The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1903-07-01
THE POSTAL SCANDALS.
Grand Jury lndicts Machen, the
Grofs, MIR. and Mrs. Lorenz,
But They Will not be Reindicted or
Made TO Give Additional Bonds.

Washington, June 22.-The grand
Jury, which has been Investigating
postal affairs, today returned an IN
dictment against August W. Machen,
Diller B. Croft. Samuel A. Croft,
George F. Lorenz and Martha >.
Lorez, the two latter being residents
of Toledo, Ohio. AS previously stated
in the dispatches the specific charge
is conspiracy to defraud the Govern
ment. The Indictment is based on
Section 5, 440 Of the Revised Statutes,
which provide penalty OF sl0,0oo OF
two years imprisonment or both, IN
the discretion of the Court,
It was said by Assistant Attorney
Taggart today that the Indictment was
found against Mrs. and Mr.. Lorenz
because the evidence before the grand
jury showed them to be the go-be-
tweens for the Grofs and Machen.
There are twelve counts to the IN
dictment, eleven of which are substan-
tally the same as those found previ-
ously against Machen and the Groffs.
The first count Of the present lndlct-
ment, which relate to the conspiracy
charges, sets forth that Oh June 20,
1900, in the District of Columbia,
Lorenz, Mrs. Lorenz, Machen and the
Croft brothers "conspired, combined,
confederated and agreed to defraud
the United States Government of Its
moneys, by the following arrange
ment; Machen advise and recommend
ito the first assistant Postmaster Gene
raj the purchase from the Croft broth.
er of O large number Of the Croft. fast
eners for mail boxes at 81. 25 each and
should procure payment thereof, upon
which the Croft brothers should retain
so per cent. Of such payment, or 70
cents for each fastener, and the Groff
brothers should then pay to Mr.. and
Mrs. Lorenz, either or both, the re-
naming 40 per cent. which was to
be converted, approprl ated and ap-
piled to the use" of Mr.. and Mrs.
I,orenz and Machen- The indictment
says that this agreement was carried
out by Machen on June 30 recommend
ing the purchase of 5000 OF the fast
eners at the price mentioned; that the
Croft brothers on the same date pre-
sented a bill for these 5000 fasteners,
at the price mentioned: that on Sept
ember l3, the same year, Machen Te-
commended to the first assistant Post
master General the payment of that
bill, and that the Croft brothers
sshaving thereafter aud on September
% of that year received from the
United States s7,T00 in payment of
bill,'' Diller B. Croft, on October
20, same year, paid $1,000 to George
E. and Martha j. Lorenz. The tesoi-
mony upon which the indictment was
found was given by PostofHce Inspect
ors Walter S. Mayer, Paul E. Williams
and Joseph F. Farrell, and Theodore
". Warner and William E. Lewis, the
two latter being bank men. The Croft
brothers and their counsel and the
counsel for Machen we're in Court
when the Indictment was returned.
Machen was not present. It was an
nouncd that neither Machen nor the
Grof's could be rearrested, also that
they would not be required to give a
new bond. Assistant District Attorney
Taggart announced that the inVestiga-
ton into postal affairs by the grand
jury will continue, but the indictments
presented today complete the work OF
his Office so far as the grand jury has
ootod