REPORT OF THE EXECUTIVE COMMITTEE. XXITI 



Earl}' in June, 1905, the Accountant of the Institution, W. W. Karr, 

 whose duties also embraced the handling of its revenues, was found to 

 ))e a defaulter. Instead of there being- a credit balance of $46,648.83 

 on June 30, 1904, as shown b}' the books of the accountant, there was 

 in fact a deficiency of $362.80. 



The subject of this deficiency is dealt with in detail in a special 

 report communicated l\v the Secretary to the executive committee, and 

 which the executive committee now submits to the Board of Regents 

 with its approval. It seems proper in this place to make a general 

 resume showing the items of the deficiency and in what manner it was 

 perpetrated. 



On July 13, 1891, a check was drawn for a semimonthly pa}' roll 

 amounting to $494.57. After the voucher for the pay roll had been 

 approved for this amount and the check corresponding to the voucher 

 had been signed, Karr raised this check from $494.57 to $5,494.57, 

 appropriating the difi^'erence, $5,000, to himself. This was the first 

 transgression which was ascertained. 



Between July, 1891, and May 31, 1905, there was i-eceived as income 

 by the Institution $1,146,051.32, and actually deposited in the Treasury 

 $1,087,184.19, leaving a difl'erence of $58,867.13, which should have 

 been to the credit of the Institution, but which represents the embez- 

 zlement b}' Karr from the receipts of the Institution proper. 



In addition to this, Karr embezzled from the Congressional appro- 

 priation for the U. S. National Museum for the fiscal year 1904-5 the 

 sum of $7,400, which amount has been repaid to the Government ])y 

 the bonding compan\' which had given bond to the Government for 

 his fidelity. In further addition thereto, Karr abstracted from funds 

 received ])y the Institution for the International Catalogue of Scien- 

 tific Literature, at London, $4,691.48.^' 



To recapitulate, the actual losses through Karr's embezzlements 

 were as follows: 



Moneys received for the Smithsonian Institution and converted to his 



• own purpose $58, 867. 18 



Money's embezzled by him on the raised cheek 5, 000. 00 



Moneys exn])ez7,led by him from funds for transmission to the Interna- 

 tional Cataloo;ue of Scientific Literature 4. 691. 48 



Total 68, 558. (it 



The executive committee in 1891, when these defalcations began, 

 consisted of James C. Welling, Henry Coppee, and Gen. M. C. ^Meigs. 



As the deficienc}', on June 30, 1904, was practically of only momentary 

 duration, having been inmiediately transformed into a balance b}' the 



«Mr. Karr was indicted and when arraigned pleaded guilty and was sentenced to 

 imprisonment for five years in the penitentiary at Moundsville, W. Va. 



