The daily Argus. (Rock Island, Ill.) 1873-1877, 1876-08-07
0Rv!lLE. JOHN & co,
How the Presidents Brother
and a Cabinet Officers
Son were Allowed
to Get Gain.
THE GRANITE POLICY OF "ADDI.
TON, DIVISION AND
SILENCE"
A Series of Big Steals Through the
Department of the Interior.
specIal dIspatch 10 the Boston Post.

WASHINGTON, July 30.-Among the
deluge of investigation reports promised
during the present week, not the least in
terestng will be that Of Chairman Mulch.
Ter for the majority Of the committee on
expenditures IN the interior department,
on the jobbery connected with the surveys
OF public lands in Wyoming. The major
part OF the time of this committee has
been devoted to an investigation Of the
management OF the government insane
asylum in this district, but they have
found time to discover how DIR. Slas Reed,
torIer surveyor general OF Wyoming
territory, retained his place and curried
favor with che administration by
FARMING OUT FAT sINECUREs
to the presidents brother Orvllo and to
Secretary Deano's son John. The report
on this subject is finished and is signed by
Mutchler, Boone and Anderson, the three
Democratic members OF the committee
IL starts out with an interesting account
by DR.. Reed OF how a set of rascally ring
fellows told Grant that he (Reed) was a
Greeley man and got him turned out, aud
how he came TO Washington, saw the pres
ldent and went joyfrlly back to Wyoming.
The committee speak of the old law which
required all persons taking a contract to
survey public lands 10 be practical sur
veyOrs, and OF the change which now
allows one party, when contract is taken
by irm, to be the mOneyed man ana un
skilled. OF the regulation allowing this,
which was issued by the commissioner Of
the general land Office in accordance with
the act OF 1872, the committee say.
This regulation, made, rs is cuimed, in
pursuance OF law, enables surveyors gen
cral to
Who have no knowledge whatever Of the
work ~ be done or ct the manner OF doing
it, and who scarcely ever 60 into the field,
as surveying contracts are always awarded
at the minimum sum allowed by law.
The profits realized are generally
very large in proportion TO the
amount invested by the moneyed
man OF the firm. The system of
partnership in surveying was some
what improved by DR.. Reed, very
much to the advantage OF the mOneyed
man Of the firm, who it appears from the
testimony, was not only not required to do
any work but did not sign cOntract, give
bond, take the oath or advance any
money, Under the doctors system the
moneyed man did no work and assumed 10
responsibility. He was a silent partner,
with nothing to do excepttO
RECEIVE HIS SHARE OF THE PROFITS.
This system was put into practical
operation in the spring of 1874, when the
first contracts were let by Mr. Reed, after
his reappointment, and the beueiiciares
under it were Mr. John :. Delano, Mr.,
Oryille Grant aud a MIR. III. ii Iloughton.
an editor OF newspaper in Galena, His.
Although each of these gentlemen partIci-
pated in the distribution of the profits of
surveying contracts, none Of them took any
of the responsibilities Of contracting par
ties, nor did any OF the work required TO
be done, and, so far as the evidence shows,
only one OF them, Mr., Delano advanced
any money 10 purchase an outfit tor the
men 10 the field" The report then re
hearses several contracts to which ''the
only contracting parties, so far as the pa.
pers in the land Office show, were the gov.
eminent and the parties named; yet Mr..
DelanO was the recipient of
oNE-HALF THE PROFITS
Of each contract, amounting IN the ag
grcgate to from $4,000 to $4,000. The
settlements with the deputies were made
by DR.. Reed, and the amount due by each
one to Mr.. Delano deducted By him for
purpOses.which may readily be Imagined. 1t
seems that DR.. Reed was particularly anx-
ious that Mr. DelanO should have an in
terest IN surveying contracts. According
10 his own statement as early as May or
june 1873, when. it will be remembered,
he was out Of office, and in Washington
soliciting reappOintment, he had IA con
versatlon with ex.Secretary Delano in re.
gard to the health of his son, in which
conversation be suggested that John
should go to the mountains for the benefit
OF his health" The report then rehear-
SEES how Reed went to Drummond, com
missioner Of the land Office how Drum
mond said it would be emnently proper
to give John the benefit OF such contracts
how he Reed said the transaction was an
open one, and in no way inconsistent with
his sworn duty as government official y
From the testimony
IT rs SHOWN THAT REED LIED
in this. for every effort was made to keep
it secret and faithful clerk was dis
charged for endeavoring to bring the truth
TO light. Abundant evidence is quoted to
prove the truth of the statement in the re.
port. The report also shows that the
matter was brought to the attention of the
president through Reeds chict clerk, Alr.
Stevens. who obtained possession of some
Of the drafts paid, laid them before Secre-
tary Bristow, and he i'll turn before the
president To these facts Stevens and
Bristow both testified the latter stating
that among the papers he thinks there
was q letter from eX Secretary Delano to
Dr. Reed, thanking him for some kindness
done his son; that the paper related to
surveying contracts in the territory of
Wyoming, and on their face showed.
EVIDENCE OF IMPROPER TRANSACTIONS
between the surveyor general and John s.
Delano" Babcock's hand next appears.
young DelanO testifying that Babcock told
him the president had seen the papers, and
Babcock showed. the pancrs To him,
Delano. Reed Immediately telegraphed
his chief clerk. demanding how Delano $
letters got out and then.posted to the presi
dent. On the subject of this interview the
report says: DIR. Reed further testfes
that on the same day he had an interview
with the president; that he informed him
that the papers had been stolen; that one
OF them was private or semi official letter
to him. that he did not think it ought tc
be floating about because it would be mis-
understood or mislnterpreted among
strangers. That the president replied
that he did not see that they amounted Ia