The Goodland republic. [volume] (Goodland, Kan.) 1891-1907, 1903-12-18


In 1880 while John Wanamaker vas 4
Postmaster-General. an EFFORT was made /
70 introduce the Bundy time recorder for 1
use IN the postal service. but 10 failed /
Later. during the administration OF Post /
master-General Wilson. upon the recon- 4
incubation OF A. w Gachen. II Was adopt l
ed. lIachen estimated that the entire I
free-delivery service coulo be supplied for 1
895595o
I'm 1s11 an effort vas made by First |
Assistant Postmascer-Generai " n
johnson and his chief clerk. John NJ Mas I
ten. 10 reduce the price Of these time re-
corders- but the effort was afterwards
abandoned =
II J. TruesdeH. who was agent OF the I
company at the time these clocks were
first adopted. states that be paid Aachen
&1ooo for his services in securing their
introduction into the service Criminal
action on such payment is barred BY the
statute OF limitations
BY the purchasing OF canoeing ma
chimes for use in the postal service it is
shown that the government has lost over
$4,000. which sum vas divided among the
cOnspiratOrs interested Here again Grim
inal action is barred By the statute OF lin
itatiOns-
says Mr. BristoE:
The most important contract for can
ceiling machines was that FOR the DOre-
mus Its original promoters were W D.
DOremus, the inventor. L 7. Kitchener.
member OF the law firm OF Dudley &
Kitchener, OF Washington and H J.
Truesdel, OF BinEhamtou n y. The
company was organized August s. 1888.
and capitalized for 10000 divided into
loo shares OF 500 each Truesdell was on
intimate personal relations with Beavers.
and IN 1879 an order was given for 100
machines. at $50 each. Long before All
OF the 100 machines had been delivered
the department received numerous com
plants from postmasters stating that
they we're worthless. and on account OF
O. ion W~m
400 known as Model No / the Doremus
company established a factory OF its own
In Washington and created Model No 2.
and Beavers. without testing its emcien-
cy, on June 80. $50. contracted for 100 OF
the new machines at 50 each Model No.
also proved failure and Model No.
was made. and Beavers promptly gave an
order for 10 machines OF that model at
S225 each.
'Of the go machines purchased Of mod
els Nos 1 and but - are now in use.
the remaining 1s1 being practically a net
loss
six hundred and seventy-One OF these
machines have been ordered BY the de-
partment. at a net cost OF S1E3. 475 This is
a repetition OF the story OF automatic
cashiers and Elliott & Hatch typeEriters,
/ except that e IS on q larger scale
I'm 1so1 Truesden and Green became es-
tranged and Truesdem left the employ OF
the Bunday company. and also sold his
interest in the DOremus canceIinE ma
I chine When interviewed BY the inspec-
l tors Truesdeu stated that before the sec
l 0nd order on June 90. 1900 was given for
/ 100 machines Green told him he had
/ transferred 10 Perry s Heath. First As
/ sistant POstmaster-General. so. coo worth
/ OF his stock. in Consideration OF receiv-
ing an order for not less than 80 ma
I chimes
Heath refused 10 make a written state
! menr. but said verbally TO Inspector Sim
/ mons that he never received any stock
Z g. -.
i Company or any remuneration OF any
! kind. directly or indirctlye-
/ on October 5. Iso5. indictments were
| found against Green, Doremus and Beay-
| ers for conspiracy 70 defraud-
| The evidence against Heath was also
! submitted 10 the district attorney. who
/ decided that il was not sufficient 20 war
| rant his Indictment
| The administration Of Beavers was. II
| possible. more cemoralizing upon the in
| tegriJy OF the service than that OF Ma
1 chen"
In conclusion the report says:
For the purposes OF this report. the
1 investigation ordered by you on March
: has been completed In the preparation
| OF cases for trial where indictments have
/ been found. information may be secured
| which will necessitate further investfEa-
l ton and possibly involve persons not now
I implicated
/ The system OF organized corruption
that has been disclosed began in 1883 and
/ continued until stopped by this fnvestiEa-
ton The amount OF money secured BY
the corrupt officials and their confeder-
/ ates IS small as compared to the total
loss 70 the. Government To illustrate:
/ Barrett received but 5000 from Ar
mold yet that company defrauded the
people out Of over 100000 1achen
/ probably did not receive more than S26-
600 from the Groh fastener. Yet the gov
eminent has paid approximately $3.50. 900
for that device which represents a net
BY the terms Of the contract for letter
boxes. 20 pay for the original fasteners.
Beavers and his associates received less
L than $4,000 from the automatic cashier.
Yet the Department expended STATS for
this wholly unnecessary machine The
total amount that the perpetrators OF
these frauds themselves received can not
be definitely learned. but IL viii ACRE
gate between $500. 900 and 24OO. 600 while
the loss TO the government. considering
the unnecessary supplies that have been
purchased and the inferior quality OF
those furnished By fraudulent contract
Ors. can not be estimated with any de-
gree Of accuracy
las the gross abuses have been
brought TO light they have been prompt
| y corrected By the proper departmental
1 officers Contracts where fraud has been
discovered have been annulled-
The results OF the investigat ton dem
onstrate that all travelling agents Of the
Department-such as assistant superfn-
tendents OF salaries and allowances. OF
the free-delivery. service. the Railway
NAH Service and the registry system.
and inspectors-shOuld be placed under
| one organization
A number Of changes should be made
in the organization OF the Department in
1 order 70 provide a more perfect check
1 on the operations Of VARIOUS divisions and
some restrictive legislation Affecting the
divisions OF salaries and allowance. OF
rural free delivery. and possibly others
may be necessary What the service
most needs. however. is honest intelli-
gent, and vigorous administration The
I corruption disclosed is not due 70 lax
| laws. but 70 the dishonesty Of those who
have been charged with the response
bLlity Of administering then"