Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1914-01-06

Ft3e payee or assignee. These u1en-
dorsea warrants were redeemed BY
the county treasurer, by his cheeE, in
favor OF tie bank. As the conseeu:
tive numbering Of the warrants by the
county auditor was continually chang
ing. without regard to either any spe-
cifiC appropriation, account or period
time. very careful search of the au-
d!toF's register Of warrants became
necessary to ascertain whether any of
the warrants so assigned were dupli-
Gated in said register.
| L 1t was also found that many
warrants which had been paid by the
First Bank Of Hilo, Limited, and re-
deemed by the county treasurer, had
not been cancelled by the treasurer
| by his date stamp or signature. With
out the cancellation date on the war
rants, and in order to locate the war
rants among the treasarer'S disburse-
tments; a thorough examination Of the
entries in the treasurer's cash book
had to be made covering payments
lextending over considerable periods.
s. In entering the redeemed war
rants in the treasurer's cash book Ilu-
merous instances Of wrong numbers
l'of warrants were found. This was
only discovered after closely checking
the entries in che auditors register OF
warrants against those of the dis
bursements in the itreasuref's cash
book. II is the practice of the county
treasurer to draw a check in favor of
the bank paying the warrants for the
full amount Of the accumulated war
rants SO paid by the bank, the NUM-
bers Of the warrants being itemized
In the treasurer's cash book. The err
ror in entering the wrong numbers Of
the warrants simply resolved itself
into a search through the auditors
register of warrants to locate the act
ual warrants redeemed-an almost,
Fendless task. ,...... - -. -.
8. Warrants were found. to, have
been cancelled by the stubs of the
auditors warrant book and the word
Cancelled written against the num-
Der of the warrant In the register of
warrants. Among the treasurer's re-.
deemed warrants were discovered
warrants bearing the number of the
cancelled warrant, and which were
usually assigned to c.. K. Mcguire 4
These warrants had been paid by the
bank and the hank reimbursed by the
treasurer's check covering this, and al
number of other warrants. As such
fraudulent warrants generally APP
piled to, pay roll, search. had to be
made. first through the minutes of
the board of supervisors to obtain the
demand number of the pay roll 1.-THE
authorization when found covering the
total pay roll only then through the
pay roll to get the employees name /
and amount accruing to him. this to
be checked against the register of |,
warrants, when it would be discovered
the man had been previously paid by
q warrant bearing another number.
thus establishing the fact that the as!
signed and originally cancelled war
rant, as above. was a duplicate one.
~. duplicate warrants were dis
covered, wherein both the duplicate
and the original had been paid and
duly redeemed by the county treas.
urer. =. s, !,
II. Warrants were drawn in favor
Of certain departments, account of
Ihcidentals, which bore the endorse
nient of c. X. Mcguire, and for which.
The minutes of the board of supervis-
DTS failed to show any authorization.
~ A number OF warrants had
been issued in payment Of duly au.
.horized demands which had not
been entered in the auditors regis.
eF OF warrants. These warrants coy
cred all classes Of disbursements and
applied to both general and road
unds. 1t is impossible to state with. Z
,ut the completion of the detailed
ludit the extent eof this practice.
failure, however, to make the neces-5
AIRY entries in the register of war.
ants .stiA further throws the balance 4
VI Jas between the records of athe ,
county auditor and those of the fcoun9
y treasurer. :. d ...r <.:a f.,* ..... ~ ,
The serious irregularities were
ound to be so numerous in the rec. :,
'rds kept by the county auditor that
m September 8, 1913, requested the |
Ieputy auditor to give, me some ex-
'lanation regarding these discrepan- 1
les. He informed me, in the pres i
nee. of my assistant, that he remern-s ;
'ered n particularly entering ). the ,
lar1es and amounts of pay roll war, !
ants in the auditors register of war
ants from memory - and not from the ,.
authorized demands. This procedure,
will account. in some measure for :,
he. many varfances between the =.
recorded in said register
nd the amounts of the actual war
ants issued. IT
1t was the rule of the county audi Z
or's department to issue warrants
n payment of demands prior to the I
ate Of the authorization of the de- I