The semi-weekly messenger. [volume] (Wilmington, N.C.) 1897-1908, 1904-05-27

other persons were not required to
pay their bills. So far as we have
been able to ascertain. there is no
real foundation for this charge. II Is
true that a banquet was given to the
Of the State Guard before the
place OF encampment had been Sc
|lected- 1t Is true that entertainment
given In exchange for advertising.
ordinary in this On the other hand.
appears to us to have been a prop
Ter ear OF attracting patronage.
land IL certainly Is q Usual and Gus
course with all resort hotels
do not think either that the spe-
Icfal rate OF 81 per day. which was
charged the directors. was unusual
Tor undeseryed. They were charged
with the direction and management
|of the hotel as well as me railroad.
land IL seems TO US no more extraor-
Urinary that they should have privi-
Lieges and courtesies from one than
from the other.
II appears to be true that there
was a lack Of care in the employment
tof a manager. and after his mploy-
Iment he was allowed to have COM
lplete control OF the property. The
Income went into his hands ~uncount-
led. and there were no restrictions
whatever on his expenditures Neith- j.
Ter the directors nor the officers OF the (
company seemed to have thought Il
while 10 check against his &C
lcount. and the evidence shows that
Inone OF them had h slightest per-
Isonal knowledge OF the financial stat
ius or the hotel at any time during :
fthe season. Late In July the mana
appeared before the board of di-
l~rectors and stated verbally that at
THAT time the hotel was ST. 600 ahead.
NO steps were taken to verify this
statement, nor was n written ex-
lhibit to support 1t rendered or re-
The manager deposited the
receipts in bank 10 his own credit as
manager n checked u at will. No
System of vouchers or other mean
tof verifying purchases and payments
twas used, n there was absolutely
mo means OF checking against the
manager. Early in August IL became
apparent to Mr.. Bryan that the man
lagement was not what it should be.
lDificulties among employees became
suffer. The evidence shows that by
treason of the habits and general In
deficiency OF the manager, whatever
Iof discipline there a been among
lemployes In the early part Of the
season was lost. and h~aphazard condf-
Itions prevailed. Mr.. Bryan seems to
Ihave set himself to the task of reor-
lganizing the hotel force. and began {
igive the oversight and attention TO the
Operation of the hotel, which should
Ihave been given by some one from
1.-THE beginning. He sought to recon
lcile differences among employees. and
lgave his personal attention to seeing
THAT guests were properly served. He
Iordered the receipts Of the hotel sent
Idaily to the railroad treasurer. and
had just started upon a thorough In
lvestigation OF finances when he was
Unexpectedly called to New York on
urgent private business. This was
loo r1ty In At,O,tc% anI urhan ha ra4arn-
led, three weeks later, the season was
practically over.
The result of the operation OF the
hotel by the railroad for the season
lof 1908 was a loss of S6.4s6.97.
The hotel property was bought for
$4,000. $4,000 of which remains un-
lpaid, and the company spent s35.-
I131.20 in repairs, renewals and fur
Inishings.
In our judgment the hotel should
mot have been purchased. and IL Is
lclear that 1t was very poorly man.
Jagged.
Signing of Vouchers After Receiver.
ship.
1t seems to us that we have Moth
ing whatever to do with the charge
that Mr.. Bryan signed vouchers dur
ling the administration of Mr.. McBee,
receiver. At that time Mr.. Bryan
twas not In any way connected with
the operation of the Atlantic and
North Carolina railroad, and we have
mo concern in his deeds or words as
la Private citizen. 1t would occurr to
Jus that the shoe Is on the other foot,
land that the Opportunity given out
Isiders to tamp-r with the papers of
THE receiver indicates q state Of affairs
(which might call for an independent
Investigation. Since we are doing our
work for the state administration, n
Ir1@k Co. ~ N@1D~o f. ~.
tier does not seem to come within the
Scope Of our enquiry.
The expert accountants who have
tmade a searching examination OF the
lbooks and records Of the company,
Including every voucher for disburse-
lments from July list. 1889. to March
I31st, 1904, were instructed to call to
the attention OF The committee any ex-
lpenditures that might appear irregu-
regular in any way or to need explain
tation. Vouchers a~ggregating $1.0o0.
Ito which were attached drafts upon
upon the company for legal ex-
lpenses." and one for *10o-8 "athor-
lney's board at Raleigh" all dated I'm
1901. were laid before the committee
land upon investigation were found to
fbe expenses incurred In opposing at
lfrmatfve action by the general assem-
tbly at its session in 1901 on a PROPOSE
ttion made or proposed to be made Tor
purchase of the states interest In the
ATLANTIC and North Carolina railway
company.
These expenditures were made and
Improved by the president OF the COM
lpany. under authority OF a resolution
adopted by the board OF directors at a
Injecting held on the 18th day OF
December, 1900. as follows: '"Resoly-
ed, That the president De empowered
Ito employ counsel and take action for
1.-THE protection and security Of he
property and interests OF the compa-
my"
Your committee seriously Questions
1.-THE power OF the directors to author
Iize such expenditures, and therefore
~lcannot approve the same as having
Ibeen properly made.