Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1881-05-24
4 Speci,neu Republican Steal.


WASHINGTON, May 2s.-The investigation
of the accounts and conduct of o. L. Pitney,
custodian of the treasury department, ordered
by Secretary Window, is developing ugly
facts and involving persons who have had
high places. Pitney's business is to buy every
thing needed in the treasury, Including furni.
ture, carpets, soap, etc. It is ascertained that
he has for six years violated the law requiring
him to purchase by contract from the lowest
bidders. He has bought from friends and
favorites without taking any contracts, paying
them whatever they charged. No system OF
books or vouchers has been kept. Everything
has been running loosely ana without any sort
of business rules.
oUTRAaEoUsLY ExoRBITANT
prices have been paid, ranging from 80 to 50
per cent higher than ruling market prices,
and the difference between market prices and
those paid has been allowed Pitney by the par
ties he purchased from, in the way of goods
for his own use. One cabinet maker, named
Frazier, who is regularly employed under Pit.
ney, testified that nearly all his time for sever.
al years past has been consumed in doing work
for outside parties instead of working for the
government; that he spent one month IN work.
ing in new house of one high government
official; that he frequently went from
one house to another of persons In
government employ, some holding important
places and doing whatever they wanted, and
the money paid for his services was
CHARGED AROUND TO GOVERNMENT BUREAUS.
He swears that he made fifteen fac-similes
of the desk used by Jefferson when he wrote
the Declaration of Independence, and which
was presented to the government year or so
ago; that each of these desks cost $50, the
materials for which he paid out of the govern
ment money and charged among materials
needed for the government use. These fifteen
desks were given out as presented by the au-
thorities in the treasury to friends. The
furniture belonging to the treasury has been
loaned out on occasions of receptions at Ger.
tain residences. Facts 60 to show that the reg
ular ring, consisting of subordinate officers OF
the treasury, some of them holding responsible
positions, subsisted on benefits got from the
loose and reckless management of the custo-
dams Office. The captain of the treasury
watch, the clerk besides Pitney and his book
keeper, the storekeeper and hOstler who have
charge of the cabinet making department, one
assistant secretary and others have derived
more or less advantages from Pitney's method
of doing government business. In few In
stances contracts have been made, but not in
the most important and extensive purchases.
Pitney has built him a new residence. The re-
port of the investigation will probably be
number of removals. Ex.oabinet officers are
mentioned in the testimony as having had the
benefit of the government cabinet-maker's
work at their private residences.
UPTON IN THE STEAL.
Developments in the investigation of the
treasury custodian's Office is attracting gener
al attention. After Secretary Window took
charge of the treasury he was advised of the
ring now being exposed. AS soon as the Sec
retary got time from the pressure of appli-
cants for office and other pressing matters, a
commission was appointed with strict in
structions to make the inquiry complete and
sweeping, and to spare nobody. Congress
makes appropriations for the Gus
todian of the treasury, or rather for
the contingent expenses of the treasury, in
bulk. Last winter an effort was made by the
House committee, on appropriations to adopt
the plan and make specific appropriations of
certain sum for carpets, fixed sum for furni-
ture, and Sc on, but this change was prevent
ed by protests that such mode of ap-
propriating would cripple that division OF
will, it is said, make more developments. The
ring has been in operation for years and now
that exposure has begun profits can be traced
to many persons. Two years ago Assistant
Secretary Upton was informed of the
wrong doings and the misapplication
of public money by custodian Pilney, but no
steps were taken towards correction. 1t is as
serted tonight that Upton will soon be re-
moved, and that the strong fight made to keep
preventing the exposure now to come by this
investigation, and that of the star route ser
vice are not the only ones to be made. The
present administration is searching through
all departments of public service to learn
how the public business is beiug conducted,
and whether any reckless, wasteful OF wrong
practices exist anywhere. Wherever any ex-
ist it is to be exposed, and wherever public
money is wasted it is to be stopped