Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1900-05-23
!
THE NE..ELY FRAUDS
Havana Friends of Postmaster Rath-
bone Think He Has Been
Unjustly Treated.
Many Of the Stories Of Extrava.
gance and High Living
Are Denied.
Nicely Now in New York Jail and
His Bond is Placed at
$4,000.

Havana, May 2s.The announcement
from the palace Moncay night that
Estes G. Rathbone, the suspended di-
rector general of posts, would be ar
rested if he attempted to leave Havana,
has caused q sensation and resulted in,
an outburst of bitter feeling from Mr..
Rathbcne's friends, Who claim he has.
been used unfairly from the start. They
assert that the attacks upon him for eN-
travagantly furnishing his house at
Cerro are unwarranted, those eSpendi-
lures being trivial compared with the
OUTLAWS for personal comfort made by
other oflice-holdsrs here. This feeling is.
liable to bring out many startling facts,
which the official examination might
overlook.
Enough rumors are round to keep the
investigating committee working for
months Mr.. Eathbone showed no ami
mus when interviewed tho it is appar-3
emf tina. he feels keenly his suspension.
He said he did not intend to leave the
island until Neey was brought hack
Regarding his alleged extravaganza he
said he courted the fullest Investigation
and haa 50 Informed the Washington
authorities. He had no fear for the re-
suits. The facts. he said. We're greatly
exaggerated. He said the government
had hired a house partly furnished and
ne had completed the equipment All
articles bought and now in the house
We're iteniized as government property.
Speaking of the postal service and the
Facts leading UP to his suspension Mr.
Raihboae said:
The public should not forget the
amount Of work done by the department
and the difficulties I've had to contend
with. To the credit of the department it
can be said that of the vast amount in
money orders handled there has not
been one cent shortage. We Were doing
a business of s20,C00000 annually. hand
ling all collections outside OF Havana
for the military, taking money from the
civil government To the municipalities
and acting as carrier for the trust COM
3pany that is the governments fiscal
agent.
The volume of business last year
was astounding. Until the rates We're
raised every merchant in the city used
the ctiice AZ 4 medium of exchange to
the United States. We ran as high as
$4,000 d day in money orders. There
is the greatest danger OF leakage in
post Offices with the class of help sent rne
from Washington. This. as Well as the
work OF the whole department required
lots of my attention. | viewed this rap
i'd increase in the money-order business
and the general extension OF the service
1 With a realization that my responsible
ty WAS daily increasing and repeatedly
asked Wa s'ilinston TO send me expert
encGd inspectors and also experienced
flnen to lock after the auditors depart
] ment.
alr. Nicely came to me highly recon-
/ niended by Perry Heath. placed con
/ fitience in MIN the same as placed con
/ fidence in Thompson and Clark Bristow
i L had 10 rely on somebody. The mill
tary auditor reported 10 me monthly
4 Neelr', balances We're correct, and ths
inspection Of Neely,s accounts based OF
4 the auditors statement showed them Il
be correct. In the latter part OF Apri
i a system of alidits the same as n tn,
| United States Was introduced. | ha,
confidence III the system and confidence
in the war department employe VII,
was auditor. | could not PERSONAL.
make thase inspections because of in
4 nume.ai.t other duties, but specia
\ agents educated for that business
whose duty it is to find fraud or ir
Irregularities. examined Neelsf,s account
an6 they We're always reported eorrec
to me. l fear no smirch on my homo
by this Investigation, and ] assume a
1.-THE responsibility any man in my posi-
tion could have assumed"