The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1903-09-16
NJ GIEHAN TELLS
ABOUT THE BOXES
Explains Connection OF His
Company With Machen
LOSER RECEIVED ROYAL TY
Columbia Supply Company Secured
From Him the Right to Use I'm.
provement and Paid His Wife
Through Mr.. Machen.

New York, September 15.-The prelimi-
nary examination Of George W. Beavers,
the former head of the salaries and al
lowance division of the postoffce depart
ment under indictment returned against
him by the federal grand jury of Brook
Ign. charging him with conspiracy to de-
fraud the government through completely
with the Dent-Brandt Manufacturing
company of WATERFOWL, Wis, was COM
menced today.
Isaac s. Mcclellan, the head of the
Columbia Supply company, of which
George II. Huntington is treasurer, made
a statement today in explanation of his
connection with August W. Machen. The
indictment charged conspiracy to defraud
the government through the sale of the
large metal boxes for mailing packages.
Mr.. Mcclellan stated that the Column
bia Supply company secured the contract
to furnish the package boxes through
comparative bid during she administra-
ton of Postmaster General Wanamaker,
the box then used being so constructed
that 1t stood close to the ground and was
open to complaint on that score
Secured Losier improvement.
About this time, Mr.. Mcclellan stated,
the Columbia Supply company secured
from Mr.. Losier of Cleveland, the right
to use an Improvement, designed by him,
to overcome this objection, upon the pay
ment of 30 cents for each box. The i'm
provement of Mr.. Losier as explained by
Mr.. Mcclellan seemed to be a box con-
structed with higher legs. Mr.. Mcclellan
explained that the Losier device had not
been patented.
When the original bid was put in and
when the Columbia Supply company COM
menced to furnish its goods to the de-
partment, he said Mr.. Machen was not
an official of the postoffee department.
The 80 cents per box royalty was paid
Mr.. Losier. About two years after the
expiration of the original contract, and
after the Columbia company had been for
some time furnishing the boxes with the
Loser improvement Mr.. Mcclellan said
that che Cleveland inventor called upon
him and stated that he was about to go
to Europe for two years and requested
the company to pay his royalties to Mr..
Machen, who was, he explained, inter-
ested with him in outside matters and
who would send the money to his wife
during the continuance of the Losier con-
! tract.
Royalty Was Paid.
| Mr.. Mcclellan says the royalty was paid
| as TeQueSIeu, out IndL was all Lne COnneC-
ton his company ever had with Mr.. Ma
chen. The contract was secured long be-
| fore Mr.. Machen became an official of
the department. After the Losier con-
tract was ended, the Columbia company
| furnished a box of its own, without the
| Dosier device
Mr.. Mcclellan said he made a state
ment to the postoffce inspectors in the
form of an affidavit in which he explain
ed carefully his exact relations with Mr..
Machen. This statement, Mr. Mcclellan
said, he understood was submitted to the
federal grand jury in Washington which
returned the, indictment against himself
and Mr.. Huntington.
Mr.. Mcclellan. In conclusion, declared
that he would not be afraid, when the
| statements he related them, were laid
before the proper tribunal, together with
the undisputed proof of their truthfulness,
that any conviction would follow