The Washington times., 1903-06-27
AUDITOR PETTY INCLUDES MANY
IN BLAME FOR WATSON FRAUDS

leaving them still in plain view. The
bank took these checks, which were
misdeposited by Watson to cover
steal, and they were received and paid
at the Treasury without a word of in
Quiry. Had either the bank or the
Treasury asked the meaning of the
change in Endorsement. an Investigation
then and there would have brought 10 an
abrupt termination in its outset the
official career OF this most unconscion-
able criminal"
Faulty Banking Plan.
The report OF Mr.. Petty opens with a
review of the development of the de-
posit and assessment fund and the meth
DDS of handling It, Mr.. Petty disclaims
any responsibility for the plan of depos
/ iting in banks. to the Auditors account.
money drawn from the fund. He says
that this plan was adopted at the re-
quest OF the Engineering Department
for the purpose of simplifying it's &C
counts.
| Formerly separate acquisitions we're
drawn upon the Collector of Taxes for
drawn against the fund for permit work
| This plan was so cumbersome that the
Commissioners consented to allow requi-
sitions TO be drawn for lump sums upon
the Tax Collector. The money drawn on
these was deposited in banks TO the
credit of the Auditor, who paid it out by
means of checks. This simplifed the
| no. -
the Engineering Department.
The permit fund, which was the orig
inal of the deposit and assessment fund,
was finally developed into a great fund
covering the money deposited for many
different sorts of work
Transfer Vouchers Did It.
In discussing the transfer vouchers,
which are said to be responsible for
Watson's defalcations. Mr.. Petty says
No one apprehended fraud in con-
nection with these transfers. but when
the work OF repairing cuts OF every
character grew to such magnitude as to
| involve many OF the largest appropria-
lions, monthly vouchers for these multi
tudinous repairs containing so many
| charges that they could not be detailed
and the practice having obtained of max
/ ing the vouchers to read For work done
in connection with repairs TO cuts in
various streets under various appropria-
tions.' with an aggregate amount in
stead OF a detailed and itemized state
ment. realized the impracticability Of
making a thorough audit under such
conditions. and objected 10 its continu-
ance. In this action I was Joined by
one of the clerical examiners. who pass
upon our accounts in the Treasury. aud
who, upon several weIl-remembereG Ct
cssions during the past four years, has
visited the District Building for the ex-
press purpose Of securing the formula
tion of better and safer method.
'Inasmuch. however. as the department
in charge OF the work strenuously pro-
tested against a change on the ground
that 1t would Inconvenience them aud
increase their labors as well, no action
was taken. Recently, however, in the
face of formidable opposition, after
a series OF arguments which extended
over a period of three days. impelled by
the conviction that the transfer voucher
system was vicious and dangerous, with
scarcely a redeeming feaure. l finally
carried my point. and compassed the de-
struction OF this deadly upas tree. leav-
ing neither root nor branch to vex or
trouble US again
The auditors report concludes with
the following reference TO himself:
-, Fr- I
OF personal mention. When, like an IN
expected thunderbolt out of clear sky
the story of Watson's startling crime
fell upon the ears Of the people of the
District of Columbia. it is not strange
that Amusement and indignation took
possession of the public mind Our
municipal administrations had been So
free from even the fsintest shadow oil
wrongdoing that wounded pride broke
down every barrier, and a storm OF criti-
clsm fell. not only upon the author o.
all our woe, but upon the Auditor al
well.
81 have held my place while the TEN
pest ragged with undated fury. but Il
were idle 20 deny that II has moved ms
20 the profoundest depths of my being
, The consciousness that for thirty-tw
=, years, in season and out OF season.
have faithfully striven with all tn
strength and earnestness OF my natur,
to serve the best and highest interest
of my fellow citizens, with a record upo1
which the sunlight OF heaven casts n
shadow, is all that has saved me fror
despair. and by this record I am willin
to stand or fall"