(On account of Unprovided Claims.)

11. Claims of individuals for all transactions or services rendered, (in connection with the Treasury,) and "not otherwise provided for," received by the Secretary of the Treasury, and referred by him to the First Auditor for settlement.

(On account of the Corporations of the District of Columbia.)

12. Claims for interest of loan negotiated for the relief of the three Corporations of Georgetown, Washington, and Alexandria, and assumed by the United States.

(On Military Account.)

13. Claims of soldiers for their unsettled accounts against the War Department subsequent to 1790, and anterior to the 1st July, 1815, for their pay for services in the army, and for enlisting bounty or extra pay within that period, as per settlement of the Third Auditor, and referred to the First Auditor for secondary settlement, in pursuance of law.

14. Claims of officers, mounted militiamen, rangers, or cavalry, who may have sustained damage by loss of a horse in the military service of the United States, since the 18th June, 1812, as per settlement of the Third Auditor, and referred to the First Auditor for secondary settlement, in pursuance of the 1st section of the act 18th January, 1837.

15. Claims of persons who, in said military service, as volunteers or drafted militiamen, shall have furnished themselves with arms and accoutrements, and shall have lost the same without fault of their own-as per settlement of the Third Auditor, and referred to the First Auditor for secondary settlement, in pursuance of the 2d section of the aforesaid act.

16. Claims of any persons, who, in said military service, shall have sustained loss by capture or destruction by an enemy, of any horse, mule, ox, cart, boat, sleigh, or harness, as per settlement of the Third Auditor, and referred to the First Auditor for secondary settlement, in pursuance of the 3d, 6th, and 7th sections of the aforesaid act.

17. Claims (under the treaty of cession of Florida of 1819) for losses sustained by certain inhabitants of East Florida from the operations of the American troops in 1812, '13, '18, and '19, as per the examination and report of the Judge of the district to the Secretary of the Treasury, and referred by the Secretary to the First Auditor for settlement, in pursuance of the act of the 26th June, 1834.

(C)-REPORTS.

IX. The First Aditor makes Reports connected with the settlements of Accounts, Estimates for his of, &c., viz:

1. A separate to the First Comptroller for his decision thereon, of each settled account, consisting of an official statement of the account and balance, with his certificate of the same, accompanied with the vouchers.

2. An annual report to the Secretary of the Treasury of the number of clerks in the Auditor's office, the time they are employed, whether usefully employed, and the compensation paid to each.

3. An annual report to the Register of the Treasury of estimates for the salaries and contingent expenses of the Auditor's office during the next fiscal year.

4. Biennial report to the Register of the Treasury, giving a list of the persons employed in his office during the preceding two years, their place of birth, residence, and compensation, &c., for insertion in the Biennial Register compiled for the Department of State.

(D)-BOOKS KEPT IN THE FIRST AUDITOR'S OFFICE.

I. The Records of the matters in detail, connected with the revenue receipts and expenditures of the Customs, and the appropriations and expenditures for the Civil Department, the accounts of which are chiefly settled by the First Auditor, being kept in the office of the Register of the Treasury, there are but few books kept by the First Auditor, which are as follows, viz:

1. REPORT BOOK. This book contains a record of the reports made by the First Auditor to the First Comp

troller, of all accounts adjusted in his office for the revision and decision of the Comptroller, with an alphabetical index to the accounts.

2. RECORD OF LETTERS TO COLLECTORS. by the First Auditor, in relation to their 3. RECORD OF MISCELLANEOUS LETTERS. This book contains a record of all letters addressed to persons, other than collectors, in relation to accounts and claims received for adjustment; together with incidental letters (or reports) to the Secretary of the Treasury, the First Comptroller, and to Committees of Congress, &c., on official duties, by special call or otherwise, with an index. (Letters received are filed, but no registry of them is kept, as in other bureaus !!!)

This book contains a record of all letters addressed to collectors accounts, with an alphabetical index to the same.

CHAPTER VII.

SECOND AUDITOR OF THE TREASURY.

THE ORIGIN, FUNCTIONS, AND OPERATIONS, OF THE SECOND AUDITOR'S OFFICE.

Summary of the laws relative thereto.

