Evening star. [volume] (Washington, D.C.) 1854-1972, 1895-10-28
BAD BOOKK KEEPING
Two Immediate designations De-
manded by Secretary 0lney.
KIECKHOEFER AND HAYWOOD OUT
Result Of an Examination by Treas
ury Experts.
SOME OF THE ALLEGATIONS

As minated in Saturdays Star the in
vesttgation of the financial methods of the
State Department is more serious matter
than was generally supposed A state of
affairs was developed that led Secretary
Olney to call for the immediate reslgna-
tons of Francis J. kieckhoefer, chief of
the bureau of accounts. and Edward Hay
wood, principal bookkeeper in that bureau.
Each of the officials named complied
promptly with the Secretary's request. ard
are no longer in Uncle Sans employ. The
Secretarys action was taken late Satur-
day afternoon, and was based entirely
upon his dissatisfaction with heir official
conduct. as disclosed by the investigation
n progress.
Owing to the reticence of all parties con-
corned, it is extremely difficult to get at
the bottom. facts in the matter. As geneT-
ally understood. loose business methods
and ca:elessness in the matter of financial
details are the gravest offenses alleged
against MeSSrs. Nieckhoefcr and Hay
wood
Examination Not Completed.
The examination of the books and ac-
counts of the disburs.ns officer of the State
Department has been in progress for sew
eral weeks, and is not yet completed. 1t
has been conducted with great secrecy by
experts from the office of the treasury
auditor for the State Department. Various
Irregularities are said to have been dis
covered. but their character and extent
have been only partially disclosed pre-
liminary report has been made to he Sec
rotary of STATE, which, il is understood,
shows an appir shortage u casa on
hand of 5000, representing a portion OF
the amount contributed by South american
countries for The support of the bureau of
American republics. Secretary Oiney had
a talk with Mr.. iIiachhnafnr in regard to
this item Saturday. during which he latter
placed in the Sec:etary's hands certificates
showing a deposit of Sl3.Web in a local bank
to the credit of the Secretary Of State on
this particular account. Although these
certificates exceeded the alleged shortage
Icy more than si.EO, the Secretary is said
to have Informed Mr.. Kieckhoefer that he
was dissatisfied with his method of book
keeping. and for this reason desired a
change in the office. A similar reason was
given for the demand for the resign alton
of Mr.. Haywood
Other Defective Accounts.
Other cases where the accounts of the
State Department are alleged to be defective
relate to the sale of revised statutes and
returns of fees from passports but in Meth
er of these instances is there much money
involved, and it is believed that all of It
viii eventually be accounted for The gray
est accusation in regard to these items is
that the system of bookkeeping was defect
i've inasmuch as it failed to show readily the
exact state of affairs. In the of the Re-
v:Sed Statutes it is explained that many
copies We're issued to Congressman and other
officers of the government upon orders from
the Secretary of State, and that the account s
We're kept open pending a final settlement.
The chief of the bureau is charged with
the full responsibility for the sale of these
volumes. One criticism against Mr.. Kieck-
hOefer is that he was slow in making his re-
turns to the Treasury Department. and that
he generally reserved them until they reach
ed high figures. MIR. Haywood had special
charge of the books covering the disposition
of the Revised Statutes and Their condition
was not satisfactory to the Secretary. 1t
is said that hundreds of these statutes have
not been accounted for. Mr.. k:eckhoefer
says that they We're distributed free of
charge by order of the Secretary of State.
Over s2.Ooo.0p0 is handled every year by
the chief of the bureau of accounts in the
payment of the salaries and expenses of
diplomatic and consular officers, in addition
to which there is a contingent fund of from
SIo.on to $lDn.HD a year for use by the
Secretary in emergencies. The cepS from
passports aggregate about $4,000 year.
and the proceeds from the sale OF Revised
Statutes average about 5000.
What the Discharged Men Say.
Messrs. kieckhoefer and Haywood are
we'll know: in this vicinity. They have
many IrlenuS mere VINO Will FOIcn Tor tTelf
integrity. Mr.. kieckhoefer is a native of
the District, lnd has been In the State De-
partment Cor over twenty years. He was
appointed a temper ary clerk at $1,000 in
August 1874. and has been chief of the bu-
reau of accounts since January, 1854, at a
salary OF s., 100 He says he is sorry. of
course. to sever his relations with the de-
partment under the circumstances, bat
that. on the whole, he is rather glad to get
out of tie government service. He wants
it distinctly understood, however, that
there is no ground for suspicion that he has
done anything which can be construed in
any way IS criminal in character. He is
under bend Of $4,000.
MI. Haywood is Mr.. Kieckhoefer's senior
in service, having been in the State De-
partment in various capacities for thirty
four years He halls from New York, and
was appoir ted a clerk in the State Depart
ment in November, '61. AT one time he
was chief of the bureau of accounts, but
resigned the office and was made eight
cen hundred-dolar clerk. He lives neal
Rockville. His son is private secretary IL
Assistant Secretary Uhl. 1t is announced
that Messrs. kieckhoefer and Haywood
will lie given every opportunity to clear
themselves of any suspicion of wrongdoing