Evening star., 1923-04-15
DENNY TO DEMAND
RULING AS TO Who
RUNS DEPARTMENT
Will Call for Showdown After
Clash of Authority With
Controller.
TOLD FISCAL OFFICERS
ORDERS MUST PREVAIL
McCarl Insists Secretary Has No
Right to Cancel Accounting
Office Mandates.

j. j.. McCarl of Nebraska. who two
years ago unostentatiouSly took ur
the duties of the newly created office
of controller general of the United
States, yesterday laid down the law
to Secretary DENLY in support of his
claim that even cabinet officers must
bow before the authority of his office
in fiscal affairs.
At the same time Secretary DENLY
prepared to take to the Attorney Cen
cral for an opinion the question OF
how far the authority of the con
troller general legally extends into
the administrative workings of the
Navy Department. Many Navy Off
GERS and enlisted men have complain
ed, Navy Department officers said
that Mr.. McCarl had. in effect, over
ruled formal naval orders.
Warning in Letter.
Mr.. McCarIs action, constituting q
warning to all government depart
ments that he intends to force strict
compliance with the law in the ex-
penditure of public money. became
known through a letter he addressed
to the Navy Secretary, ia which he
asserted that SO long as he ruled or
matters within his jurisdiction, his
authority, under the law, could be
questioned by no official of the ex-
ecutive branch of the government
Provisions of the budget act. in which
the office of controller general was
created, say specifically that he, as
head of the general accounting office,
may exercise his powers without dl
rection from any other officer"
The controversy over Mr.. McCarrs au-
thority came to a head through a
protest by Secretary DENLY against
the controllers ruling in a minor
case involving the overpayment of an
enlisted man. Mr.. McCarl instructed
the Navy Department disbursing Of
ficer to get the money back. Secre-
tary DENLY opposed the action as "in-
reference" within his department and
Mr.. McCari sent a letter along which
informed the Navy Secretary, in part
as follows:
To Force Showdown.
There was no authority in such
administrative powers as are given
the head of the Navy Department to
issue an order annulIing a request of
this Office to protect the fiscal affairs
ieopardize such recovery (of govern
ment money! as the action appears to
have been in this case"
Mr.. Denby's objection to activities of
the controller general was not his
first nor the first that had reached the
general accounting Office from other
departments of the government, and,
partment, he appeared yesterday to
be ready to force a showdown.
Informed of the reported intention
of the Navy chief, Mr.. McCarl de-
clared he had no thought of abandon
ing his position.
II conceive it to be the duty of
every administrative officer" the
controller general wrote Mr.. DENLY,
ito facilitate action to protect the in
terests of the United States when
matters arise involving erroneous or
even doubtful payments. -
Would Give Orders Direct
This office must perform the du-
ties imposed upon it by law and will
undertake promptly to recover back
overpayments made by disbursing of
fcers of the Navy Department or any
other branch of the government in
such manner as will best conserve
the interests of the United States. 1t
must take such action in the ac-
counts involved as the facts present
ed may require
Mr.. McCarl also informed Mr. Den
assistance the controllers office
hereafter would send instructions to
the Secretary of the Navy. rather
than to the persons directly involved
The Secretary. il was explained
could then issue the instructions as
formal orders. 1t was pointed out
however. that the officer issuing or.
ders, either in the War or Navy De-
partment, could by law be held
: strictly responsible for them, and to
that extent the suggestion If carried
out might serve to narrow the con-
troversy to the two government off
eers.
Responsible Only to Congress-.
Whether an open war" will con-
tinuc between the two seemed unlike.
~, although MIR. McCarls determina-
tion to stand his ground did not
promise an early compromise. The
law provides that the controllers
fifteen-year appointment is subject to
termination only by Congressional
action, and Mr.. McCarrs supporters
referred last night to reports by Con-
gressional committees which handled
the budget measure which say, In
substance, that Congress desired that
1t alone should control the pulse beat
Of federal expenditure and, therefore
the controller general was made re-
sponsible to Congress alone.
Secretary Fall, prior to his retire
ment as Interior Department head
encountered the positive stand of the
controller general on several occa-
sions it was recalled, and half a
dozen instances where his decisions
had caused a furor among Army
officers were mentioned. None OF
those cases, however, developed into
controversies of the character of that
between Mr.. DENLY and Mr.. McCarl
and the disposition last night ap-
peared to be to let the issue be
Avr~