Omaha daily bee., 1903-06-18
RoUBLE SAID TO CONCERN CONTRACTS
Authorities Deem IndiscretiOnS Sufficient
to Warrant Dismissal.
RIVAL PRINTERS CAUSE INVESTIGATION
Two Firms Want Work Which Lowest
Bidders Are Refused.
PAYNE LAYS MATTER BEFORE PRESIDENT
OmciRls Make Hurried Report which
IL Taken 60 Chief Executive
Before Removal order
il Issued.

! WASHINGTON. June 17.-As result OF
alleged indiscretion in the award Of con-
tracts for printing money order forms
James T. Metcalfe, superintendent OF the
money order system OF the Postoffice de-
! partment. was today removed from office
by the postmaster general A fun investi-
cation will be made later.
| The dismissal is the result of acts oppos-
Ing the bid of Paul Herman OF Ruther-
ford, N. j., the lowest bidder by Sl5,oOO
and in favor of the next highest bidder.
| the wynkoop- Hallenbeck- era wford com
pany Of New York, of which Mr.. Met
calfes son is an employe.
| The story is briefly told in the following
letter of dismissal signed by Postmaster
General Payne at o'clock this afternoon
| WASHINGTON, June Il. 1SJ3--Mr. James
! I. Metcalte. Superintendent OF Money Or
der System, Postoffice Department Dear
position of superintendent of the money
order system.
The charges upon which your removal is
based relate to your actions in the matter
of letting the contract for money order
forms. These charges were made known
Postmaster General Bristow and Assistant
Attorney General Robb of the Postoffice
department, and a transcript OF your an
swer thereto is enclosed herewith.
| 1t appears from your answer that when
the proposals Of the different competitors
for the contract OF supplying money order
forms were opened Paul Herman OF Ruth
erford,, n. J. formerly employed as fore
ford company Of New York, by which COM
pany 1t seems your son is also employed)
proposal being sl5. 600 below that of the
next higher bidder namely the Mynkoop-
bid Of Herman as submitted was regular
in form and that he had deposited GER
ther appears that within day or two the
p-Halenbeck-Crawford company
hled protest against awarding the con-
financially responsible; that a short time
thereafter Mr.. Herman called at your
office and you advised him to Withdraw his
bid and re-enter the employ of the Wynn
koop- Hallenbeck- Crawford company. un-
idrawai would result in the contract being
awarded TO said company and consequently
fered to write and did write a letter to
said company apprising II OF your inter;
otiees ts@ INN IN his Sefam th%t yon o adyise Ta ESr
man that his 5000 deDosit would probably
be returned to him II he adopted your sug-
gestion. II further appears that you re-
mechanical qualifications requisite 20 the
was not any part Of your duty to pass
upon the question OF his responsibility,
ISS You did not acauaint vour suHe1ior. First
Assistant Postmaster General Wynne, with
lMr. Herman withdraw his bid. 1t further
appears that hearing has been had be.
fore General Wynne on the % question OF
although II has developed since the sub
mission of your answer this morning that
tested a desire that the contract be
awarded, to the wynkoop. Hallenbeck.
H c. PAYNE, Postmaster General.
Nothing Illegal Done.
! In announcing his action Mr.. Payne said
; there was no charge that Mr.. Metcaife had
: done anything amenable to law, but that
his conduct was a serious indiscretion that
could not be overlooked. Mr. Metcalfe. he
said, always has been considered a faithful.
efficient, painstaking and honest employe.
The postmaster general on his arrival at
the department today sent for Fourth As
sistant Postmaster Bristow ard Assistant
Attorney General Robb. and after detailing
the information that had reached him re-
garding the money order bids. instructed
! them TO send for Mr.. Metcalfe and immedi-
] ately investigate the case. The two gem
. tIemen named with Inspector Fosnes
y thereupon examined Mr.. Metcalfe closely for
s two hours and he. IL is stated, corroborated
i the facts stated in the letter OF dismissal.
n Messrs Bristow and Robb Immediately
n afterward had long conference with the
+ postmaster general, who also sent for First
Assistant General wynne. who has imme-
diate supervision of the money order sys-
tenn.
?, The postmaster general later conferred
with President Roosevelt. and the order of
dismissal followed.
Mr.. Metcalfe was originally appointed
from Iowa and was in the postal service
= since 1882 Since his administration of the
= office the money order service has been
Q widely extended by mutual arrangements
with a large number Of for ign govern
8 ments throughout the world and Mr. Met
l. calfe has had cordial personal relations
n with many foreign postal officials. His sal
, airy was 800 year.
The Wynkoop-H p-HaIlenbeck- Crawford com.
. pany has been the contractor for the money
4 order blanks for sixteen years. Norman
Metcalfe, the 27-year-old son OF the deposed
II superintendent, draws a salary of 2,250
from the company.
Mr.. Metcalfe when seen tonight said that
he had done nothing wrong and had moth
ing TO conceal. that his sons employment
D. by the bidding firm could have no effect on
! the award that he suggested Herman's re-
u turn to his company to handle the govern
J. ment work there because he knew Her
II mans means we're limited and that stop
page Of supplies in the midst OF a contract
& term would have proved serious He says
N with Herman's consent he wrote TO Mr
Hallenbeck, advising that Mr. Herman be
: restored to his old place and that he told
Herman that he had little doubt the gov
m ernment would allow him 10 withdraw his
r forfeit check OF 5000.
i: Call Machen FOFEeF.
p, II is believed, that the grand jury will
4: shortly be asked by the pOstofice authOri
r ties TO find another indictment against A
'r W. Machen the former superintendent OF
Dr. the free delivery system.
The charge IL Is said. will be forgery
m based upon the cashing Of a check for 1865
m drawn by the cashier OF the New York
&. postofice In favor Of Henry l. Lorenz OF
Toledo. o. II is claimed that the money
Dr. was 10 have been sent to Mr.. Lorenz IN
care OF Mr.. Machen.
m The check was cashed I'm this city, being
n endorsed By Frank X. Raymond, who sayI
c. he had the check cashed for Machen. Mr.
LOrsnz has declared that the signatures