Evening Republican, Volume 14, Number 50, Rensselaer, Jasper County, 28 February 1910 — FIELD EXAMINERS REPORT FRED KARCH HAS SHORTAGE. [ARTICLE]

FIELD EXAMINERS REPORT FRED KARCH HAS SHORTAGE.

Investigation of 1 Walker Township Trustee’s Books Show Apparent Discrepancels In Accounts.

Fred Karch.. trustee of Walker township, this county, is alleged to be short $78189 by Field Examiners W. S. Salmon and J. G. Davis, who have been examining the books and ac counts of the township trustees of Jasper county under the direction of the state accounting board. It has been known for some time that the examiners have been giving considerable attention to the affairs of this trustee, who has been called before the board on several occasions. The examiners filed their report with the state accounting board last Friday and the copy sent to the state headquarters has been made public, but the examiners do not feel themselves at liberty to show the report they have on hand.

The examiners state that Karch’s accounts 'are “peculiar to say the least” and point out a number of things that look irregular whether they prove serious or not. The most important of these is an apparent shortage of $781.89, which is the amount that Karch shows on his books and in his report more’ than he has depositee in the bank.

This shortage they allage is due to the trustee having drawn money from the bank for himself on various occasions and for which vouchers are not produced. Probably . Karch should have a credit against this shortage of S3OO, the amount of his service account for 1909 and for which no voucher was found with which he might be credited.

The report says that there is no evidence d extravagance in the ennduct of the business of the trustee but some of the methods are regarded as doubtful and several apparent irregularities are pointed out. The report says that in his annual financial statement of receipts and disbursements made at the close of business Dec. 31, 1907, he showed a cash balance on hand in the Bank of Wheatfield ’of $3,181.99, whereas he had no balance, but instead had an overdraft of $149.55. Shortly after the report was made out and approved by his advisory board, however, he deposited $3,225. Apparently Mr. Karch had drawn his December money from the county auditor and charged himself with it in his report, but had not placed the money in the bank until after the report was made. In another case, Karch had drawn a warrant for SSO in favor of H. J. Heinrichs, a member of the board of advisers, for bridge lumber and the voucher which had originally been made out for SSO had been raised to $l5O. Karch claims that this was raised because after he had paid Heinrichs the SSO, he met him on the road one day and paid him another SIOO and then raised the voucher, to make his receipts right. Another thing that is said to be “peculiar" is the fact that Mr. Karch destroyed or misplaced his stub books and can produce the vouchers for all expenditures except for the money he himself has drawn.. And another thing is that the contract with h‘S daughter Minnie as school teacher, has been torn out of his contract book. The examiners wanted to examine this contract to see if the amount of money paid her was the amotfht called sci in the contract. Another thing mentioned in the report is that warrants had been drawn by Mr. March’s son, who signed thqjn as assistant trustee. Mr. Karch says that the son drew these with his knowledge and consent, simply .acting as his clerk.

Mr. Karch admits drawing vouchers for himself but was not of the opinion that- he had drawn in excess of what was coming to him for salary. He will make good the discrepancy, which after he gets his service credit ol 1300 will be 0nif1481.89. The examiners have gone back six years in their search in each township and have found no other trustee delinquent. It was found that a few trustees who had lost money in the McCoy bank had made it up by drawing warrants for themselves. It seems that this settlement was practically agreed to by taxpayers and while not altogether “regular,” as long as the taxpayers made no complaint the.field