The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1868-09-22

FPAUD ,oN@THE GovEsSmEsr-THE D1s-
BURSTING AcgNr OF TIE PosT-oFFIcE De-
FAubTEn-H1s FLIGHT FROM THE CRY
Our citizens were surprised yesterday to
hear rumor which was prevailing to the
effect that &. B. 0lmsted, the disbursina
agent and general superintendent Of the
post-ofice, had been detected in appropri.
ating funds belonging to the Government to
his own uses, and that upon his having
been SO detected had fed from the city to en-
deavor to escape punishment.
Upon inquiry it was found that the ru-
mors were but too true, and although the
officials having possession of facts connect
ed with the case were very reticent about
giving information, the following were
elected:
1t appears that during the past week Mr..
Olmsted, as disbursing agent of the post
Office, made requisition on the Treasury
Department for 100000, to be used for the
payment of certain claims and salaries.
This check was returned dishonored, and
the Postmaster-G General at once notified OF
the fact. That official sent for Olmsted, and
demanded an explanation, which was
evaded, Olmsted stating that he supposed
the check was returned on account Of his
not having sent to the treasury certain
vouchers necessary. He further stated he
would proceed to his Office and make his
arrangements 30 that the matter would be
at once Strengthened, the vouchers pre-
pared, and satisfactory result be OBJ
tanned.
With this understanding he left the secre-
tary's room and proceeded to his own office
in another portion of the post-office build
ing. It seems that he did not stay there
long, for between ii and IL o'clock, about q
half hour after his interview with the
secretary, he appeared at the house of one
of the night-watchmen Of the department,
named Branigan, from whom he borrowed
soldiers overcoat and dark SLOUGH hat.
He |lted to this Waterman that he was in
great deal of trouble that he did not
know what to do-kill himself, or run away
from the city. He finally said that he
would take the coat and hat and 60 "out in
the woods somewhere, wait for night to
come, and then leave for parts unknown"
He then placed in the hands of Branigan q
package containing $1,000 and the key of
his safe, also paying him q certain sum of
money to keep the matter quiet. The pack
age of money and the safe key he desired
should be given to his (Olmsted's) wife.
With repeated injunction of secresy laid
upon Branigan, Olmsted left.
The Waterman, after thinking over the
matter, became very much troubled, and
finally decided to 60 to his priest and con-
fesss the matter to him. He did so, and
the clergyman at once proposed that they
should 60 in company to the Post-offce De-
partment, and make the facts known. They
proceeded to the department, obtained On
audience with Mr.. beverly, Third Assist
ant Postmaster-General,t to whom they COM
municated all the facts of Olmsted's inter
view. Information was at once furnished
Major Richards, superintendent of the
Metropolitan Police, who ordered the en-
tire detective force Of the department to
set about discovering the whereabouts of
the fugitive. Up to 8 o'clock last night he
had not been arrested, although it is be-
lieved that he is lurking in the neighbor-
hood of the city.
Mr.. Olmsted has up to this time been a
highly respected citizen of Washington,
and has an interesting family residing on
Eleventh street between M and N, whom
he has by his present action covered with
shame and confusion.
Upon application having been made to
his wife by an agent of the Postmaster
General, she very promptly gave up the
safe key and the package of money which
had been delivered to her by Brauigan, and
to-day the authorities of the Department
will institute an investigation for the pur-
pose of ascertaining the extent of his defal-
cation. 1t appears that for some time past
Olmsted has been engaged in great variety
of speculations, among others the fol-
lowing: A short time since he purchased
about three hundred and fifty acres of land
in the vicinity of Beltsville. One-half OF
this he subsequently sold to Mr.. Walker.
He also lately purchased large tract OF
land in North Carolina, on which it is sup
| posed o silver mine is located. He was
also partner in o plumbing and gasftting
establishment on Seventh street, besides
being largely interested in several inven-
tons now being brought before the public.
So deeply interested was he in various
schemes that his friends have questioned
him of late as to his ability to fight his way
through. To all these inquiries he has re-
sponded eheerfully, and seemed sanguine
| of ultimate success.
The Postmaster General states that du-
| ring his interview with Olmsted he acted
more like an insane man than one of solrsd
mind, as he seemed to labor under extrs
ordinary nervous Observation-Disclosures
I'stelLigencer, 2lSt.