Evening star., 1938-09-04
Safeguarding the Mails
From Fraud
BY FREDERIC J. HASKIN.

a democracy. In peace times no public
of1icial-not even the Postmaster Gen.
eral-unless he IS an authorized employe
OF the Dead Letter Office, or Is armed
with search warrant issued by Fed
eral court, may open any letter which is
not addressed to him. Not only must the
mails be safe from robbery, tampering or
prylng by criminals, spies or even by the
Governments own agents, but they must
also be safe from crooks who want Uncle
Sam to deliver fraudulent advertising
and collect the proceeds for them. The
mails must go throughput not to de-
fraud.
Buying goods by mail leaves the GUS
toner no choice but to rely on the good
faith OF the seller. To reduce the num-
Der OF cases in which that faith is sure
TO be disappointed, the Post Once De-
partment has the duty to see that the
mails are not used to defraud.
go. r
Fraud work Of the Post Office Depart
ment hits the outer fringe of business
practice, the most obviously fragrant de-
ceptlon. Eyeglasses are fitted by mail.
some one is notified that he is an heir to
the mythical estate of the three-cen-
turles-dead Sir Francis Drake. Or an
invitation may come to get in on the
ground hoor Of an oyster planting con-
Germ ana earn five times the investment
lhe nrSt year. A sure cure for cancer.
brlghts disease, tuberculosis or leg sores
Is onered by putting the patient in cleo
trlc harness. Shut-ins are told they can
learn showcard writing by mail and
make good money at it,
These are few Of the schemes which
the postal inspectors look into. If the
are found beyond question to be fraud
the Post Office Department denies them
the use OF the mails. This Is usual,
enough to put them out of business.
POWER to deny the use OF the mails
granted the Postmaster General undey
the law whenever he obtains evidencc
satisfactory to him that any person or
company is conducting scheme or
oeVlce Tor obtaining money or propert.
OF any kind through the mails by mean,
OF false or fraudulent pretenses, repre-
sentations or promises.
Digging up the evidence on which thc
postmaster General may act is the work
OF the departments inspectors, who con-
stltute the Oldest of Uncle Sans secret
service agencies. These men swing into
action when compla ints come in from
those who have been duped. Sometime
the department itself may initiate the
lnVestlgatlon because some fantastic
lohg-range investment Is being sold
through the mails, and the suckers are
waiting and not complaining.
some 6OO inspectors cover the country
lor fraud work. But fraud cases are only
small part Of their work. In addition
these inspectors have all the duties of
checklng on postal workers honesty and
ehclency, getting facts on the lease Of
quarters Tor post offices, revising routes
ana schedules, tracking down mail rob-
oerS Ihelr vigil covers $4,000 post Off
ces and 250000 employees.
Evidence gathered by the inspectors
goes to the office of the solicitor of the
department. The lawyers there. like the
inspectors, must make themselves mas
terS OF the knowledge in many fields
medlclne, economics, mathematics. For
instance, they must be able to prove the
fraud IN claims that radium water cures
all manner of ills. or that fortunes can
be made from certain Mexican banana
lands when the banana market is alreadv
glutted, or that every participant Tn
sales contest has an equal chance to win
When the evidence has been prepared
the company or the individual involved
gets hearing before the solicitor Of the
Post Office Department.
by the time the evidence has been
gathered, many a concern has alrea6v
folded up. These are the outfits which
go IN Tor quick clean-ups, and plan to get
out OF SIGHT as soon as some one gets or
their trail. If they go out of business
the solicitor usually drops the FRAUD
order proceedings. Going concerns Are
more than enough to keep the solicitors
once busy. Many concerns or individ
ualS SUCK 1t out, and often muster emi-
hent legal talent in their defense.
Burden Of proof is on the Government,
witnesses, not on the company or indi
Vldual. 1t is the chemists and doctors
OF the Federal Government who must
prove for the Post Office Department
that snake oil cannot cure deafness: il,
Venoors DO not have to show that it can
EVldence must be sound and clear in
law as IN fact, before the department
issues fraud order. Concerns some
tunes appeal from the Postmaster Gen.
eral to the courts But tcourts-eenuinelv
concerned that commercial enterprise
not be deprived of any of its rights to
conduct legitimate business-rareIv eve,
upset the departments fraud orders.
II the evidence produced by investipa.
tlon and hearing shows that the mail,
are being used to defraud, the Postnas-
Ter General, acting on the solicitor,
recommendations, issues a fraud order
ms bars the concern from using the
mails. All mail addressed to the firm i,
ordered returned to the senders. Post.
masters throughout the country are In.
structed not to cash money orders made
out to the gyp company
Criminal prosecution of mail swindler,
is the work of the Department of Justice
Evidence which the postal inspector,
have gathered is turned over to the loca
United States district attorney. who de-.
cldes whether to prosecute. Conviction
by Federal jury carries with 1t the
possibility of five years Imprisonment
and fine of 81 ,OOO
For the fiscal year ending June 30
1888. the Post Office Department inves.
tlgated 5,429 fraud cases. Over 500 indi.
vlduals or concerns were forced by fraud
orders or stipulations, to discontinue
their swindling by mail In SO of These
cases, estimates place the loss to the
victimized public at some SIT OO0, 900. On
criminal charges, 5l4 people were con.
victed and fined or sent to Jail, or both
for using the mails to defraud
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