The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1881-05-08
STRAW BONDS.
The First Batch of Star Route
Frauds Nabbed.

Philsdelphia, 6.-United States Com
missioner Smith, this afternoon, issued q
warrant for the arrest Of five people
charged with having committed frauds
upon government 10 connection with the
execution Of worthless bonds for Star
route contractors. at o'clock three
were arrested aud were given prelimi-
nary hearing before the commissioner.
These we're VIM. r. Cason, Joseph
Funk and Joseph Blsckmore. The
United St4tes district attorney, who rep
resented government, produced no evil
dence but briefly gave tue charges
against the defendants. Funk and BlacK-
more are chsrg,d with being principals
in bonds executed in July, 1879, and
Csson is charged with acting as surety,
,epr esenting himself as being worth in
each Csc $4,000. They are therefore
charged with conspiracy to defrsud CIV
eminent and also with perjury. The
bonds are said to be fraudulent. All
three men are poor, and Cason,
who is clerk, has nothing,
it is stated, but his salary. The contract
in the case of funk WAS to carry mslls
from October LIST, 1879, TO June Both,
1882, on route No. 80, 592, between Fort
Griffin and Fort Elliot, Texas, for 81, $50
per annum. Blackmore was to carry the
mails between the same dates on route
No 81. 572, between Bracketsville and
Fort Stockton, Texas, for $3.50 year.
The contracts were performed by other
parties at greatly increased rates There
| is another boz d of BlackmOre for 81 6OO,
which provides that he shall carry mails
| Fl m October LIST, 1879, to June 3Oth,
1882, between Fort Elliot and keschits
Falls, Texss, for $3.50. This contract
was also fulfilled by others at higher
price. The defendants we're each placed
under 5000 bail for another hearing at
noon to- morrow. Osson was the only
one who furnished bail. Warrants were
also issued for the arrest Of Joseph X.
Black and Henry G. Arbuckle, the
latter clerk along with Cason in the
office Of O. w. Matthews, metal broker.
Government officials are very reticent.
Important disclosures are expected 70
follow these arrests.
Philadelphia, 6.-At noon to-day,
Joseph R. Black, business partner oil
Albert G. Hsrmer, member Of Congress
from the Fifth PenHsylvapis Districts
Joseph Funk, j. BlAckmore and w. T.
Cason, who were taken into custody
yesterday, for completely in the scheme
| to QGTrAQQ the u nlCe0 OtAtes RONCIhlhSo
by putting in straw bids TO secure con,
tracts for carrying mails, were srraignec
for hearing before United States Com
missioner Smith, Ia the United States
court room. Government WAS repre-
sented by United States District Attorney
Valentine, while each ofthe accused va
represented by eminent members OF th'
Philadelphis bar. A large number o
witnesses were examined. It WAS shoWr
that the bonds had been executes
in Blacks Office in this city, blaei
made a statement 10 which he scknowl
edged that he was contractor, and tina
the other people who had been taken mt
custody had bid for him in order tns
proper security might be entered: d
further stated that be was able and per
feclly willing 10 indemnify government
for any loss they might have sustained
The testimony previous 70 this Statement
being made was Of such conhlctln!
character as to the completely OF blacl
that the commissioner was unable 70 CIV
. = decision ia the matter. Finally, ate
two hours, all OF the accused were bel
in S. 600 each for further hesring o.
Monday.