Twice-a-week plain dealer. (Cresco, Howard County, Iowa) 1895-1913, 1903-11-03
Detects IN THE
POSTAL Service
Auditor Castle Tells of Abuses Which
Have Grown Up Under Present
Accounting Methods.
MAKES RECOMMENDATIONS AS
TO HOW THEY may Be CURED
Aggregate Trnnsactionx During Past
Fiscal Year Were $1,O26,531 ,4Os-
Less Thnn $3.50, 100000 of This Sum
Has Shadow of 81 double Audit',-
Laws Which Should BE Enacted.

washington, NOV. z. Various
recommendations to cure defects in
accounting methods under which
abuses in the postal service have oc-
Cured, are made by Henry A. Castle,
auditor for the post Office department,
in his annual report to the secretary
Of the treasury and the postmaster
general. He says that the defects
pointed out make infinitely greater
postal abuses than those already dis
closed not only possible, but safe.
Transactions During Past Year.
The report says the aggregate trans
actions of the postal service during
the fiscal year were Stops, 731, 4OS, as
follows:
Revenues, $134,224,443; expenditures,
$138,784,4 S8; total amount of money
orders issued, 1888 1865, 5S4; money or
ders paid, 1894 ,s56,Ss3.
Mr.. Castle says "Presumptively
there is double audit of all govern
mental receipts and disbursements,
but literally under existing laws and
conditions 80 per cent. of the postal
transactions can have no examination
whatever in the post Office department.
Less than $150,000,000 of the $1,O0O,-
100000 annual transactions can have
the shadow of double audit"
AS to claims for railway mail trans
portation, aggregating about $4,000
600 year, the report says the auditor
must rely wholly on the bald stale-
ment of the departmental authorities
that the amounts certified are due and
payable
Recommendations Made.
The report recommends an amend
ment to the law prohibiting the pay
ment of any salaries or expenditures
pertaining to the business of the post
office department, by order on post
master. 1t also recommends other
safeguarding amendments, together
with an increase of 150 clerks to han
die current business and vitality impor-
tant work necessary to the safe audit
of $1,000, 100000 year. The au-
ditor summarizes the recent inyes-
tigation of the methods of his
Office and deprecates the fact that the
auditor keeps no account for postage
stamps, stamped paper and enyeloncs.
etc., Dought by the post Office depart-
ment from the manufacturers or con-
tractors, and urges law to remedy
this defect.
The auditor recommends that con-
gress amend the laws SO as to provide,
when ANY branch of the government
tn T.
the public service, some just method
OF deciding on the value of that ar
ticle, based on cost of manufacture
reasonable profit and fair royalty, and
that the same be fixed as The
| price to be paid therefor. The man
ufacturer would, doubtless, in all cases
be willing to accept the price thus cs-
tablished. He would have no motive
for Offering brides to any official fol
approving the sale. and the government
would secure the desired improvement
at a minimum cost II the manufac.
turer should refuse the price thus es.
tablished, provision might be made fol
inyalidating the patent as to articles
required for the public service"
This recommendation is based on the
alleged criminal practices, for which
trials are now pending, which, in al
most every instance, the auditor says,
have occurred in the purchase of arti-
cles covered by patents, and as ia
which the general principles prevail
ing in purchasing government supplies
on competitive bids cannot be en-.
forced.