The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1902-01-17
REEVES TELLS THE
STORY OF THE CUBAN Pos
tai FRAUDS.
PACKAGES OF STAMPS SHORT
After Being Destroyed the Difference
Was Divided by the Conspirators.
Other DefaIcations Described-Rath.
bone Was to Be Civil Governor,
Nicely Treasurer and the Witness
Auditor.
Auditor.

Havana, Jan. 1.-THE government
has finished the examination OF w. II.
Reeves, one of the defendants in the
postal frauds case, and he will be
cross examined by counsel for Nicely
and Rathbone. 1t was evident through
out Reeves testimony that the charge
against all the defendants is based on
Reeves statements, for the fiscal con-
Quoted his examination question by
question from a typewriter copy OF
the accusation, and Reeves testimony
substantiated the conclusions drawn
in the accusation. Reeves said that
Rathbone had appointed him chief
postal accountant, but that he had
originally been appointed to this posi-
ton from Washington. He said that
he had conversation with Nicely about
the destruction of stamps, that Nicely
told him Rathbone was willing to do
business and that the stamps had been
burned at the suggestion of Nicely.
Reeves, Marfield and Nicely appointed
a commission. Marfield did not know
about the intended fraud. He figured
up the amount of the value and
marked each package of stamps,
amounting to a total OF $4,000.
Reeves testified that Nicely made up
q declaration and that some days aft
erwards he, Nicely and Marfield signed
it. Rathbone, he said, ordered him to
credit the amount on the books. Here
Senior Lanuza called attention to
Reeves statement in Assistant Post
master Bristow's report that Reeves
did not know a fraud had been COM
mitted when he made the credit in the
books. Reeves refused to recognize
the printed statement as his. Reeves
said that before burning the last sur
charged stamps, amounting to $4,000,
Nicely told him that the amount credit
ed for the first burning was wrong and
that there was $4,000 to be divided
up between him, Nicely and Rathbone.
An Easy Way to Make Money.
Reeves testified that Nicely told
him that Rathbone had paid off a
mortgage in Cincinnati with this
money. Shortly after this Reeves said
that Rathbone, in referring to the
burning of the stamps, said that it
was an easy way to make money. He
also said that Nicely told him that
Rathbone would be civil governor of
Cuba and that they would benefit
thereby, because Nicely would be
treasurer OF the island and Reeves
auditor. Reeves also testified that
Nicely had credited $4,000 in his own
department in changing accounts to
the North American Trust company,
and that he, Nicely, had appropriated
this amount.
Regarding Rathbone's trip to the
United States in October, 1899, Reeves
said that $500 had been drawn for
expenses and that Rathbone returned
1913. He said that he thought Nicely
gave Rathbone $3.50 of this amount,
and that Nicely said that Rathbone was
hard up and that he would return 1t
, when he got an increase OF salary
When the question of daily expense al
lowance came up, Reeves testified that
he told Rathbone that in the absence
of any instructions disseminating this
, allowance he should continue it when
Nicely went to the United States
Reeves said further that just before
his arrest Nicely left an envelope con
tanning $4,000 upon his (Reeves) desk
telling him to fix up the accounts
Reeves said he afterwards gave this
money to General Wood, telling him
that Nicely had been stealing
CHICAGO TO LA CROSSE.