C.
counts with contractors and improvements were
never closed.
Money advanced to paymasters for
DISBURSEMENT TO LABoRERs
employed by the Board OF Public Works, after
being charged to the treasurer and credited to
credited to an account entitled checks to A. p.
Pardon, paymaster.
The entries In the books ceased to be made in
March, 1874, and at that time there was large
amount remaining to the debit of the paymaster
on the Treasurer's books.
The books were kept IN such manner that lit
tie no security was afforded against errors in
the accounts, which were found upon examIna-
tion to be very defective and wholly unreliable.
Major Behle, with the approval Of the board of
audit, discarded the books, and
RELIED ON OTHER MEANS
OF learning the truth. Letters were addressed to
officials and others known to have paid over
moneys TO the treasurer Of the Board Of Public
Works, requesting statements of such amount in
detail, which were duly furnished. The payments
by the treasurer, consisting mainly of Tedemptious
of the auditors certificates and advances to the
paymsster, were found to have been preserved.
Major Behle, after q careful examination, made O
statement OF the same, resulting in a balance ap-
paTently
DUE FROM COL. MAGRUDER
OF SIC IL set forth in HIS report to the board
Mr. Warren chose different method from that
chosen by Major Belle, and made the cash. book
the basis Of bis statement. Though the two &C
countants used different methods yet each ar
rived at
THE SANE RESULT.
According to the experts deductions from the
books the receipts Of cash and securities from
July l, 1871, down to March 80, 1874, amounted to
81, est, S78 So and the disbursements to Sl4422
SS5.9l, making an apparent DIR. balance Marcel 80
1874 as per cash book, of 1851 9sT g. to which IL
was found there should be added the following
sums: Amount of two errors in footing cash book,
thirty-six cents; additional receipts from March
So 1874. to June TO- not entered in the cash book,
sic, 53S.37; sundry errors and omissions to enter
receipts from time TO time, s92l, Sl3.1l. Total,
81, l95, $3.50.
Against this amount there should be credited
additional disbursements down TO June 20, 1874,
not cash. book, S3l Dec; other credits omitted
from time TO time per schedule, $3.50, 6T56s; bal
ance deposited with Freedman's bank as per
pass-book, S2O.e2; amount of bonds and cash
turned over to comptroller of the District Ss2-
2S5.35: securities redeemed and returned to comp
troller 5000 total, LISP 9o2 81; less sundry
erronet us credits Of s13 1871 81 254 90; show
ing balance not accounted for Of s25, 6O3.7l.
This balance will be found correct unless Col.
Magruder can show that he has made payments
for which no vouchers have been produced, nor
credit given him down to this time, on account of
the auditors certificates redeemed by him, either
in due bills or Rcceptances, were kept by the
treasurer, and in case any claims Of this charac-
ter are hereafter presented TO and allowed by the
Board of Audit, the balance now standing to the
debt of Col. Magruder, as herein stated, will be
increased by the same amount. There is
A DISCREPANCY
in the account Of ten per cent. certificates of ill.,
debteGness, representing uncollected assessments
for improvements. or those certificates there
were disposed OF at various times, through the
agency Of the First National Bank Of New York,
the sum Of SOD, 079.66, and through Mr.. Moses
Kelly, Of this city, the sum Of Sl20, S453i There
remains undisposed of, now in possession Of the
Board Of Audit, sll4s7. Total accounted for,
SSH, 039S7.
According to the account furnished by Mr.
George W. Beall, collector and assessor, the whole
amount Of such certificates issued was $50 T94 81;
apparent surplus, &c. 4526. On examination 1t is
found that this amount is composed of certificates
Nos. ,299 to 3,3il, which were sold by Mr.. Kelly
and duly accounted for by him on the It'll OF June,
1873. 1t is also found that the same amount OF
certificates, and of corresponding numbers, were
afterwards, on the 9th Of August, 1873 accounted
and settled for by the First National Bank Of
New York.
Col. Magruder, in
A VERBAL EXPLANATION
of the matter said that said certificates had been
negotiated by Mr.. Kelly with the Fceedman's
Saving and Trust Company with the understand
become short of money. This, he claims, was
afterward done with money furnished by him,
the certificates sent the First National Bank of
New York, where they were subsequently sold,
although neither the cash-bOck nor check books
contain any entries relating to the alleged repur
chased the certificates.
the above Is drawn are: Ledger A, containing 767
folOs: ledger b, 500 fOlos; journal A, $50 folios
Journal b, 300 fOIios; blotter marked Journal 49,
blotter, marked Journals" $40 follos; clsh-book
$40 loliOs.
THE SCHEDULES.
Schedule Q shows sundry errors aud omissions
to enter receipts, follows 1871, July 9, 10 per
cent. canal Improvement certificates, SIS OS2 Sep
TENDER 5, do. SIS 3I2 6s: November 9, do SIS 90;
November l6, do, 81 900. 1872, February 10 do
sec go 90; September Z, folio u.s. error (Beall 81
cents; November Q, BeaIl, S2.250S6. 1879, January
H. folio $50, error, Lubey, IS cents; January D.
First National Bank, New YORK, $4,000; March
26, do, sG6573 March 81, do, S74,535; May II,
Beall, sSllS6: June 4, do, Sl04S; June 8, 10 per
entcertifcates of Indebtedness, NJ. Kelly 5000;
June Z, DO. n. Kelly, lO,167.3I; June IL, do, -
49, e.; July 0, Beall. si6 3d. July Is, s23I2O
August D. Co., S33O.97; August q, s5Ss 49, August
q, First National Bank, New York, sl45, 463.I2:
August q, do, sLSs; August p, 10 per cent. in
debtedness, $1,000 o.: September g. folio 246,
Beall sl9.9s; October Is, do, S2O45I; October ~
folio 2i6. United States, 10 cents; December Is,
Beall, s6S7.06.
Schedule ID shows an excess of credits varying
from one cent to 5000 in twenty-five instances
amounting in all to 50, 2I0O6.
Schedule E shows additional disbursements al
lowed amounting to s23l, Ol965.
Schedule shows sundry errors to enter dis
together to S22s,67Ln.
Schedule G shows errors and omissions to enter
disbursements in ten instances amounting to $40
99O93
Schedule H shows sundry errors and omissions
IN rtard I'M