Savannah morning news. [volume] (Savannah) 1868-1887, 1881-05-27
MORE CORRUPTION.
Startling Results ofthe Investigation
I'm the Treasury Department..


The investigation of the accounts and
conduct of o. L. Pitney. custodian of
the Treasury Department, to which al
fusion has been made by our Washington
correspondent, is developing ugly facts
and involving persons who have held
high places. Pitney's business is to buy
everything needed in the Treasury, in.
Guiding furniture, carpets, soap, etc. 1t
is ascertained that he has for six years
violated the law requiring him to pur-
chase by contract from the lowest bid
ders. He has bought from friends and
favorites without making any contracts,
paying them whatever they charged. No
system of books or vouchers has been
kept. Everything has been run
loosely and without any sort of
business rules. OutrageOusly exor.
bitant prices have been charged,
ranging from 80 to so per cent. higher
than the ruling market prices, and the
difference between the market prices
and those paid had been allowed PitneY
by the partnership purchased from him
in the way OF goods for his own use.
One cabinet maker named Frazer, who
is regularly employed under Pitney, tes-
titles that nearly all of his time, for sew
eral years, has been consumed in doing
work for outside parties, instead of
working for the government; that he
spent one month in working on a new
house owned by high government Off
ciAl; that he frequently went from one
house to another of persons in govern
ment employ, some holding important
places, doing whatever they wanted, and
the money paid for his services was
charged round to the different govern
ment bureaus. He swears that he made
fifteen fac SMILES of the desk used by
Jefferson when he wrote the Declaration
of Independence, and which was pre-
sented to the government a year or so
ago; that each of these imitation desks
cost $50, the material for which was
paid for out of government money, and
charged among the materials needed for
government uses. These fifteen desks
were given out as presents by the
authorities in the Treasury to friends.
The furniture belonging to the Treasury
has been loaned out on occasions of re
ceptions at certain residences. The
facts go to show that a regular ring,
consisting of subordinate officials of the
Treasury, some of them holding respon-
sible positions, existed and got benefits
from the loose and reckless manage
ment.
Beside PitneY and his bookkeeper,
and storekeeper and hostler, who has
charge of the cabinet-making depart
ment, one assistant secretary and others
have derived more or less advantage
from Pitney's method of doing govern
ment business. In few instances con
tracts have been made, but not in the
most important and expensive purchases.
Pitney has built him a new residence.
The result of the investigation will prob
ably be a number of removals. Ex-
Cabinet officers are mentioned in the
testimony as having received the benefit
OF the government cabinet-makers in
work at their private residences.
The investigation will, it is stated,
make more important Developments.
The ring has been in operation for years,
and now that the exposure has begun,
profits can be traced to many persons.
Two years ago Assistant Secretary Upton
was informed of wrong doing and mis-
application of public money by Custo-
dian Pitney, but no steps were taken to-
ward its correction. 1t is asserted to.
night that Upton will soon be removed
and that the strong fight made to keep
him in his position was for the purpose
of preventing the exposure which has
now come. This investigation and that
of the star route service are not the only
ones to be made. The present admins
tration intends to search through all the
departments of public service to learn
how the public business is being con-
Quoted, and whether any reckless, waste
full or wrong practices exist anywhere.
Wherever any wrong exists, it is to be
exposed, and wherever any public money
is wasted, it is to be stopped.