davidaulloa/AmericanStories huggingface dataset:
Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1878-11-01

On all important routes the ring bids are scaled
from one thousand, nominal bid, to one hundred
thousand or more, the real hid. The figures from
s5WO TO $b5 GOO will represent the bids OF those
disconnected with the ring. The straw OF one
thousand receives the award. The bid at 10 600 is
at once Withdrawn, and the contractor who repre-
ssnts the S25.OOO bid, and who has been summoned
10 Washington is approached by one o. tn, couied-
crates and threatened that if his bid is not with
dra*n the bidder at SO go will take the contract
but that II he will get out of the way, they will give
him say $500. The unfortunate dupe Of Mr.. Ores
wells advertisement, seeing no possibility of get
ting the contract and, as Il often happens pun-
ing his hands into his pockets discovers their empt
ness, and, perhaps. his inability TO reach his home
beyond the Mississippi, he accepts the protfer with
draws ms BID, and the ring thus mount to their
$4,000 bid, and successively all intermediate bid
ders. by intimidation and purchase are forced out
OF tue way, and the ring reach their seventy
eighty and ninety thousand dollar bids, which are
Withdrawn, the straw-bid proves failure, and the
contract is awarded at one hundred thousand doll
the lowest because it is the only remaining
bid on file. Possibly the confederates may stop at
their s9uUO bid. 10 evade scrutiny and create the
Impression OF competition, but lsuch is the subsan
ta practice. The happy allies have Jumped from
twenty to one hundred thousand dollars; will
pocket $4,000 per annum, which in four years will
amount TO SS2DOOe, and all this at an expense not
exceeding $4,000 paid 10 the intermediate bidders
In this manner most Of the important routes in the
above States and Territories have been let by the
PostUfice department, and while we profess no ac
curacy in figures it is at least safe To say that in
the Tour years for which these contracts were let
t"e nave pocH utHltltu OF AT least
two millions of dollars over and above the legit!-
mate cost OF transporting the mails.
This Mckibben, who was the agent and
attorney of Barlow for four years, at sala-
~ Of 81 200 a year, testified that Mr.. Bar
lows receipts from his routes amounted to
"a million of dollars year, if not more,
from the Government, and that in Barlow :
interest he had fought and killed the bill to
prevent straw-bidding.
Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1878-11-01

The abuses discovered IN the administration Of
the postal sert ice, whether rejecting upon the
higher lower officials OF the department. upon
the contractors operating in connection with the
department both in combination, seem, so tar as
the test muny extends To have or z mated with the
ring-cnnttactDTs in = method o. obtaining contracts
at eNorhItani prices, appropriately characterized
as the straw bid y stem" which had its eginni
several ears back, hut seems to have reached its
highest devclo pment under the administration OF
Postmaster General creswcll and has continued,
with les force however, under his successors.
As appears from the evidence, these contractor =
in order lie the Efforts o: the Department IN
obtaining contract on fair and reasonable terms
for trant porting the mails, formed ring Of many
bidders, Whus' hif- TaIgcd from eNOrhitantly high
h,uros TO manlieStlS anal amounts The ntract
T. awarded To- the lowest BIDDER. who fails, in the
interest Hi the ring. then every next lower bidder
woui retire or rolrsc TO answer when notified,
leaving the department the alternative between
me bidder higher up The list or continuance OF
the old contract IN the natur" o. temporary ser
y3sr, the temporary service alsays being perform
Ell hy the old Contractor, at the OLD exOrbitAnt
price,, because no one else on the long mountain
routes in tae Territories would he prepared TO com
mence temporary service, the old contractor own
ing the horses, stage &c. Where there were bid
der who did not belong To the ring. the estimuny
shows that these bidders in many instances recey-
ed large sums To refuse Ia answer To the bids when
notified that the loves bidder had iailod to execute
the contract. The contractor was by this means
abled to virtually control the contract AMI force
the department Il let II him on his own terms.
In operatin, th!s vicious system for the purposes
OF plumber and corruption, there appears from the
testimony 10 have been combination hrtween
these rius7.
Firrt, ring Of contractors.
Second, ring % officials embracing CLERKS in the
contract office, and netime- intermediary ring
OF brokers agents, by which the two former com
binhtious were brought IN contact. and enabltd To
effect and perfect their schemes a.uinst the public
treasury.
Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1878-11-01

