The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1903-06-17
! NOMINAL CHARGE
a. G. Haugan Never Handled the
Final Settlement Now Debited
to Him.
Transaction Due to Authorized
Emergency System, Which Bare
Figures Don't Show.

While the accounts Of the city actually
show that A. G. Haugan,s shortage as
city treasurer was Increased SCI 900 upon
his last day in office, as stated. In T h g
10 urn a 4 yesterday, additional informa-
ton supplied by men familiar with the city
finances Of that period indicate that Mr..
Haugan. never handled cent of the
money which was turned In to him in the
final settlement made by the county
treasurer. Rs l4s !.
y For more than two months preceding
the advent of c. S. Hubert as city treas
urer Mr.. Haugan refused to handle city
funds In, any way, having resigned late
in: January. That the final settlement of
March 10 was charged to him, was due
wholly to the position taken by Mr. Hull
bert,s who had accepted the then onerous
position of city treasurer, after the city
had been seriously embarrassed by the
failure to secure a competent man for
THAI position. s Mr.. Hubert as a matter
Of self protection, insisted that his records
should begin with his term of office; he
would not couple his books to the ac-
counts whose condition had been respon-
sible for Mr.. Haugan's plight. Thus it
was that the settlement Of March 10, APP
proximating $50, 900, was charged to the
city treasurer, it being, assumed that Mr..
Haugan. was still theoretically the incum-
bent. inasmuch as his successor; had mot
yet assumed office. ~. 1880 .s..
County Treasurer Paid: Warrants.
+ Between the virtual retirement OF
Haugan and the advent of Mr.. Hubert,
the city was handicapped by the lack of q
fiscal agent and. serious embarrassment
resulted from the non-payment of war
rants. It was to meet this emergency
that the county treasurer, acting upon
the. formal request Of the city council
consented to pay such warrants from the
city's share Of the tax settlement. It was
arranged that the county treasurer should
| pay these warrants, turning in the can
celled warrants as so much cash when
the settlement was finally made. It fire..
| quently happens in the transaction Of city
business that warrants for large pay
ments are drawn before the cash actually
| becomes available. They/are credited tc
| the city treasurer as soon as they are
| drawn and when they are paid he makes
| a corresponding counter entry. Previous
| to this settlement Of March 10, the city
| had drawn and credited to- the city treas
| urer on the controllers books. about 500,
600 in warrants. These warrants were
| paid by the county treasurer under the
plan devised by the city council and
when the final settlement was made, the
| county treasurer turned in $4,000 of paic
warrants and the remainder Of the $S0,O0(
| in cash. a.. ,,.--s :*=1& So: 80
| Where Figures Are Misleading. +
So far as the books go, there Is nothing
| to show that this payment was not al
cash and 1t was = charged directly tt
! Haugan, tho 1t Is clear that the actua
money never, came into his possession
Having been credited with the warrant.
when they were. issued, however, the ap
pearanee Of the cancelled warrants served
! to offset this credit and his shortage wa.
increased by a = corresponding amount
| The cash portion of this settlement wa.
turned over to Mr.. Hubert while the spor.
/ ton represented by the paid warrant.
was chargeds5in with! the Haugan short
/ age to offset the warrants which hat
been credited to him. It has been car
ried upon. the books charged to his per
1 sonal account ever since. - -
The Controllers Action.
It thus appears why. the city controller
consented to charge the warrant portion il
this final settlement to the, city treasurer
in office on March 49,, namely A. C. Hau
! gan. w. G. Nye, who was city controlle
l at that time, kept full record Of the en-
tire transaction. While it is admitted
that the cold figures as they stand upol
the books justify the inference that $50,
| 600 was turned over to Mr.. Haugan OF
his last day in office, this appears to. b,
a case where the figures cannot tell tn,
whole story tho the circumstances werl
thoroly understood by city and, county Of
| f1cials at that time.
i The whole transaction, so far as tn
then city controller is concerned, is mere
4 ly a matter Of bookkeeping, as the actua
cash IS transmitted directly from tn
county to the city treasurer in maxim,
settlements, the same being charged +
the city treasurer upon the controller
books. Additional statements In regar
to this matter will undoubtedly be in
Guided In the forthcoming report Of F. N
Stacy to the city council, but in the ligh
OF the above some Of the puzzles discoy
Tered NAV ha 1nca 1yoyo t}o,,e