MR CHURCH RESIGNS THE AUDITORSHIP.

North Otago Times, Volume XXXI, Issue 6139, 27 August 1886, Page 3

MR CHURCH RESIGNS THE AUDITORSHIP.

Mr Church wrote reigning hia position M one of the Borough auditors, and in doing so gars the following reasons :

I hava the honor ' to inform you that although duly elected to be one of the auditor* for the current year, I shall not nndertake the duties appertaining to the office, and respectfully tender my reaignatlono for the following reasons :

Because — 1, The Borough Council, on seeing cause to be dissatisfied with the annual bslf>noe-sheet, statement!, and the certificate cf the auditors, did not exercise its rights under Clause 96 of the Corporation* Act, 1576, and call upon the auditors to make a farther audit, «o n to remedy any of the defects comp'ained of; but, on the contrary, did indirectly censure the auditors by employing a stranger to examine the books and accounts of the Borough; 2, Ihe Birough Council, at the audit meeting! provided for In the Corporations Act, did not comply with the conditions of Clause 133, but did on the contrary expreai, by the signature of the Mayor io the balance-sheer, and its subsequent publication that it "deemed it to be the true accounta of the Borough for all purposes." nnd that it could nob be traversed by any one, except on a petition for a special audit, •Igned by one-fourth of the burgeßaea (vide Clause 135) ; thereby making all their futnre actions illegal, and in contravention of the provisions of the Corporations Act anent the auditing of the books and accounts of the Borough.

3. The Borough Council has shewn g/eat and marked dU courtesy to the elected auditors, by not giving them »n opportunity of indicating how *nd where neceseary improvemrnts conld have been effected In the mode of keeping the books and account? of the Borough.

4. The Borough Council, before offering ■noh an opportunity to ihoso entitled to it, did without investigation, and on the ipse dixit of one of the councillors, employ at great unnecessary expense a stranger to perform work which I, as one of tho late auditor*, wai equally competent to execute, and would have bee a quite willing to do<

5, The Bororgh Council has, by iihplioa* tion, censured the auditors for the manner in which they had pet farmed their work, thereby infringing its statutory rights, and seriously damaging their reputation as accountants.

6. Tho Borough Council has accepted the statement a of the Bt ranter it employed, without offering the lato suditora a chi*tioe of traversing his exparte conclusions.

7. The Borough Council hsa, in accepting the roport af thia presumedly infallible censor, aßsuned that the auditors should dictate what books theborcugh should keep, and shoMr in detail how BPch books should be kept— duties that are nowhere in the Corporations Act set forth as incumbent on these officers.

8. The Borough Council has, in acoeptinf as final tho recommendations of its irresponsible employee, precluded the late auditors from the proper performrnce of inch work, if by right luoh work belongs to auditors.

9. The Borough Council has on various occasions in p; -it years treated the i-pgeS' tions and recommendations of the auditor; with contumely and disregard ; and thus naturally they became averse to lay them■elves open to suoh treatment by offoiing farther advice.

10. The auditors commendatory remarks in their annual report, and which have •reused the latent energies of some of the oounoiJ'ors, were in reference to the manner of keeping the books in existence ; lufc they by no means signified their approval of the ■yitem of book-keeping in practise. 11. The Borough Council has fixed a mm as remuneration for the auditors utterly Inadequate for t Irresponsible work of auditing, work greater than it need be from the maoy divisions of the loan accounts ; and work, moreover, that is certainly to be inoreaied and more cnmpl cited under the new r.gime, instead of beiDg decreased and simplified, a» it Tight easily be, if arranged by a competent accountant.

12. The Borough Council In virtually making a special audit, in so f*r as the work of the auditors has been traversed, has Illsgallj gone beyond its powers as set forth io th.c Corporations Act ; and if I were acting as one of the suditora, I would have to refute to pass the expenditure incurred in employing an accountant from Dunedin. I tubnait the foregoing reasons, justifying n>y resignation without prejudice to my future action in the matter.

Mr Sanderson moved, seconded by Mr Finch, and it was carried, that Mr Church's resignation be acciptid.