The sun., 1905-09-11
President Will Not Set Aside
Printing Machine Contract.
CHARGE Of FRAUD FAILS.
lleruenthaIer Company Rebuked
In Keep Commission Report.

..ose,elt in Vigorous Letter Joins In
Conden,ning Rival which Made Base
less Accusation OF COrruption--NOth
ing Adduced to Sustain Allegations
No Question IS to the validity Of the
Contract Palmer Censured for Trans.
acting Business at Private Houses.
OYSTER BAY, Sept. 1O.-President Roose-
volt to-day made public the report which
,be Keep Commission submitted to him after
h investigated the purchase by the Public
Printer of Lanston monotype machines for
the Government Printing ONCE.
The report is in favor Of letting stand the
contract made by Public Printer Palmer
for the Lanston machines, and it censures
.xeepingly the bringing Of the charges OF
corruption by the Mergenthaler Linotype
Company.
The Presidents statement accompanying
lbe Keep report is as follows:
oyster BAY, N. Y, Sept. 0. 1905.
aThe conclusions Of the committee are
hereby approved save the latter part Of
Conclusion First. 1t does not appear that
there is any question as to the validity Of
tine contract in question. II it had not been
,or the conduct of the Mergenthaler COM
pany in preferring the charge discussed
Nv the committee in Conclusion Two. that
Of corruption, should agree with the COM
mittee that it would be desirable to set aside
the contract If such a course were legal.
But second only to corruption in public
ot5cer in point OF iniquity comes making
baseless charge Of corruption. and this
|, what the committee finds the Mergen-
,haler company has done in this case, its
comments being in part:
'Inthe light of the failure Of the company
TO produce evidence Of such corruption.
1, must be held that the charge was made
reckessly and the Mergenthaler company
should be severely condemned for includ-
ine such charge in a formal communica-
ton to the President Of the United States
made as basis for official action on his part.
II is fair also to the Lanston Monotype
Company to say that no evidence was pro-
duced by the Mergenthaler company, nor
was any obtained by the committee in the
course of it's hearing, tending to show
any kind whatsoever made by the Lanston
company, or any Of its officers or agents,
TO any person in the Government service
Had not this charge Of corruption been
made should have entirely agreed with
tbe conclusion Of the committee that il 1t
ras possible (which it Is noD 1t would be
desirable to cancel the contract in nquestion.
Public Printer Palmer has been removed
from Office The cases Of the subordinates
alluded to in the report must be taken up
in connection with the discipline and re-
organization OF the bureau when Mr.. Palm
ers successor assumes Office.
THEODORE ROOSEVELT
Tho Keep Report.
The Keep report Is document of some
5000 words and is signed by G. H. Keep.
r. H. Hitchcock, Lawrence o. Murray and
James R. Garfield. 1t recites the charges
brought by the Mergenthaler company
regarding the Lanston contract, which
were:
First, that the contract or order OF the
Public Printer for seventy-two Lanston
machines was not made according to law,
because it was entered into by the Public
Printer without any requisition from his
foreman Of printing.
Second, that the contract in question
was made corruptly.
Third, that the contract was made upon
insufficient and incorrect information
furnished to the Public Printer by his sub
ordtnates, and after unfair tests between
the two machines, both being in use in the
Government Printing Office, and that the
making Of said contract was. therefore, bad
administration, extravaganza and scanda-
bus.
Fourth, that the contract was entered
INTO secretly, although the Mergenthaler
when further typesetting machines were
purchased they should be given an OPP
portunity to compete for the order and to
Demonstrate by tests the superiority Of the
Mergenthaler machines.
Fifth, that several Of the immediate
assistants OF the Government Printer were
Interested in the stock Of the Lanston
company, and that the same was in viola
don Of the law.
Sixth, that the larger use in the COM
mercal world Of the Mergenthaler machine,
and It's almost exclusive occupation Of the
newspaper field, demonstrated its superior
~ 10 the Lanston machine"
THE CONTRACT NOT ILLEoAL.
The first charge is dismissed briefly.
says the report:
The claim that the contract was illegal
because it's execution had not been pre-
coed by requisition from the foreman
q printing appears to be entirely without
foundation. Section l8 of the act OF Janu-
aYR, 1895, An act providing for the public
printing and binding and distribution Of
nuohc documents makes 1t the duty Of
!ne Public Printer to purchase all materials
sno machinery which may be necessary
iol the Government Printing Office. There
no requirement that he shall confer or
consult with subordinates or that any
!equistion upon him shall be made by
my OF his subordinates.
run authority to make the purchase ap-
eeas to he vested in him as Public Printer
S;sclon 81 OF the same statute provides that
S Public Printer shall charge himself
WIN and he accountable for all material
Nsolved for the public use. The foremen
VI printing and OF binding shall make out
..simates OF the quantity and kind Of ma
.enal required in their respective depart
menfs, and file written acquisitions therefor
men it is wanted. The Public Printer
soai furnish the same to them on these
Nguisitions,' &C.
a.. me requistions required by this section
~ .ne only acquisitions required by the
sn.mmMng statute, and it is clear that this
SIon ,eS.: refers only to material already
oHved by the Public Printer with which
~ charged and for which he Is account
s"S AFTER furnishing such material on
H.. .aIequisition to the foreman OF printing or
MA Ss 'oreman Of binding, these foremen are
~; 'u accountable for the materials SO re-
sM, ,ed, and are obliged to receipt for the
n.s 70 the Public Printer. 1t seems
%eay clear, therefore, that In the case