The Hawaiian gazette., 1906-06-26
GRAND JURY PRESENTS
AN ELABORATE REPORT
fFrom Frlday,s Adyertiser.l }

ever made mere Dy grand jury since
the system was inaugurated, that be
II ing as soon as possible after annexa.
4 ton. was presented before Judge Dc
Bolt yesterday.
1t deals with several defective spots
in departmental administration, com
ments on an Indictment found in con-
nection with n ''get-rich- quick con-
Germ, discusses public health matters
prods the police for it's inactivity in
enforcing anti-gambling laws and rec
ommends a certain criminal law
II amendment. Following is the text of
1 the report:
JUDICIARY DEPARTMENT.
II The investigation of Irregularities
N occurring in connection with the de-
u posits OF trust funds and proceeds
from estates has shown, in our judg-
ment, that they might never have ex-
listed had there been a proper system
of accounts established in connection
H Herewith and properly audited.
u Monies paid into the court without
1 record as to what clerk received the
n scme; bank deposits carried for a
4 term of years without being balanced;
III auditing of books containing cash en-
N try against which there are no depos-
4 It's (when due care in following up
II these entries might have exposed
shortages three or four years ago and
1 averted those that have since occur
red) indiscriminate signing of checks
for withdrawal of funds; and lack of
proper supervision by the Court itself,
as implied by the facts that came un-
der our observation;-a these indi-
cate such looseness of methods as
must prove of great danger to these
funds.
Criminal carelessness always ac-
j companies, or is likely to accompany,
irresponsiblity of system, and the
II way becomes open and comparatively
4 easy for the breaking of law to a
clerk so disposed to do. 1t was newt
\ able that indictments should be found
n as result of our examinations.
n We understand the Courts and Au |
u diting Department are devising new
Z system of handling these funds, and |
for a more complete audit of these ac-
counts, and therefore refrain from
making any further suggestions in re-
spect thereto.
PUBLIC ADMINISTRATOR.
In the course of the investigation of
the Irregularities above referred to a
suggestion was developed relative to
the need of public administrator.
Z From the testimony given as to the
assistance which the clerks of the Ju-
dietary Department have given to ex-
ecutors and administrators of estates
n who are either ignorant of the law or
n the method of procedure, and whose
q estates under administration are not
sufficiently large to warrant legal con-
sultation and expenditure, it appears
TO the Grand Jury that we can prop
erly endorse the suggestion that rec
ommendation be made to the next
Y Legislature on the subject of public
Enthusiastically.
n MISSING DOCUMENTS.
In connection with the investigation
tof the judiciary Department special
inquiry was instituted by the Grand
Jury as to certain missing documents
pertaining to the Spreckels- Brown
controversy, to which attention had
been called. While nothing of a sat
isfactory character could be determin-
I'D regarding this special matter, yet
" the whole we are satisfied that
Nnf Jury has been valuable in that
w Shown the present system of
W, Nwr documents on public file
~G,,e thorough than formerly eX-
Neerefore there should be an
the community in regard to 1t.
inere is, however, urgent need of
greater security for documents TEN.
porarily or permanently on file in the
Judiciary Department, and provision
should be made by law for the regis
tration in the office of the Registrar
of Conveyances OF all probate records,
AUDITING DEPARTMENT.
Incidental and subsequent to the ex-
animation OF the affairs of the Judi
ciary Department the Grand Jury {
summoned the Auditor, as also the ,
deputy Auditor, to answer inquiry as ,
To the conduct of the Audit Depart ,
ment. 1t seemed pertinent 80 ask: Z
How could it be possible for such ,
condition TO exist in the judiciary De- I
partment relative TO the accountancy I
nof estate and trust funds in view of
Athe plain requirement of the Audit I
Act for the Auditor to establish true {
and satisfactory system OF bookkeep- I
! Ing for each Department or Bureau of ,
the Governments" This requirement a
bad not been met as to these funds of /
n public trust character. Was there |
any failure of audit on the part of the /
Auditor Was he lacking I'm the meet &
Ing of responsibility In this one para /
ticular? Every inquiry received care {
ful and candid answer by the Auditor 6
wherein II became clearly manifest $
that he fully recognized the obliga- d
lions and responsibilities OF his office d
and endeavors faithfully to meet I
them. And yet, so far as concerns I
The providing system OF bookkcep- Il
ing for the care Of estate and other 4
trust funds, he held some uncertainty +
and doubt whether II could properly I
come within his province. this doubt
being due 10 the fact that the said
funds were not subject to the usual or a
customary governmental direction but I
rather came under the immediate su- a
pervision and order ~ the Courts, In 4
regard 10 This, while tho Grand Jury a.
nppreciatos the force Of this doubt yet "a
we believe IL has now been demon 1
ptFated Through tho necessity for in- v
NaaNa