Certainly they could not be harmed, and if there was no bid certainly the Government could not be harmed; unless the bid should have happened to be lower than any received; and yet out of that nothing, out of that one bramble, a forest of rascality has been manufactured. Gentlemen, that is the result of suspicion when it is hoed by malice and watered by hatred.
The next suspicious circumstance, gentlemen, is that we bid. That is a suspicious circumstance. Miner bid, Peck bid, and John W. Dorsey bid.
And the suspicious circumstance is that they did not bid against each other. Why should they? I was at an auction the other day and unconsciously bid against myself, but I did not think it any evidence of rascality on my part; I thought it tended to show that I was not attending strictly to business, and yet it is brought forward as a suspicious circumstance that these gentlemen did not bid against themselves. Another suspicious circumstance is that they bid in their individual names. That is the way all the bidding is done, I believe.
I believe every bond has to be signed by the individuals and not by any partnership. That I believe to be one of the regulations of the department. Well, there is no rascality yet, as far as I can see. Now, when the contract is accepted--I will come to the bidding question again--the contractor has to give a bond. One of those bonds will be put in evidence in this case. You will see what the contractor is bound to do. Then it can be subcontracted. You will find that the contract given by the subcontractor to the department is not a hundredth part as severe as the bond the contractor gives to the Government. In the contract that we give to the Government certain things are provided. You will find that a copy of it will be intro duced. The contractor is left to the mercy of discretion-I believe that is the word--of the Postmaster-General You will find that if he fails to carry the mail one trip, no matter by what he may be prevented, by flood or storm or fire, he is not to be paid for it. Although he is there ready with his men and horses, if he is prevented by the elements he has no pay. If the Postmaster-General thinks he ought to have carried it when he did not, he can take from his pay three times the value of the trip. He can take from him one quarter's pay. He reserves in his own breast the power to declare that contract null and void, because in his judgment the contractor has not done his duty. Everything is left to him. The man who signs that contract gives a mortgage on his life, liberty, and pursuit of happiness. He has no redress. I simply call your attention to this to show you the obligation that a contractor takes upon himself. We will show you that he is under obligation to discharge any carrier that the Government does not like; that he has no right to carry any package or any letter that can go by mail; that he is to forfeit a trip when it is not run, or not to exceed three times the pay of a trip; that he is to forfeit one-quarter of a trip if the running time is so far behind that he fails to make connection with the next mail; that if he violates any of these provisions he forfeits a penalty equal to a quarter's pay, or if he violates any other provision touching the carriage of the mail and the time and manner thereof, without a satisfactory explanation in due time to the Postmaster-General, he can visit a penalty in his discretion, and the forfeitures may be increased in the penalty to a higher amount, in the discretion of the Postmaster-General, according to the nature or frequency of the failure and the importance of the mail.
Provided that, except as specified, and except as provided by law, no penalty shall exceed three times the pay of a trip in each case.
It is also agreed by the said contractor and his sureties that the Postmaster-General may annul the contract for repeated failures; for violating the postal laws; for disobeying the instructions of the Post-Office Department; for refusing to discharge a carrier when required by the department; for transmitting commercial intelligence or matter which should go by mail; for transporting persons so engaged as aforesaid; whenever the contractor shall become a postmaster, &c.
It is further stipulated and agreed that such annulment shall not impair the right to claim damages from said contractor and his sureties under this contract; but such damages may, for the purpose of set-off or counter-claim in the settlement of any claim of said contractor or his sureties against the United States, whether arising under this contract or otherwise, be assessed and liquidated by the Auditor of the Treasury for the Post-Office Department.
And it is further stipulated and agreed by the said contractor and his sureties that the contract may, in the discretion of the Postmaster-General, be continued in force beyond its express terms for a period not exceeding six months. You will see, gentlemen, how perfectly, how absolutely, the contractor is in the power of the department. The Government enforces its contracts. No matter how many years may elapse they are still after the sureties and are still after the principal.
Nothing relieves a man but, death. Only a little while ago a case was decided in the Supreme Court of which I will speak to you. An importer of sugar gave the importers' bond to pay the duty upon that sugar. By the custom of trade, sugar is sold in bond.
The importer sold to a third person and the third person went to get the sugar. By law he could only take it after paying the tax; and yet one of the officers of the Government, contrary to law, allowed him to take the sugar without paying the tax. The Supreme Court has just held that the original importer and his sureties are liable to pay that tax--the man who took the sugar out having become bankrupt--although the sugar was given to the second party simply by a violation of law, and that law was violated by one of the officers of the custom-house without the knowledge or consent of the original importer. I tell you, gentlemen, whenever a man gives a bond to this Government the Government stays with him. The Government does not die; the Government does not get tired; the Government does not get weary. The Government can afford to wait, and the poor man with the bond hanging over him cannot go into business, cannot get credit, but just lingers out a life of expectation, of hope, and of disappointment. I trust none of you will ever sign a bond to the Government. There is another thing, gentlemen. If you bid on a hundred routes and they are given to you and you put the service on ninety-nine of the routes and carry it in accordance with the contract, and yet fail on the hundredth route, the Postmaster-General has a right to declare you a failing contractor. A failing contractor on the hundredth route?
