New-York tribune., 1897-07-29
PRICE THREE CENTS.
A LAND OFFICE SCANDAL
FRAUDS WHICH HAVE COST THE GOV.
ERNMENr MORE THAN 100000
THE STORY OF THE BENSON CLAIMS AND CON-
MISSIONER LAMoREAuxs APPROVAL or
THEM-A COMPROMISE MADE BY
COMMISSIONER HERMANN.
fBY TELEGRAPH TO THE rprer,vr

COMMISSIONER HERMANN
BY TELEGRAPH TO THE rRrsuNgl
Washington, July 2S.-The Interior Depart.
ment, under the direction Of the new Adminis.
tration has undertaken TO dispose Of the Benson
frauds. which had their beginning in the seven
years from 1878 to 1885 In California and other
Western States. These frauds consisted in false
surveys, which cost the United States more than
S1COO,OOO. The last Of the Benson contracts as
they are known. remain unsettled. although the
recent Commissioner Of the Land Office silas
W. Lamoreaux, did his best to give Benson and
his associates all that they asked for. He might
have succeeded had not Secretary Francis In one
instance. and the present Commissioner, Bnger
Hermann, In another blocked him.
Commissioner Lamoreaux first prepared an es-
Innate to go into one OF the appropriation bills
for $4,000. to satisfy all Of the remaining claims
In these fraudulent surveys. but Secretary Fran
els would not approve the estimate. and IT
not submitted to Congress. Lamoreaux cannot
offer ignorance as an excuse for his action. be-
cause he prepared the estimate under protest OF
II. L. Collier. OF Georgia. one Of Secretary Hoke
Smiths appontees and an expert. who had made
careful examination Of these surveys and
well satisfied that they were fraudulent. Collier
for his pains, was dismissed by Lamoreaux's
orders.
A HALT CALLED BY MIR. HERMANN.
When Binger Hermann succeeded Lamoreaux
Commissioner of the Land Office he soon dis
covered that his predecessor had approved the
accounts for the five remaining Benson sur
veys" and had sent them, In all amounting 10
$4,000, of which $4,000 was for surveys and
$1,000 for other claims, to the Treasury Depart
ment for payment as soon as an appropriation
might be available. This also was done against
the protest Of Inspector Collier. Commissioner
Hermann caused the agents Of the Interior De-
partment to conduct investigation which sat-
isfed him that Lamoreaux should never have
approved the accounts. He Immediately sent an
order to the Treasury Department and had the
papers returned to the Division Of Accounts OF
the Interior Department He also issued notice
to Benson and his associates TO show cause why
the payment Of their remaining claims should
not be suspended.
Benson with his attorneys hastened to WASH
ington and spent many days arguing and plead
ing with Commissioner Hermann to let Lamo-
reaux's approval OF the accounts stand. But
when Commissioner Hermann produced the re-
ports OF the agents of the Land Office showing
conclusively that the surveys were not valid
and had not been made honestly. Benson weak
ened and proposed a compromise. This COM
promise Commissioner Hermann entered into
and by Its terms the Surveys will be made over
| again honestly, and when approved by the
| agents Of the Land Office will be paid for The
United States, for the time being. agrees not 10
prosecute civil suits to recover money which
was paid out of the Treasury fraudulent
| claims.
BENsON's RECORD IN CALIFORNIA.
| The evidence In seventy-sx indictments against
John A. Benson his associates and employees.
| for violating the laws OF the United States best
| shows the character Of the business ne engaged
| in. Benson after his arrival In California hrst
taught school. but he soon gave this up to enter
| the Government service as deputy surveyor. He
| held this office until May -, 1873. when he
| rendered his resignation to Surveyor-Generai
| Wagner of the State Of California. on account
| of his wish to engage In business which IN some
| respects might be incompatible with his duties
as deputy surveyor" Prior to his resignation
| he and his associates had secured surveying
contracts 10 the amount Of St'Wo from sur
vevor-General Wagner but after his resignation
Benson's name disappeared from the rolls Oh
the Surveyor-Generars Office as contracting
denutv and thereafter he employed men to make
surveys in California and in other States OF the
| West and Northwest. These men were ap-
polnted deputy surveyors upon the request OF
Renson and without their knowledge he took
contracts in their names. He had them sign
blank bonds contracts. oaths, powers Of attor-
nev etc OF which they knew neither the I'M
port nor the use.
Benson paid some OF his men monthly wages
of $50 to 500 and with others he divided the
profits OF contracts taken In their names. In
california he nomina led such men as he wanted
for deputy surveyors. and Surveyors-General
Wagner and Brown straightway appointed them.
He arranged with different persons In san Fran
cisco TO act as sureties for the deputies and such
bonds were Invariably signed III pianK' oa,hs
were seldom administered
Evidence filed away in the Interior Depart
ment shows that Benson had the cooperation
and assistance Of the yor-Generals office In
conceang from the rings dummy surveyors
tho fact that contracts had been put in their
names without their request. consent or knowl-
edge Contracts amounting to 100000 were taken
ont in the names Of five persons who did not dis
| cover that there were contracts in their names
until two years after they had been entered IN
the records and III some cases not until the
frauds had been exposed. The proceeds OF these
| contracts were collected and turned over to Ben
CO, nv the use OF powers Of attorney. signed in
! blank and filled up as required, which were ac-
cepted by the Surveyor-General and were for
warded TO the General Land Office Part of such
mowers Of attorney, signed in blank, purport TO
have been duly executed before Theodore Reich
ert the chief clerk OF the Surveyor-Generars
office. acting as United States Commissioner.
One of the five persons referred to was never
appointed a deputy surveyor never took an oath
| of office never issued power OF attorney. and
! never collected a dollar, though the Treasury
Department paid in his name to the Benson rins
$4,000.
GIGANTIC SCHEME OF PLUMBER.
The history of the rings operations In the State
~ California alone shows that IL was the most
s,unendous scheme OF fraud. perjury and public
robbery. assisted and protected by officials OF
the Land Department. that has been exposed
since the formation Of the Government In 1885
Il ont 10 10 ka