Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1881-10-25

Paid for observation-disclosures Sat Be-
fore Friends, Carriage Hire, Etc,
Charged to Furniture-Claims of the
Accounts.
WASHINGTON, Oct. M.-May last, j. F..
Milne, John Walker and W. Fl. Hill were ap.
pointed commissioners to examine the dis
bursement contingent expense account of the
treasury department. June IA the secretary
called for the report covering the investiga-
ton up to and including that date. This re-
port was called for by resolution offered in
the senate by Senator Sherman, which was
adopted on the 2lst inst. The report was TO-
day submitted to to the senate.
The committee say that owingtO statements
made us by the chief clerk we have not made
an examination of the account for stationery,
but have confined inquiries to accounts and
expenditures under appropriations for other
contingent expenses. The attention of the
secretary is called to various sectionN of the
revised statutes prescribing the powers and du-
ties of certain officers of the de-
partment In relation to the account under
examination, all of which are quoted in detail.
The organization of the department officers
and salaries are noted and the report con-
tinues:
For several years there has been in the de-
partment an officer called the custodian, who
has, under the direction of the chief clerk,
conducted most of the business connected
with contingent expenses of the treasury de-
partment and custody and disposition OF ap-
preparations for contingent expenses; The
present custodian (Ptney) was appointed by
the secretary of the treasury June, 1876, with
compensation at the rate of 400
per annum. Compensation was increased
to $4,000 per annum from July 1, 1877, and is
paid out of the appropriation for pay of Gus
todians and janitors, for all public buildings
under control of the treasury department.
Your committee are of the opinion there is
no authority of law for either appointment or
for payment of this custodian. Requirements
of section 3,709, revised statutes, seem to have
been observed only in the purchase of fuel,
ice and carpets.
In making purchases and incoming eXpen-
ses to be paid out appropriations for other
contingent expenses of the department the
ordinary precautions adopted by business men
generally have been neglected and in many
cases exhorbitant prices paid. The first step
in making the examination was to take the
inventory of all property in the store
room belonging to United States. We called
for the books, showing the amount of stock
on hand and were Informed no such books
were kept. We were also informed no inven-
tory of the property had ever been made. The
committee find that during the fiscal year 1880,
11S& yards of wilton carpet and bordering
and laying same, were paid for once out of the
appropriation for the contingent expenses of
the treasury and once out of the department
appropriation for public buildings Howe
ros. repaid the amount of the duplicate pay
ment. A shortage of 159 yards of carpet was
found in the store room, which the store
keeper claimed was in the hands of W. B.
Moss, of this city. 1t was discovered Moss
had been paid for 6371s yards of carpet which
already belonged to the United
States, and he being mott notified of the fact
of an inferior quality to make good the
amount. The committee denounce as illegal
the payment of cabinetmakers out of appro-
priations for fuel, lights and water for pub
lie buildings.
Continuing, the report says Your COM
mittee find that In February, March, April,
May and June, 1880, bills were presented the
for % dozen Woodruff file holders, which bills
S5O2 were paid out Of appropriations for ice
&C., but that the file holders had never been
delivered. The attention Of the custodian
has been called to this matter and he has re-
fused to furnish any explanation, stating a
personal explanation would be made you. We
also find that in August and October, 1880,
two bills amounting to Sl32
were presented by Breeds
Sons of this city, for twenty-five boxes of
candles, which bills were paid out of appro-
priation for gas, etc. Eighty-one boxes Of
candles were not furnished. We have been in
formed by the custodian that these bills cover
lemons and sugar used for lemonade for the
secretary assistant secretaries and chief clerk,
and also contains lunch furnished in the
building last summer.
About the time of the Chicago convention
both Upton, assistant secretary, and Power,
chief clerk, stated under oath they had no
knowledge lunch was paid for out of public
funds. They contributed out of their own
means towards the cost of the lunch as re-
ported to them and believed it was all paid by
private contribution. Upton also stated he
at one time gave the custodian SO pay for
lemonade furnished his room.
Your committee further find that in No
vensber, 1850, and January, 1881, three bills,
aggregatlng S14S.50, for overcoats furnished
the drivers of the department carriages and
wagons, were presented to the department, in
blank, ana were made up as for billiard cloth
for covering desks, and were paid out of the
appropriation for furniture, etc., 1881. Also,
that some time in February the custodian or
dered of n W. Burehill, for the treasury
department, one barrel containing 534 gal
Ions of bay rum at $3.50 per gallon,
alcohol Burchill, who appeared before the
committee, stated the matter so far as he was
concerned, was an ordinary business trans
action and that the bay rum was sold at the
lowest possible figure.
We found in stock ffty-one and three
quarter gallons. This rum was used only
for toilet purposes. We believe the purchase
to have been ill-advised and unnecessary.
Your committee inquired why this course
was pursued and were informed by the custo.
dian it was done SO that accounting
officers would not question the bills. We
further find that from July 1st, 1878, to Nav
4th, 1881, the purchase of paper and pasteboard
of the department was to the amount of
S509.2 that during the period no deposit
was made on account of said sales, but the
money received therefrom was paid to the
custodian, who states he paid the cost arising
out of the proceeds and kept the balance In
his safe awaiting instructions as to what dis.
position be made of it. Very soon after this
fact was discovered by the commit
tee attention Of the chief clerk was
called to the matter, and it was
suggested that the money in the hands of the
custodian ought to be deposited in the treas
ury without further delay. This was not
done, however, until after the assenters were
paid for their service. During the month of
May, 1881, when S27 ,169, the balance stated as
on hand, was deposited with the treasurer of
the United States.
Various other details of less important
character are cited in the report, and In con-
oil, ha unit