The New York Herald Newspaper, October 19, 1875, Page 6

Be “TW RED MAN'S ROBBERS. ‘Report of the Red Cloud Investi- gating Commission. ‘Thorough Examination of Professor Marsh’s Accusations. \A SCOTCH VERDICT. ‘The Principal Charges Not Sus- tained by the Evidence. WIDESPREAD MISMANAGEMENT. ‘Frands in Pork, Flour and Trans- portation Contracts, | THE BEEF SUPPLY HONEST. | | Delinquents To Be Excluded from Future Contracts. A Bolder Indian Policy Demanded of the Government. LIST OF RECOMMENDATIONS. Wasnincton, Oct. 18, 1875, The+ Joint Commission appointed to investigate charges of mismanagement and fraud in the Indian ser vice, especially at Red Cloud Agency, have submitted } duplicate reports—one to the Board of Indian Commis- ysioners and the other to the President This dual pres- entation of the facts and finaings is in consideration of the manner in which the members were appointed, ‘the three criginally constituting the Commission having }been nominated by General Clinton B, Fisk, President of the Board, and the two additional members by the Executive, There has long been a popular impression that the | funds appropriated for the maintenance of the In- dians on the reservation have been in part diverted \from their beneficial purposes, and that white kmen have cheated both the red men and the government Making all due allowance for the unreliability of ramor ‘and for the celerity with which, on a mere suspicion or suggestion, scandal freely circulates, the irregularities yand wrongs that have been brought to light are found wufficient to justify this want of perfect public coni- ‘denca. The individual investigations of the Hamatp ‘correspondents who have visited the Indian agencies Jhave revealed some of the hidden things in their mis- jmanagement, and good results have already followed euch exposures. Complaints of general mismanagement ‘have, however, become chronic. This remark applies ‘with peculiar force to Red Cloud Agency, especially since a Hxpatp correspondent calied atten- tion to the evils which Professor Marsh subsequently ‘Baw and formally set forth in his communication to the President. The investigation, of which the present report is the result, wag instituted in consequence di- rectly of the Professor's charges, which he communt- cated to the President and published to the country. Besides the charges mainly against the agency a num- Der of collateral matters have been brought to the at- tention of the Commission in the course of their in- ‘quiries, and they have taken this opportunity to ex- press some general views upon the Indian question. They have examined all the charges and traced the dis- covered evils to their several sources and have given their cosclusions impartially from the evidence. Wherever they have found any frand or appearance of fraud they have ex- posed it It will be seen from the result ‘that the Commissioners have taken some scalps, and if they feel justitied in smoking the ptpe of peace with any one whose official or business relations with the Indian service have been called in question it is be- cause he has run the gauntlet of their investigation and come out unscathed Their report is elaborate, and shows that in discharging the difficult and sometimes delicate duties devolving upon them the Commission- ers have exhibited industry in collecting testimony and keen analysis in sifting it, Those whom they have censured will dissent from their deductions, while their Suggestions will renew discussion of a proper Indian policy to be followed by the government. jIn a note accompanying the copy of the report sent to the President, Professor George W. Atherton says, “Tho Commission bas acted throughoat as a single body, and the conclusions reached are the result of our Joint delberations aad express our united judgment. For thia reagon I bave, at the request of the three mem- bers nominated by the Board of Indian Commissiovers, Joined them in signing the report which they have addressed to that body, and of which the one herewith transmitted is a copy. It may be proper to say, however, that in case my conclusions on any important point differed from these of the other members of the Commission, I ghould have deemed-it my duty to submit to yous separate report. But, as the case !s, the course which Ihave adopted seemed more in accordance with the spirit of your instructions, and I trast it will meet your approval. The Hon. Timothy 0. Howe, to whom, jointly ‘with myself, your letter of invitations was has been present with the Commission during only a small part of its investigations. He was not present at any time during the preparation of the report, and his name consequently does not appear among the signers.” INTRODUCTORY OBSERVATIONS. The Commissioners say, by way of introduction to their report, that Professor 0. C. Marsh, of Yale Col- loge, a gentloman of deservedly high reputation in tho scientific world, while upon @ geographical expedition to explore the Bad Lands south of the Black Hills, in September, 1874, was detained by Indian opposition several dayv at Red Cloud Agency. Daring that deten- tion there an issue of cattle and annuity goods camo incidentally under the Professor’s notice, and some samples of very inferior four, sugar and tobacco were placed in his hands by the chief of the Ogallalla band of Sioux, with the request that he would lay them be- fore the President, in order that he might seo how im- perfectly the benign purposes of the government were carried out in the quality of the goods and provisions issued at that agency. The Professor, at all times allve to whatever might affect the interests and good faith of the government, having some leisure at command to look into the administration of affairs at that potnt, Desides possessing ® strong motive to conciliate the Indian chief in furtherance of his actentific expedition by exhibiting @ just sympathy with their complaints, Promised to make a due presentation in person of their grievances to the President. This be did im «@ personal interview, and more fully in his letter of the 10th of July, in which he gives expression to some unfavorable impressions that ‘Ing point, the tommisston availed other aids ashe could give them, and it is