The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1878-02-16

Il 4 Is
In respect Of tho books kept in this Office,
Mr.. John o. Steger has, in his report
(House journal 1874-'75, appendix to mes
sage, House document No. q, given such O
| full and explicit account of them that we
| deem repetition here unnecessary. This
| office, in its arrangement, is incomplete in,
| several particulars. r4s-fh he entries In fts'
t-bpoks, especially the registers OF bonds, are;
not checked off "by those OF the Treasurer,
no comparison being made Of the books OF
the two offices. Without such comparison,
made say once week, absolute accuracy
cannot be assured-and all public records
should be absolutely accurate. 2. There
| is no general ledger showing the exact
condition OF every head of account COM
| posing the debt OF the Commonwealth. As
q merchants ledger, if correctly kept, will
show at any time the condition OF his busi-
ness, nothing less should be required in q
matter as important as the debt Of the State.
| 3. There is no register OF coupons, and
hence no means of detecting counterseits
or double payments. Coupons are the
equivalent OF money, and should not re-
main in the Office OF the Second Auditor at
all, but 60 to the Treasurer for final lodge
ment. Mr.. Steger, in his report, heretofore
referred to, dwells, and with great force,
upon the necessity both OF general ledger
and coupon register in this office; and to
his remarks we respectfully beg the atten-
ton OF the General Assembly.
The methods observed in the office Of the
Second Auditor are simple enough, as far
as they 60, in connection with the public
debt. The acts OF Assembly authorizing
or affecting the issue Of State bonds num-
Der over one hundred. Under such cir
cumstances a great accumulation Of books
| has been unavoidable. To correctly exhibit
the record and movement OF bonds or
stocks the following books are indispensa-
Bile: l. A register giving the exact descrip-
tion Of each bond issued, whether coupon
or registered. 2. Where the bonds are
registered, ledger to show the accounts
in detail OF the individual holders. 9.
A transfer-book for registered bonds
changing hands; and 4. a register
showing the interest due on the regis
tered bonds. The funding act OF 1871 hay
ing brought together the bulk OF the debt
issued under all acts, that still outstanding
Tor rather unfundedD has been concentrated
| in three ledgers, rendering it unnecessary
| to 90 behind them to ascertain anything in
reference to the old registered bonds, ex-
cept where it is desirable to trace bond
from the original entry. For the old cou-
non debt, the registers are there to show
! for themselves, and, il correctly kept, ex-
hibit perfectly the movement OF these bonds.
When it is needed to break up these bonds,
say for distribution among legatees, the
numbers Of the new bonds take their places
regularly in the register, and are also in
scribed on the margin OF the first entry,
and the amount of that entry duly cancelled.
By the terms of the funding act OF 1871
liberty is given to holders of bonds to ex-
change registered for coupon, and uice
uersd, and this liberty, by construction OF
the Second Auditor (which.we deem unau-
tborized) has been extended to change OF
denomination ad E6itnn. 1t is due to this
officer to say that in this construction OF the
law he acted, as he informs us, under the
advice of the Attorney-General then in
office. In our Judgment, this privilege
ought to be restricted. Public notice should
be given that within a certain specified time
such exchanges might be made, after which
il should be prohibited, except in the case
OF DEGREES OF court for the partition or dis
tribution Of estates. 1t would also relieve
the books of this office if the commissioners
of the sinking fund were authorized spe-
cially to buy up the fractional certificates
without interest, representing portions OF
the principal debt Of the State, and result
ing from the operations OF the funding act !;
and we recommend that this be authorized
by law.
The clerks in this Office. three in num-
Der, are sufficient, in our opinion, not
only to keep up the current work OF
the office, but perform the additional
service indicated in the foregoing as
proper to be done; and as these clerks
are competent to answer any ques-
ton or conduct any correspondence in re-
lation to the public debt as covered by the
operations OF this office, the position: OF
Second Auditor would seem to be unneces-
sary, and might be dispensed with, the
business of the office to form division Of
the Auditor OF Public Accounts, and cease
to exist as an independent bureau. Should,
however, an act be passed at the present
session authorizing rearrangement OF the
| debt, it would be desirable (through lnabll-
| ity Of the Auditor OF Public Accounts to
perform 80 heavy an additional servlce) to
! continue the Office Of Second Auditor until
! the bulk, Of the work is done, but not
longer. To express the matter in another
way, il the present General Assembly
should enact "a system Of readiustment OF
the public debt by refunding or otherwise,
the continuance of the position of. Second
/ Auditor seems to us to be indispensable;
il, on the contrary, the present system is
/ kept without change, we are not prepared
! to say that the Office should be continued.
The hours from O'Clock to O'clock cover
the time when the public has access to the
executive offices. The daily service OF the
clerks should not be confined to these hours,
inasmuch as they are left without the quiet
necessary to verify the work OF the day.
We accordingly recommend that the time
/ OF service be increased by the addition OF
an hour and half-say from a to 6 o'clock
P. NJ, or until the work OF the day Is done.
This recommendation we desire TO apply to
! the executive offices ia general. The pub
I lie business should not, OF course, ever be
permitted to get behind.
/ 2. As to the office of the Treasurer. 4. IS:
The books In this Office, showing the re
1 ceipt and disbursement OF the revenues OF
the State, are simple and clear, and require
no change. That portion Of the office. how
4 ever, connected with the public debt is In
4 condition that should not be tolerated Q
4 day longer. /. the question was asked the
clerk in charge tMr: NeWman) whether the
\ bond registers had been tested, in their cam
3 cellations, by the bonds themselves (whether
funded or otherwise surrend deredl, and been
further tested by comparison with the re-
pisters kept in the office OF the Second Au.
4 ditor. II so, was there a discrepancy; and
il discrepancy, what was the amount
He submitted written reply, which Is re.
!, turned hereWifI,s and forms part OF this
report. In it be refers TO bis testimony be,
II fore Che special joint committee OF the pre-
sent session who Investigated the double
II sunding. OF State bonds, and observes
only know that the discrepancy in the books
8 of the two offices vastly exceed that amount
Il fthe nineteen bonds reported by the Second
a Auditor as funded a. second tipe1, thus con
81 HrrHing the opinion that whole bundles O