The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1905-07-12
COTTON REPORT SCANDAL
secretary Wilson Admits AT Last
That There Was Leak.
News and Courier.

That There Was Leak.
News and Courier.
Washington. July S-As the result OF ln'
Investigation by secret service agents ihl'
ihe charges made by Richard Ch' athhtn
secretary Of the Cotton Planters Association
that information had been given 10 cotlot
brokers in New York by some person ,Sa a. %
pertment OF agriculture, - ere tary WI
son 10. day made public an ttttc,sl report
in which he states that EDWARD .. i1,I h0iine es ~
the associate statistician, has teen guilty. o
"iuggling" The official report. the repor,
sans IL has been found that Mr. Holmes
communicated advance Information 10 u
c. Van Riper. New 9ork 6roRef; pro IAN ana M ~
acted as go.between IN convey Ing lniorma
ton from Holmes TO other New iork prc'
kers, Including Theodore Price. Steps nave
been taken by Secretary wilson dnr,nen, 10 ptenen
figures, and an entire reoIganlZation Oh tns
bureau OF statistics and manner OF preparing
lined by him. The papers IN cOnpection
with the investigation were Teierred e, 10 Ihe m
United States attorney for the District o.
Columbia and be has reported tnat IN DE
oplpion q criminal prosecution will not lie
apaipst Holmes. Holmes has been dismls'
sed from the service OF the depar!Iiment' ,,ad
According to the report, Wilson Juoo,
of New York, formerly In the employ OF
l.. c. Van Ripper. induced tho latter 10 tell oi
his connections with Holmes ana tneb COLI
munlcnteQ tno ihioin W.
ham. ,,,,,,, GO
Van Riper became the principal witne SIS
in the investiRatiop conducted oy Tue secie.
service and he was induced 70 commu munlcate
the fact that advance in niormatlon was oelpg
given ont by Holmes and hiP associates hao
in nlended to try and manipulate lne june
cotton report. Using this information as d
foundation, the st cret service astnLs lnter'
view numerous persons who had oeen men
toned by Judd and Van Ripper, as well a.
gstheripe q mass OF correspondence, lnciuo
Ing many letters written By Holmes TO Van
Ripper and Others. The report msoe 20
ments, together with the detail Of the new
plan OF conducting the bureau OF statistics,
makes more than four thousano ~oIos. ~
reviews the entire investigauon a oeg,nhine Hsn
with the charges that were laid before oec
retary Wilson by MIR. Cheatham several
The charges by MIR. Cheatham were backed
up with evidence that certain iniof ,n maSloI NII
York by some person or persons emPioyeu 10
the bureau OF statistics relative TO the acresge
end condition Of the cotton crop OF the
United States prior to the official publication
of the In foi maliop, and that the crop figures
bad been tampered with In the department 10
the Interests of certain cotton speculators
Secretary Wilson determined al once upon 8
thorough investigation and furnished 10
officers OF the Upiied States secret service al
OF the evidence which bad been given to the
department. The agents were then put In
touch with Mr.. Cbeatbam and directed TO use
every possible effort 10 afcertain whether
there had been leak in the department, and
II so 10 fur nish the Secretary with the pamt
OF the pertop or persons responsible, Holmes
ts the only employee OF The Government who
has been found to have had any connection
with supplying information to brokers prior
to the publication OF the official report.
After reviewing the charges, Secretary vii.
son gives q summary OF the testimony ad'
duced before the secret service agents. Mr..