Yes. On any more? Yes; on every one. And whoever is declared a failing contractor on one route is by virtue of that declaration a failing contractor on all. They are all taken from him. So that when a man bids for more than one route, for instance, a hundred or a thousand, and gets them and carries them all absolutely according to his contract but one, he can be declared a failing contractor on all. What does that mean?
It means not simply ruin to him, but ruin to every one of his sureties, unless they are in a condition to go on and carry the mail. I want you to understand something of the obligation of a contractor with the Government of the United States.
Now, I come to the bidding. These bids were made with a full understanding of the obligation of a bidder. Messrs. Miner, Peck, and John W. Dorsey bid, I believe, on about twelve hundred routes. You see you are in great luck in bidding if you get one route in fifty that you bid upon. In the first place, there are about ten thousand star routes.
I do not know that it is too much to say that the number of bids runs up into the hundreds of thousands; somewhere in that neighborhood. Hundreds of men often bid on one route. Consequently, nobody who bids expects to get more than a few of the routes for which they bid. Now, is there the slightest evidence in the statement of the Government as to the frauds in this bidding? Let me tell you how some frauds have been committed.
Suppose, for instance, this was a fraudulent business, and Miner, Peck, and Dorsey were bidding. Let me explain it to you. I want you to know it. All there is in this case is simply to have you understand it. That is all there is. And if you do not agree with me when we get through the case I shall simply think that you have not comprehended it. Say that four men bid on the same route, one man four thousand dol-ars, another man three thousand dollars, another man two thousand dollars, and another man one thousand dollars.
Now, the man who bids one thousand dollars is of no account, has not a dollar in the world, and so when the bid is given to him he does not want it. He is what they call a straw man. The law provides then that the next man may have it. The law does not provide that he must take it. He may have it if he wants to, but you cannot force him to take it, because he is not the lowest bidder. He is the two thousand dollar man.
He is another straw gentleman. He does not want it. Then the Government offers it to the next man at three thousand dollars. He is another chap made of hay. He says he doesn't want it. Understand the Government cannot force these straw and hay men to take it. Then they go to the fourth fellow, who bid four thousand dollars. It is a good thing at four thousand, and he says, "Yes; I will take it." That is what they call fraudulent bidding. If you had found Dorsey and Miner and Peck bidding on the same route and one of them failing and another one taking it, you would not only have suspected fraud, but you would have known it.
Now, if it is a badge of fraud for them to bid upon the same route and apparently against each other, I will ask you if it is not a badge of fair dealing that they were not found bidding against each other. They bid on about twelve hundred routes, and much to their astonishment they got one hundred and thirty-four contracts.
You have heard here a great deal of talk about the number of men and horses. We will show you all about it. Men differ upon this subject. If men did not differ upon it at all these bids would be alike. Instead of being a dozen bids, all different, and differing sometimes as much as ten, twenty, thirty, forty, or a hundred dollars or more, they would bid the same. If they all agreed on the number of horses and men it would take, and about what it would cost, they would bid about alike, wouldn't they? But when they are bidding they honestly differ. One man says it would take twenty horses, and another says "no, it will take forty."
Do you not know that the number of horses depends a great deal upon the kind of man who makes the estimate. Here is a man who is hard and brutal, and he says a horse can do so much work. He says it is cheaper to buy him and wear him out than it is to feed him decently. You have known men who were perfectly willing to make fortunes out of a horse's agony, and out of animal pain. There are hundreds of them in the world.
Now, take it on horse railroads, and with freighters, and teamsters.
Whenever you find a mean, infamous man, if he cannot whip his wife, he will take his spite out on his horse. If a man is a good, broad, generous, free fellow he will say, "I don't want to work that horse to death; I think it will take four horses. I am going to keep my horses fat, and I am going to treat them as a gentleman should." Another man, a wretch, will come up and swear it would not take more than fifteen horses. When his horses are through the service you will simply see a pile of bones wrapped in a lamentable hide. You understand that.
Well, these men made twelve hundred bids and got one hundred and thirty-four contracts. Ah, but they say, here is another badge of fraud, another badge. Ah, they bid on small routes, on cheap routes, on routes where the mail was carried infrequently and on slow time. If it is a badge of fraud to bid on such routes the Government can never let out any more. Most of these routes were cheap routes. Now, I owe it to you to give you the reason for this. We will prove in the first place that these men were not rich men. If they had been very rich they probably would not have gone into the business at all. They would have gone into that perfectly respectable business of buying Government bonds. They would have bought Government bonds and made other fellows pay the interest, and twice a year they would have formed a partnership with a pair of shears, and thus in the sweat of their faces they would clip their coupons. They bid on poor routes. Why? They were poor, comparatively speaking.