The testimony OF Col. Mckibben con-
tanned an article furnished by him to the
Washington Patriot, ii which he described
the process of depicting the public Treasury
by means of straw bids, as follows:
Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1878-11-01
In juno, 1874, the Committee reported as

As TO aid charges so far as they relate TO combi-
nations to deiraud the Government by sy stem Of
straw bidding in the letting OF contracts to carry
the mails Mr. Luttrcl states (of the truth OF which
the committee are satisfied that he believes the
Postmaster-G General has been and is doing all lie
can to break up and punish such straw-biddiBg and
that he is yi-ilant and efficient officer, and that
straw bidding has been carried for years in
deed. the Postmaster General for years has been
calling the attention OF Congress to the same and
recommended legislation under which II could be
prevented, that leg Station was had for that pur-
pose during the Forty second Congress, and this
committee have again carefully considered as to
what additional legislation is needed in the prem
ises and have recommended the same by reporting
a bill which has passed the House; so the commit
do not !ee called upon TO ask for authority to
send for wtnesss TO distant portions OF the country
at great expense to further establish that which Is
and was long before the commencement OF this Con
gress, matter OF public notorety conceded by all.
Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1878-11-01

in their employ, including even the women OF their
families to put in straw bids ON a -raduslly n
cending scale, and generally he able To control the
contract on most desirable terms anu in the event
OF an Independent bidder intervening between the
sham and the hi ghest bid. they held themselves in
readiness to buy out the Independent bidder for
bonus, and thus bring the contrac. up to the most
eXtTavagant figures.
As illustration of the first the DE Lacey contract.
on the keltor, Utah, TO Dalle., Oregon; and as
Illustration of the latter, the purchase OF Governor
Thompson. OF Idaho. bid. on the same route. which
latter purchase enabled Barlow to withdraw Thomp-
sons bid and obtain the contract at an advance oI
slOO0.
THE MINORITY REroRT.
The report of the minority of the COM
mittce is mainly devoted to vindication
of the Postoflice Department against
the charges brought against it. 1t does not
defend the straw-biddcrs or deny the state
ments Of the majority report in regard 70
the operations of Mr.. Barlow, as a member
of the contractors ring. In effect it con-
firms them on all substantial points. 1t says
The testimony of Col J. e. Mchibhen. Birlow.
and Others shows that at the lettings of ISL,
4 large amount OF straw bidding had been done,
and contracts let to the lowest bidder had been
commenced and then thrown up, or not commenced
AT all, that between the failure OF the contractor
hnuA re-ilNeftisemtnt, temporary service Noulu
have TO he lot TO any person the department could
get to do the service. On the routes above spoken
of no one could do immediate service except the
former contractor, who had the stock upon the
routes and owned the stations, and he could or
such service exact his own prize, not however. eN-
ceedins the former contract-pricc under regular
lettings. When the department would re advertise
frequently the same thing would he gone through
with again in spite OF the best Efforts of the post
master general, who tied down in his acton by
positive law, Congress having failed To give the
neces sary remedial legislation.
With the law but imperiectly understood by the
country, and. for that matter, with Congress hut
imperfectly realizing the detects in the law; with
desperate and INSCRIPTIONS adventurcrs rrsOrtng
TO straw bidding for the purpose of compelling
those who were bidders in good fuith TO give them
bonu', their straw-bids costing nothing; with tho
regular contractors countermining by purchasing
these bids, and procuring Others put in bids for
them, and not in the names of the con ,tOrs, for
the purpose of checkmating straw bidders so
handling their bids under the law as in the end to
get the service either temporarily or permanently
at a large figure, Il fine field opened to unscru-
pu GUS contractors TO impose upon the Govern
ment.
Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1878-11-01
sen ATE.

