The Columbus dispatch. (Columbus, Miss.) 19??-1922, 1920-09-12
SHIFTING FUNDS 4
GETSA.&M. IN BAD
DEFICIT OF Sl5O,OOO IN BIG
COLLEGES ACCOUNTS
CHARGED. 81
VERNON ACTS
Russell Charges Officials With
Negilgenee-Funds Of Insti-
tuition Diverted From One
Account To Another. {


Jackson, Miss, Sept. s.-Gov. Lee
NJ. Russell today issued a statement
concerning the affairs Of the Missis-
sippi Agricultural and Mechanical
College and authorized publication Of
synopsis of the audit being made by
II. II. Cleayer and letter from DIR.
d. c. Hull, president Of the institu-
tion.
The governors statement, with the
accompanying correspondence, is the
first concrete information which has
been given to the public touching the
financial affairs Of the institution. DR..
Hull's letter discloses some loose
methods in handling appropriations
for the college and the auditors ten
tative report shows the finances Of
the school to be in bad way.
SO far there has been no charge Of
fraudulent appropriation Of. funds, but
the new officials of the college, as
well as the governor, claim that funds
were used to meet expenses other
than those for which they were ap-
propriated by the Legislature. This
practice, it is alleged, has caused
deficit in several Of the departments.
This deficit, according to the infor-
nation made public yesterday by the
governor, totals approximately $780,
900.
The Governors Statement.
Gov. Russells statement, handed to
The Commercial Appeal yesterday, is
as follows.
ITO the People Of Mississippi:
II have just had an audit made Of
the books Of the A. and M. College
and beg leave to submit herewith a
short report by the auditor and also
a statement from DIR. D. C. Hull, bas-
ed upon the facts and figures obtain
cd from this audit.
"While | have no desire to criticise
any person unjustly, my sense of duty
and responsibility forces me to state
to the public that the management of
the affairs of this institution show
the grossest negligence | have ever
observed in my entire life. There was
no such thing as system used in
keeping the accounts. Specific funds
appropriated by the Legislature were
transferred in open and fragrant vio-
lation Of the law, and it is astound-
ing to realize that public officials will
SO far neglect their duty as to allow
this sort Of thing.
"Prof. w. H. Smith and DIR. B. NJ.
Walker were both called before the
board Of trustees in the presence Of
the auditor and each stated that he
knew nothing about the thousands of
dollars that the college was owing.
President Smith did admit that he had
been advised that the power house
fund had been short, but he knew
nothing whatsoever about the others.
W. B. Powell, the secretary, was dis
placed as soon as the auditor found
these discrepancies.
"lt will be remembered that o. F.
Lawrence of Grenada has been the
secretary and auditor for the past six
years, prior to the selection of Capt.
A. B. Schauber. When Capt. Schau-
Der was selected by the board Of
trustees as secretary and auditor he
found this lack of system in the
bookkeeping and accounting and so
reported to me, and Immediately set
about to determine the real facts,
which could not be done without the
aid of an expert accountant, and
hence my appointment Of Mr.. Cleaver.
The people of the state will be as
founded at this information, but it
is my duty to give it to them as the
figures show beyond any question.
The auditor advises me that he will
file his audit in few days, and when
filed the same viii be open to the
inspection of those responsible for
this state Of affairs and the public
at large. Mr.. Lawrence will be called
before the board as the others above
named have been and requested to
give an account of his stewardship
and official conduct in connection with
this muddled state Of affairs.
Respectfully submitted,
"LEE NJ. RUSSELL.