The national Republican., 1860-12-25
THE ROBBERY OF THE INTERIOR
DEPARTMENT.
FURTHER PARTICULARs-MANY OTHERS IMPLI.
GATED,

GATED.
Since our paper went to press yesterday, we
have received great variety of information,
reliable and unreliable concerning the robbery
which we recorded yesterday. We think the
following particulars concerning the matter are
reliable, as they have been obtained from the
best authorities.
On Thursday last, GODDARD Bailey, who is the
law clerk of the Interior Department, and who
figures most conspicuously in this matter, placed
in the hands of a friend a letter, which he de-
sired to be delivered to Secretary Thompson
when he should return to the city, that gentle
man being absent at the time, attending to se-
cession matters in the South. He acted in
such strange manner as to cause his friend
to make inquiries of him concerning its con.
tents learning which, his friend, whose name
we refrain from publishing, delivered the let.
ter to Secretary Thompson Immediately on his |
return on Saturday evening last.
The bonds had been placed in the charge Of
Secretary Thompson as a special trust, instead
of being deposited in the Indian Bureau, they
not having anything to do with that Bureau.
1t proved to be voluntary confession from
Bailey, that at the instance of another he had
abstracted land loaned them) from the iron
safe uuder his charge, a large amount -
$S70,O0O-of the State bonds held by Mr.. 7.
as Secretary Of the Interior, in trust for suudry
Indian trbes-the proceeds of their lands sold
by the Government, and so invested and held
for their benefit in pursuance Of treaty stipu.
lations
The Secretary had endeavored to induce
the regular treasurer of his Department, Mr..
Peter hammond, to become their custodian,
but not being obliged so to do by law or regu.
lation, he declined the responsibility The
Secretary then intrusted them to the keeping
of Bailey, the Departments law clerk, who was
under bonds Of Ten thousand dollars for the
faithful performance of other trusts. The re-
ceipt of this letter by the Secretary of course
created great commotion in the Department
and he, with Bailey and other clerks, were
there engaged in the investigation all Saturday
night last until three, A. NJ, with hacks, police
officers, &C., plying. over the city. According
to Bailey's confession, he loaned the bonds to
the party who had induced him to commit the
abstraction, but was not to receive q single dol
lar Of the proceeds Of the speculation. He had
cut off and preserved in the safe the coupons
for the next six months interest, SO that no
part of that could be lost to the Govern.
ment. 1t is generally believed that Mr.. Bal
ley and his confederate desired to make
large sum by speculation in the stolen bonds,
(the first of which were taken as early as
five months ago) by selling them at the com.
paratively hiS h prices at which they sold
some time since, and buying them back and
replacing them in the safe when the sectional
troubles they knew were about to arise should
depress their prices, as at present and that
his confederate having failed to return any Of
them so far, B. became alarmed, and made his
voluntary confession to the Secretary.
During all Of Sunday, the investigation was
continued, and it is said that all of Bailey's
statements have so far been found to be cor
rect. Bailey himself was summoned to appear
and aid in the investigation into the affair, aud
he promptly obeyed the summons being pres
ent with the Secretary at the Office during most
of Saturday night, and also on Sunday.
Yesterday morning, warrant for Baiey's
arrest and commitment was made out by Capt
Goddard, Chief Of Police, and it was determined
to place him in Jail without an examination at
this time, unless such was demanded by Mr..
CARLISLE, his counsel but, during the morning,
Bailey went over to the Jail, in company with
Mr.. Carlisle, and gave himself up. He was
fully committed.
As soon as Secretary Thompson received the
letter, and ascertained the probable wherea-
bouts of Baileys alleged confederate, in New
York city, William H. Russell, of the firm of
Russell, Major, & Co., the great overland pony
express and army transportation contractors,
he telegraphed to Marshal Rynders to effect his
arrest, which was accomplished yesterday morn.
ing, the marshal being aided by Detective Oil.
GERS Allen and Busher, of this city.
1t is positively known that Russell is not the
only person implicated besides Bailey. A prom.
inent banking firm of this city is reported to be
deeply involved in the transaction. We have
also long list of names of parties implicated
in our possession, which we are desired not to
make public at this time, as it might tend to
defeat the ends of justice.
Bailey had $3,000,000 in these bonds in his
possession. 1t is our belief that the particular
bonds will be identified. If this be the case,
the Government may not lose anything by the
robbery, in the end yet those parties who have
innocenty purchased portions of them-and it
is well known there are some-may lose their
money so invested.
Bailey is said to allege that he loaned Rus
sell the bonds under his persuasions and those
ola Washington banker, not for the purpose o
speculation in stocks, but that by selling them
he might meet sundry accepted drafts of his
firm on the War Department, PAYABLE out Of
any moneys due them, or to become due tc
them from the Government, to meet which the
Department had then no money at command
OF course he alleges that he anticipated that
when the Department might be in funds, the
stocks would have been e'purchased and hand
ed back to him. Russell gave him an amount
Of such accepted drafts equal to the amount O
stocks B. illegally loaned to him, which sale
so accepted drafts he placed in the safe as Sc
curity for the eventual return of the Statt
bonds.
1t is further said, that Russell obtained from
the Bank of the Republic, in New York, on th'
State bonds-that bank now having them in it
possesson-the money with which to take VI
the accepted drafts on the War Department
1t is doubted whether the accepted drafts whic