The Athena press. [volume] (Athena, Umatilla County, Or.) 18??-1942, 1922-05-12
AUDITING OF BOOKS
SHOWS UP MANAGER
OF GRAIN COMPANY.
CT. Smith Misappropriates Sums
Aggregating $1,732.72, As
Disclosed In Report.

An accountant employed by tne
Farmers Grain Elevator Co.. Of this
city, to audit the books and accounts
of C. F. Smith, local manager for the
company found that Smith appropri-
ated the sum Of $1150 received by
him from the shipment of carload
of bulk wheat consigned to the Pas
co Grain & Milling Co.. at Pasco,
Wash, last February. AS the follow
ing, from Accountant Witherells re-
port shows, Smith had manipulated
other shipments. prior to the one he
made to Pasco. ard appropriated the
receipts:
"Dec. 16, 1921-Draft drawn on
Northern Grain 4 Warehouse Co.,
payable to Farmers Grain Elevator Go
Wheat shipped in car No. 1561622,
SO sacks. $92.O8."
"Sept.12 1921-Draft drawn on Pa
cifc Coast Elevator Co.. payable the
Farmers Grain Elevator Co., wheat
shipped in car No. 277O2. 10000 lbs,
$4,000.
dec. 20, 1921-Draft drawn on Pa
cifc Coast Elevator Co.. payable to
Farmers Grain Elevator Co.. wheat
shipped in car No. 35609, $98.64.
"Jan. 7,1922-Draft drawn on Nor
rison Grain o..payable to Farmers
Grain Elevator Co., wheat shipped
in car No. 43123. 100 sacks, ,$211.93.
"The endorsement onthe above drafts
is as follows: "The Farmers Grain
Elevator Co., BY C. F. Smith. Mgr"
Same were deposited to the credit of
C. F. Smith in the Broadway National
Bank, Portland, Oregon.
"Feb. "a, 1922-Draft drawn on Pas
co Grain and Elevator Co., payable
to C. F. Smith, wheat shipped in car
No. 23453, 65,7SO lbs, $1.15O.7O, -
"Note-This draft was deposited to
the credit Of c. F. Smith in the First
National Bank of Portland, Oregon"
The. above amounts aggregate the
total of $1.732.72.
Interviewed by the Press. Mr.. H.
A. Barrett, one of the directors of
the Grain Elevator company, said
that Smith from the very beginning
of his employment as manager of the
: company, last July, began a system
attic undcrweighing Of bulk loads of
grain, and that drivers complained of
this from the very start. According
to Mr.. Barrett. this holding out on
weights had been known to him for
some time. but there was no way to
apprehend Smith until such time as
he shipped out the surplus which the
short weights had given him.
When the expert came to audit the
firms books and accounts, he Sec
ured check on all cars shipped out
by Smith from the railroad agents
in Athena. and of course the Pasco
shipment showed up. along with two
other carloads of grain, one loaded
out for Archie Mcintyre and one for
Louie Ringle.
Mr.. Barrett says that the inves-
tigation at Pasco developed that
Smith worked the returns from the
shipments so that he was enabled to
deposit the proceeds from the one
particular carload of grain to his
credit.
Faced with this evidence. Smith
confessed that he had deposited the
money in the First National bank Of
Portland to his credit, using GUS
toner's draft on the Athena State
bank of Athena for the purpose.
Smith has turned over to the dir
ectors of the company, $100 on de-
posit in Athena banks. liberty bonds
of $3.50, $1150 he had on deposit in
Portland, and an automobile, valued
at $500 in the opinion of Mr.. Barrett
TO Mr.. Barrett. Smith stated that
he thought that as he was under s250C
bonds to protect the company against
shortage, he had the right to pro.
tect himself. also Smith was receiv-
ing $500 per year salary from the
company.
There are accounts. receivable ap
parently approximating $24o0, ant
these are beng audited by Account
ant Witherell, and until checked
over, it will not be known just wha'
amount the eompany's loss will be
Mr.. Barrett said that his compan,
will make restitution to its custom
ers for the loss resulting from shOrt
weights made by Smith If he can b
made to divulge the amount he tool