TUESDAY, Oct. ~, 1915.
Third reaiings-ll 1870, an act to amend
sec IA of chap A. of =, IN relation to writs
of error and petitions for a eertiorari;
passed with proposal of amendment.
80, an act relating to appeals irom
Justices OF the peace. Senator Belden ex-
planned the purpose of the bill; passed.
SAL, an act to protect fish in Lake Cham
plain and the tributaries thereof: ordered
to lie.
SCI, an act to provide for changing
names OF minors; passed.
Special orders Z. an act relating to
liens on real estate. Senator Belden moved
to amend to the effect that if any person
shall transfer any real estate upon which
there is an incumbrance known to the
seller. and shall wiltuliy affirm the same to
be free OF incum brance. he SHOULD be pun
ished a. provided in the bill.
Senator Belden favored the amendment.
Senator Daniorth favored the passage of
the bill in its present form.
Senator Dyer thought that the bill ought
to pass.
Senator Writer'S opposed the passage of
the bill unless amended, for in its present
form 1t would fail of the purposes intended.
Senator Ormsbee said he should oppose
the passage OF the bill unless amended.
Senator Dyer urged the passage of the bill.
Senator King thought the bill was well
enough now.
Senator Belden moved an am endment to
his amendment adding the words "obligor
on mortgagor" to the word seller" on
motion OF Senator Ormsbee. recOmmitted to
Committee on Judiciary.
JOINT resolutlOn-PrOy ding Tor Joint
assembly Tor the election OF State officers,
Thursday. Nov. Il.
Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1878-11-01
STRAW-BlDDING IN MAIL CON-
TRACTS.
Disclosures of Congressional In.
designations.
BRADLEY BARLOW'S CON
TRACTS.
Extracts from Official Reports
and Records.

The House Of Representatives OF the I'D
Congress ordered the Committee on Post
offices and Post roads to inquire into certain
alleged abuses and frauds i'll that branch OF
the public service. In April, 1877, MIR.
FarnsWorth, from that committee, reported
that they had taken extended testimony on
the subject, and that the committee found
the following facts:
For number OF years the post flee department
has been Greatly plagued and embarrassed by Il
method Cf ciTcumycuticn, or cheating. IN hds OF
proposals for carry in- the mails, known as straw
bids 1t is 4 modern invention. net extending
back more than three four administration :, but
to such exttn has the system come into use, mat
OF late il has become almost impossible ior the ne
partmcnt To obtain contract for carry Ing the mail
upon any of the most important stage-lines IN the
regular manntr I .. in pursuance oil advertise
ment bids, acceptance etc except at very exorb-
tant rates.
straw bidding" consists in procuring some
worthless irresponsible person to make pro-
posal in due form for the service, for SO small
SUN to Insure the acceptance o: the bid by the
department, 1t being the lowest 1t is so low that
the service cannot rendered for it, and therefore
it is certain be below the bid Of any responsible
bona fdf bidder
This "s;rair Lid" IS usually procured by or in the
interest of the party who is then performing the
service. Cf some party who desires to Obtain the
contract at speculative rate, and who procures
this ,trdir" or sham bid TO prevent some genuine
and responsible bidder, lower than himself, from
obtaining il. And as the law makes 1t the duty oil
the pOstmaster-general TO award the contract to
the ior, bfddcr,' whose bid is in due and proper
form and The acceptance of the one bid or pro
posal releases all the Others the result IS that no
contract is obtained for the service, and the post
master general is then obliged, either to make the
best bargain he can Tor the service without read
vert>ing, or make provision for the temporary
service until he can re-adyertsc and let the CON
tract Tor the term four years..
Certain legislation to correct the evil was
recommended by the committee. The sub
ject came up repeatedly in both House and
Senate; but no law effective to put a stop to
the practice was enacted.
Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1878-11-01
THE SECOND INVESTIGATION

In the next Congress, in April, 1874, fresh
investigation was ordered in consequence of
charges preferred by Hon. j. X. Luttrell, of
California, member of the Committee on
Public Expenditures, among which were the
following
Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1878-11-01

