The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1903-06-06

III ASHINGTOS. June 5.-The grand
w jury today reported an indict-
ment against August W. Mach
en-, former superintendent Of the free
delivery service Of the pOstofice dc
partment. who was arrested several
days ago, charged with sharing profits
on government contracts for letter box
fasteners The Indictment was brought
for violation Of section 55Ol Of the re-
VIsed statutes. the penalty for viola
ton Of which is "a fine Of not more
than three times the amount asked or
accepted or received, and by imprison-
ment for not more than three years
Admitted to Bail.
The amount which the Indictment
states he received Illegally is S1S,98ZI5-
Mr. Maehen was in court with his at
Torneys when the grand jury reported,
and Immediately gave bond in the sum
OF $4,000 for his appearance in court.
His sureues We're G. G. Staples David
Moore, f. NJ. CrisWeI and Emanuel
SPEECH Of this city. The trial viii Oc-
RI cur in October.
BY securing an Indictment against
Machen before tomorrow the day set
for his preliminary hearing before
Commissioner Taylor. the government
has scored a victory, in that il has
avoided the necessity Of showing its
hand at a preliminary hearing. The
~ DNEG44llBS DELOEG the commissioner
now Will be abandoned.
Statement of Machen.
In discussing the case with his
friends, Mr.. Machen says that certain
checks which it is maintained were
sent to him in payment of his profits
IN the Croft fastener. and which have
Deen secured by the pOstOdice inspect
ors' were sent him by his business
partner, George z. LOrenz Of Toledo,
o, and formerly postmaster of that
Mr.. Machen claims that his partner
SNIP with LOrenz was a strictly legiti-
mate one, and that the checks trans
united 10 him by LOrenz were in con-
neclon with mining business which
the firm conducted Although the
amount Of these checks cannot be as
certained, Mr.. Machen says that the
one for the largest amount represents
personal loan TO himself from Lo-
REM.
Did Not Do Wrong. s.
Mr.. Machen further states to his
friends that he was not a partner of
the Croft Brothers concern. and thai
ne did not receive any or the profits
from the sale Of the letter box fastener
10 the government He says that no
wrongdoing viii be proved against him.
and that the only possible cause there
may be for criticism of his administra-
cerned, is that the price paid for the
article may be considered excessive
Ihis was necessary, ne maintains be-
cause the article was a patented affair
and the larger price paid for II was in
line with the universal practice in the
purchase Of articles which are patented
and where there is no competition.
Statement of Counsel.
His counsel tonight gave out the fol-
lowing statement;
The Indictment against Mr.. AIachen
by the grand jury is such a lengthy
document that we have had no time or
opportunity to consider il. and we can
not. therefore, say anything about the
charges in the nine difTerent counts.
At the instance and under the direction
OF the authorities a warrant of arrest
against Mr. Machen was asked for and
. obtained from United States Commits
sioner Taylor and a lengthy supporting
athdayit was filed in which direct
charges of criminal acts were made
Upon Mr.. Machen's arrest We demand
ed an immediate hearing which was OD-
posed by the government. and at the re
quest of the government a continuance
was had until June 8. Mr.. AIachen and
his counsel had evident reason to be-
IeVe that in the interim no stems would
be taken to deny him the preliminary
examination he was entitled to. The au-
thorities responsible for the issuance of
this warrant have seen proper to bring
the SAND charges now pending before
Commissioner Taylor TO the attention
Of the grand jury.
Surprise Expressed.
The grand jury has. in consequence.
indicted Mr. Machen before the date
fixed for the fun hearing before the
United States commissioner. II YOU
want the reasons for this proceeding
You viii have to seek Il from the prose
cutlon- We do not know. We can only
surmise and that much the public can
as well do as counsel for the defense.
Suffice it to say that the legal effect of
this course of policy, (Which is unusual
and unfair If not unpre cedented in this
1urisdictiOn). is to deprive the defend
ant of an open public investigation into
the truth of the charges to which he is
fairly entitled, and which a sound pub
lie policy vOuchsafes 10 him. This ac-
ton may or not be technically legal. but
there seems to have been no necessity
FOR the course pursued. Mr.. Machen
has all the while been within the iuris-
dictiOn Of the court under heavy bond
and ready to respond to am. process Of
law. The course the defendants cOun-
sci will pursue in the matter cannot
now be made public. but sooner or later,
and II viii be sooner than some people
want. the whole matter viii be gone
into and both sides viii be heard where
ex parte proceedings viii be out of or
der"
IT is expected by the postof1ce depart
ment hat the grand jury viii report on
the cases Of the Croft Brothers, the con-
tractors, early next week.