The sun. [volume] (New York [N.Y.]) 1833-1916, 1903-06-07
POSTAL SCANDALS IN CABINET
PRESIDENT MADE ACQUAINTED
WITH THE DETAILS.

MIR. Payne Tells Him That He Expects
More Startling es-McGregor
and Upton, Charged With Accepting
Bribes, Are Dismissed From once.
WARRINGTON, June e.--The postal scan
dals we're discussed at a special meeting o.
the Cabinet this morning and President
Roosevelt was made acquainted with the
details OF the investigation in the Post Office
Departmen which has been going OH dur
ing his absence from Washington.
Postmaster General Payne Explained very
fully the ground covered in the inquiry. and
in substance said that while the results had
so fur been surprising, he expected even
more startling disclosures and would not
now be surprised if other arrests followed,
One phase of the Post Office matter which
was discussed at the Cabinet meeting was
the necessity, as the President sees it. of
carrying forward the present investigat ion
With all possible speed, as well as thorough
ness. 1t is desired to have the whole bust
ness wound up before Congress assemblies
early next winter. 1t may be said that the
President ia confident, from what he has
heard that this can toe done.
All the prosecutions of Federal officers
may not have been completed in the courts
BY the time indicated, but it is believed
that matters in the Post Office Department
itself will have been pretty thoroughly
sifted.
President Roosevelt has taken hold of
this matter with rather more than his Gus
tomary vigor, and there is little doubt that
his arrival in Washington has been source
of inspiration to Postmas General Payne,
who has naturally been much worried by
the recent turn of events in his Department.
1t is certain that Mr.. Roosevelt will from
this time on keep close tab on the postal
investigation in all its details as the Post
master General himself,
Following a conference with the Presi-
dent this afternoon, Postmaster-General
Payne told a reporter for The Sun that the
post Office scandals had been thoroughly
discussed and that he and MIR. Roosevelt
were in perfect harmony. Mr.. Payne said;
Il have been in conference with the
President practically all day and the post
office scandals received the greater share
OF our attention They were discussed
in detail, and ] made the President ac-
quainted with all the developments Of the
last two months, with which he was familiar
only through the medium of the newspapers.
The President and myself are in perfect
harmony. tie mas expressed ilii'iseH rs
pleased with my conduct Of the inquiry
and has seconded !nv expressed intention
to GO t. the bottom of things and give
the postal service a thorough cleaning
He is with me in this matter, and there Is
absolutely no friction between us.
Mr.. Payne said he had knowledge of the
irdict ment now before the Grand Jury
under the title OF The United States vs..
John Doe, but would not throw any light
on the subject H. denied, however, that
thn tpri ma (rpnrVr r.
Lorenz, postmaster al Iole'io during the
Cleveland Administration. who has been
mentioned as the go between who trans
ferred the money brlbe from Groh
the patent fastener in general use Oh street
letter boxes, to former Supt. Macnen, as
payment for securing contracts for the
arm.
indictment does not refer 10 Lorenz.' said
Mr. Payne Whom it does refer to can
not say"
1t is understood that Machen in his de-
fence on the bribery charge Will name
Lorenz, his former chief in the Toledo post
office, as a business partner, and Will ex-
plain that the checks now in the hands of
the Post Office Department which. it is
alleged, represent the money Machen re-
ceived In brides, were received from Lorenz
in the ordinary course of business. 1t is
also derstood that Machen will point
to the fact that Lorenz il director in tho
National Capital Mining Company, OF whiS zen
PostmasterGeneral's confidential secre-
tary, the vice-president.
NJ. Payne will not discuss this feature
OF the case. save to express the opinion
that Mr.. Rand is innocent OF any wrong
doing and that an acquaintance OF thirty
years has made him confident OF his aDso-
lutte integrity and honesty.
Fourth Assistant Postmast er-Gencra!
Bristow is making a complete examination
~ oil mazda hv the Post Office,
Department. and it il said that he already
has Information supporting tho theory
that the Government has been swindied
ont of large sums of mlnAy by arrange
ments between contractors and PERSONS
connected with the postal service, The
purchase of an alleged emergency order"
Of about 10000 leather pouches for 20 cents
each when they could have been bought
pursued by those who have been buying
some Of the supplies for the Post Office
While President Roosevelt has kept in
touch with the Investigation OF the Post
Office Department h" was not prepared.
IL is said. for the startling information given
him by Postmaster-(}eneral Payne. and had
thought that the worst had bee discovered
when Machen vas arrested ,,,n o.
ing issued the formal order dismissing from
the Government service Thomas ".
two employees OF the rural free delivery
service who were arrested Yesterday on
warrants charging them with having re-
oeived IS 900 In brides from Charles +.
smith. leather manufactures of Balti..
more. The order dates the discharge of
the two clerks from the time of their ar
rest yesterday.
II IL understood on high authority that
Machen is implicated in the purchase OF
the rural mail pouches from the Baltimore
Arm and that he participated in the 40
cents on the dollar which the leather manu-
facturer turned back to McGregor and
Upton in pursuance of the collusive under
standing.