The ring OF contractors, from tho eNi-
dence, seems 10 have embraced men OF more or less
PROM neLce ana experience, and To have numbered
from thIriy To hity parties iamillarly known
amuns the clerks AS The Forty Thieves
Exstiug laws ca the postal seTy. so far dc
feciye that We may not lie able 10 reach these men
in many ui the substantial uutrages that they per
pUtrated on the Government and the people but a
body ot u, accepted by the community respect
ahle, recognized 10y the department as so TAR wor-
thy Of their unldence and 81 Tar reliable as Ia be
intrustrd with carving out the details o, one of the
mort important administrative branches Of govern
ment ct who have taken advantage of their posi-
to estahlIsha yst"m of organ Ged p!under and
an auxiliary thereto, have proposed g. corrupt
that cH-s a. sur people who hold positions OF public
trust ami IN ,irry cut their plans have largely
debauch'i whole department and community We
deem II our duty 10 call public attention To these
elias, lur the purpose Of directing cor
T'ctiye, restraining public opinion upon them.
The general tenor of the testimony shows beyond
doubt that they have > Systematically, 10y a method
Of sham or dishonest bids AVID other corrupt devices
combined To uhan monopolies OF tn" postal service
At eNuthtlnt prices, that they have brih"i clerks
10 The contract Office To- give such Information Of
the Status OF the different bids As would ensble
them To- underh3d hone 4. bona hde bidders. to
control the most valuable routes o. mail service in
the directions indicated in Inc testimony. they
further 10y tho corrupt of money with officials by
false representation and by manufactured petitions,
have induced tho department To establish service
lines where the public convenience did not
puit' II and was not suhserNed by IL. Further.
they have induced, c"rruptly, postmaster To give
certificate a. I" suretes am bonds which ar" ialse
and lllusury and they have 10y corrupt means oh
tanned certificates for services not rendered. to
plumber the publ e treasury.
After quoting from the testimony of Mr.
Barlow and two other witnesses, the com
mittee say
Taking the three men, members Of the ring, as
types oi their class and their methods dividing
they did the territory among them there was some
variety IN the 81 stem they adopted to compas 50
their ends. Barlow and Huntley's plan
for they acted really together, though sometimes
separately-Wss TO use the subordinates and agents
Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1878-11-01

9th. charge that mail-contracts are made with
irres puns he bidders, who cannot give bonds for
the performance of such contracts, and who the
agents Of a combination formed to deiraud the
Govern Iaent, and that said combination consists of
Bradley tariOw, +. T. Sawyer, c. c. Huntey. B.
II. Peters n. and others, known the Northwestern
Sta ge Company, with whom contracts were made
(ans in force after the regular letting OF
$50 tailed To obtain service, and that said parties,
Bradley Barlow. i. 7. Sawyer. &C. Huntley, b.
II Peterson, and Others. have offered and given a
consideration to bidders routes controlled by
them t. withdraw their contracts, fail to execute
them in order that the service nj ght fall into
The hands OF the parties above named. All of which
Is in direct violation OF section $50 Of the Postal
Laws If the United states.
18th. charge that Bradley Barlow c. {. Hunt
lev, Owen Fuller, J. l.. Saudrrson. j. W. Parker
Gilmer & Salisbury, and others acting together,
control over million dollars OF the amount paid
by the fostoffee Department in the territories for
u sill transportation that nearly every route on
which the, are contractors has had the service in
creased since their contracts were made in 1870,
with corresponding increase Of Compensation; that
most of their routes sublet at about one-third
the amount they receive under their contract. and
that their accounts are marked special and settled
as soon a. the quarters close. without waiting Tor
the certificates required from most contractors that
the services have been properly performed, or
Tor the collections made from pOstmasters on their
routes.
In conclusion, desire to say that do not
present these charges from amy partisan motives,
hut simply that fraud may be prevented, and
check put to the operations OF combination form
ed to swindle the Government Of millions of dol
lars and am assured by the Postmaster General
that he will use every cfJrt TO break up the CON-
hinatiOn.
Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1878-11-01

