Evening star. [volume] (Washington, D.C.) 1854-1972, 1881-10-24
THE TREASURY INVESTIGATION.
THE PITNEY REPORT SENT In.

Revelations as to the Peculiar Methods
f"Expediting'' Treasury
Contracts, and who
are Involved
| Secretary Window to-day transmitted to the Sem
the report OF the investigation into the office
the custodian Of the Treasury, made some time ago
under his instructions by j. F. Meine OF the
treasurers Office; j. Walker first controllers office,
| and w. Hills registers Office. The following is
SECRETARY WINDOWS LETTER INSTRUCTION
| to the committee, dated May 5th, last:
'You are hereby appointed committee to ex-
anime the disbursements OF the contingent ex-
pense accounts Of this depar tm6nt the methods
employed for purchases made from that fund, and
| for the disposition of such purchase and whether
any changes under existing methods are desirable.
Particular matters for special investigation will be
referred to the committee from time to time as 1t
| may be deemed proper"
THE COMMITTEE IN THEIR REPORT SAY
that their letter of appointment seemed to cover
ment, but owing to statements made to them by
| the chief clerk, they did not make examination
OF the accounts for stationery, but confined their
inquiries to accounts and expenditures under the
appropriations for other contingent expenses The
report here quotes the laws prescribing the powers
and duties Of certain officers of the department.
in relation to the accounts under examination, and
| says: "FOr several years, however, there had
been in the department a quasi officer, called the
chief clerk, conducted the most OF the business
connected with the contingent expenses Of the
Treasury department., and the custody and dispo-
SitiOn OF the purchases out OF the appropriations
for contingent expenses. The present custodian
Mr. o. L. Pitney, was appointed by the Secretary
| of the Treasury, in June, 1885, with compensa-
tion at the rate OF 400 per anntm This cempen-
sation was increased to s., 500 per annum.
"Ihe requirements OF law requiring previous
| advertising before contracts were made seem to
| have been observed only in the purchase of fuel,
| ice and carpets In making purchases and incur
the other contingent expenses of the department,
| the ordinary precautions Which would have been
adopted by business men generally, to secure
and In many cases eXOrbitant prices have been
paid.
| sour first step In making the examination was to
take an inventory of all property in the storeroom
which belonged to tile United States Before doing
this, however, we called for the books showing the
amount OF stock on hand, and were informed that
| no such set OF books had been kept. We were also
| informed that no inventory of this property had
ever been made. (The laws for making such
inventory here quOted.)
"Upon the completion of our inventory we sent
for the accounts OF the dsbursing clerks OF the de-
partment, who pay the bills for contingent ex-
penSeS, In order to examine the original vouchers
on which payments were made All vouchers
payable out OF appropriations for contingent ex-
penseS OF the department, are paid by one OF the
disbursing clerks On the certificate of the chief
clerk, authorized by letters OF the assistant
Your committee are OF opinion that, at least
expenditures for furniture and repairs should also
De approved by secretary or the Treasury
Our attention had been called by the chief clerk to
the account for carpets and repairs, and we have
made careful examination OF that account from
July l, 1875, to May 9Th, 1881. All carpet bought
out OF the appropriations for the Treasury depart
ment for the fiscal years 1876 and 1877, is Satsfac
tOrily accounted for
offices OF the Treasury department 1,314h yards
of Brussels and 32 712 yards of Wilton carpet and
appropriation for contingent expenses Treasury
department, carpets and repairs, 1873 This excess
was paid for out OF the appropriation 'for furni-
ture and repairs of furniture, and carpets for all
public buildings under control OF the Treasury
Department. and was unaccounted for by requisi-
tons Upon the attention of the custodian being
certificates from the proper officers, covering all
| OF said Brussels carpet, with the exception OF
| office. The Wilton carpet and border, he states,
was laid in the rooms occupied by the assistant
given. In the fiscal year 1879 We find AZ yards Of
carpet bought out OF the appropriation 'fOr furnf-
ture and repairs OF same for public buildings, 1879,
laid in the offices OF the Treasury Department.
