Wausau pilot. [volume] (Wausau, Wis.) 1896-1940, 1902-04-01
GET TEN YEARS EACH.
NEELY, RATHBlsNE AND REEVES
CONvlCTEE I'M HAVANA.
Each 1s Also 10 Pay a Heavy Fine-
History &c the Crime for which
the Three Men We're Tried & The
Punishment LIS Severe.

the Three Men We're Tried : The
Punishment LIS Severe.
-.--
The court in HAVANA. Cuba. sentenced
Rathbone, Nicely aid Reeves. Who were
found guilty of enihezzlng possofice
funds. The sentence for each was IS Col
lows:
c. F. w. Neeiys ten years imLrison-
ment and to pay i fine OF S56,70l.
w. H. Reeves, tea years Imprisonment
and TO pay a fine ct S3l,516.
Estes G.. Rathbone. ten years imFrison-
ment and to pay inc Of $3J,324.
The three men Mere chosen FOR. their
respective positions III the Cubani post
office. department "a. their special ftness
and supposed personal worth. They took
advantage of their position and were de-
tected in the act Of plundering the peo-
pie for whose interests the United States
had gone TO war wsh Spain.
Short in Cash Accounts.
Nicely was accused Of being in his cash
account $ll921S short and in his gen
eral account S3Oe0a short. while hy was
charged with sellil:s Sl00.Sl3 worth II
surcharged Cubani stamps whica he
claimed to have destroyed
Rathbone was acilnSed Of converting to
his own use money belonging to the reye-
nues of the Cubar5 postal department.
Reeves was also charged with sharing in
the division of the .spoils.
+. g. Rathbone was made directoS gen
eral of Cuban posts or Dee. Is. 1858. at
the beginning of american admnfstra-
-
ton. lie was EoArth Assistant Post
master General at Washington befo3e his
appointment, and Il capable man. The
postal committee ehmmended hinS for
trained judgment in postal Affairs, To-
gether with indefatgable energy"
Rathbone made marked impression in
Havana. His villa was magnheentis fur
nished. His horses and carriages were
marvels of elegance His carriage alone
cost $3.50, and the harness more Ethan
$500. He entertained lavishly. and ,nade
frequent voyages t. New York and
Washington.
Nicely was sent I'd Havana from Mun-
Gle, Ind, on the RECOMMENDATION OF Perry
S. Heath. Rathbon2 AT once placed Nee
ly at the head OF She postoificc frsance
bureau, which sold stamps to all island
postmasters and RECEIVED the money for
them as well as forIbox rents
Reeves came from the postofice at
Washington. recomlmended as clerk
who was capable ofIaccounting. He was
made chief Of the postal accounts, and
he was TO countersigin all warrants iStued
by the director general.
Burning of 1.-THE Stamps.
From the evidence submitted at the
trial it seems that Che beginning ofsthe
fraud was in the destruction of the sur
charged stamps. Whan the United Stetes
assumed control of the Cuban govern
ment there We're no postage stamps Unit
ed States stamps, with the word Cuba"
printed across them, iwere hurried to Ha-
vana, and it was rot until the fal, of
1899 that Cuban stamps of special design
were issued.
Then Nicely suggested 10 Rathbone that
it would be cheaper 10 burn the old stock
of stamps ON hand than to ship them to
Washington. Rathlone consented, and
Nicely and Reeves. with much ostentation
and at different tiInes. burned packages
containing more thal haf a million dol
lars worth of stamps Nicely was then
credited on his booEs with the amount.
Investigation later disclosed the fact that
he had "held OUT S100.S13 we,th Of
stamps, thus enabling himself 10 pocket
that much from the Cuban revenues and
still keep his books balanced.
How Funds Were JugGIed-
Rathbone and Recess shared in the d.
vision of the plumber. Other devices were
worked, including duplicated salary war
rants. Funds were iuggled in transfer
from one division to ;nother Rathbone's
personal and household expenses were
paid out of the Cuban revenues. He
spent $3.50 on furniture for his official
residence" and $2,45S for plumbing and
gas fixtures. He spent ON his horses, ear
risges, coachmen and foctmen $i,449. lie
drew $1,000 in double salary warrants.
The total amount suspended in his ac-
count reached $T9,93I.
When the discovery Of the frauds coNld
no longer be concealed Nicely came, 10
the United States. Ills arrest followed
at Rochester, y. y. ON May 5, 1900.
Rathbone and Reeves were not arrest
ed for some months afterwards.
During the trial it was brought ont that
a campaign was on foot for the appoint
ment of Rathbone ais eiyil governor OF
Cuba. while Nicely v;,ts to be named as
treasurer and evcs!2uditor.
Reeves turned Statte's evidence az the
trial and it was largesy by his testimony
that all three were cfayicted.