Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1906-10-09
LOBECK7S SYSTEM FLAYEN
Oomptreller's Methods Pronounced FarciCal
by Expert Accountant Gilchrist.
SAYS DEPARTMENT NEEDS REoRGANIzING
Declares II Deceptive at Present,
Assumins to DO Something
which Il Does Net
Perform,

j. NJ. Gilchrist, engaged as expert ac-
countant to check over the city treasurer's
accounts and other departments of the
city government, made a report Monday
morning to the mayor and council on his
incomplete check OF the books of the late
city treasurer. A II. Hennings. Mr.. Gil
christs report Is general in Its terms, con-
taining no figures, as he stated he was
stopped in his work before finished The
accountant casts reflections on the work
Of the comptroller's department stating
that II the accounts OF the late treasurer
are found to be correct 1t would be no
fault of the 'farcical auditing OF accounts
as now employed by the comptroller"
Mayor Dahlman said Monday morning he
did not care 20 express himself at this
time on the report Of Mr.. Gilchrist. pre-
ferring 10 await the action of the council
Tuesday evening. The Gllchrlst report will
be received by the council Tuesday even
jpeS when 9he mayor will brihg up the mat
ter yof having Mr.. Gilchrist complete his
check on tho treasury department and
books of Lee Grier. former clerk OF the
police court. The mayor has q report from
Deputy Comptroller Cosgrov-. who checked
up the police court accounts for three
years.
GiIchrist TaIISs Out Loud.
The council: dispensed with the services
of Gilchrist September % without referring
the matter to the mayor Now the mayor
contends he has the right to have the ex-
pert accountant complete the work for
which he originally was engaged
In submitting his report to the mayor
and council Mr.. Gllchrist offered this state
ment:
For many reasons the filing of this report
II a Il
the condition OF affairs Is ndefensible and
should not he allowed to continue.
do not blame the council for It's action
Il was simply deceived and il-advlsed.
do resent the hidden motive behind the ac-
tion. and that was to suppress the facts, az
Personally, so far as | am concerned II
IS MOI at all necessary that the council
was necessary that / should have the WORK
and Il Is equally trae today. I displaced
other business to take up the work;
should have TO do the same again
Tart Bunch for Lobeck.
In the course Of his report to the mayor
and council Mr.. Gilchrlst says:
some years ago, after an unfortunate
condition of affairs had been discovered In
tho city treasureTs office, a very excellent
system OF accounting WAS established In
connection with the trossurers ONCE.
regret TO say. however. that insofar as tht
conlptrollers office is concerned. that sys
rem has practically ceased to exist and 81
the accounts OF the treasurer are found tC
bs correct II Is because OF the honesty ant
cnrefulness OF the treasurer and his eni
pioyes and not because of the farcica
auditing OF accounts AZ row employed b,
the comptroller, In order that this genera
. statement may be clearly set forth ] de
sire to distinctly specify certain points
which can be readily verified by your hon
oorable body.
FiTst--seciion So of the row charter pro
yides "he (comptroller) shall also keep
regular and accurate account of the dsbi
and credit with the cityr treasurer. charg
ing said treasurer with the amount of take
levied on the assessment roll and givini
him credit for all duplicate receipts fur
nished with his statements" The obiec
ut this provision Is To be able at any tim
to determine from the comptroler's Ia
ledger whether the debit amount agree
with the total unpaid taxes, as shown Of
the tax lists, and mainly 10 guard agains
amy false credits being marked iu the "a
lists. by taxes being collected without
corresponding duplicate receipt That tn
latter condition sometimes has occurre.
,esWill be generally remembered IN the cas-
= " the city OF Chicago. when clerk In th
treasurcr's office, for a monetary consider
alton marked the taxes paid on the Ma
sonic temple building. thereby defraudin
the city OF Chicago of the whole tax %
the building. Two years ago in Lancaste
county, Nebraska. l personally found
somewhat similar condition Of affair.
which would have cost Lancaster coun.