The Corvallis times. (Corvallis, Or.) 1888-1909, 1903-05-30
IN CUSTODY NOW.
BIG OFEICT AL ARRESTED FOR
FRAUDS IN THE EPOSTOFFICE
DEPARTMENT.
Superintendent Machen of the F ee
Delivery Service-Had Big
Rake-OAss With Box c n
tractors-O ber News.

Delivery Servlce-Had Big
Rake-Ofs With Box G n
tractors-O ber News.
Washington May BIB, far the
most sensational development OF
the postotnce investigation up to
this time occurred today, when
Augustus W. Machen, the general
superintendent of the free delivery
serviee, was arrested 90 a warrant
isetsed upon the/information Of post
Office Inspectors charging him with
having received "rake-offs" from
contracts made with the local firm
OF Gof Bros, for patent postal
box fastener. The warrant speci-
fically charges bim with receiving
Sl8,9Si.7S since August s, 1900. II
is al -ged at the department, how
ever, that this amount does not rep
resent that Machen obtained from
his contracts, it being charged that
he profted by them for several
years prior to the date of the fr.t
contract mentioned in the warrant
O.ier arrests are to follow.
Immediately after Mr.. Machen
was taken into custody, the post
master-general issued an order re-
moving him from Office. He had
been practically under suspicion for
fortnight. pending investigation
iDto his bureau.
The discovery of Machen's alleg-
ed interests in the contracts was
made quite accidentally by the in
speceors some three weeks ago, and
since then their energies bad been
directed toward making out a case.
Last night, after the authorities had
become convinced that they were
In possession of the necessary evil,
dence, Mr.. Machen was notified to
appear at the depal tment this
morning. He did so. and was sub.
lected to ''sweating" process by
the inspectors and General Bds-
tow fer three hours, but no admis-
sions shat be had profited by the
contracts could be secured from
hin- He decl ned to answer many
ques .ioas, on the ground that they
rela ed 70 his private business, but
ansisted 20 the end that he had not
received cent improperly.
Nevertheless, he was arrested on
the warrant which had been pre-
pared, aud was taken before
United States com missioner, where
his attorney immediate y demand.
ed ful hearing. Assistant Dis
trict AttoIn4y Tagge.t, howeve-,
was mot ready 20 proceed with the
case, and the bearing was t for
ssune s. Mr.. Machen gave $4,000, |
furnished by Philadelphia bond
ing company, for his appearance,
declining to accept the proffer of
friends to go n his bond.
Uhe department. officials declare
That their evidence Is conclusive.
It is understood that civil suit
will be entered to recover from Ma
chen the amount he is alleged to
have received on the contracts.
On being taken by the deputy
marshal directly to the Office of
United States Commissioner Tay.
lor, Mr.. MacLen com municated
with bis attorneys, Douglas &
Douglas. and in few minutes Chas
A. Douglas, senior member of the
firm arrived at the commissioners
office. To all newspaper men. Mr..
Machen said he had no extended
statement to make for publication.
To representative of the Associat-
ed Press he said:
"This will come out all right.
My arrest is merely a grandstand
play" He declined to make a
further statement, saying that Mr..
Douglas his attorney, would speak
for him.
According to statements of post
office department officials, there was
a "go-between" for the alleged
in connection with the
The identity of this per-
son is withheld by the department,
but the inspectors it is stated, know
the identity and movements of the
He may be arrested
1T any time. The inspectors say
bhe evidence that they have is of
The most comprehensive nature. It
includes many drafts of an alleged
discriminating character, bearing the
signature of Mr.. Machen. The ev-
dence was worked up in Washing
ban, Though much of it was obtain
ID In other parts of the country.