Evening star. [volume] (Washington, D.C.) 1854-1972, 1903-06-03

or without compensation, for any contfdc-
tor or person offering to become con-
tractor in any business before the depart
ment"
The statute is in derogation to common
right and is quasf-penal In character; - -
provides for the immediate dismissal OF
any post office employee who does act as
such agent and subjects him to heavy
liability. 1t must, therefore. be strictly
ner cannot be held to be an agent" for
he Is principal, at least in making joint
bid for a contract. The act is essentially
the act of principals.
Without deciding that a partner could
not act as the agent" within the meaning
of the act of Congress, for the firm of
which he Is a member in the transaction of
business before your department. 1 am of
the opinion that the mere joinder with his
partner as principals in a bid for a con-
tract does not make him such agent"
and section ALP does not apply.
Referring to Revised Statutes, 1913, you
do not state in your letter the exact nature
of Mr.. Machen's duties except that he is
general superintendent of the free delivery
system. assume. for the purposes of this
opinion. that he has no official relation with
the purchase Of coal for the use of the de-
partment, and II this be the fact. section
1IS3 Is inapplicable, for Mr.. Machen as
such superintendent does not 'act as an
officer or agent OF the United States with
reference to such purchase of coal.
The general question as to the right or
executive officers to contract as principals
with the government was discussed by At
torney General Williams in an opinion IA
op.. p. 4s3), in which, after referring to
sections 1871 and 17S2. he says:
But there is not in the statutes any gen.
eral prohibition which prevents executive
officers from contra citing directly with the
government, as principals, In matters en-
tirely separate from their offices and in no
way connected with the performance OF
their duties as officers of the government:
nor are they forbidden to be connected with
thew
by acquiring an interest in them
And here there is a marked difference
made in the legislation of Congress between
the members of that body and the executive
officers OF the government. Both classes
come under the prohibition Of the laws
above cited. But in the act of 1908 e Stats.
4S4: Rev. Stats. 3739), which strictly pro-
hibts all interest In, and all connection, as
principals, with, government contracts
members of Congress and delegates only
are mentioned as coming within the inten-
ton"
The Purpose Of Congress.
From this statement 1t is clear that 1t
has not been the purpose of Congress to
prohibit executive officers in general from
being, as principals, connected with gov
eminent contracts, nor. except as above
pointed out. from acquiring interest IN
them. There Is not in the statutes any
such prohibition applying to United States
pension agents.
While am, for the reasons stated, Of the
opinion that you are not forbidden by any
statute from awarding the contract under
consideration to the lowest bidder, I must
not be understood as advising you that you
are under any legal obligation to do so.
l know of no law which requires you to
award contract Of this character to the
lowest bidder. The acceptance of any bid
is a matter of administrative judgment and
discretion. and you are at liberty. for any
reason that in your judgment Is to the pub
lie interest, to disregard any bid The mat
ter is of administration judgment and
discretion. and as such am without either
authority or obligation to express any opin-
ion with reference to it. Respectfully.
(SigneO P. c. KNOX,
Attorney General
An Arrest in New York.
BALLSTON, N. Y. June "A man who
registered at hotel here as II. A. Wright
New York, was arrested today upon tele-
graphic advices from the Post Office De-
partment at Washington, saying the man
was charged with postal frauds. The tele-
gram said that he travelled as DR.. O'Brien.
No knowledge Of such an arrest as re-
corded in the above dispatch is in the pos
Department in Washington. They say the
arrest may have been ordered from the
New York city office.
An Estimate of Beavers and Machen.
A letter received in this city by per
sonal friend of H. Clay Evans. consul gen
eral at London and former first assistant
postmaster general and pension commits
sioner, in which the post Office inyestiga-
ton is referred to, is as follows:
81 know Beavers and Machen and I also
know something of their methods. Both OF
these men were. in their own estimation too
big for their jobs. They seemed to feel
that the government was comparatively
small affair, and that the Post ONCE Do
partment was created for them. Although
I never applied to them for anything that
was not perfectly proper, they were al
ways talking reciprocity until I got to a
point where I told certain postmasters in
whom 1 was interested that they must
never put me in the attitude Of asking a
favor of either of these men. Even when
they had granted a favor they made me
feel that it was not part Of the govern
ment service. but a purely personal mat
ter which one or the other of them con-
trolled."
When the Inquiry May End.
The investigation of affairs at the Post
Office Department is proceeding as rapidly
as possible. and the Investigating officials
hope to close their inquiries by August L.
Postmaster General Payne said that all the
salient points of the investigation probably
| would be disposed of by the end Of this
month, but that the rest of the work might
continue for a considerable time.
The go-betweens who, 1t Is alleged, fig
ured in transactions which led to the ar
rest of August w. Machen the former gen.
eral superintendent of the free delivery
system, are understood to be members Of
a firm in Toledo, Ohio. the former home
OF Mr.. Machen. Although 1t is known au-
thoritatively that there are several par
ties whose arrests may be decided on at
any time, Postmaster General Payne said
that so far he Is advised no immediate ar
rests are in contemplation.
Postmaster General Payne some weeks
| ago hoped that he would be able to make
at least a preliminary report to President
| Roosevelt on his return to Washington, but
| the investigation has extended so much
| more widely than was originally contem-
| plated and the end Is yet SO far Off that
no formal statement at this time is likely.
| though soon after the Presidents return
| Mr.. Payne will report to him Informally
| on the work that has been done.
Postal Clerk Removed.
Second Assistant Postmaster General
| Shallenberger yesterday removed Svend
| Schibsby of Kansas City, a railway postal
| clerk. on the charge of violating the posta
| laws. Schibsby is charged with leading q
| movement of railway postal clerks to Sc
| cure payment for travelling expenses, a
claim that never has been recognized by
| the government, and which would involve
| Dayment of ahout 81 5AO ono Annually