The weekly times-record. (Valley City, N.D.) 1912-1922, 1919-08-28
WANT STATE FUNDS
SAFEGUARDED

Bis1aarck, N. q, Aug! u. -"We
want the peoples funds safeguarded",
said Assistant Attorney General F.
E. Packard, before Judged. NJ. Han
ley of the now Sixth Judicial district
court today in a hearing in an appli-
cation for mandanus compelling the
State Workmen's Compensation Blu
reau to permit the inspection of their
books by State Auditor Kositzky. II
would cite the instance of one firm in
Grand Forks which was charged and
forced to pay $4,000 premium and it
was only through legal action that they
secured a refund, except $500 of the
amount
Packard, in addressing Judge Han,
ley, went into detail on the workings
Of the compensation bureau. He said
in part: 1T might appear that this
litigation grew out of a personal de-
sire on the part of the state auditor to
check this department for personal
and political spite. An understanding
of the various steps and incidents at
tendant to the launching and SUISSE
quent operation of the Compensation
Bureau will disabuse the mind of the
court Of any such impression.
1T seems inconceivable that honest
public officials would go to the length
that this Workmen's Compensation
Bureau has gone to evade an auditing
and checking of the expenditures and
funds. To begin with the Bureau com.
posed Of Commissioner of Agriculture
John N. Hagan, Larius Wehe and S.
S. Mcdonald declared that an appro-
priation from the general fund of the
state was trust fund and not sub
ject to check. Then they followed this
with the contention that they might
check out the trust fund money as one
checks out his private bank account.
The legislature appropriated $4,000
to provide money for the expense of
launching the bureau. This money
would have been checked out without
any official record if the state auditor
had not refused to transfer the fund.
Further he refused to pay bills except
by signed and audited voucher and
state warrant, the same as any other
state department.
Next the members Of the bureau
commended that the money received was
a private fund; that it could be placed
Z by them in bank and expenses check
ed out against it the same as your
Honor might check his private funds.
About 100000 is in the fund at the
present time, which the attorney gen.
erals department forcd the Bureau to
deposit with the state treasurer.
They have commended at all times
that their accounts, the compensation
fund, the original appropriation, and
the affairs Of their Office was of the
same nature as mans private affairs
and any attempt to audit their account
or control their funds was probing
into private business"
Packard continued:
s'They went outside Of the state al
& an enormous expense Of over 81 ,SOC
per month, and hired an actuary
Their monthly budget expense il
among the largest in the entire state
government, and yet they expect The
moneys raised for public purpose
under the sovereign police powers Of
the state to remain in tn personal Gus
4 tody Of public official without audit
or check. Such policy would be al
invitation to disaster and embezzle
ment.
'sNot only has the Worknen's Com
pensation Bureau attempted to maxi
private closed corporation Of it a
concerns their. finances, but they hav
attempted to prevent even the AttOr
ney Generals Office from discovering
their schedule Of assessments an,
their classification Of employments
It was only after threats OF manda
mus that this schedule Of assessment
which should be public property with
out question, was revealed to the at
torney generals department.
aAs q. result the Bureau has com
planned that II does not receive cour
teous treatment from the Attome