The act of the 3d of March, 1817, "providing for the prompt settlement of Public Accounts," after abolishing certain offices and establishing others, as already mentioned in the commencement of several preceding chapters, defines the duties of the Second Auditor, in the 4th, 5th, 6th, 11th, and 12th sections, thus: "It shall be the duty of the Second Auditor to receive all accounts relative to the pay and clothing of the army, the subsistence of officers, bounties and premiums, military and hospital stores, and the contingent expenses of the War Department-he shall examine said accounts, certify the balances, and transmit the accounts, with the vouchers and certificate, to the Second Comptroller for his decision thereon:" and "he shall keep all accounts of the receipts and expenditures of the public money, [appropriated in reference to those objects,] and of all debts due to the United States on money advanced relative to said objects:" and "he shall receive from the Second Comptroller the accounts which shall have been finally adjusted, and preserve such accounts, with their vouchers and certificates:" and "he shall record all warrants drawn by the Secretary of War for the objects whereof he audits the accounts of expenditure:" and "it shall be his duty to make such REPORTS on the business assigned to him, as the Secretary of War nay deem necessary, and require, for the service of the Department." "And the said Auditor shall, annually, on the first Monday in November, REPORT, to the Secretary of the Treasury, the application of the money appropriated for the objects aforesaid, for the preceding year; which shall be laid before Congress, by the Secretary, with his annual statement of the public expenditures." "And the provision contained in the 2d section of the act of the 3d of March, 1797, 'to provide more effectually for the settlement of accounts between the United States and receivers of public money,' which directs that 'in every case where suits have been, or shall be instituted, a transcript from the books and proceedings of the Treasury, certified by the Register, shall be admitted as evidence,' shall be extended, in regard to the accounts of the War and Navy Departments, to the Auditors respectively [including the Second Auditor] charged with the examination of those accounts; and that certificates signed by them, shall be of the same effect as that directed to be signed by the Register. "And the Auditors of public accounts [including the Second Auditor] shall be empowered to administer oaths or affirmations to witnesses, in any case in which they may deem it necessary for the due examination of the accounts with which they shall be charged."

And, in execution of the 1st section of the act of the 16th April, 1816, "making further provision for the military service during the late war," according to the forms of evidence to be prescribed by the Secretary of War, in relation to the claims of the representatives of deceased officers and soldiers engaged in that service, for such balances or arrears of HALF PAY PENSIONS and other CLAIMS, as the deceased would have been entitled to receive at the time of his death, the Second Auditor was charged, by the order of the Secretary of War of the 28th May, 1816, with the settlement of those "half pay pensions, and other claims of deceased officers and soldiers."

Also, by the 1st and 2d sections of the act of the 24th February, 1819, supplementary to the aforesaid act, it is further required of the Second Auditor "to receive all unsettled accounts arising out of Indian Affairs, with the exception of those appertaining to INDIAN TRADE, and examine the same, certify the balances, and transmit the accounts, with the vouchers and certificates, [called reports in the respective Auditors' offices,] to the Second Comptroller for his decision thereon; provided, that if, in the opinion of the President, the public interest and convenience would be promoted by assigning all or any part of the said accounts to the Third Auditor, he shall be authorized to make such assignment. And it shall be the duty of the Auditor charged with the examination of the said accounts, to keep all accounts of the receipts and expenditures of the public money in regard to them; to receive from the Second Comptroller the accounts which shall have been finally adjusted, and to preserve such accounts with the vouchers and certificates: and it shall be the duty of the said Auditor to make such reports on the business hereby assigned to him, as the Secretary of War may deem necessary and require, from time to time, for the service of the War Department." [And, by neccessary induction, though not here so expressed, the said Auditor might be considered as authorized to make a like annual report to the Secretary of the Treasury, of the application of the money appropriated for these objects, as is required of him under the like circumstances,

by the aforesaid act of 1817; but, under the act of the 30th of June, 1834, "to organize the Indian Department," the Auditor of the Indian accounts is required to report the application of the appropriations therefor, direct to Congress annually; nevertheless, it happens, that, whilst the Second Auditor makes this annual report to Congress, instead of being required to make it to the Secretary of the Treasury, for the same purpose of being laid before Congress as in the other case, the other report is not actually made by the several Auditors to the Secretary of the Treasury, to be laid before Congress, as required by the act of 1817; because the Register of the Treasury has it in his power, and actually does make out, from the books of the Treasury kept in his office, all the information for Congress on all these and other expenditures, for the Secretary's annual report of the "Accounts of the Receipts and Expenditures of the United States," in conformity with the requirement of the House resolution of 30th December, 1791-which, being sufficient to dispense with the other reports of the Auditors to the Secretary of the Treasury, might also dispense with this report of the Second Auditor to Congress-but this is not the only instance, by a great many, in which the same information is communicated to Congress, in different reports made under various calls.]