They had not the money to stock the expensive routes where four horse coaches were run. They preferred to take the cheaper lines. Why? Because they could stock them. They would have been able to have stocked the routes if they had only obtained the number they expected. But as I told you, they got many more routes than they expected. Was that for the benefit of the Government? How did these men come to bid so cheaply on some of these routes? I will tell you. Because they had the information, because they had received the facts from all the postmasters on the routes, and consequently they made a good close calculation, and the result was that their bids were below others, and the fact that their bids were accepted saved the Government hundreds of thousands of dollars. When they found themselves with all these contracts, the first hard work they did was to give away all they could. That was the first hard work. They had contracts, not for sale, but just to give, and they succeeded in giving away several of them. I believe they sold two of these children of conspiracy for the enormous sum of one hundred dollars each. That was the highest sale they made at that time. Afterwards another route was sold which I will explain when I come to it. Now there is no rascality yet. No fraud yet. No conspiracy yet. Well, they then went to work to get their bonds. But first let me say that there was another reason for bidding on cheap routes. Whenever the bid is above five thousand dollars, then the man who bids must, at the time he bids, put up a check for five per cent, of the amount.
A check certified by a national bank. For instance, if it all comes to a hundred thousand dollars he has got to put in a certified check for five thousand dollars. Even in the little bids we made we had to deposit with the Government some twenty-six or twenty-eight thousand dollars, and I do not know but more, in cash, or what is the same as cash, for the bank certifies that the money is there. That is another reason they bid on smaller routes. What is the next? The Government asks such frightful bonds, such terrible amounts, that a man must be almost a millionaire, or else there must be a confidence in him that is universal, before he can give these bonds.
There was one route at this very bidding where they had to give bonds for six hundred and forty thousand dollars, and the sureties upon these bonds under oath had to testify that they had real estate to the value of six hundred and forty thousand dollars, exclusive of all debts, dues, and demands. So there was another reason for bidding upon small routes.
Where the amount was under five thousand dollars no certified check had to be deposited, and the smaller the route of course the smaller the bond.
Now, I have endeavored to show you the reasons that we bid upon these routes instead of upon the larger ones. The reasons as stated by the Government are that we took these routes where the service was once a week, so that we could have the service increased; that we took those routes where the time was long so that we could have it shortened, that is to say, expedited. But I tell you that when a perfectly good reason lies at the very threshold of the question you have no right to go further. The reasons I have given to you it seems to me are perfect and you need no more.
Now, then, we got, I say, about one hundred and thirty-four routes. Of these, one hundred and fifteen are without complaint. There is not a word about the other one hundred and fifteen. Recollect it. We got one hundred and thirty-four routes. In this indictment are nineteen; one hundred and fifteen appear to be perfectly satisfactory to this great Government. There is not a word as to those routes, not one word, I say, as to one hundred and fifteen routes, and they want you to believe that these defendants deliberately selected nineteen routes out of one hundred and thirty-four about which to make a conspiracy, and that they left one hundred and fifteen to go honestly along, but picked out nineteen for the purpose of defrauding the Government.
Now, then, when these gentlemen found themselves with these routes, the next thing was to put the stock and the carriers upon them. As I told you, a good many more had been awarded to them than they anticipated.
They had not the money. So, in putting the stock upon several of the routes, they found it necessary to borrow some money, and here comes another suspicious circumstance. Mr. Miner borrowed some money of Stephen W. Dorsey, and everybody is astonished that any man would be mean enough to loan money to another; that any man could so far forget the dignity of the office that he held as to help a friend. Their idea of a Senator is of such a lofty and dignified character that he ceases to take interest in anything except national affairs; that after he has been sworn in he forgets all the relationships and friendships of the world, and the idea of asking him to loan money seems, to the prosecution, to be the height of unconstitutionality. But as a matter of fact he did loan some money, and we will show you how that loan was treated, showing you that at that time he had not the slightest interest in it. He loaned some money, and kept loaning money until, I believe, he had given them about sixteen thousand dollars to get these routes on.
Then he, being on his way to New Mexico, met in the city of Saint Louis John R. Miner, who at that time was coming back, I think, from Montana or Dakota, where he had been putting stock on a route. Miner saw Dorsey in Saint Louis, and said to him, "We have got to have a little more money, and I want you to indorse my note or to loan me your note and I can get it discounted in the German-American Bank in Washington."
Finally, Dorsey said to him, "You have already obtained from me about sixteen thousand dollars: I will give you the note you ask, or indorse your note upon one condition, and that is that you shall give me orders"--what are called Post-Office drafts--"not only for the amount of this note, but for the amount of the sixteen thousand dollars." We shall insist, gentlemen, that that evidence shows exactly our position, and that you are entitled not only to draw from it, but that you must draw from it the inference, the fact, that we had no interest in those routes. Finally that was agreed to.
