this connection. During the last fiscal year the invalid-pension roll was augmented by 3,106 names, whereas all the other classes of pensions were reduced 4,526 in number. Notwithstanding the fact that the losses to the entire roll during said year exceeded the additions thereto by 1,420 names, the annual expenditure, as before stated, was increased by the sum of $44,733.15, which is mainly due to the appreciation in the average annual amount paid to each invalid pensioner. The increase in such average staring the three years immediately preceding June 30, 1875, amounted to $13.65 per annum to each invalid pensioner, involving an accretion, during those three years, of nearly one and a half million dollars to the total annual rate of the roll, independently of any additions to its number. It is apparent, therefore, that if the roll of invalid pensioners continues to increase in equal proportion to the number added thereto during the last fiscal year, with a proportional advance in the average yearly pension, there will be no immediate reduction in the annual expenditure for pensions, for, as I have before stated, the gain to said roll during the last fiscal year exceeded the losses to the other rolls. I regard a partial departure from the existing system of making medical examinations of pensioners, or claimants for pension, as fully warranted by the facts and considerations herein presented, and as necessary to the interests of the public service. I therefore recommend such new legislation as will authorize the employment of a number of surgeons, not exceeding sixty, at a liberal annual salary, who shall be selected from the most eminent medical men in the United States, and assigned to certain defined districts, into which the country shall be divided, subject to such changes as the interests of the service may demand. In making such recommendation, it is not proposed that the present system of appointment and payment of examining-surgeons should be entirely superseded by the appointment of district-surgeons, but that, so far as possible, all examinations should be made by the latter. The number of examining-surgeons could thus be largely reduced, their services being only required in those cases where, for want of time, the district-surgeons may be unable to make examinations without subjecting claimants for pension to long delay.
During the last fiscal year 1,530 cases were investigated by special agents of the Office. Of these 309, all of which were admitted claims, were found to be fraudulent, and 243 pending claims were recommended for rejection. It is estimated that the sum of $144,552.84 was saved to the Government during the year by the exertions of the special-service division. These investigations were made by clerks of the Office, detailed for the purpose under existing laws; but, the entire clerical force of the Pension Office being inadequate to a prompt disposition of its current business, it is obvious that no considerable detail thereform can be made for special service. The number of claims requiring such investigation is accordingly greater than the limited force of the division
