The morning news. [volume] (Savannah, Ga.) 1887-1900, 1900-05-09
EXTENSIVE POSTAL FRAUDS.
THERE is A SHORTAGE OF FULLY
$4,000 IN HAVANA.
Surcharge Stamps Which Were Or
dered Destroyed Seem 10 Have
Been Sent Out by Neely-Neturns
From PostOflces Outside of Ha-
vana Were RediculousIy Small.
The Shortage Was About $4,000 a
Nfoutl,

FHha were he0tcutOusiy small.
The Shortage Was About $40 a
Month.
Havana, May s.-The postal frauds
have been the principal topic of CONVEX
sation in Havana to-day. although as yet
the papers have scarcely alluded 10 the
matter.
The department of posts admits the
shortage of $4,000; but further investiga-
ton has brought TO light THAI in the last
year the receipts showed a falling off of
about $4,000 from the average of the
months previous and that this shortage
has been kept up ever since.
1t appears that about that time Dlrec-
tor of Posts Rathbone gave orders for
the destruction OF SAIL. 900 worth of sur
charge stamps on account of the issue
OF new stamp. This work of destruc-
ton was left in the hands of Charles r.
w. Neely and his assistants, but 1t is
now believed that none of those stamps
were destroyed. the theory being that they
We're sent out with the new stamps.
The Havana receipts amounted to about
$4,000 month, according to the books,
but the other offices of the island showed
only 5000 or $4,000, amounts palpably alb
sured. 1t is astonishing that the short
age was not discovered before, because the
receipts at Santiago or Matanzas alone
should amount to nearly $4,000. Absolute
proof that something has been goiug
wrong is shown by the fact that Auditor
Barrie reports the receipts of the island for
the first five days of May as aggregating
5000. Should this average be continued
II would mean total of more than $4,000
for the month.
others Are Involved.
That others than Nicely are involved is
implicitly believed. although the evidence
as yet Is not sufficient to justify their ar
rest. Nevertheless, should certain per-
sons attempt to leave the island they
would be taken into custody
Neely has made investments here and in
other parts of the islands, having as
partner a postal employe. Carrydon
Rich, who now holds the power OF attorney
for Nicely was yesterday appointed to fill
Neelys place as chief financial agent of
the Havana Postofflce, but to-day the ap-
pointment was suspended.
The military authorities know little re-
garding the matter beyond what Col. BUR
ton, Inspector general, reported; for the
department of posts has been virtually in
dependent of the military authorities and
has reported directly to the Postmaster
General. The Inspector general has merely
made quarterly inspection. On his for
mer inspection tour he found a shortage
of more than $4,000; but such plausible ex-
cuses were given that they thought he was
probably mistaken. When he entered on
his last inspection his suspicious were fur
ther aroused and resolved to probe mat
ters to the bottom. This close scrutiny
revealed features OF the case which have
not yet been made public. 1t seems that
Neely kept scarcely any accounts which
would bear showing, MIR. Rich, his own
assistant, indorsing his accounts as cor
rect.
Gov. Gen. Wood has ordered that oil
property standing in the name of Nesly in
Cuba should be placed under government
control.