The Rock Island Argus., 1881-12-02
goeg ISLAND d KERcER CO.. 3. ..
Friday. December Q, 1881

1t has been something of a mystery how
the enormous frauds on the signal service
fund could have been perpetrated SO long
and so successfully without detection. An
-explanation of the methods employed will
clear it up. Howgate is thoroughly
equipped man of business, of much organ
izing capacity, and endowed with great
energy
| In 1876, Gen. Myer, then at the head of
the signal service. became seriously enfee-
| bled in mind. There had been an investi-
CATION of the financial management of the
bureau, and the accounts would not bal
ance by some forty or fifty thousand dol
| lars. This disagreement was the result of
| ignorance rather than of crime.
| After the discovery it became necessary
! to find a new disbursing officer for the
bureau. Gen Myer offered the vacancy to
Howgate, who declined the proposition
several times, and, as is now believed,
with the object of drawing Myer ON to fur
ther solicitations, so that he might finally
dictate his own terms. At last Howgate
accepted the place upon the distinct condi-
ton that he should have exclusive control
of the finances, and that even Gen. Myer
fere with their management.
Previous to his advent deficiencies for
the service were regular every year. How
gate pledged himself to stop them, and to
live within the appropriations. He kept
his word in this respect, and thus strength
ened the confidence of Gen Myer in his
ability and in his integrity. After he had
thus established himself Howgate proposed
to resign, giving as a reason that he could
better his condition outside.
He had rendered himself indispensable to
Gen. Myer, and this suggested resignation,
repeated several times, was mere trick to
make his power more absolute and to
throw dirt in the eyes of vigilance, already
drowsy from Indifference or neglect The
scheme succeeded. Howgate was com
plete master of the situation. Not dol
lar could be expended without his consent,
nor debt contracted
The appropriations went into his hands
exclusively, and he put them where they
would do the most good to himself He
drove hard bargains for the office, with the
double object of preventing deficiencies,
and of providing a larger margin of
money TO devote to his own operations.
His system was admirably arranged for de-
ception, because it was ostensibly based
upon the idea of economy and of rigid |
Gen. Myer was completely taken in by
Howgate's methods, and indeed he was un
fitted by mental condition to counteract |
them. Consequently he signed the null
titude of so called vouchers that were |
daily presented to him without question,
and as a matter of mechanical duty. He /
had not the remotest suspicion of wrong,
and the guardians of the Treasury, seeing
everything in form, passed the accounts al
most as a matter of course. Howgate had
taken care to conquer prejudice in that
direction.
The possession of such undisputed au-
thority turned Howgate's head. He excit-
ed jealousy and malice among the subor-
linates, who were divided into two fac
lions, for and against him, the larger, of
course, being on the side of power. But
lis enemies were bitter, active and intelli-
gent. Some of them had watched him
loosely, knew his habits, saw his specula-
ions and concluded that the pay of a
3revet Captain would not justify his mode
# life nor his investment in real estate in
Washington.
They insisted that certain vouchers.
hould be examined; and when the investi-