Watertown republican. [volume] (Watertown, Wis.) 1860-1906, 1905-07-19

retained and that no further action
would be taken in the matter, suddenly
changed his mind He laid before the
Department of Justice all the evidence
in the case and authorized the Secret
Service operatives to conduct thor
ough investigation of every phase of
the crop reporting work and the bureau
Of statistics.
The evidence was not in the hands
of the Department of Justice more than
twenty-four hours when it was decided
that it was Of such character as to
require its submission to the grand
jury and it was placed in the hands of
District Attorney Morgan Beach with
that end in view Mr. Beach refuses
to say whether be will ask the court to
convene the grand jury Immediately or
whether he will cause the arrest of for
mer Associate Statisfician Holmes. and
possibly Of some Of his accomplce5,
and hold them under bail to await the
action of the grand jury at it's regular
meeting next September, or not But
the District Attorney admits that he
has been instructed to proceed with toe
utmost expedition and to apply drastic
| measures.
Some Of the methods used by Holmes
to convey information of the coming
market reports was Ingenious For
instance, on the day when the final
| figures for the crop reports were pre-
| pared it was the custom Of Statistlcian
Hyde, with Associate Holmes and sew
eral stenOgraphers to lock themselves
in a room where they remained until
the work was completed and the results
ready 10 give to the representatives Of
Of the press who waited outside and
who rushed them onto the telegraph
| wires Us fast as that could be accom-
plished. In order to give his accom-
olices advance Information, however,
| Holmes devised a system Of signals
| For instance, he would have a man
| opposite a certain window when, say,
the wheat report was being prepared.
! Then he would lower or raise the win
| dow shade as the governments estimate
showed an increase or a decrease of the
percentage. Raising the shade to
aear the top of the window indicated a
remarkable increase. Drawing it to the
bottom showed remarkable decrease
and lesser movement indicated
chances but Of less proportion. He also
had a system of handkerchief Signals
which would indicate the trend of the
figures for another crop and so on.
Holmes enjoyed the absolute confidence
Of Statistician Hyde and also of Score
tary Wilson. 1t was known that he
lived eXtravagantly and was accumu-
latlng money but he gave out the story
that he had been singularly fortunate
in the purchase of certain mining
stocks and this story was accepted at
its face valne By his superiors and asso-
ciates, In fact. had 1t not been Tor the
jealousy Of woman, it is doubtful if
Holmes ingenious methods of betraying
MS trusts and robbing the farmers
would have been discovered vet.
A scandal Of minor proportions has
come to light in connection with the
manufacture and purchase Of army
supplies at Philadelphia where there
is a depot Quartermaster's Office and
where extensive manufacture of sup
plies is conducted at the Schuylkill
Arsenal. 1t has just come to light that
there was $465, 900 worth of obsolete
goods and stores at the Schuyl-
kill Arsenal. That so large quantity
of obsolete goods should have accumu-
lated at one point proved a source OF
amazement to Cuarlermaster General
Humphreys, and, suspecting that some
thing was wrong, he sent other inspec
tors TO Philadelphia to reinspect the
stores. The reinspection showed that
only $4,000 were obsolete. Had
the first inspection been permitted to
stand, 1929, 900 worth of good stores
would have been sold at public auction
and would have brought but a small
traction of their actual worth. The loss
10 the government would, of course,
have been heavy and the gains to the
purchasers would have been immence.
| The War Department officials are
| inclined to attribute this condition of
affairs which prevails in Philadelphia
to the exertion of political influence