By the authority of the 3d section of the act of the 7th May, 1822, further to amend the several acts relative to the Treasury, War, and Navy Departments, the "Second Auditor [as already stated in the summary and classification of functions of the Second Comptroller's office] 'registers' in his office, all the 'requisitions' of the Secretary of War on the Secretary of the Treasury, for those appropriations for the use of the War Department, of which the accounts of expenditure are audited and adjusted and certified by him, to the Second Comptroller."

Summary and Classification of Functions.

The summary of the duties and operations of the Second Auditor's office cannot be more appropriately made, than in the words of his letter to the Secretary of the Treasury of the 17th November, 1841. He says: "Pursuant to the provisions of the acts and the order referred to, it became the duty of the Second Auditor to receive, examine, and adjust all accounts relative to the pay and clothing of the army, subsistence of officers and forage, expenditures in the recruiting service, medical and hospital stores, and the contingent expenses of the War Department, the accounts of the ordnance department, and those arising under the several acts for arming and equipping the militia, the claims for balances of half-pay pensions, the pay and allowances to the militia and volunteers when called into the service of the United States, and all accounts relating to Indian affairs.

"Of the above accounts, those for the pay, subsistence, and forage of officers, the allowance for servants, the pay, extra pay, and retained pay, and clothing of the non-commissioned officers and privates of the army, and the pay and allowances of the militia and volunteers in the service, as embraced in the accounts of the several paymasters of the army, are transmitted to this office through the paymaster general.

"The expenditures relating to Indian Affairs are communicated to this office, through the Commissioner of Indian Affairs, in the accounts of the several superintendents, Indian agents, and sub-agents.

"The returns of clothing and camp and garrison equipage of the army, are received through the Quartermaster General of the army; and accounts for expenditures in the Ordnance' and 'Medical' departments, are sent through the chiefs of those bureaus.

"The accounts of officers employed in the recruiting service, all claims in behalf of the representatives of deceased officers, and deceased or discharged soldiers of the army, of discharged or deceased officers and privates of the militia or volunteers, and those for balances of half pay pensions, are received direct from the individuals.

"The accounts of the several paymasters, received from the Paymaster General, are presented in the form of an abstract, embracing all payments made since the last settlement, accompanied by proper vouchers, consisting of the pay accounts of the officers of the army, the muster and receipt rolls of the various companies of troops paid, the accounts of discharged soldiers, and the certificates issued from this office, and made payable by the paymaster; and an account current in which the paymaster charges himself with all moneys received from the government or from individuals since his last settlement; and takes a credit for his expenditures, on the abstract, and for such sums as he may have advanced or paid over to other officers of the pay department, whose receipts are filed with the account current.

"In the examination of such an account, the vouchers are critically compared with the laws and numerous regulations prescribed for the government of such expenditures, deducting therefrom all errors of calculation, and payments made in violation of law or regulation, and noting on the abstract the deductions thus made. The amount of the abstract, thus corrected, is then credited to the paymaster on an official account current, on which he, at the same time, receives credit for any sums he may have paid over to any other paymaster, by charging the amount to that officer; and, also, for any payments that may have been made to any officer of the army, on his certificate, but which may not appear to have been consistent with existing regulations;-such payments are charged to the officer, who is thereupon called on to refund (or repay) the amount to the paymaster from whom he may receive the next payment. In the same official account current the paymaster is charged with the balance, if any, arising on the previous settlement, and with all advances made, or sums paid to him since that

time; thereby showing the balance due, under the several appropriations, to be taken up on the succeeding settlement of his account. [Any copy of an official account current reported to the Second Comptroller, with the vouchers of the disbursing agent or paymaster, will show the state of his account after examination in this office.]