ln the fiscal year 1880 3,S97as yards OF Brussels
carpet, paid for out OF the appropriation for fur
ntae and repairs OF f. same am sor PUBLIC buildings
and also. out OF the same appropriation for 1850
there were laid in the Treasury department 1925
find that in said fiscal year 1ls19 yards OF
Wilton carpet and border and cost OF
making and laying the same ,rere t,etce pdtd for;
once out OF the appropriation for the contingent
| expenses of the Treasury department., and once
out OF the appropriation for public buildings. This
carpet was bought OF Messrs. Hooe Bros 4 Co., OF
this city. and they have repaid the amount OF the
duplicate payment During the current fiscal year
6s yards , OF ea{peta bought out OF the ap
pes of this #e nd t1at n t6er a
should have been 1876 7-9 yards OF carpet in the
but ,657 yards, making shortage OF 159 79 yards
which the Storekeeper claims was in the hands OF
w. Is. Moses, OF this city.
"Messrs. John II. Pray, Sons & Co., Boston, Mass
had the contract to furnish Brussels carpet during
the fiscal year 1872 and at the end OF the fiscal
carpet furnished by them on hand in the store e.
room On September 9, 1880, there was delivered
to W. b. Moses, OF this city, who has the contract
quantity of this carpet for making for certain
rooms in the Treasury. Mr. Moses made the car
pet, presented bills to the department, and was
paid for 637a OF the same at the rate OF S145 per
yard, the contract price for tlf current year. About
April, 1881, it was discoveref that MI. Moses had
been paid for 63714 yards Of carpet which already
belonged to the United States, and he upon being
notified OF the fact, sent to the department 637
the amount. The carpet sent by Mr Moses is now
in the store-rOOm, but has never, as We are in
formed, been duly received and receipted for by
carpet be returned to Mr. Moses, and that he be
required to repay to the United States the amount
paid him for the he Pray carpet, 6aa CARDS at sl45
we find that for some years past employees in
the cabinet-shop of this department. whose time
has been wholly occupied work for offices OF the
department, have been paid out of the appropria-
ton for furniture and repairs Of same, for public
buildings also, that the bookkeeper in the 'custo
dams office, whose time has been wholly occupied
| in connection with contingent expenses of the
treasury department, the foreman OF the laborers
IN SAID department, and clerk in one OF the offices
OF the dlSburSing clerks have for some time past,
been paid out of the appropriation for fuel lights
| ana water Tor public buildings
'1Our committee are of the opinion that the
| using OF carpets bought out of the appropriation
| !Or FURNITURE apd repairs Of same for public
Dulidlngs,' In Offices of the Treasury department.
anu the paying or employees, whose duties pertain
TO the regular business OF said department. out OF
appropriations for public buildings, are both pro-
| hlDted Dy law. Your committee find that in Feb
ruary, March, April, May and June, $780, bills were
PresenIeu 10 this department. by j. Brad Adams, of
this city lor 81 d0Z Woodruff ehOlders which bills
amounting to $5O2 were paid out OF the appropria-
tlon 1Or Ice, &C, but the file-hOlderS have never
OF Ihe 'cuStOdlan has been called to this matter
ana ne has refused to furnish any explanation
statng That personal explanation Wilt be made
10 you. we also find that In August and October
leO TWO bills amounting to $l82 were presented by
D. w. Reeds Sons, OF this city, for % boxes OF can
ueS, winch D1llS were paid out OF the approprta-
uOn Ior gas, &c. 1884, but that the candles as paid
iOr IN Said DlllS were not furnished We have been
1nIOrmed Dy the custodian that these bills cover
lemons ana sugar used for lemonade for the Secre-
Iary, assistant secretaries and chief clerk. and
alS0 certain lunch which was furnished in this
| CapO convention, o ~ N~A~ SAAA-