Now, understand it, at that time a contractor with the Government who had agreed to carry the mail for a certain time could give what are called post-office drafts or orders--you know, orders on his quarterly pay--and they would be taken to the proper officer in the Post-Office Department and they would be accepted, not for the full amount, understand, but for any amount that might be due that contractor.
For instance, he might fail to carry the mail, he might be fined, and consequently the amount of that draft might not be there, so that the only thing the Post-Office Department agreed to do was to pay upon that order or draft anything that was due to the contractor. That was done at that time, and why? Because there was no way other than that to secure these advances. So he gave these drafts. He came on to Washington.
The note was put into the German-American Bank. The orders on the Post-Office Department were filed with it, and the money advanced by the bank and charged to Stephen W. Dorsey. That made, then, at that time about twenty-five thousand dollars that Dorsey had advanced. That being done he went on about his business.
Now, I will show you what happened after that. I think the note in the German-American Bank was nine thousand dollars or ten thousand dollars, I have forgotten which. Dorsey then went on to New Mexico from Saint Louis, and remained there, I believe, until December, 1878. Now, I want you to understand this, because here turns a very important question, and a very important point. Now, you recollect the information about these bids was collected in the autumn and winter of 1877. The last bid was to be put in, I think, February 28, 1878. Now, this was in the August of that year, 1878. Still being pressed for money, Miner, Peck, and J. W. Dorsey were in danger of being declared failing contractors.
Now, recollect it. We will show that at that time Brady, who, according to the Government, was a co-conspirator, threatened to declare Dorsey, Peck, and Miner failing contractors, and if he had declared them failing contractors even on one route that was the end of all. At that time Miner and John W. Dorsey sought out Mr. Harvey M. Vaile, and let me say that is the first appearance of Mr. Vaile in these contracts. He knew nothing about the bidding, was not in Dorsey's house, knew nothing about the letting. That is his first appearance in these contracts, August, 1878. Now let us see what he did. He was a man of means. He had some money; had been, I believe, for a long time engaged in carrying the mails; understood the business. They will tell you that is a suspicious circumstance as to him, and that the fact that that was John Dorsey's first experience is a suspicious circumstance as to him. Really to avoid suspicion you would have to have a man that had been in it a long time but never had anything to do with it. They got him, and offered what? To give him a third interest in this entire business. I think that was it. They were to give him a third interest in this entire business, a business that had been born of conspiracy, a business that had as a silent partner the man who fixed the amount of money to be paid. Think of that. According to the statement of the Government, here was a conspiracy full-fledged, perfect in its every part, flanked by the Second Assistant Postmaster-General, buttressed by all the clerks they desired, and yet that conspiracy got so hard up that in August, 1878, nine or ten months after its creation, it was willing to give a third to anybody who would advance a little money to carry the thing on.
So Mr. Vaile came in. Now, then, they had to secure Vaile against any loss, and it seems that on July 1, I believe, of that year, the law allowed the subcontract to be filed. It was a little while before that that a law had been passed for the protection of subcontractors. That was all explained to you yesterday. You know it is something like a mechanic's lien; that if the subcontractor would only file his subcontract in the Post-Office Department and let that department know the terms of it they would not pay the original contractor until this subcontractor was paid. Now, that law had gone into effect a little while before August, 1878, and the effect of that law, if anybody filed a subcontract on these routes, was to cut out all those post-office orders that Miner had given to secure Dorsey. You understand me now, do you not? It was when he met him in Saint Louis that it was agreed that these post-office orders were to be given and filed with the German-American Bank in this city. Now, then, the law passed for the protection of subcontractors, and subsequently the filing of subcontracts on those very routes, would render those post-office orders absolutely worthless. Very well. When they made the contract with Mr. Vaile they agreed to file the subcontracts with the department to protect Vaile and that rendered S. W. Dorsey's security absolutely nothing. That cut out all other claims, drafts, and everything else, and at that time Mr. Miner was fully authorized by power of attorney from J.
W. Dorsey and from John M. Peck, who was at that time in New Mexico, to make this transfer to Vaile.
Now, see where we are on August 16, 1878. On Dorsey's return in December, 1878--he had not been here from that time, and do you not see he had nothing to do with it--he found that these subcontracts had been filed. He found that the note in the German-American Bank had been protested, and he found that his collateral security was not worth a dollar, that it was all gone. Thereupon he demanded a settlement. The matter drifted along for a little while, and a settlement was made with the bank; and Mr. Vaile, holding the subcontract, undertook to pay that Dorsey note, and he did pay it. He took it up, and gave, I believe, his own instead, and that was finally paid. But the money due Dorsey, the sixteen thousand dollars that at that time amounted to something more by virtue of interest, was not provided for. The money that had been expended by John W. Dorsey was not provided for. The money expended by Peck was not provided for. Now, I want you to see exactly how that matter stood at that time. We have got it up to that time and here it stands, and the chief conspirator out sixteen thousand dollars and without any interest in one of the routes. There is where he was at that time, and that is what we will show. The brother of the chief conspirator ten thousand dollars out, and not the interest of one cent in any route. The brother-in-law of the conspirator about ten thousand dollars out, and not a cent in. That was the condition of this conspiracy at this time, and when Vaile took these routes Brady telegraphed him and asked him, "What routes of Miner, Dorsey, and Peck, are you going to put the stock on? This thing can be continued no longer. The stock must go on." We will show it. Now, having got to that point, we will take another step. There is nothing like understanding things as we go along.
