The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1905-09-08
KELLY HAS ACLUB
Again Serves Notice on Expert
Accountant.
Will Sue Unless His Accounts
Are Straight.
MAY FINISH 1T SOON.
Now Believed Work viii Be
Completed This Month.
Would Use Only One-Third the
Appropriation.
MAY FINISH IT SOON.

If the expert accountants finish their
examination of the state treasury by
the end of this month. as it is expected
they will do, the total expense will be
in the neighborhood of $1,000, leaving
$4,000 in the fund appropriated by
the legislature
Up to the present, time, only $3.50
has been paid out of this fund. of
which 1881 has been paid to the firm
of Haskins & Sells. which is in charge
of the work But there is now due
Haskins & Sells about $500, and this
will probably be $500 by the end of
the month.
There are now eight or ten assist
ants working with Mr.. Morris, the
Haskins & Sells representative, and
each of these assistants gets SIS per
day. This means an expenditure OF
$50 a day, in addition to which Has
lzins & Sells get $25 per day. making
total of $75 per day which the state is
now paying out.
For a time the work progressed
rather slowly, and only two or three
assistants were employed by Mr.. Nor
ris. The governor and his advisors
thought the job might be hurried up
and they insisted that more assistants
O0~N-
gradually increased until now the
average number at work is about ten.
Mr. Morris maintains absolute 81
lence as to the progress of the work,
but it is understood that the account
ants are now beginning to see the end
of their task, and that the report may
be expected within a few weeks. One
man who is familiar with the progress
of the investigation says:
"a person who has not been in
position to keep close track of the
work has little conception of the mag
nitude of the undertaking. State Ac-
countant Rowett Investigated only one
fund, and that one fund for only half
the counties in the state. and the work
required months of time The present
investigation covers every fund from
1893 down to date. Everything must
be carefully checked over, and every
thing must balance. The firm of Has
kin & Sells must have the figures in
such shape that they are sure of their
ground, for they are obliged to back
their report with their reputation"
Kelly Is Not Worried
State Treasurer Kelly today reiter-
ated his statement that if there is any,
thing in the forthcoming report which
against Haskins & Sells, and compel
them to prove their allegations in
court. This is the declaration made
first by Mr.. Kelly in his Eudora
speech. Mr.. Kelly said today:
1 don't have the slightest idea when
this investigation will be completed; I
am not paying any attention to it. In
fact, it has ceased to be of much in
terest to me, because l propose to get
justice in the courts if the report does
not do me justice. l know what the
report ought to be, and unless it is
what it ought to be, 1 propose to find
out why it isn't"
Ex-State Treasurer Frank Grimes is
awaiting the report of the Investigation
with considerable interest, and does
not attempt to deny it. The investiga-
ton covers his term of Office while he
had Kelly for his assistant Mr..
Grimes insists that there will be moth
ing In the report rejecting on him.
Roy Ritchie, who was Kelly's assist
ant, and who was obliged to resign his
1ob during Kelly's first term when the
discrepancy was found in the Garden
City bond deal. and the receipt was in
Ritchie's handwriting. was in Topeka a
few days ago. He is now in the real
estate business in Artesia, n. NJ.
I suppose" he said in speaking OF
the probable report, that they will
make me the sea apegoat for everything.
1 am not up here to do anything in
T., connection with this investigation; ]
am simply here on real estate bust
ness
1t is thought that Mr.. Ritchie had a
conference with Accountant Morris
while in Topeka. and if so. it was
probably in reference to the Garden
City affair. Ritchie was made tc
shoulder the blame for the Garden
City affair. though evidence was pro.
duced to show that Kelly and Grimes
shared in making up the deficiency
Written Report to Governor.
Until the work is finished and the re
port made, the accountants must sa,
nothing. This is part of their instruc
tions from Governor Hoch. At the tim,
the investigation commenced Governo
Hoch gave the following instructions t,
the representative of the firm of Has
kins & Sells:
Topeka, Kan, May 20. 1905.
Messrs. Haskins & Sells, Chicago, Ill
"Gertlemen:-At the late session O
the Kansas legislature an act was pass
ed entitled An act authorizing the gov
ernor 10 cause complete investigation
TO be made of the state departments. t
employ competent accountants to max
such investigation, and making an an
same
You have been employed by me t
proceed under that act to investigat
such of the state departments as I shal
designate. At the present time l sha]
name only one department, that of tn
state treasury.
1T is my desire that Won rroceed a
once TO the investigation of that depart
ment and that the investigation he car
rted on as expeditiously as NAV be con
sistent with the fun. exact and search
- ing study of every transac ction inyolv
ing money or property of the state.
shall be pleased to furnish vou fno,
request all the assistance necessary t
enable you to perform the duty yo
have assumed
TT seems necessary to state that thi
investigation was inspired by publ
controversy as to the conduct of certai
state affairs, and also to say that a par
tial examination of the treasurer's of6c
had been made prior to the Iegislativ
action The controversy in oresfio
and the partial investigation referred t
date back no further than January
1898. and therefore feel justified in di