Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1900-07-26

$12,500: brick plant at, Havana, in
which he invested $4,000, and some
mining schemes In South America.
DREW ILLEGAL PER DIEM.
Dec. q, 1898, when Rathbone was APP
pointed director general Of posts, his
salary was fixed at $4,000. At his re-
quest the postmaster general allowed
him per diem OF SIS in addition. He.
claimed that this was not sufficient, and
June 10 the postmaster general increas
ed the salary to $4,000, with notification.
that with the increase the per diem
would cease.
July 3 Rathbone complained that the
increase amounted to 1910. and asked
for an official residence. This also was
allowed. Dec. 10 the postmaster general
officially fixed Rathbones salary at &c.
500, making it effective Aug. l.
But altho the per diem was cut off
Rathbone continued to draw 1t. When
called upon by Col. Burton for his au-
thorlty for this allowance Rathbone
submitted the letter. suppresslng that
part OF it prohibiting the per diem.
NEELY.S VAST INFLUENCE.
The report says Nicely occupied the
most confidential relations With Rath-
bone and was regarded as the most in
l.huential with him of all the postal en-
ipioSes.
The report finds that Rathbone's ex-
lpenditures in the payment of debts and
living expenses We're much in exec SIS of
his salary, that in September and Octo-
Der. 1899. within thirty days after the
destruction of the surcharged stamps,
l.Rathbone paid over $4,000 Indebtedness.
In discussing this subject the report
IsaNs.
1t s evident that the money with
which this Indebtedness Was paid was
secured from some. other source than his
salary, and up to This time l have been
unable tolearn Of any source of income
that Director General Rathbone had
other than his compensation as director
lseneralsof posts.
The report closes as follows:
Director General Rathbone main
tains that he issinnocent of wrong-do-
ling
Granting that what Director General
IRa5hbone states is true. he convictss
himself OF the grossest carelesaness in
the administration of the affairs of his
Ioilice, orSof an utter incapacity to COM
preheni iis duties aud responsibilities
OTHERS IAIPLICATE.D
w III u elS!ellCt'slo tlle < ulit sOI L.. Il.
Thompson, the postmaster at Havana,
the report explains thai IN September,
1899, he issued four money orders in his.
own behalf for 500 each and deposited
for them in lieu of cash due bill for
S4o0. When he inspection WAS made
he took out his due bill. deposited cash
from the remittances and after, the in
spection mad been finished he Withdrew
the $500 and replaced his ue bill.
Thompson knew thai his act was a
crime, says the report, ANA when he
covered up his shortage and deceived
the inspecting officers he plainly
showed that ne was aware he had SER
lousy violated the law"
The report says that t.. NJ. Rich, who
was brought 70 Hanava as Nsely.s ass
sistant, told Rathbone in April that
Nicely was crooked Rathbone denied
any such conversation with Rich.
The report continuing, says;
Rich claims to BE- innocent, out he
at least had knowledge of Neely's en-
bezZlements long before he claims To
have told Rathbonesa Reeves confessed
that Nicely paid him $4,000 for conceal
I ing the fraud in the destruction of the
stamps. Both Rich and Reeves protest
\ against any criminal designs. How
much credit should be given to their
Statements is difficult to determine