Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1888-07-22

Men vbe Have Been RobbinG the
Government for Twenty Years.

SCANDAL ASAvy-IARD.
Men whe Have Been RobbinG the
Government for Twenty Years.
Now York start
A bic sensation was created among the
employees II the Brooklyn nsyy-Jard yester.
dav wheu Il was learned that Daniel Laird,
az employ6 who VAS dismissed ten DAYS aso.
had been arrested on charge OF conspiring
10 deffaud the Government, and that other
arrests were likely TO follow.
Secretary Whitney learned several months
ago that frauds we're being perpetrated In tie
purchase 81 supplies. Whether Il was con-
fined TO the Brooklvn yard, which Is the
principal station for the reception Of stores,
or whether Il extended all through the
Various naval posts was not kncvn. Pay.
master Allen and J. Monroe Herskell, OF the
Department Of Justice, were sent on from
Warrington 10 work up the matter. They
bsye been in Brooklyn for two weeks viEo-
rously m work They msde little Roadway
until several days after their arrival, when
they secured an admission from Daniel
Laird. which indicated that be knew some
thing about the frauds.
Laird vas superintendent Of mills aud had
charge OF all the supplies received. Having
fou1d clew the officials soon learned
ns,sl, " hch took plIcs shout ten days ago.
With him out Of The yard the officials pTo-
ceeJod with their inveslisaii0n and de-
yeloped the fact that the Government has
beer automatically cheated fer twenty years
by dishonest contractors and dishonest en-
poyts.
All the goods purcha,ed are obtained
through bids. the bids beng duly AdveT-
tised fer. When received they are sent on
II Washington, and the contracts were
awarded there TO the lowest bidder. ltSeems
that for twenty years, during all Of which
time Laird held a position in the store
Keepers department, there has been z com.
binatiOu OF contractors, who have supplied
all the goods TO the Government AZ profitable
rates. The system was SO worked that only
q member Of tue combination could be the
lowest bidder. The actual case IN which
Laird was caught will serve 10 explain the
system.
lat spring the Government wanted 5000
pounds Of tea, snd accordingly bids were ad-
Yerlised for T. II. Leggett & Co, the gro
GERS, wanted to Bid. and they sent their
representative, c. j. Conzhey, 70 the navy
Yard 10 inspect the samples and 10 get what
information be could. Laird was the mss
70 whom he had to 90. Conghey says
Laird produced a sample OF tea which
/
furnish for 50 cents per pound. They
put in bid at that price, but subse-
quentiY learned that the contract was award
ed 10 i r.. MGirs, New Yors grocer, whose
bid was % cents per pound. Conghey could
not understand why there should be such
discrepancy between bids made upon the
same samples, and he procured SAMPLE OF
the tea furnished under the new contract.
lie fouud that 1t was much poorer than the
sample supplied 10 him 10y Lard. II beng tea
that Leeeett & Co. could supply for is cents.
lie reported the matter 70 the proper autbo-
rites and the snap was disclosed.
Whn a man not member Of The combi-
nAtjoB asked 10 sec a sample Laird showed
him much better article than toe standard,
40 ~ course II he put I'm a bid that would be
mach higher than those Of the combination
bidders. and Of course be stood 20 chance 70
get the contract. The combination bidders,
on the other hand, could bid good price
for The quality II goods they proposed to
supplv and have q Peod msrgn Of profit Ieit
after they ND divided with the Government
employGs who aided the scheme.
Paymastcr Allen and Mr. Ilerskell con-
icrrtd with Upited States Marshal stafford
Wednesday afternoon aud it was decided to
nut Laird under arrest before any further
stems were taken. They learned late IN the
evening that he was enjoying himself at a
picnic " the knights of Iron Hall at Wash.
lneton Park. Eastern district. They reacked
the mark before the picnic broke up and
Marshal Stafford informed Lsird that he Was
a prisoner lie was greatly surprised but
accumpanled The officials. lie was arraignrd
Yesterday afternoon before United states
Commissioner Morle in Brooklyn, and plead
ing not guilty, waived examination. Henas
held IN S9.5O0 bail 10 await the action OF the
grand Jury. Net being able to Obtain bail
Laird was locked upin Raymond'Slreet jail.
Ill open NY mouth to make astAtemen',"
said the prisoner yesterday, al Will shake
he two cities from foundation 10 roof
Whatever did was only ~ 2subordinate."
Further than that he refused to say any
thing.
Warrants are already out for one or Two
other persons and the officials hope 10 get all
the men who have been concerned IN the
steals. The arrests will not be confined 10
empley6s, but TO the contractors who sup
Piled tie goods.
Laird IL Republican and resides in the
TWrnty.dxlh ward. He was appointed
under Republican Administration ana
held bis place by Republican influence. lie
il about foriv-fye years old, aud has an in
terestine family. lie has borne good repu.
tatiou heretofore. Both the officials and
lAe contractors who we're interested In the
combination are Republicans. II was well
known among supply contractors that until
Very recently Democrat bad no show OF
getting a contract at the Brooklyn navy
yard. -.
John G. Mars, who was associated with
Laird in the tea contract, was arrested lat
evening. Mars is clerk for Houghthlnx
Co., tea dealers on Front street, this city.
! Deputy-U nited States Msrshals Biggirt and
McCuimla found Mars al his home, No. 52I
Jersey avenue. Jersey City, and took bum TO
BROOKLYN, where he wss arraiEned before
United. States CommissiOner Morle. lie
pleaded not guilty, and was held I'm $4,000
bail. At late hour he had not secured
bOndsmSp,
Mars refused 10 say anything except that
whatever the Government got from bis firm
was in accordance with the samples furnished
by the officials at the yard, and at prices bid.
lie Nil have hearing this morning