The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1863-08-07
hSTOuADI e MILITARY FRAUDS.

kSTJuADl q MILITARY FRAUDS.
Alleged Wholesale SwinaifnU Opera.
tions-Enornious Profits on Spawned
Hcrses-Miittary Commissions Sold and
Resoid-F'auduient specalations in
sabres. saddles, Pistols n md Groceries
How Men are Made Rich, Sc.
We publish to-day most extraordinary recital or facts
collected from various reliable sources by reporters
showing an organized system OF swirdng the United
States government which has parallel in the wars Of
any other country. Some months ago we published a
lengthy erp similar Frauds which at the time led
to consdcrabe excite military and general cir
cles Tho exposures now made moro particular 10
their bearing pointing as they do to individuals well
known In this community OF whom at least has been
for some time Connected with the military service OF the
country II is astonishing that the government Commits
War department has not brought these facts
the notice Of the government and the press. II
1.-THE the charges which rest private infoma.
ton can DO proved TO be truo would be than suf
fcient call the most condgn swift and exemplary
punishment all the parties concerned. Without fur
Their preface will state the facts they have been
conveyed TO our reporters
In the carly part OF the spring Of the year 1861 just
after proclamation or the President Of the United
States calling Tor volunteers take thc ae persons,
endeavor obtain authority from tho proper authorities
70 raise regiment OF cavalry ia New York. whAis
IN washington they met With man Of some mote,
requested him 70 his influence assist them
carrying out their views This gentleman had some
doubts tho character OF Of the parties and
therefore not inclined 10 do anything TO assist him. but,
thinking that the other was respectable honest and
liable person. he resolved 70 interest himself In his be
ha and TO do everything In his power for tho OF
the work he had 10 view In due course tho favored
party was introduced 10 the Hon. VIM H. Seward Sscre
tary oate and other persons influence through whose
exerons he obtained the required permission TO
regiment OF cavalry, and 10 purchase the horses and
equipments for mounting and arming the men,
From all that has transpirsd It appears that three per-
Sons had entered into arrangements TO form kind OF
partnership In the business OF raising the regiment and
fitting t out the understanding that they eeally
to divide whatever profits might from the opera
ton 1t seems that another person promised. as
nduccment to enter into the combination that he should
have tho disposal OF the suershp OF tho regiment for
himself for his friends He therefore co.0perated with
them until he discovered that they were combining TO
swindle not only him. but every with whom they had
any kind OF dealings. He then broke Off his CONTRACT and
refused to have anything more to do with them. We
also informed that Of the principals qualified himself
before notary public in New York bondsman to tho
extent Of ten Thousand dollars for who seeking
TO obtain the position OF paymaste in the SERVICE whc
there pending eleven judgments against him 10 diff
ferent courts amounting 10 several thousand dollars
The operations OF these parties with merchant doing
business Maiden lano Of the disgraceui kind
II all that is said about them be strictly correct
there to DO very little doubt about
them. 1t appears that these operators introduced
this merchant and that they Immediately entered into
negotiations with him for supplying hundred pistols
such that they could profit Of seven
dollars each pstolthe accounts TO be made out In
such that the swindo should not appear tho
face OF the transaction The pistols were accordingly
supplied when second agreement entered into be
tween him and these parties supply fourteen hun
drcd pistols ct the rate Before filling this
order however the merchant appned the Inspector OF
Ordnance know whether the Colonel had authority
purchase for his regiment and receiving
In the negative he refused to carry out his part tho
second agreement and broke off all connection with the
party. further appears that he conclusion
not 10 pay the share agreed upon for this second lot OF
pistols and offered party In the secret IS 900 to keep
QUOT about it, These pistols well those supplied
before to tho regiment, subsequently by
the army authorities and condemned ct Ha~psrs Ferry
In tho matter OF supply Of horses for the regiment
the collision appears II seems that under his au
thory buy horses the Colonel told persons
enabled to buy them at average OF about sixty dollars
piece, but that hc intended TO charge tho full govern
ment price Of hundred and thirteen dollars II is
positively asserted by those who tho OF these
bareaced frauds that no less than from nfty TO
sixty thousand dollars realized this swindo alone
The horses thus forced the military service Of the
country were In most totally unfit the uses OF
cavary and were not on an average worth more than
poyed 70 inspect horses and on conscentousy rejecting
many Of them the Colonel became greatly against
him and discharged him from that service TO make
for another examiner who he supposed would be more
pabe, and therefore more easily moulded TO his
This new examiner. II appears, passed q number OF
horses which bought at average OF $50 piece
These sold the a the full price
Of Sia Another person who furnished horses supplied
some three hundred at $50 piece These, II appears
very good horses. He made out hts bill in his
name $1l3 each, and after receiving payment from
the military authorities, he paid $40 piece each
horse Of the principals He, however. refused
unfairly with him. This enough to show tho wholesale
In which the governments was swndIcd in the one
further there lack OF facts just shameful the
preceding.
swndlng DO allowed to pass, and the nrm therefore
made go,d oof IT, According TO statement made 70
u.s. IL that tho Colonel calculated making about
three dollars zach saddle The saddles furnished 10
the regiment OF tho old Mexican pattern and were
vastly inferior 20 the Mcclellan saddle, and with the
PISTOLS they were all inspected and condemned at Har
ono clothing mouse In this city offered nvo thousand
dollars the contract mako tho uniforms for this
cimeu and tho Colonel would have gladly embraced the
opportunity but appears that the rcgmcnta quarter
master drew all the reauisans for clothing tho United
States Quarcrmas'cr. which duly supplied: thus
dcprving the chvarous Colonel Of what be, doubt,
deemed good chance.
NE sabrcs which supplied 10 the regiment
subsequently condemned at Hsrpers Ferry. They
OF an inferior quality but "the nrm contrived 70 m Ike
one dollar and 1y conts on each sabre On contract
with merchant supplying sabres 70 the whole rcgi-
ment was arranged that tho partners should make
prot OF two dollars each weapon. Besides this there
Il strong evidence 10 show that number OF officers
bought their commissions prices ranging from hun
dred dollars TO hundred dollars picce In regard
the authorship, which Is already stated was promised