Now, from the time Mr. Vaile took the route, to the settlement in 1879, to which I will call your attention in a little while, Mr. Vaile had the absolute control. Neither Peck nor S. W. Dorsey had the slightest thing to do with one of those routes until the final settlement, and I say to these gentlemen of the prosecution now, that in that time they can find no line, no word from Stephen W. Dorsey upon the subject. They cannot find that he wrote a word to any official, that he sent a petition to anybody, that he wrote a letter to any human being upon the subject, or that he took any more interest in it than in the ashes of Sodom and Gomorrah. It went right along.
Now, then, up to this time, Stephen W. Dorsey had made nothing. He was only out about sixteen thousand dollars or eighteen thousand dollars.
John W. Dorsey was in the same healthy financial condition. John M. Peck had reaped the same rich harvest of ten thousand dollars lost, and all the things had been turned over to Mr. Vaile; John W. Dorsey put out--left out--with nothing to show. That is the first chapter in this conspiracy. [Resuming.]
I believe when I stopped, the principal conspirators were substantially "broke." The head and front was out sixteen or eighteen thousand dollars, and the other two ten thousand dollars each. Now, a contract was made, and I propose to prove that contract in the course of this trial. When that contract comes to be shown, it will be about this: That, on the 16th day of August, 1878, H. M. Vaile, John R. Miner, John M. Peck, and John W. Dorsey made an agreement That agreement made a partnership, and we will show that a partnership was formed by and between Miner, Vaile, Peck, and Dorsey on the 16th day of August, 1878.
We will show by the articles of that partnership that H. M. Vaile was made treasurer, and that all the other partners agreed, by suitable powers of attorney, to put the collection of all the money from the Government absolutely in his hands. When he got the money he agreed, first, to pay all the subcontractors; second, the expenses necessary and incident to the proper conduct of the business; third, to divide the profits remain-, ing among the parties as provided in that contract. The profits were to be divided as follows: From routes in Indian Territory, Kansas, Nebraska, and Dakota, to H. M. Vaile, one-third; to John R.
Miner, one-sixth; to John M. Peck, one-sixth; and to John W. Dorsey, one-third. From routes in Montana, Wyoming, Colorado, New Mexico, Arizona, Utah, Idaho, Washington Territory, Oregon, Nevada, and California, to H. M. Vaile, one-third; to John R. Miner, one-third, and to John M. Peck, one-third. Before any division of profits was to be made, the sums which before that time had been advanced were to be paid to the parties so advancing such sums; and if the profits were not sufficient to repay the entire sums so advanced, they were to be paid from time to time during the existence of the life of these contracts.
Now, you will find that such contract was made on the 16th day of August, 1878, and that Mr. H. M. Vaile then took absolute and complete control of every one of these routes, and the only thing they asked of him was to repay the money that had been advanced, which, as you know, and as I have told you, was the sixteen or eighteen thousand dollars by S. W. Dorsey, the ten thousand dollars by Peck, and about the same amount by John W. Dorsey. Now that is understood. At that time certain papers were executed by all the parties. I told you that a law had been passed by virtue of which a man could make a subcontract and have that subcontract put on file, and thereupon he could be protected by the Government. Now, when H. M. Vaile took these routes, and they were to be managed by him, subcontracts were made by the other parties to Mr.
Vaile, and Mr. Vaile put those subcontracts on record. Now you can see that they gave him the absolute and entire control of every route.
That was the condition. I have explained to you the the liability of a contractor. He cannot put it off on a subcontractor. He is the man primarily responsible to the Government during the life of that contract, and for six months thereafter. Whenever a contract is awarded to any person, he is regarded as the original contractor, and his name is kept upon the books of the department during the life of that contract. No matter how many subcontracts may be made, he is looked to primarily if there is a failure of a a trip, or if there is a failure of the service, and he is responsible for its complete performance. If there comes some great storm and the road is obstructed by snow, or if the bridges are all carried away by flood, and the subcontractor throws down the contract, the original contractor must be ready to take it up; and if he fail to do so, he can be fined three times what he has received for each trip. There is one case in one of these nineteen routes, gentlemen, where the fines exceeded the entire pay simply because they did not carry the mail according to the contract. Now, then, these parties finally made a settlement and they divided these routes. They divided them. They ceased to have any interest in common.
Recollect, that was in April, 1879. I want you to know it because this entire case depends on your knowing it. This entire case, gentlemen of the jury, depends on your understanding it. In April, 1879, Mr. Vaile having had possession of these routes for several months, a division was made of them, and all interest in common was at that moment severed. At this time, I say, these routes were divided, and all partnership and all partnership interest was absolutely destroyed. I want to tell you why.
