The sun. [volume] (New York [N.Y.]) 1833-1916, 1903-09-12
MAIL BOX GRAFT INDICTMENTS
TWO NEW lORkERS AMONG TIE
SIN MEN ACCUSED.
New Charges Against Beavers and MacheN
Report That an Omcial Of This
stale WIN He Indicted Bankers
Called 10 Washington to Testify.


Report Ihat an Onicial Of This
stale WIN He Indlcteti-Bankers
Called 10 Washington to Testify.
Word came from Washingt on yesterday
that the men indicted there on Tuesday
for frauds in the postal service were
George W. Beavers, former chief OF the
division OF salaries and allowances; August
W. Machen, former general superintend-
ent OF the free delivery system; James
W. Erwin, former post Office inspector
and a relative Of ex-Congressman Loud Of
California, who was chairman Of the Com
mittee on Post Offices and Post Roads;
Isaac s. McGiehan and George H. Hunt
ington of this city, who are int crested in
the Columbia Supply Company, and Eugene
ID. Scheble of Toledo.
The indictments against the two New
Workers. allege that they nave paid AAchen
50 cents on each package post boz which
the Columbia company supplied to the
Government, after Machen had arranged
that the Government should pay Sl.2s in
crease in the price of these boxes on the
strength of a trifing change.
Beavers, Machen and Erwin are indicted
as the result OF cont racts awarded to the
Postal Device and Improvement Company.
in which, it is alleged, they were stock
holders, while Soheble and Machen are in
dicted on allegations that Seheble paid
Machen various sums for securing for May
bury 4 Ellis of Detroi letter-box contracts
in excess Of the Governments needs.
Scheble was interested in the firm, one part
ner in which, Maybury, is Mayor Of Detroit.
AS result Of the new indictments, Beav-
ers surrendered himself yesterday for the
second time within week to the Federal
authorities in this city. This time It vas
to answer to the indictment filed ON Tues-
day for his dealings with Machen and Erwin.
Beavers was taken by United States
Marshal Henkel before Commissioner
Hitchcock. who released him under bail OF
5000 j. X. Brown, who furnished Beavers
bail the other day, went on his bond again
yesterday Sept. rs was fixed q the day
for the examination.
1t was learned from official sources in
this city yesterday that the elimination
of the scandal will come on Monday or
Tuesday OF next week, when an indict ment,
it is expected, will be found by the Federal
Grand Jury at Washington against . man
prominent in New York State politics and
State offioeholder.
In corroboration Of this statement, it
was learned that three bankers OF this
city have been subpenaed 10 appear
in Washington ON Monday to testify to
the passing Of notes and checks by sus-
pected persons.
The bankers subpenaed arc Irving c.
Gaylord. cashier of the Fourteenth Street
Rank; Fred Core HinG. SECRETARY Of the
Knickerbocker Trust Company, and either
the president or the cashier Of the Me-
chanics' Bank.
Cashier Gaylord admitted last night that
he had been subpenaed
Il am called upon to testify relative to
the business of one OF our depositors,
he said. But / can't say who that de-
posItor is.
Neither Mcclellan nor Huntington was
in his place Of business yesterday. They
are lawyers and have offices at PIT Broau-
way. The sign on the Office door reads
as follows