Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1910-08-11
REPORT ACCEPTED IN
THE PARKINSON CASE
CONTINUED from page ono.)

tomplated, the profits from which in
Vestmonts We're 20 be divided between
the parties TO the contract the evidence
showed that In August. 1905. an agree
ment was written which provided for
the formation OF a partnership between
the parties referred to, which was TO
be In erect from Jan, l. There was n
clause In said agreement which provid-
ed for tho investment OF any surplus
moneys which might come into the
| hands OF George G. Parkinson, the
shared equally by the parties TO the
| agreement. This agreement, however.
was never signed, and the evidence
! showed that IL was never In effect II
was shown that Parkinson, Hart,
| and Chadwick were interested
| piohts were shared, but II
was not proven that company
money was used in any OF these
transactions, EXCEPT II might be the
purchase of the Armstrong ranch. In
this transaction, profits were made
and shared by Parkinson, Hart. Chad
wick and others, and while there was
no direct evidence to show that COM
pany money was used to make the
purchase OF the Armstrong ranch.
circumstantial evidence Is such that
we, your committee. believe that COM
lAUN moneys were so useu.
In regard to the fourth charge, viz.
That George c. Parkinson transfer
red to his own account. and used for
his personal benefit. funds belonging
TO the company and collected and
used interest on company money de-
posted i'm banks, we find: That prior
TO April 8, 1905, Parkinson received
from the secretary OF the company
$4,000 Of company funds. which he
deposited 70 his own credit with the
Deseret National bank. BY April 20
he had transferred TO the credit OF
the company with the same bank. and
checked out for the benefit OF the
company S29.39359. leaving n balance
to his own credit OF S2.6O641 This
amount remained in the hands OF the
treasurer until after the company ac-
counts were audited in 1907.
IL was explained by the treasurer
that this amount of money was re-
tanned In his personal account because
of an error In his books. but 10 salts |
factory explanation was made TO your |
committee as to how such error oc-
Cured.
on December 8. 1905. Parkinson |
transferred from company funds TO |
his own account. the sum OF $4,000.
which he continued to use until the |
final audit of the company books in |
1907
In explanation Of this. II was stated
by Parkinson that the $4,000 referred
10 was used BY permission OF the sec
rotary and board OF directors OF the
While evidence was produce
ed to show that the president and
secretary We're cognizant OF the fact
that this money was being used as
stated, there was nothing to show
that the board of directors officially |
TO such loan.
II was further claimed by Parkin-
son that in October, 1905, he dispos-
ed OF $4,000 OF the third series OF
bonds, issued by the company. and
hat he was entitled to, and ex-
pected commission of $1,000 for
making such sale. and that he retain
I'd the $1,000 referred to. claiming
I to be his own, until the board OF
directors OF the company finally de-
'ided that he was not entitled to a |
commission on the sale OF the bonds,
when he returned IL to the company
II IS worthy OF note that on the first
md second issues OF the bonds OF the
which had been sold a COM
mission OF 0 per cent had been paid, |
md this. with the fact that the sale |
# the third issue OF bonds was much
more difficult to negotiate than former |
ssues. and the further fact that the
ecretary had given the assurance that
similar commission would he paid.
justified the belief on the part ~
Atkinson that he was entitled to the
commission claimed
The grounds upon which the board OF
irectors refused to allow the commits
ion claimed was that ~ was Illegal be-
ause of tho fact that Parkinson was a
aid officer of the company.
I'm regard to the last count I'm the !
ompl1 mt, VIZ: That Parkinson collect
a and appropriated to his own use in
crest on company funds deposited in
anks, u was shown that the sum Of @
bout 500 was SO collected and re- v
urned to the company
In explanation ~ this II was stated y
y Parkinson that being tho bonded 2
-easurer Of the company. and the GUS Y
ldian OF Its funds. and responsible for T.
hem, he was entitled 10 the interest so
ollected ?
In the hearing Of this case great lati- C
ide has been given. and all evidence n
any way bearing upon II has been &
erefully considered. After reviewing A
le testimony 81 the witnesses the h
rtten evidence submitted. and the cir "
imstances connected with the case
our committee has reached the follow ,
X =
CONCLUSIONS.
Tho tax payers of the Oneida Irriga-
on District conflded their business. in
al confidence to the officers OF the
lmpany, consisting OF a board Of three 1
rectors two Of whom acted as presi- ,
Ant and secretary, and a treasurer.
nat inc offlce or director secretary, | q
-torney, and acting treasurer were for &
time held by one person and that
ter a deputy or acting treasurer did e
10 work OF the treasurer. and this ar n
,ngcment, We believe, is largely re- G
'onsible for tho present unfortunate 81
lndition or the company =
We find that while drawing the nay !,
the treasurer, George G. Parkinson
trusted the handling OF the company
nds almost exclusively 10 the secre-
ry and acting treasurer. The treas
'er being the only person responsible,
lder bond, for the handling of the
mpany funds. we hold that any irreg-
afity which may have occurred In the
'ndling OF such funds Is ohargeable 10
m. II
We find that there was great care
'sness IN keeping the accounts OF the
easurer's office, no proper system OF
counting having been adopted until
tor large amounts OF company funds
a been received and disbursed Had
proper system OF accounting been
opted In the beginning. many Of the
rors made in the management Of the
airs Of the company might have been
oided.
We find that tho treasurer WINS wrong
commingllng the funds OF the COM
ny with his own, and that the rea-
rs assigned Tor so doing. viz. that he
s under bond 90 the company and re-
lnsible for the funds which passed
'cugh his hands, and that other pub