Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1920-11-18
SAD NESS OF
ACCOUNTING
SHIP BOARD
Main Cause Graft and
Waste IN Corporation
Transactions
Special Assistant 70 Former Char
man Payne Gives Series Starting
Facts 70 Support Claim Figures
ouoten Han irto 5aIlscns-Mo Tar
aipie Record Deals involving -ase
SQrss

Wv ye.A Kew. "a st=..=s of
port whaI liz. DECLARED 1a be -'coTn-
pee. ..tk Of adequate accounting
.,E-ste,s- u the -andl.ng 81 government
4u-lsi- was :,ant.e 5ere today sv Martin
= ts4le-. witness before the Walsh
congressman committed }nvas1l eating
l4l- AFFAIRS oil t4le United states ship
ping fsaarl 4zl9en was a special as
s5slz4at ID auraci. Chairman .Jaf-- Fa--
an PAY Dc
TIE n4frlt q Fa''esl denE--ei at f5as'ai ~
was JT'ouEh< iHga lAe record when
Gi.}en said ne rad informed Senator
Harding tina = WAS tire 1IIY OF Gau-
grass 20 sac t1s- only aig yr-ta. q a-Ale
Of handling affairs entrusted 10 them.
be a1peInIH- ts al department He
sR1d appointments should De ear-
tirrned by the SENATE only when : Is
determined thai the men named ara
81 sIHl1ic and sf=iclenL -.
II has been conceded. ne said.
tina. tut few rn.n connected with the
I9rnerg=ncv Fleet Corporation had an
rlEfes-4 ka11G%4AS1A--s 60 4sAG844tdA--tS dA-Ai
80 also SAID that Il was due 70 a eeIsl-
plele breakdown Of JEe accounting
sEysra4n that lie bonr6 had It's man
-rguialtss
Figures used TO-DAY by the witness
ran i1ta aiIiSuTs Of dollars re teStl-
led silat one az the first ac-s OF Chair
raan Iavne when he discovered the
efsnIfzTiun ,f affairs was ID En Ia the
SECRETARY or the TREASURY and secure
fraga h5n the services Of Alun3D
rzve@aale. w-tlrsu he made treasurer Of
he beard This was done about An
gasr 1913 and, ne testified. that
among orner conditions disclosed by
ne new treasurer were t1e following
There was ma balance sheet showing
wlaElz runus the buGrd possessed or IN
wf,slt RANKS IT, funds were deposited.
There was M record m Inc hands
1sf the ou1-a Ct securities wal asei a.
more than $1ah.eon. poe whsch the
boa.d held TIE securities. ne ADDED,
were found IN the vaults of trust
company n Philadelphia. whera they
had been piaced fur sale keeping
There was "a record showing N de-
tai hpw S2.5g,0. 200 non had aoesn ex-
pended I'D 70 that time
There WIS no REGARD Of account
ing with operators Of shipping board
vessels nor any way u determining
how much money belonging - the
government they had in their posses
sion
Prior to NJ Tweeziale- he SAID the
treasurer OF tire BnArd WIS only an
issuer Of checks. sfItinaes without
supporting claim vouchers
On November l. TINS yaa-. the wiz
ness said Of rfle sum IF So sea aii0. 900
expended there had been submitted 70
The treasurer vouchers to cover only
80 700 f,na- aef Vouchers representing
disbursements Of ssee, Gao. og6 mad been
excepted to- ny the Treasurer because
Of lack Of sufficient supporting dRta
and there was vet n De presented
vouchers amounting II S--ltlH. Btln. hae
In summing Up. GlI3en said the ship
ninE BOARD mas gone our and obtained
the best possible men u handle its
ship construction and rs operating
divisions but il had sailed 70 gg- d
man liz enough n establish and carry
au- q depart -nen1 of etficisnt account
1nE.