New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1915-11-16
Comforting Treasury Bal
ance Due to McAdoO's
Juggling, He Says.
CHANGE OF SYSTEM
BOOSTED FIGURES
Expert Accountant Shows Only
S3,5l7,O27 Left After Proper
Deductions.
Iron Tn. Tribune Buresu,l

Washington, Nov. 15.-The Treasury
balance Of ss2,210, 1897, which the
Taft administration bequeathed to the
incoming Democrats already has been
reduced to S3,51T02721, and will be
gone before Congress meets, leaving
the United States Treasury bankrupt
"for the first time since james Bueh-
snan turned over TO Abraham Lincoln
the empty Golfers Of the nation" ac-
cording to a statement issued to-day by
ex-senator Jonathan Bourne, Of the Re
publican Publicity Association. Mr..
Bourne reviews at length the muta-
lions which the Treasury statement has
undergone since William G. McAdoo be-
came Secretary, and presents an an
slysis by an expert accountant to show
what the imposing and comforting fig
ures now being given out really mean.
The first change in the Treasury
statement, Mr.. Bourne points out, was
made July l, 1918, after year Of Dem
ocratic rule, and showed an available
balance" Of S114,735,746.97. and by in
Guiding bullion. fractional currency,
etc, rolled up "total cash assets" Of
1903, $50 ,00696. This was high water
mark. Within two months the state
ments forgot to mention the free and
available balance" but presented bal
ance sheet of assets and liabilities, Civ
ing met balance new term-on
September l, 1918, Of s127,336, 337.O4.
Balance Changed Overnight.
For a little more than two years
this form OF statement was adhered TO-"
NJ. Bourne continues, "and on Septem-
Der 80. 1915, the daily Treasury state
ment announced the net balance in gen.
eral funds as being S40,S9S. S9497
"On the following day the daily state
ment appeared with a long and some
what involved preface, intended TO be
explanatory. and in a strikingly meta
morphosed form so far as its figures
were concerned. Without the addition
of single dollar to the funds OF the
nation, with no new sources Of revenue
pouring into the Treasury, with no pro-
ceeds from bond issue and without
other means Of replenishing its dwind-
ling funds, the Treasury boosted net
balance of Si2S,063, 546.23.
Harvey S. Chase. of Boston, certi-
fed public accountant, has made an ex-
animation of the figures relating to the
daily Treasury statement for two dates,
the first, August 4, 1918, being under
the form originally designed by Mr..
McAdoo for The purpose, and the sec
ond, October 20, 1915, being under the
latest Il dare not say the LAST of the
Secretarys ingenious efforts to lift
himself by his financial bootstraps.
ION August 4. 1918, according to Mr..
Chase, the free available balance In
the Treasury Office and in banks was
S105,793 .571.44 On that dats Mr.. Chase
was at work in the Treasury, and the
form of daily statement from July l,
1918, until some time later than August
was prepared under his personal SUI
pervision. In the balance thus stated
neither subsidiary silver coin nor
silver bullion nor minor coin was in
cluded; whereas, in the statement OF
October %, 1915, those items are listed
in total sum of more than S30,000,O0O,
which sum, Mr.. Chase says, should be
deducted from the balance which Mr..
McAdoo said he had.
"Mr. Chase's conclusion is couched in
solemn words. 4 hereby certify he
writes, using his title of certified pub
lie accountant, that If the daily state
ment Of the United States Treasury
of October %. 1915. had been made up
on the same basis as that OF August 4,
1918. the available balance in the
Treasury would now be exhibited as
$3.517 0272l."