When Dorsey returned from New Mexico and found that his orders on the Post-Office Department had been superseded by subcontracts and that his collateral security was worthless he was indignant, and at that time he and Mr. Vaile had a quarrel. He did not think he had been properly treated, and for that reason the moment he got the note at the German-American Bank provided for, the moment he induced Mr. Vaile to assume the payment of that note, he gave evidence that he wanted a settlement. Not that he wanted the routes divided at that time, because he did not dream of such a thing. He wanted the settlement. He wanted his money. The arrangement that had been made with Mr. Vaile was unknown to Mr. Dorsey, who at that time was in New Mexico; and, as I told you before, when he returned and found that the note that had been given to the German-American National Bank was protested, and found, as I told you twice, his collateral security was worthless, he wanted a settlement. He wanted his money refunded to him. They said to him, "We haven't the money. We have just got the stock really upon these routes.
We have just got under way, and we cannot pay out the money." "Very well," said he, "what will you give me?" I want you all to see that this was a simple, natural, ordinary proceeding. Said he, "I want my money."
Said Vaile to him, "We haven't the money, but I will tell you what we will do. We will divide the routes with you." Now, recollect at that time that they had a hundred and thirty-four routes, and had given some of them away. At that time they agreed upon a division, and they agreed how that division should be made. We will prove the agreement to you.
The agreement was that Mr. Vaile should choose first, taking the route he wanted--he and Miner being together at that time--that Mr. Dorsey should choose the next, and Mr. Miner should choose the third route; and then that Mr. Vaile should choose the fourth, Stephen W. Dorsey the fifth route, Mr. Miner the sixth route, Mr. Vaile the seventh route, and so on. They finally concluded it would be fair for Mr. Vaile to take the best route, Dorsey the next best, and Miner the next best, and then again Vaile the best, Dorsey the next best, and Miner the next best, and that that would be an average that would do justice to each. In that way, gentlemen, they divided these routes. There was no conspiracy; nothing secret. This division was made on the 6th day of April, 1879, not only after Dorsey had gone out of the Senate, but after he had advanced this money, after they had failed to repay him, after he had failed to collect it, and when he finally had said, "I must have some settlement that recognizes my claim." Gentlemen, I want you to know that. In this case that fact will be one of the great central facts. On the 6th day of April, 1879, these routes were absolutely divided, and after that they had nothing in common. But you recollect that these routes were divided by chance. Mr. Vaile chose the first route. He might choose a route that had been bid off by Peck, or he might choose a route that had been bid off by John W. Dorsey. Stephen W. Dorsey took the next route, and that might have been a route that had originally been awarded to his brother, or to Peck, or to Miner. You can see how that is. The division was here complete. Mr. Miner did not have the routes he had bid off and that had been given to him by the Government. Mr. Vaile came in, and as Mr. Vaile was not an original bidder he took routes that had been awarded to Miner and to Peck and to John W. Dorsey. By the division Stephen W. Dorsey came into possession of routes that he never had bid off, because he never bid for one. Consequently as he went along with those routes, he needed and he had oftentimes the affidavit or the certificate of the original contractor. That was a necessity. Otherwise the division could not have been carried out. Anything that arises from the necessity of the case does not tend to show any conspiracy or any illegal partnership. I hope you understand perfectly that on the 6th day of April, 1879, these routes were divided and Stephen W. Dorsey took his share because they at that time owed him between sixteen and eighteen thousand dollars.
What more did he do, gentlemen? He agreed at that time that he would refund to John W. Dorsey all the money he had expended. That amount was about ten thousand dollars. It was nine thousand and something. He also agreed that he would refund to John M. Peck, who is now dead, the money he had expended, which was between nine and ten thousand dollars. He also agreed that he would take the routes for the money he had expended, and that was between sixteen and eighteen thousand dollars. So, when those routes were turned over to him they were taken in full of over sixteen thousand dollars advanced by him, ten thousand dollars that he was to give to his brother, and ten thousand dollars that he was to give to John M. Peck--in the neighborhood of thirty-eight thousand dollars in all. Speaking of the sum without interest it amounted to thirty-six thousand dollars. Those routes were turned over to him. Gentlemen, it was not done in secret. When that division was made, the law having provided no way for A to assign a contract to B, that assignment had to be accomplished by a subcontract, and consequently subcontracts had to be given to Vaile, subcontracts to John R. Miner, and subcontracts to S. W. Dorsey, and yet the original contractor was still held by the Government. When the subcontract was made, it was for the entire amount of the pay; not one dollar remained for the original contractor. Now, I want to state to you what we are going to prove about that. After the division was made, to show you the interest taken by the arch-conspirator, we will prove these facts: That when the routes awarded to him by chance, on the 6th day of April, 1879, had been awarded, he left the city of Washington in a few days, and went to New Mexico; that he returned here on the 15th or 16th of May; that he left again on the 19th of May, and went to Arkansas; that from Arkansas he went to New Mexico, and returned to Washington on the 21st day of June, and that on the 27th of June he left for New Mexico. The next time he visited Washington was in July of the following year, 1880. He remained here one day, left and returned again to witness the inauguration of General Garfield. From June 27, 1879, up to the present hour I challenge these gentlemen to show that Stephen W. Dorsey ever wrote one line, one word, one letter, to any officer of the Post-Office Department. I challenge them to show that he ever took the slightest interest in any star route, or said one word to any human being about that business, except in explanation when attacked by the Government or in the newspapers. Now, gentlemen, after the division of these routes what did Stephen W. Dorsey do? This is a story, complicated, it may seem, perfectly plain when you understand the surroundings. It is a story necessary for you to know. After he got these routes what did he do? Did he want them? Did he want to engage in carrying the mail of the United States? Was that his business? At that time he had a ranch in New Mexico where he was raising cattle. That was his business, and is up to to-day.