Van Ripper. the New York brok er, under ex
animation. said he became acquainted with
Holmes In New York In August 1904, through
mntnsl friend dnz m 10 nd thls ,es.i sd,
in pfoimation concerning the Govern meni
crop report, principally through the report Of
the general sgept and the reports OF the State
agents. Van Rirer said Holmes furnishe
him with inio, nation from Time 10 time, 70,
several months, in advance OF the publication
OF official figures, ard that the information
10 Inip he'd by Holmes corresponded exactly
With the figures afterwards published rs tht
q Mr.. Haas, OF New York, acted as gC-be-
tween for Holmes and himself, and be W.T.
given TO understand that Haas was securing
broker of New York. The witness said b.
met Haas at the Hotel Waldorf and was tolc
By him that the report for June. iso3, wou o
be rs per cent. en- condition and u l.2 or u
per cent. Cd acreage, which was as bearish a.
they could make II and that be was going Il
see Price, with whom he would have An In
terview. and wanted TO see Van Riper afteI
he saw Price: that In about an hour Hast
called on him and said that at the request o.
Price he was going TO Washington 10 see II
they could not get the percentage litt'.
higher and the acreage little smaller, Il
make the report more bearish. Van RipeI
testified that the Cft1, ial report was more
bearish than the figures previously Civ
en- him and that be took this 10 mean tba,
the fleet to rfuence the report had succeed
The letters produced by Van Rlper. which
he alleged were written by Holmes. were al
signed With the initial III" Most OF thes'
letters were for the purpose OF max ng AZ
Ing note, dated August 90, 1904, shows the re-
lationship between Holmes and Vai
Ripper: !,
ont at once ana se as moch ,o no al you YOU can u
deciipe, and as this Is totally unexpected II
will send things down like fury. Other par.
ties will close out tomorrow and sell OF
Thursday. Where is s"P ?" Tear TINS up. II
not"
This letter was signed with the initial III
Van Ripper testified that all OF the letters sui =
rendered were from sHolmes and that theh
contents had had reference TO the state OF tht
cotton report. A large number OF letters and
kilograms signed with the Initial IF wert
sent from New York 70 Van Ripper. Neaily
all OF those contained information concern.
ting the cotton report, together with iDstruc-
tLops 10 sell or buy on the market accoi ding
60 the ipiormation furnished and all OF then
closed With the admoniiion 10 destroy.
The secret serpice agents learned that up.
referred 10 IN Hoiines's letter wss F. A. Peck
nam, of New York. and that the letters sieneo
with the initial If" were written by "A
Mr. Packbam was interviewed in New
YoIk city apd stated that the only expana
lion he bad 10 give concerning the letter.
uaa that he ~as trying to make some none!
In The cotton marks!, declining 10 say any
thing OF his relations With Holmes, Haas ol
Van Riper. Shortly alter be was Interview
I'd, il was learned that Pecs ham came tt
Washington and held coLVersation with
ouired whether Holmes intended 10 resign
bis position, or whether he expected 10 bt
disno lssed frons the Government service
sss1 but sss son siep p5 % acDss bis
Holmes was interviewed By secret servic,
aRep ts end consi6ersb BILE space IN tpe reEor
Is given TO bis explanation. The first ques
uons asked him were as to his relations will
P-ckham and Van Riper.
Holmes said that they ali had been on very
iDtImtae terms socially, ana nd mat n Then h'
freousntIy, his hotel bill bad been paid bJ
Van Riper or Peckman. Holmes admitted
fbatPeckbam Haas and himself were at on
time associated in business venture, II
which Holnoes WAS 10 have an interest equa
70 the sum of 5000, which he was TO receive
az q gift from the other members Of the firm
Subsequently Haas transferred his interes
In this ARM 10 l.. c. van Riper, and Val
Ripcr stated that the company, was organ
jzed for The purpose Of hspdlipg colt. I
Holmes testified that this was true, ont n
was not eware OF the aature OF the ,orRanlza
ton at the time he was given an interest II
Il. and that when he learned the object OF th
company was TO handle cotton. hs Withdrew
from &c.
Under further examination Holmes statet
that he had sold to Van Ripper, about Febru
ary IL, 10 5, q three-ourths Interest TN som'
minipg property In Idaho for S3,oOO, thi
S-annnt having been paid 10 him by Val