The gold leaf. [volume] (Henderson, N.C.) 1881-1911, 1909-03-11
Investigating Committee
CContiDued from first page

IContinued from first page
fore entered in the same books his
Disbursements. He does not. how
ever. make any disbursements IN the
usuaI sense OF the word, except from
the fund for investigation OF hres.
At the end OF every thirty DAYS ne
simply pays over to the state Ireas-
ufer the amount he has IN mana LOT
the State. and at the periods pro-
vided bv law RENTS to the proper
authorities the total fund he has col
lected for them. These payments are
made by check drawn by him as IN
surance Commissioner, stating Tor
what purpose it is drawn. These
amounts are charged up in his bank
accounts, and he files the receipts OF
said treasurer and other authorities
for the same, and also the cancelled
check referred to. His bank account,
therefore. shows all disbursements.
He keeps a separate ledger account
OF the fund for Investigations OF hres,
and every item disbursed from SAID
fund is properly entered in this ac-
count.
We find, therefore, that while 1T Is
true that he has not kept on the
same book accounts OF both receipts
and disbursements, he has always
kept OF one book a complete and 1uil
account ofall receipts, and on another
a full and detailed account OF all dls-
bursements, and that the two TO
gether constitute a full, complete
and detailed record of all therecelpts
and disbursement Of his office.
We do concur, however, i'll the
recommendation OF the Auditing
Committee that in view OF the large
promotion to which this office has
attained, that the Commissioner
should change this method and adopt
and keep q cash book in accordance
with the modern system OF expert
bookkeeping, which should be de-
tailed record both OF receipts and
disbursements, and show the daily
balance in the hands of the COmInls-
sioner. We are pleased to report
that the Commissioner, at the time
of our examination, was adopting
this recommendation.
The Auditing Committee intimates
that there has been mingllng by
the Insurance Commissioner OF his
personal funds with the department
funds. We find the facts to be that
the Insurance Commissioner hereto
fore, when receiving a check which
embraced amounts due the State and
aiao fees due himself, has always de-
posted the whole check to the credit
of the Insurance Commissioner, with
out taking out said fees. He would
from time to time draw out part OF
said fees, but never the whole amount
OF them. He has purpOsely allowed
a portion of such fees due him indl-
vidually to accumulate in this ac-
count in order that he might at all
times be sure of having to the credit
OF his official account more than
enough to meet all amounts due to
the State.
At the time of this investigation
this account showed a balance OF
fees due the Insurance Commissioner
in excess of the deposit which be-
longed to the State, amounting to
$4,9SS.09. With this exception there
has been no mingling of the public
and private funds. The records in
the Insurance Commissioners office
show exactly and clearly the amounts
due to the Insurance Commissioner
and to the State, which were depos-
tied to the credit of the Insurance
Commissioner, and his personal bank
account is kept entirely separate
from his account as Insurance Com
missioner.
The change of law which went into
effect January LIST, 1909, requires
that all these fees shall belong to the
State, and that the Commissioner
shall be paid fixed salary of So, SOC
per year, so that hereafter the Insur-
ance Commissioner will have no per
sonal interest in this bank account
We find that there has been no i'm
proper mingling of private funds
with State funds on the part OF the
Insurance Commissioner.
There appears in the report OF the
special committee this sentence
Coupons which the Commissioner
claims were items not due to the
State, and were handled as per
sonal matter and entered in his led
ger account" This committee does
not know whether this is intended as
q criticism or not. The only facts il
regard to coupons brought to the at
tention of this committee are that az
coupons on bonds deposited by the
several insurance companies with the
Insurance Commissioner became due
the company depositing the same, is
entitled under section 1872 fthe Re
visal to collect them. In some in
stances when such coupons becam.
due, the company, instead OF coming
to Raleigh to clip off and collect salt
coupons, requested the COMMISSIONS
to do it for them. This he did fo
their accommodation, depositing thu
proceeds in bank in his name as In