The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1907-08-18

The Joint legislative committee ap-
pointed to audit the accounts Of the
| various State offices at the seat OF
government has completed its work
and submitted its report to Governor
Swanson, who, in turn will trans
nit 1t to the next session OF the Legis-
lature.
The committee, composed Of Senator'S
Thomas and Lynn and Delegates
Withers, owen and Fuller, employed
Major w. Mex. Evans and Mr.. George
S. Crenshaw, of this city, as expert ac-
| countants, and 1t is upon their findings
| that the report Is ased 1t deals with
all the various Offices very thoroughly,
and commends the methods of acc unit
| ing In some and criticizes those ems
| ployed in Others.
| The report sets out that the methods
| in the First Auditors oflicear SO COM
| plicated that IL defalcations such as
! that perpetrated by shepperd should
5bo repeated they would be diHteuit5 TO,
| discover.
i THE Department of Agriculture is
1 roundIy criticized. The report Winds
ur with Important communications.
/ Cne lis that the office of Second Auditor
be abolished. and another is that
bureau of audit be created and a nuni-
ber of travelling auditors appointed
Report In Full.
The report In full follows:
To His Excellency. Claude A. Swanson,
Governor of Virginia, Richmond,
Sir.-We have the honor to here-9
with transmit to you our report OF the
Investigation made of the Offices at
Richmond having charge OF the COL
lection and disbursement OF the States
revenues, under an act of the General
Assembly, approved March II, 1905.
the following Offices: Auditor OF Pub
lie Accounts. Treasurer. Second Audi
tor, Secretary of the Commonwealth.
Corpora tion Commission, Departmental
Agriculture. State Farm. Virginia Peni-
tentiary. Laurel Reform School.
The Wisdom Of the Law Creating Thh
Committee.
Until the creation Of the present
auditing committee there has never
been made, to the Knowledge OF this
committee, an examination of the Of
fees of receipts and disbursements at
the seat OF government. The necessity
of having such an examination periods
caly was made apparent at the initial
steps taken by this committee In this
Investigation. The committee con-
ceived it's duties to require 1t to ex-
the correctness Of the accounts of the
several Offices, but also to examine
into and report upon, with reco mmen-
dations for improvement, the system
OF accounting employed In the State
offices, to the end that the finances OF
the State may be safeguarded and an
efficient, simple and uniform system OF
accounting secured.
In the absence of a. supervising
power. there has grown up in the
States offices an entire lack OF uni
formity In accounting. Each depart
ment keeps its accounts Independently
of every other department.. There are
few checks and balances between de-
partments handling the same funds.
Discrepancies in accounts between
Offices handling In succession the same
funds have been discovered, which
existed for years, and which might
have been discovered and corrected
had any system Of COM
pairing accounts prevailed. Upon dis
coyery, we arc pleased to report. In
nearly every Instance, the books OF
these departments have been corrected
and made to conform.
81 1t is believed that, an examination
annually or oftener into the affairs OF
the States offices will prevent im-
proper practices and irregularities and
rectlfy errors Of accounting, which
otherwise would go unchecked, and
that such an examination will grad
iually improve the system OF accounts
Ing In said offices, co7ordinatinE them
and insuring a simple and uniform
system OF accounting in the several
offices OF tho State.
Affairs OF the state.
This committee Is pleased to report
that no defalcations have been discov>
cred in any OF tho departments, with
the exception of the Shepperd defal-
cation in the AUDITORS office. which Is
we'll known to the people OF the State.
1t is a source of peculiar pride to
this committee, to be able to point to
the honesty OF the states officials and
the integrity and fidelity with which
they have generally managed the A.
nancial affairs Of their Offices. IT 10
believed that few IL any, of the Staten
OF the Union can exhibit such q uni-
formly honest administration as yir-
gInla When It Is remembered that
under the antiquated system Of ac-
counting practiced In the State ott.ces
that defalcations mig ht- occur and eyl-
IN ha S... rtAdAh