"The examination being completed, the payments to officers are then entered in a register, kept for the purpose of checking duplicate payments; showing the date and period of payment, the amount, the paymaster by whom paid, and the date of the settlement in which the payment is recorded. In like manner the names of deceased soldiers are extracted from the various muster rolls comprised in the account, and entered alphabetically in another register, showing the name of the paymaster from whose account they are taken, the company and regiment to which they belonged, and the dates of last payment and death. This register is kept to aid the settlement of the claims of the representatives of dead soldiers, the payment of which by paymasters, is prohibited by regulation, until they have been adjusted and certified by the accounting officers of the Treasury, as explained hereafter.

"The account thus prepared, is then, after revision, certified by the Auditor, which, [certificate,] with the official statement and the abstract and vouchers, is transmitted to the Second Comptroller of the Treasury for his decision thereon; if approved, it is admitted and certified by his signature at the bottom of the Auditor's certificate.

"The account being returned to this office, with the confirmation of the Comptroller, a letter is addressed to the officer by the Auditor apprising him of the settlement of his account, and of the balance arising thereon, and transmitting a statement [called a reconciling statement] accounting for the difference between the official balance and that stated in his account current, and showing, in detail, the deductions or disallowances arising on the settlement, and accompanied by the rejected vouchers, if any, with the reasons for rejection noted thereon. A duplicate of this [reconciling] statement is filed [in this office] with the settlement.

6

"The PROPERTY ACCOUNTS of the army are presented in returns prepared in conformity with the appropriate forms prescribed in the General Regulations of the Army,' showing, in separate columns, the several descriptions of property in charge of the officer, when, and from whom received, and the portions of said property transferred to other officers, when, and to whom transferred, the quantity applied to the public service, and the balance of property remaining on hand, to be charged in his next return.

"In the examination and adjustment of these accounts, care is taken to charge each officer with the several articles of property specified in his receipt transmitted to the department by the officer who makes the transfer.

"The settlement of the accounts received from the Commissioner of INDIAN AFFAIRS is similar to that above described. Accounts are presented from commissioners for holding treaties with Indian tribes, superintendents of Indian affairs, Indian agents, and sub-agents, in the form of several abstracts, accompanied with proper vouchers, viz: of the expenses of holding treaties-of provisions purchased for issue to Indians at the payment of annuitiesof goods purchased with annuities for Indians and by their request-of merchandise purchased in pursuance of treaty stipulations of presents for Indians, consisting of domestic animals, implements of husbandry, and goods suitable for Indians, with an abstract of the issue or delivery of the same to the Indians-of the amount paid for annuities to the Indians, either in money or goods, or pay of blacksmiths, &c., with a receipt roll of the Indians entitled to receive the same, certified by the agent and interpreter, and the military officer or other person appointed to be present at the payment. Together with the above abstracts, are transmitted proper ACCOUNTS CURRENT, showing the money received, for what object, when, and from whom.

"In connection with the above, there are also forwarded to this office, PROPERTY RETURNS; one, exhibiting, under separate heads, articles procured for delivery to Indians under treaty stipulations; the other, showing all other descriptions of property in the keeping of superintendents, agents, and sub-agents, such as agency houses and other buildings occupied by persons in the public employment, with their furniture, Indian school-houses, farms, farming utensils and stock, blacksmiths' and other mechanics' shops.

"The above abstracts of expenditures must be accompanied by regular invoices and receipts, which are subjected to a rigid scrutiny, as to their conformity with existing regulations, violations of which are noted thereon, and the amounts of such [any] informal payments, together with all errors of calculation, are deducted from the abstract, and the remainder passed to the credit of the disbursing officer on a statement, [official,] which, with the official certificate, and the abstracts, accounts current, and vouchers, are transmitted for the decision of the Second Comptroller, as in the case of the accounts of paymasters of the army; and, when confirmed and returned to this office, the result of the settlement is, in like manner, communicated to the officer or agent, with a [reconciling] statement, (as in other cases,) showing and explaining the difference between the official balance, and that stated in his account current.

"After this settlement of his account for the expenditure, the officer is nevertheless held accountable for the property, until he shows by sufficient vouchers, that he has transferred it, by order, to the care of some other officer entitled to take charge of it, or has applied it to the public service.