Did he want to stay here? Did he want to attend to these contracts? That is for you to determine. Did he want to enter into some partnership by which the Government was to be fleeced? That is for you to say. I tell you he had another business. I tell you he had a ranch in New Mexico, and we will prove it to you, and that ranch was of more importance to him than all the star routes in the United States. We will show you that at that time he could not have afforded to waste his time on these routes; that the business he was then engaged in was too profitable to waste any time in the mail business. Profitable as these gentlemen appear to think it was, what did he do? Just as soon as he could make the arrangement he went to a gentleman living in Pennsylvania by the name of James W. Bosler. Who is Bosler? He is a man well acquainted with the business of contracting with the Government. He has been in that business for years and years. He is a man of ample fortune, excellent reputation, considered by his friends and neighbors to be a gentleman and an honest man. He went to him. That we will show you. He said to Mr.
Bosler, "I have advanced money by the indorsement of a note. I am in a business that I do not understand. We have had to divide the routes in order for me to have security for my debt. I want to turn these routes over to you. I am not acquainted with the business of carrying the mail.
I know absolutely nothing about it. I want you to take it." How did he turn it over? We will show. He said to Mr. Bosler, "You take all the routes that have been given to me; every one. You run them and you pay me back my money, and then we will divide the profit." Mr. Bosler said he was not very well acquainted with post-office business, but he understood how to transact any ordinary business, and he would take them. That is all there is to it. He took the routes; every one. I believe that he took absolute control within a few months of the 6th day of April. I do not know but the warrants for the first quarter were paid or came in some way to S. W. Dorsey. But for the second quarter Mr.
Bosler took them, and from that day to this Mr. Bosler has controlled those routes. He has carried every mail or has contracted with the man who did carry it. Every solitary thing that has been done from that day to this has been done by him. Every dollar has been collected by Mr.
Bosler, and every dollar has been disbursed by Mr. Bosler. And before we get through I am going to tell you how all the routes that were given to Mr. S. W. Dorsey came out. Let me tell you how they came out. Mr.
Bosler has carried the mail, paid the expenses, kept the accounts, and, gentlemen, I am going to tell you how much he made out of this vast conspiracy that has convulsed that part of the moral world that has been hired and paid to be convulsed. I am going to tell you exactly how we came out on all this business. I will give you the product of all this rascality, of all this conspiracy, of all the written and spoken lies; I will tell you our joint profit on this entire business; a business that promised to change the administration of this Government; a business about which reputations have been lost, and no reputations will be won; counting it all, every dollar, and taking into consideration the midnight meetings, the whisperings in alleys, the strange grips and signs that we have had to invent and practice, you will wonder at the amount. I will give it to you all. Mr. Bosler has kept the books, has expended every dollar, collected every warrant, and I say to you to-day that the entire profit has been less than ten thousand dollars, not enough to pay ten witnesses of the Government. Our profits have not been one-fiftieth of the expense of the Government in this prosecution--not one-fiftieth, and I say this, gentlemen, knowing what I am saying. It is charged by the Government that these gentlemen were conspirators; that they dragged the robes of office in the mire of rascality; that they swore lies; that they made false petitions; that they forged the names of citizens; that they did all this for the paltry profit of ten thousand dollars. That is what we will show you. And the moment this reform administration swept into power they cut down the service on these routes. They not only did that, but they refused to pay the month's extra pay, and they committed all this villainy in the name of reform. And do you know some of the meanest things in this world have been done in the name of reform? They used to say that patriotism was the last refuge of a scoundrel. I think reform is. And whenever I hear a small politician talking about reform, borrowing soap to wash his official hands, with his mouth full and his memory glutted with the rascality of somebody else I begin to suspect him; I begin to think that that gentleman is preparing to steal something. So much, then, for the conspiracy up to this point, up to the division of these routes in 1879.
Now recollect it.
