Evening star. [volume] (Washington, D.C.) 1854-1972, 1905-08-26
HOLMES STILL ABSENT
Failed to Put in an Appear
ance Today.
THE COTTON SCANDAL
GRAND JURY PRESENTED TWO
COUNTS AGAINST HIM.
Peckham and Haas, Indicted With Him
for Conspiracy, Have Both
Been Arrested.


Holmes, jr., of the Department of Agricul-
ture, who was indicted with Frederick A.
Peckham and Moses Haas Of New York for
conspiracy in connection with the issuance
Of government cotton crop reports, failed to
appear before the Criminal Court today and
give bond, as his attorney had promised he
would do. Peckham and Haas have already
been arrested.
District Attorney Beach was at his office
IN the city hall at an early hour this morn
Ing and remained there until noon, when
under the law, federal offices close on Sat
urday. Mr.. Beach. during the morning went
before Justice Stafford who, on the District
attorneys suggestion, fixed Holmes bond
at 10000. with the understanding that when
the former associate statistician presented
himself the bond would be executed before
the clerk of the court.
Holmes Failed to Appear.
Holmes failed however, to put in an an
pearance. When the district attorney left
his office shortly after noon he declined to
make any statement concerning the case
further than to say that Holmes attorney
assured him In New York Thursday night
that Holmes would present himself in court
To-Day. Mr.. Beach was plainly perturbed and
gave short answers to those who questioned
MIN concerning the non-appearance Of
Holmes
The clerk of the court left the citv hall
soon after the District attorneys departure,
saying that under the law he could not ex-
ecute a bond negotiated after II O'clock
AT the offices of Worthing, Head & Frailey
Mr. Holmes attorneys in this city, it was
suggested that some unforeseen delay had
interviewed to postpone their clients ap-
pearance.
There are two indictments In the case
q ai,,ot ALL
ham and Haas, both charging conspiracy
to defraud the government under section
$40 Of the Revised Statutes. The witnesses
named as having given testimony before
the grand jury against the cotton con-
spirators" are Richard Cheatham, secretary
of the Southern Cotton Association; William
H. Moran and William r. Walsh of the
secret service, Louis c. Van Ripper Of New
York, William M Judd of New York, Fred
erick A. Peckham of New York. Moses
Haas of New York, Victor Olmstead of the
Agricultural department, William P Nc
Cabe of the Department Of Agriculture g..
D. Fessenden of the Department of Agri-
culture. James Y. Blodgett. Harvie Jordan.
president of the Southern Cotton Associa-
tom H. w. Desgranges. Samuel r. Baulsir
and James Wilson, Secretary Of Agricul-
ture.
District Attorney Beach Back.
District Attorney Beach, upon his return
from New York last night, made the Of
fetal announcement that the federal grand
jury of the District of Columbia had re-
turned indictments against former Associ-
ate Statistician Edwin S. Holmes jr., of the
Department Of Agriculture, and Frederick
A. Peckham and Moses Haas of New York,
the three alleged principals in the cotton
crop report scandal There are two ind1ct-
ments covering the charges against the
three men, and the offenses are alleged to
have been committed in 1904. 1t is under
stood that the indictments were based upon
this early phase of the alleged conspiracy.
owing to the fact that the evidence secured
covering 1904 was more complete.
The complaint signed by Assistant United
States Attorney Wise of New York charges
that Edwin s. Holmes Frederick a. Peck
ham and Moses Haas did unlawfully con-
spire combine, confederate and agree to-
gether to defraud the United States in the
dishonest manner and through the dishon-
est scheme set forth in exhibit A
The certified copy of the indictment filed
with Commissioner Hitchcock in New York
contains the text of a number of kilograms
bearing on the various cotton crop reports,
and which are alleged to have passed be-
tween the principals in the conspiracy.
The indictment charges that on June 2,
1904 in the District of Columbia, Edwin s.
Holmes jr, Frederick A Peckham and
Moses Haas unlawfully and fraudulently
did conspre and combine, confederate and
agree together TO defraud the United States
in a dishonest manner by procuring some
person with money who could use the lnfor-
nation furnished by Holmes as to forth
coming crop reports, to buy and sell cotton
in the open market and make a great
profit"
The Money Transactions.
The indictment then states that Van Rip
err by the aid of the information from
Holmes, bought and sold cotton, making
profits amounting in the aggregate to S2lO-
1852; that Haas on December - 1894, re-
ceived check on the Second National Bank
of Hoboken signed by Van Ripper for $24-
go. and that Haas then gave to Holmes
S14, $50
1t is also alleged that on December 30.
1904 Van Ripper paid Haas 0.Il6U in
cash and 2,525 additional in a check. The
allegation is made that on December 81.
1904. Van Ripper paid Haas $4,000 more in
cash and Il check for S3s 292. 90.
On December 80 it is stated Haas gave TO
Holmes SIG. 1850 in cash and on December
81 1904, Holmes received from Haas S2,52J
more
1t is not believed by any one familiar
with the facts in the cotton conspiracy, that
the amount mentioned in the Indictment
approximately S2lO,0U0-eomes anywhere
near the total made by the cotton conspira-
tors out of the advance information fur
nished by Holmes.
Taking up the case In detail, the indict-
ment recites that in pursuance of the con-
spiracy Peckham and Holmes, before the
official publication of the cotton crop re-
port of the month of September, 1904, did
furnish to Lewis e. Van Ripper all the facts
figures and information to be issued about
September 3 of that year.
1t declares also that Van Ripper on Au-
gust 80 1904, and various other days
sold short large quantities of cotton, and
after the official report was published COW
cred his sales, making thereby large gains
and profits.
The indictment then comes to the matter
of the payments to Holmes for his part in
the conspiracy. 1t declares that on Septem.
Der 3, 1904, Van Ripper gave Peckham money
and checks amounting to S1,240. for which
| Peckham returned a receipt for 'all &C.
| counts in full to date" On the same day
| 1t is alleged. Peckham gave a check fol
| $50 to Holmes, who Endorsed and cashed It
The Wheat Crop.
| The Indictment then takes up the leak In
| regard to the wheat crop and quotes g
| letter from Peckham to Van Ripper, as fol.
| lows:
Washington, D. c.. 9-S-1904.
Destroy.
| ": There will be a depreciation of q
points In spring wheat on the 10th-or from
| $50 CAST reporD to 67.5-reduction may be
| moIe-not less. Such great reduction will
| no doubt raise price five to ten cents inside
of two or three days.