confidently asserted that every witness whose name he furnished has been examined where that witness was at all accessible, as also every other person whose relation to the affairs of the agency gave reason to suppose that he possessed any information on the subject; and that every document asked by him to be procured from the Interior Department was ordered and promptly fur- nished, The body of the testimony accompanying the report, comprising upward of 800 octavo pages, inti- mates the thoroughness of the investigation, The considered seriatim, . ‘THE INDIAN AGENT AT RED CLOUD AGENCY. The charge of incompetency for the position of In- dian agent preferred against J. J. Saville is sustained by | the commission, for which reason they recommend his removal; but nothing appears in the testimony to sus- charges preferred by Professor Marsh are taken up and | themselves of such | be shown that he had violatea any previous Contract | $117,510 18. After analyzing all the details the Com- or been a party to any frauds upon the government. | Moreover, he has been awarded a contract with the Indian Office the present year, The commission say | they nd this charge wholly unsupported, and no- | where bas anything appeared to warrant them in | regarding Mr, Bosler as other than an honest | man in all his business transactions, His participation in the contract of Seth Mabry for the sup- | ply of beef to the Sioux agencies for this year is shown | to bea similar arrangement to that previously men- | tioned, and under which he purchased over 89,000 head of beef cattle, which are now betng delivered to the agencies by Bosler in Mabry’s name and as his agent. The circumstances which led Professor Marsh to the supposition that Agent Saville was in collusion with Mr, Bosler to defraud the government and the Indians by | false deliveries of cattle are fully analyzed in the report | and illustrated by many facts and figures. It appears that on the last day of September, 1874, a | tain the charge that he was in league with the con tractors to defrand the Indians of the food and clothing | furnished by the government It should be said in | Justice to Dr, Saville that his lack of success as an In- | dian agent is wholly attributable to his want of adapt- | ability to such @ place, and that he combines many ex- | cellent qaulities of head and heart He Is pointed to | as being an example of one Indian agent, at least, who | goes out of office a poorer man than when he entered. | The general mismanagement of affairs about Red Cloud Agency produced a very unfavorable impression, | The low aud inferior character of the employés, the | want of order and neatness in the arrangement of the government stores, and the lounging of Indian women and children around the stockade, all attested the loose manner in which the business was conducted, and a want of administrative capacity in the agent Spotted Tail Agency presented a striking contrast. Dr. Saville’s position, however, in the establishment of a new agency in the midst of hostile surroundings should be | considered, and the condition of things is better there now than ft waa two years ago, OVER-ESTIMATE OF INDIANS AT RED CLOUD AGESCY. ‘Tho report points out the advantages taken by the Indians over the Government by concealing thelractual numbers, and the difficulties and dangers experienced by the agent in obtaining an enumeration, which was nally effected only by starving them into submis- sion, The count, as made by the most reliable men available, showed the numbers to be:—Arapahoes, 1,821; Choyennes, 984; Sioux, 9,930. To these were afterward added the Kiocsies band of Sioux, which was off hunting at the time of registration, and num- bering 700; Arapahoes and Cheyennes subsequently registered, 629; making a total of 13,423. It is true that army officers concur with Professor Marsh in esti- mating the numbers at a much smaller sum, but they aro atleast but mere estimates without any of the aids of | an accurate enumeration. The Northern or wild Sioux | Ynalans are liable to visit the agency any day and de- | mand supplies, These @ugment the nu:nbers for the | tima It is very clearly in evidence that there was a | | large body of these at the agency in October, 1874, and | | if the Professor did not meot them in November wnen | | ho crossed the White River, his failure to see them | can not overrule the concurrent evidence that they had | been there. It is recommended that Saville’s successor | make another and more perfect census of the Indians | encamped around the agency, and that whenever Northern Indians appear there he shall keep a separate account of their numbers and the supplies that may be furnished them. ISSUB OF ANNUITY GOODS. The commission find the system of keeping accounts at the agency exceedingly loose and defective, and for | this the Indian Office is justly censurable. It is only | within the last few weeks that the government has sup- plied books to the agent and required the adoption of a | system calculated to exhibit clearly his accounts. The | provision of the Treaty of 1863 requiring an officer of | the army to be present and attest the delivery of the | annuity goods and to inspect and report on their quantity and quality and the manner of | thew delivery, has been aatterly disregarded The admirable recommendation of the Bishop Hare Commission that all beefand other provisions be issued by orders of the issue clerk, which orders should pass | through the office in order to their appearance on the books, has not been carried out, While the commis. | sion agree with Professor Marsh as to the general loose- | Bese im the system of distribution, they cannot accept as Just some of his statements as evidence of irregu- larity and fraud His charge that on the 12th of November not more than twenty—certainly not more than twenty-five—bales of blankets were issued, was based partly on his own passing observation and partly upon a cer- tificate of Louis Beshaw, « half-breed, who assisted at | the distribution; then, referring to the official returns of the agent, which show a distribution of thirty-seven bales, Professer Marsh jumps to the conclusion that a | gross fraud has been practised both upon the govern- ment and