Cameron County press. [volume] (Emporium, Cameron County, Pa.) 1866-1922, 1903-09-17
POSTAL FRAUDS.
Six Persons are Named in Seven
Indictments.
Charges of Bribery and COnspIra
are BASED on Transactions ReIat-
Ing 10 the supply Of Letter
and Package Eoxes-Sys-
tematic Grating.

Washington, Sept. 12-United
| States District Attorney Beach on
Friday announced that the six per
sons named in the seven indictments
returned by the grand jury last Tues
day are: George w. Beavers. former
chief of the division of salaries aud
allowances, postofficc department; :;
August w. Machen, former genera
| Uperintendent of the free delivery
system, postotiice departments; James
W. Erwin, former postoiice inspector
wltb headquarters in San Francisco;
deorge II. Huntington and Isaac ).
McGichan, both of New York CITY,
owners of the Columbia Supply Co.,
OF that city; and Eugene d. Scheble,
OF Toledo, dentist and interested in
the firm of Maybury & Ellis, of De
troit, Mich, letter box manufac-
turerS
All the indictments are based on
transactions relating to the supply Of
letter boxes and package boxes and
devices. Some sensational charges
are made. The Indictment against
Beavers, Machen and Erwin alleges
that the Postal Device and Improve
i''''i' va VI 'Otlll TIdHtISCO, IOElnpGlN
the Montague Indicator and Letter
Box Co., was composed almost en-
tlrely of western postal employees;
that in 1889 it set aside 200 shares
OF stock for forwarding its inter-
ests" and that armed with this au-
thority its president, Daniel s. Rich
ardson, and Inspector Erwin came to
Washington, saw Beavers, Machen,
Heath and others. and got an order
for equipping 2,OS9 letter boxes.
The Indictment says the company
was Systematically relieved of its OBJ
legations in the way of paving
freight, Grating, painting and print
ing cards for the devices it was fur
nishing. The Indictment charges that
Beavers and Machen owned stock un-
der assumed names. Most of the t.
600 shares of stock set aside, the in
dictment says, went to different post
office officials and again President
Richardson came to Washington and,
following an increase in the contract
price he got for the company, div
idends were paid on the stock.
McGiehan, principal owner of the
Columbia Supply Co., of New York,
is charged with agreeing to paw
Machen 80 cents for each $1.25 paid
on the package box contract bv the
Specific payments to
Machen are cited in consideration of
increased compensation under the
package box contract, ostensibly for
a different support to the
boxes. Scheble became interested i'm
the firm of which Mayor Maybury. of
Def fTnit iG a MI IL.
nished letter boxes to the govern
ment, and Scheble and Machen, in a
joint Indictment, are alleged to have
schemed to defraud the government
by the supply of excessive quantities
of boxes.
The Indictment says that Maybury
and Ellis paid Scheble to the extent
of the latter's interest in the COM
pany and that he in turn paid large
sums to Machen. In II counts the
Indictment cites specific payments to
Machen by Scheble. The other in
dictments involve practically similar
transactions. Montague, whose name
figures in the Montague Indicator and
Letter Box Co., is postmaster of San
New York, Sept. 12.-George w.
Beavers, the former head of the de-
Dartment of salaries and allowances
in the postotfice department. was ar
raigned before United States Com
missioner Hitchcock yesterday on a
bench warrant issued in Washington
charging him with conspiracy to de-
fraud the government. Beavers fur
nished a bond of 5000 for his ap-
oearance on September %.