The Hawaiian star. [volume] (Honolulu [Oahu]) 1893-1912, 1902-11-26
FINAL REPORT OF
THE GRAND JURY
AUDITORS DEPARTMENT Sc
MERELY CRITICIzED-NEWsPA-
PERS ARE GIVEN TOASTING.


ing the jurors very highly on their
able and careful work, and especially
thanking Z. G. Jones, A. S ClCghorn
and James G. Spencer for the work
they have done as foremen. Tie report
- more severe in its comments or the
sf uditor's department than anv other,
I Though no indictments are found in
| this department, The matter OF the
possible responsibility of government
officials for the escape of William II.
! Wright is suggested as a subject FOL
senatorial Investigations NJ. G. Amana
| is eXonerated and recommended for re-
| instatement In the tax Office, and the
| Jury "deprecates" the action OF "a por-
tion of the press" in publishing what
ii terms imaginary proceedings be-
fore the body. The report is as fol- )ws:
Honorable John T. De Bolt, First
Judge Circuit Court First Judicial
| Circuit. Sir:
THE Grand Jury duly empanelled
| and sworn and charged before you on
the third day of November 1902, having
ended its duties, beg to submit the
| following general report.
THE Deputy Attorney General has
| brought to the attention of the Grand
| Jury 81 cases, all of which have been
carefully considered and in SO cases
true bills of indictment have been found
and in the remaining thirteen cases
| no bills have been returned, the evil
! dence presented not being considered
sufficient to warrant conviction on the
respective charges preferred
The Grand Jury, under the general
! instructions contained IN your charge,
has felt constrained to investigate the
! following matters and to submit it's re-
port on the same:
| Treasury Departments: 1t has in
vestgated the alleged embezzlement in
| the Treasury Department and a true
! bill has been found against the Tred-
surer. In this connection the Grand
jury would call attention to the fact
| that the Chinese fund from which the
money was abstracted had been with
drawn from deposit in a bank and
placed in the hands of an official not
under bonds and without sufficient qua
rantee for its safe keeping.
In the matter of the escape of the
treasurer all available evidence has
been obtained, and it appears to the
Grand jury that due precautions were
nor taken to provide against the escape
of William H. Wright after he had ad-
mitted a deficit in the funds under his
charge. However the action of the
government appears to have been
prompted by the desire to recover to the
Treasury the amount in default rather
than any wish to protect the delinquent
official This Grand Jury recommends
that the Senate, now in session imme-
diately make a thorough investigation
as to the responsibility of any govern
ment official in allowing the escape of
the Treasurer.
''Public Works Department: In the
investigation of this department, the
Grand jury have returned true bills
against the Superintendent of Public
Works and the chief clerk. A proper
system of checking accounts and au-
diting of the same and the regular
transfer of the cash to the treasury ac-
cording to law should have prevented
Irregularities in this department.
! Investigation indicates that great
latitude has been taken in the awards
for tenders on advertised bids, and that
the law has not been strictly followed
in such matters.
Auditors Department: The Grand
: jury has examined very thoroughly the
system and practices of this department
t and finds much to criticize.
"The books of the different bureauX
have been audited infrequently and in
= the case of public accounts cash has not
E been counted to verify the balances re-
t ported on hand. Cash has not beer
3 turned into the treasury at the stated
e periods required by law. Evidence
e shows that the auditor has during the
t present year absented himself from his
< Office an undue proportion of business
: hours to the detriment of the public
3 service. There seems no system for re-
= porting to the auditors department
e either sales, transfers or exchanges o
= land by reason of which moneys are du,
n to the government, and that statements
;. are not furnished the auditor of sucf
1 transactions, whereby he may be abl'
j to verify collections due the goVerpmen
The registrar of conVeyances should
t make statements at least once monti
= to the auditor, of all sales and transfers
( of government lands that may be enter
e ed for record, so that a check may III
= had on all departments that have 1t II
h their power to dispose of public lands
e and all such departments should maxi
= a statement to the auditor, at least one
e a month, of all land transactions, tn
l. money consideration being the princi
e pal data.
g Had proper audit been made in tn
e public works department, defalcation
h could have been reduced to a mini
l, mum.
e "A proper system of exchange of re
ceipts between employees of the govern
ment, receiving or disbursing cas-
should be insisted upon
!. Cash should always be counted a
10 the beginning of audits and any dis
O. crepancy between the amount on han
and the balance shown on the books in
Y vestigated. 1t does not appear that tn
Auditor ever counted the cash in tn
Treasury or the Public Works depart
ment previous to September "a, 1902,
THE Grand jury deems it a matte
l. of simple business precautfon that a
II public accountants or employees of tn
rs government handling cash should b
r under sufficient bonds for the falthfl
IN performance of their duty.
Powder Magazine The attention {
the Grand jury has been called to tn
menace to the city by reason of I'll
+ proximity of the powder magazine
9 the business portion of the city, III
- danger OF fire from the dwelling of II
~ keeper of the magazine the practice
" fishermen and others of having fires Il
or
(Continued on page nve.)