The Washington weekly post., 1900-05-15

troll to replace the present mechanism In
Cuba
Ihe Assistant Secretary OF War. who
has mad IN charge the postal scandal.
20 iaF as II relates TO the War Depart
meht salo yesterday afternoon that nc
was certain that IL would not be long be-
lore the department would be in nogses-
SION OF accurate information showing the
f>tent .. the peculations OF Neely nd his
associates. At the same time. Il Is ad-
mitied BY the department officials that
ihey cannot give an exact estimate. nor
can they do so until the accountants have
completed their work.
100000 In stamps Uhaccounted For.
The matter, therefore, rests at the point
where Col. @. II. Burton left of. and ais
report 70 the War Department shows that
commission. Of which Neely. the treas
ureT. and Reeves, the assistant auditor
lot posts We're members. was appointed
10 destroy $4,000 worth OF stamps whicn
We're subsequently found 10 be in circula-
ton. Another phase OF the matter which
has Yet TO be cleared up relates 70 the
cisposluon or the amounts paid 10 Direct
or Kathbone on acquisitions approved by
Gov. Gen. Brooke and Gov Gen Wood,
which he certified were necessary TO make
up the deficits In the postal accounts
From January p, 1889, until June 30, 1899
the deficit amounted 20 1920. but the
Cuben postal receipts always fell behind
the expenditures, and il was necessary
for Directo: Rathbone 20 make quarterly
calls upon TIE governor general. The pub
lished reports Of the War Department
show that Capt. r. F. Ladd. treasurer Of
the island. paid TO Director RathtbOne up
To December 81 1899, somewhere between
$2lS.O22 and $i20,927. when the Post-offlce
Department had no knowledge that de-
iiCiency existed.
In making acquisitions direct upon the
governor general. administration officials
say that the director failed 20 carry out
the original order which Gen. Alger is
sued. This contemplated that the direc-
tor should inform the Postmaster Cen
eTal of the extent Of the deficit and the
latter official should make reqGisitions
upon the War Department. which should
issue the necessary instructions through
| the governor general
glance at the difficulties under which
the authorities are labOring will show
how they are handicapped In their ef-
forts 10 obtain absolute information. Al
| interior points in cuba there are many
pOstmasters who have no general credit
for stamped paper. II may have been that
the men who stole the stamps which were
valued at s!O0,O00 took them 20 the in
terror poStmasters and disposed of them
at half rate or less. This could very well
have been done, as the transaction was
clear profit 10 the thieves. The pOstmas-
! ters would hardly be willing to testify
against the agents who sold them the
stamps in view of the fact that they
would Thereby cast discredit upon them
selves and their own honesty.
Discussed NeeIy's Extrndition.
The conference of the President and his
| Cabinet officers also related TO the extra
| Cition of Nicely Attorney General GrigGs
| is convinced that Neely will resist eXtrad!-
| tion proceedings, despite his alleged will
| lingness 10 go to Cuba, but told the Presi-
| dent that he had no doubt of defeating
| Neely's lawyers In any court
The President directed the Attorney
| General TO spare neither time nor expense
! in presenting the case to the court in the
most favorable manner. 1t is the present
| intention OF the administration to get
Nicely to Havana as speedily as possible,
| but it is realized, of course, that his law
| yers, If at all shrewd, can give the govern
ment considerable embarrassment by the
| questions which they will raise and by
! continued appeals until the Supreme Court
| is reached. Nicely will claim, ii is und'r
| stood. that his alleged thefts were
/ mitted in a foreign country. with wn. ...
we have no extradtiOn, and that, IS no
| United States law was violated, he cannot
| be tried in this country. The government
will agree that Cuba is foreign territory,
administration is the controlling power in
the island, and that the demand of the
governor general must, therefore, be rec
ognized. In addition to this, it will be
held that under the comfy of nations this
government is compelled to surrender
Neely 10 the Cuban authorities.
Opportunities Offered TO NeeIy.
Further examination into the methods
employed by Neeiy has resulted in some
interesting discoveries. II was pointed out
IN The Post last Sunday that Nj Rath-
bone had unlimited power TO make con-
tracts of all kinds. This authority. il
seems, was also enjoyed BY Neely in the
ordering Of stan rs. II is now said that
Neely was in the habit of ordering stampt
in lots of several hundred sheets al a
time. When the sheets arrived he entered
them as being and cent denominations.
whereas. so far as any check upon him is
concerned, they might have been 10 or 10
cent stamps. II they were, Neely simply
pocketed The difference between the
amount entered upon the postal books ana
the face value of the stamps There is 10
way of determining how far this fraud
if there was fraud, was practiced, but the
officials of the Treasury Department, who
are investigating the matter frankly ad-
nit that tie opportunity for theft was
unlimited. An effort is now being made to
trace Neely's reqUisitiors TO the persons
whom be employed 10 print STAMPS for
him, but If these reluisitions cannot be
found, there is no way in which the ey-
act value Of the stamps actually received
can ever be known, as the books of the
Cuban postal sy stem kept by Neelv and
his friend, Auditor Reeves, are known 10
have been falsified and are therefore unre-
liable.
Prospect of Congressional Investigation,
Senator Bacon will ask consideration IN
the Senate to-day for his resolution pro-
Losing TO direct the Committee on Cuba
TO make full and complete investieatio
Of the frauds which have been discovered.
II was said yesterday to be the purpose
Of the Republican majority 10 vote tc re-
fer this resolution 10 the Cuban Commit
tee. where IL would rest until Congress
adjourned. but II is difficult to see how
any Republican can afford TO vote against
an investigation. At any rate, there is
certain TO be some interesting debate be-
fore the resolution is voted upon. The
Democrats are determined 10 insist upon
q thorough expose Of the miSmana cement
OF affairs in Cuba.
The sentiment I'm the House against
smothering or whitewashing the Cuban
scandal is as strong as ever Al its next
meeting the Committee on Insular Affairs
OF which Representative Cooper. Of Wis
consin, Is chairman, will take I'D Air
RromwelTs resolution demanding an in
vestieation and will also have before Il
resolution offered by Representative J. r.
williams. OF Illinois. framed on the same
lines as that presented in the Senate Ly
NIr. Bacon, The feeling in tee committee
a, present is that one Of these resOlutlGfs