The Washington herald., 1914-03-31
Want PROBE OF
DISTRICTS Debt
Commissioners Question ST.
DOB, 257. "a Indebtedness
in Report to Congress.
CALL ON COMPTROLLER
City Fathers Suggest that Records of
Interest on Bonds Are Ac-
cessible to Him.
CALL ON COMPTROLLER

Doubt as to whether the District is in
debted to the United States government
in the sum OF sl.OOS, ,25724 because of ad-
vances from the Federal Treasury for the
payment of interest on the 365 per cent
bonds Of the District for 1871 and 1873.
was expressed by the Commissioners in a
report sent to Congress yesterday. They
suggested that an opinion be obtained
from the Comptroller Of the Treasury.
The report Of the Commissioners was
on the Joint resolution introduced by
Representative Prouty. directing the
Secretary Of the Treasury to transfer the
amount In question from the books Of the
District TO the credit OF the United
States
The resolution provides that interest on
the sum be charged at J per cent a year
from the date OF the passage Of the bill
and that the full amount. principal and
interest. shat. be paid on or before June
Is, 1915
The question whether the principal
sum mentioned in the resolution is a
present Indebtedness of the District to
tine United States government is not free
from doubt" states the report of the
Commissioners.
Debt Is Questioned.
United States TO the District seems to
have been ascertaiaed by competent ac-
counting officers, and so far as the Com
missioncrs are Informed Il was never di-
rectly repaid to the Federal government
But whether or not cognizance was
taken Of the Indebtedness by Congress
when il investigated the financial af-
fairs of the District. which ultimately
led to the passage Of the act Of Con-
gress approved June II. 1875, and some
times called the Organic Act" seems to
be involved in more or less obscurity.
Under date of January , of this year
the Comptroller OF the Treasury sub
mitted a comprehensive report on the
question. Has the money appropriated
for the interest and sinking fund on the
funded debt OF the District been paid cut Of
funds and accounted for in accordance
with the acts of Congress in relation
thereto" In his consideration OF the
subject the Comptroller examined the
course Of legislation that ultimately de-
the financial relation between
the Federal and municipal governments.
and while the question involved in the
resolution under consideration was not
presented to the Comptroller. the study
he necessarily made OF the general sub
ject has left him peculiarly conversant
WIN the NHOle lHhpOi Iahl Hia'teT'
Furthermore, the records OF the Fed
nral Treasury that very likely bear upon
this Indebtedness are available to him
where they are not perhaps available to
the Commissioners. and they. therefore. |
suggest for consideration by the Senate |
that 1t secure report from |
The Comptroller Of the Treasury. more |
than the Commissioners |
,ould expect to be able to prepare and |
forward to the committee from the in
formation at their disposal.
In conclusion, your attention is in
rited to the fact that the decision Of the |
OF the Treasury mentioned |
above was printed as Senate document |
30. 432, Sixty-third Congress. second ses-
lion. under a favorable report made by
Is Committee on Printing on February |
: last