Twice-a-week plain dealer. (Cresco, Howard County, Iowa) 1895-1913, 1912-01-26
WHITE EARTH
HEARING BEGUN
GOVERNMENT APPRAISERS SAID
TO HAVE UNDERVALUED TIM.
Der ON LANDS.
LUMBER MEN ACCUSED
Of Conspiring to Secure Valuable In.
dian Timber Lands at a Nomi-
nal Cost-Gus eeaulieu
Makes Charges.

Minneapolis, Jan. 24.-The federal
inquiry into the alleged land frauds
on the White Earth Indian reserva'
ton, by a subcommittee of the house
committee on expenditures in the in.
terror department, opening in Mime
apolis after shift of base from
Washington D. c., brought into
the light, before the day was over,
the names of two lumber companies.
suspected of combination to prevent
competition at the auction sales of
timber of four reservations townships
held in Crookston. Nov. 81 and %.
1900. The companies are the Wild
Rice and the Nichols Chisholm com.
panies.
Besides the committee members
there were present NJ. c. Burch, who
is representing the department Of
Justice; Edward c. O'Brien, who il
assisting Mr.. Burch; w. A. Lancaster
Milton D. Purdy, R. ]. Powell, repre-
senting all the lumber companiei
having interests upon the reserva
ton, and counsel for Is per cent Of
the defendants in the 1900 suits in
stituted by the government to sci
aside title there; Gus Beaulieu, recog'
nized leader of the reservation In
dians; John w. Carl, leading mixed
blood of the reservation and Dr.. r.
NJ. Archibold Of Mahnomen.
Opening Of Inquiry.
Mr.. Burch opened the hearing with
the statement that the sale Of four
northeastern townships would, if the
committee agreed, be the first matter
of inquiry. The townships referred to
were those which the secretary OF
the interior threw on the market In
1900 for sale, either as agricultural
or timber lands and with which the
charges of combination in purchase
are concerned.
Record Of Transfer.
The evidence bearing directly upon
the alleged combination did not make
its appearance until late in the day.
Arthur NJ. Secal of Minneapolis an
assistant to the United States attor.
ney general called to the stand, ties.
tilted that he had made many alb
stracts of title to lands in the four
townships in the fall of 1910, which
showed that many of the original
purchasers under the sale in 1900,
after receiving their patents. which
was about 1903. almost Immediately
turned them over to either the Wild
Rice or the Nichols-C Chisholm Lumber
companies.
Mr.. Burch declared it his belief that
not only was there combination to
prevent competitive buying, but that
government timber appraisers had
underestimated the timber on the
townships and that the lumbermen
were aware of this and fixed their
bids accordingly. 1--WE hope to show"
he said, that in one case 100000
feet of timber was secured at the sale
by one purchaser at cost of $1.60
a thousand as a result of low ap-
praisals.
Map Shows Holdings.
AS an exhibit from which the infer
ence might be drawn that when the
lands were purchased the lumber
companies had an understanding as
to territory for which they were to
bid, Mr.. Burch introduced a map
showing the holdings of the compan-
les. The holdings comprised more
than half of the four townships, and
nearly all OF the southern two. The
holdings of each company were In
separate blocks and did not encroach
upon each other.
Gus eeauIieu Makes Charges.
Gus Beaulieu of the White Earth
Indian reservation made public
charges which he had submitted to
the interior department. They in
volve the conduct of John r. Howard
as superintendent Of the White Earth
agency, accuse the government OF
squandering the money Of the Chip
pewa Indians by creating positions
unnecessary and questions the meth
DDS of the agents of the department
of Justice, who are prosecuting the
suits on the reservation to set aside
title.