Now, the next charge that is made against us, and it is a terrific one, is that these defendants, my clients, have filled the Post-Office Department with petitions--false petitions; forged petitions. I want to tell you here to-day that these gentlemen will never present any petitions upon any route upon which my clients are interested that they will claim was forged--not one. Have we not the right, gentlemen, to petition? Has not the humblest man in the United States a right to send a petition to Congress? Has not the smallest man--I will go further--has not the meanest man the right to petition Congress? Why, it is considered one of our Constitutional rights not only, but a right back of the Constitution, to make known your grievances to the governing power. Every man always had a right to petition the king. There is no government so absolutely devoid of the spirit of liberty that the meanest subject in it has not the right to express his opinion to the king--to the czar. Upon what meat do these officers feed that they are grown so great that an ordinary citizen may not address a petition to one of them? Now, I ask you, if you were living in Colorado and could get a mail once a week, have you not the right to petition your member of Congress to have it three times a week? Do you not know that every member of Congress from every State, every delegate from every Territory, is judged by his constitutents by the standard of what he does. By what he does for whom? By what he does for them. They send a man to Congress to help them, and they expect that man to get them a mail just as often as any other member of Congress gets his people a mail, do they not? And if he cannot do that they will leave that young gentleman at home. They will find another man. It is the boast of a member of Congress when he returns to his constitutents, "I have done something for you. You only had a mail here once a week. I have got it four times a week, gentlemen." "Here is a river that was navigable. I have got a custom house." "Here is a great district in which the United States holds a court and I have an appropriation for a court-house." Up will go the caps; they will say, "He is the man we want to represent us next session." But if he sneaks back and says, "Gentlemen, you do not need a court-house, you have mails often enough," the reply of the people is, "And you have been to Congress often enough." That is nature, and no matter how highly we are civilized when you scratch through the varnish you find a natural man.
Now, then, every member of Congress felt it was his duty, his privilege, and his leverage, to have the mails established, and when the people got up petitions he would indorse them. He would look at the petitions.
There was the principal man, you know, in his town. He would look down a little farther. There was a fellow that had an idea of running against him. He would look down a little farther, and there was the man who presented his name at the last convention; there is the fellow who subscribed three hundred dollars towards the expenses of the campaign.
That is enough. He turns it right over--"I most earnestly recommend that this petition be granted. So and so, M. C." Then he would put it in his coat-pocket, and he would march down to General Brady with a smile on his face as broad as the horizon of his countenance. He would just explain to the gentleman that there are miner's camps springing up all over that country, towns growing in a night like mushrooms, Providence just throwing prosperity away in that valley; that they have to have a daily mail then and there, and he would show this petition. In three weeks more there would come fifty others, and it would be granted. Why, even the counsel for the prosecution would have done the same, strange as it may appear. They would have done just the same--maybe worse, maybe better. The Post-Office officials might have granted more to them.
Now, I have always had the idea that it was one of my rights to sign a petition; that no man in this country could grow so great that I had not the right just to hand the gentleman a paper with my opinion on it. Do you know I do not think anybody can get so big that an American citizen cannot send a letter to him if he pays the postage, and in that letter he can give him his opinion. There is no fraud about that; not the slightest. These men all out through the mountains, men that went out there, you know, to hunt for silver and for gold, live in little camps of not more than twenty or thirty, maybe, but they wanted to hear from home just as bad as though there had been five hundred in that very place. And a fellow that had dug in the ground about eleven feet and had found some rock with a little stain on it and had had the stain assayed, wanted to hear from home right off. He stayed there and dreamed about fortune, palaces, pictures, carriages, statues, and the whole future was simply an avenue of joy upon which he and his wife and the children would ride up and down. He wanted to write a letter right off. He wanted to tell the folks how he felt. Do you think that man would not sign a petition for another mail? Do you think that fellow would vote to send a stupid man to Congress who could not get another mail? He felt rich; he was sleeping right over a hole that had millions in it, and he had not much respect for a Government that could not afford to send a millionaire a letter.
Now, Mr. Bliss tells you that we forged petitions, and in only a few moments, as the Court will remember, he had the kindness to say that anybody in the world would sign a petition for anything, and the question arises if people are so glad to sign petitions why should we forge their names. Do you not see that doctrine kind of swallows itself.
You certainly would not forge the name of a man to a note who was hunting you up to sign it. And yet the doctrine of the Government is that while the whole West rose en masse, each man with a pen in his hand and inquiring for a petition, these defendants deliberately went to work and forged it. It won't do, gentlemen. Oh, my Lord, what a thing a little common sense is when you come to think about it, when you come to place it before your mind.
Now, the next great trouble in this case, gentlemen, is that we bid on routes that were not productive. When you remember that Congress made all these routes--now Congress did it; we did not do it--you will protect us. We did not make a solitary route upon which we bid, strange as it may appear. Congress, with the map of the Territories and the States of the Union before it, marked out all the routes. Congress determined where these routes should run. And yet this case has been tried as though in reality we were the parties who determined it.