Fund for Government Investors
4922 Fairmont Avenue
Bethesda, Maryland 20814
To the Board of Directors of Fund for Government Investors:
We are the auditors of Fund for Government Investors (the Fund).
Rushmore Trust and Savings, FSB (Rushmore Trust) a related entity,
is custodian of the Fund and the Fund is therefore subject to the
provisions of Rule 17f-2 under the Investment Company Act of 1940.
Accordingly, we have, accounted for the Fund's investment securities
held by Rushmore Trust as of the close of business on December 31,
1997. It is understood that this report is solely for the use of
management and for the information of the Securities and Exchange
Commission and should not be used for any other purpose.
Rushmore Trust, in addition to acting as custodian for the Fund, is
custodian for other customers. Agents of Rushmore Trust hold, or
account for by book entry, securities which are the responsibility of
Rushmore Trust through custodian or trust agreements. Securities
held by agents of Rushmore Trust, while identified by such agents as
being deposited by Rushmore Trust, cannot be identified by such agents
as to the specific customers of Rushmore Trust who have securities
included in such deposits.
Rushmore Trust confirmed to us that the securities owned by the Fund on
December 31, 1997 were held for the account of Rushmore Trust by the
Federal Reserve Book Entry System (the Fed) as agent for Rushmore Trust.
We obtained confirmation from the Fed of the securities held for the account
of Rushmore Trust as of December 31, 1997. We reviewed Rushmore Trust's
reconciliation of the Fed's confirmation to Rushmore Trust's internal records,
identifying securities held by the Fed as a part of Rushmore Trust's aggregate
security position with the Fed. We also reviewed Rushmore Trust records
which show the owners of the securities held by the Fed for the account of
Rushmore Trust at December 31, 1997. We determined that securities,
identified by such records as the property of the Fund, were in agreement with
the Fund's records of securities owned at December 31, 1997. We also agreed
an analysis of portfolio transactions recorded subsequent to December 19, 1997,
the date of our most recent examination of the Fund's securities required under
Rule 17f-2, in the investment accounts to supporting records and verified a
sample of portfolio security transactions to supporting records and
documentation.
Because the above procedures were not sufficient to constitute an audit made
in accordance with generally accepted auditing standards, we do not express an
opinion on the investment accounts referred to above as of the dates
indicated. In connection with the procedures referred to above, no matters
came to our attention that caused us to believe that the specified accounts
should be adjusted. Had we performed additional procedures or had we made an
audit of the financial statements of the Fund in accordance with generally
accepted auditing standards, matters might have come to our attention that
would have been reported to you. This report relates only to the investments
specified above and does not extend to the financial statements of the Fund,
taken as a whole for any date or period.
Deloitte & Touche LLP
Princeton, New Jersey
January 23, 1998