things
Il will prove by j. L. Barrow that he an &C
cepted bidder on a certain route. and that he was
paid money by Bradley Barlow on condition that
he (Parrow1 should fail to execute his contract
will further prove by Hon. John Mcbride. James
E. Carr. Colonel Hooker, Hill Beachy and others,
that gross frauds have been pcrpetruted in Cali
.Ornia and Nev and the territories OF Washing
ton and Montana, by Bradley Barlow and others"
81 will further prove by J. ID. Hicox that
gross frauds have been perpetrated in Nevada.
Il will iurther prove by Hon. J. NJ. Cavanaugh
and Hon. ". 7. Clark that gross frauds have been
committed by Barlow, Huntley, and others 10
Texas, Arkansas, Montana, and Idaho; and will
also prove by the same witnesses many other facts
tending 10 show a combination on the part Of Hunt
ley, Barlow, and others TO deiraud the Govern
mept, and would request that the witnesses herein
nahed be subp"naet to give testimony before
your honorable committee.
Il have the honor TO be, very respeecit,,,n,lliiy
-. X LuTTRELL,
M c. Third District, Cal.
chairman Committee on the Postonice AMI
Post-ROads'
TIE COMMITTEE REPORT THAT THESE ARE MAT
TIERS OF PUBLIC NoT0RIETY, CON
CEDED BY ALL.
In juno, 1874, the Committee reported as
Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1878-11-01

BURLINGTON, FRIDAY. NOV. l. 1878.
Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1878-11-01

DEAR SIR:-We take the liberty to call upOn you
to make unusual eIertion to that all the voters
in your vicinity are early at the polls on the 9Th
proximo.
Mr. Barlow's friends have good reason to be
encouraged at the present news from all parts o.
dustrousy at work everywhere, and the object OF
this circular is to warn you and other friends that
their exertions should not be relaxed account OF
the apparent certainty Of the result
Remember that the greater our majority shall
be, the greater will be our victory.
Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1878-11-01

Moral.
Can rousing speeches, and financial rant,
Turn greenhacks into money No. thew can't
GsOrgs Ssnnoft, an boston Herald.
Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1878-11-01

Observe, this was sent to iielong, un-
swerying Democrat II you are Repub-
lican. why co your friends so earnestly coyet
his support, as ii engaged in the same en-
terprise? A CITIzsN
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1878-08-12
gL4DgTOYg 4YD .JIyGOJSM

We laid before our readers on Saturday the
most striking passages of Mr.. GladstOne's re-
cent speech in the House of Commons There
were sober thoughts as well as brilliant sem
fences in that speech, and we cannot refrain
from directing attention to two of the strong
est points which he made. We are tempted
to do this because we were ourselves impressed
with their gravity when the terms of the An
glo-Turkish Treaty were first announced.
While we recognized the dexterity with which
England had been extricated from the labyr-
NTH of diplomacy and restored TO a command
ing position in European councils, we could
not lift the hat and hurrah over the trumphs
of Lord Beaconsfield. The UNANIMOUSLY gov
erned provinces of Asiatic Turkey had been
placed under the regeneratmg influence of
n Christian nation, but we could not accept
that benelcent end as justfying the means,
nor could we shut our eyes to certain ugly
facts and dangerous tendencies of the Pre-
mier's policy. Now that Mr.. Gladstone has
laid bare those facts and tendencies we must
be pardoned for referring to them again.
The first point is the duplicity of the Cab
met in resOrting to secret compacts and
policy of intrigue, while chattering about the
renowned the English habit of plain-speaking
and honest dealing and worked in the dark.
Mr.. Gladstone shows that the Cabinet which
had taken the high ground that treaty-law could
not be altered without the assent of Europe,
and had threatened to go to war rather than
sacrifice that principle, repudiated ITS obIiga-
tons and bar0ained with two courts. His IN
dIctment is a sweeping one, but The Pail Mall
Gazette. his inveterate foe, cannot contest
single count or say one word in depreciation
of its severity. In making such arrange
"ments," it remarks, they struck blow at
"the common faith of treaties; they repudi-
Gated the principle which was sOlemnly af-
"firmed by this country in 1871; and they
classified the pledges which they had given
"to England and to Europe with respect to
" this very question" Mr.. Gladstone argues
that if England can alter treaty-law at her
own will and get Cyprus, Russia has
right TO do the same and get
Mltylene. He might have carried the
argument still further and declared that
IL England is allowed to assume the protector
ate of Asiatic Turkey without the consent of
the Powers, Russia is entitled to take upon
herself the protectOrate OF what remains OF