Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1885-07-30
The Roach Failure.
SECRETARY WHITNEY WRITES TO THE AS
sIGSEEs.

Secretary Whitney has sent the following
letter to Mr.. George w. Quintard and the
other gentlemen to whom Mr.. John Roach
made an assignment:
At our interview in New York on Wednes-
day last you requested me to take into con-
sideration the condition of each of the con-
tracts between the government and Mr.. John
Roach pending and incomplete, and in view
of his assignment make some suggestion as
to the method OF dealing with the whole sub
ject. ! gave YOU assurance that | would do
40, and communicate after reaching WASH
ingtOn. As view the matter the rule which
governs individuals in these business transac-
tons should govern the action of the depart
ment. At all events if there is a different
rule proper to be applied. | am not aware of
it. My duty heretofore has seemed to be
simple and plain. 1t has been to insist upon
the strict enforcement of contract obligations
interpreted to me, without regard TO conse-
quences. That is the ordinary, plain, BUSH
ness method, a departure from which in a
public officer can have no Justification, and
in like manner | know of no reason why the
ordinary principle which which actuates mer-
chants in dealing with each other and in ac-
cordance with which generous consideration
is extended ordinarily to an unfortunate
business associate should not govern the ac
ton of the department under similar circum-
stances. The business method of dealing
" it'll the matter which would be pursued by
private parties would be first to become salts
fed that the assignment was in good faith.
and then consider the best method, from q
business standpoint, of bringing about Il SET
Element of current and incomplete
contracts upon fair and just basis
tor both parties. If have the power, there
tore, will enter into the consideration with
you of the point to which the contracts have
been performed, and endeavor to settle upon
some just and fair basis for the disposal of
the matters. OF this informed you at our
meeting in New York. This course, just
and right under all circumstances, is compul
sorry upon the government in the present
case. The very liberal treatment which the
contractor has heretofore received has left
the government without sufficient margin of
moneys reserved to enable it to protect itself
10 the present situation.
The contract provided that 10 per cent
should be retained from the bills as they be-
come due aud held as security for the COM
pl' ton of the work. At the present time
those reservations would have amounted to
S2l0,7l0. They have been surrendered to
the contractor under circumstances not i'm
portant to consider now, with the exception
of S26,670. In addition to this small SUN
of S26,510 in our hands. there are unpaid bills
for extras claimed on the ships, amounting
TO S2G, 6SS 30, and in dispute on the Dolphin
$40 ,9i5; altogether (mostlv in dispute) 3S3,
304 As against this, four ships are in YOUR
hands upon which over two millions has been
paid, which must be completed to be valuable.
liable to greater deterioration by neglect than
all the money unpaid and in dispute would
repay. 1t is of the utmost consequence to
the government AS it is to yourselves, that a
Just settlement of past transactions should
be had and new departure made. suggest
AS practical method of arriving at a solu-
ton of the matter a meeting of yourselves
ard your counsel with the attorney general
and myself, at which some practical method
of dealing with the subject may be arrived at
which shall be within my legal authority.