the Indians. Now if there 4s one fact which the entire evidence renders perfectly clear and tndis- | putable ft is that those thirty-seven bales were fairly | distributed. This is shown by the yoluntary declara- | tion made by Red Cload in his first speech to the com- mission (which was published tn full exclusively m the | Hunaxp at the time) and by the testimony of Sitting | Bull, one of the most faithful of the Ogallalla chiefs, | who had actually counted them; by the receipt of Louis Reshaw himself, given on the day of the deliv- tery, and by clerks and employés who were present as well as by the positive statement of the agent. In his examination Reshaw repndiaied the certificate given to Professor Marsh, with all the conclusions | based upon it The commission do not concur in the censure which tho Professor has passed upon the | agent's late distribution of blankets that fall, because | they bad been withheld in order to force the Indians | to consent to be counted, The rapidity with which the | sapplies and annuity goods were issued in a single day, | stead of being cause for censure, should be consid- | ered rather to his credit, because the day was cold, the | snow was falling fast, the Indians were there with their wives and children, many from a distance of fif- teen and twenty miles, and they were hungry and des. ttate TUB BEEP CATTLE QUESTION. The question of beef forms a principal part of the | report. Beef is the Indians’ staple article of food. ‘The annual expenditure for its supply is large, and the frauds charged in connection with the contracts are commensurate with the magnitude of the sums in- | voiyed. In taki up is subject the commission re- | espttulate Frotator larsh’s charges—that the cattle | have beon very inferior, owing to systematic frauds | | practised by the agemts and contractors; that in conse- | quence of fraud and mismanagement the Indians suf- | | fered greatly during the past winter for food; that | Agent Saville withheld from them provisions which | | he charged against the government as having been 1s- | sued to them; that the frauds in weights are consum- | mated by direct collusion between the agent and the | contractor, and that equal rascality is practised in re- gard tothe number of cattle; that another fruitful | source of fraud is the system of stampeding, and that, | these frands have been gigantic and long and systemat- | feally continued. Professor Marsh's pamphlet partakes rather the nature of an argument than a pure presenta. | tion of facta, and in reviewing these several charges the commission find that he has based ' his conclusions more upon hearsay evidence than on per- sonal knowledge and well establichSd fucte, The charge that Agent J. J. Saville and J. W. Bosler, with his associates, combined todefrand the government ts found to be entirely unsupported by the facta, In | support of his charge Professor Marsh alludes to the coutract for the last fiscal year, and argues that it w: appears, was awarded to J. K. Foreman, who was the jowest bidder, and who complied with all the pub- Mshed requirements. Subsequently, for business reasons, it was assigned to W. A Paxton, in order that @ combination might be formed to hhe derived from his interviews with the Secretary of | the Interior and the Commissioner of Indian Affairs on that subject. The effect produced upon the public mind by his letters seemed to demand that official in- ‘vestigation be made into their subject matter. As this might involve the integrity or offictal diligence of tho Secretary of the Interior and the Commissioner of Indian Affairs, it wag manifestly improper for them or “either of them to select the persons who should serve ‘on the Commission.” Accordingly, the Secretary of the | Interior requested the President of the Board of Indian Commissioners to nominate three enitable persons for that duty. Thomas ©. Fletcher, of Missouri; Ben- jamin W. Harris, of Massachusetts, and Charles J. Fanik- ner, of West Virginia, were chosen in pursuance of this Tequest to investigate the affairs at Red Cload Agency. ‘The President afterward added to the Commission the names of Timothy 0, Howe, of Wisconsin, and George W. Atherton, of New Jersey. Adapting the lower of Professor Marsh os their gtart- carry out so large a contract, Mr. Bosler furnished the capital and parchased and delivered the cattle in | the name of Paxton, To execute such a contract at 80 | low a rate with success and profit required capital, ekill and business capacity, and in consideration of these, which Bosler contributed, he was entitled to ro- | cetve the greater share of the profits. The commission failed to discover in all the facts any evidence of fraud | im the matter, In the same connection Professor Marsh speaks of Mr. Bosler as notorious for frauds in previous ¢on- | tracts, and for this reason was excluded from further orenictage's in government contracts, After ex- “_ the facts bearing on this allegation it was found thet Mr. Bosler has himself at various times had contracts with the War and Indian Departments, and that he never was refused & contract when bis bid entitled him to it, but has always been awarded contracta for which he waa the tainted with frand from tts inception. The contract, it | delivery of several hundred head of cattle was made to the agency, and that during the night, in the midat of | a violent storm, they stampeded and 278 were lost. In consequence of this loss our regular issue was inter- rupted. A clerical error in the agent’s books, at about the same time, represehted. subsequent issues to have been made to the Indians on other days trom which they actually occurred. Mr. Bosler claims that of the 278 head that were lost only 150 went back to his herd on the River Platte, and an equal number of substantially the same sizo and valuo were afterward returned to the agent by him. These facts were fully reported by Saville to the department in December, 1874, ata time when no frauds, so far as appear, had been imputed to him or the contractor. As those voluntary statements made then are the same as these now given in the testimony the conrmission feel compelled to accept them as true, and they are of opinion that the imputation of dis- honesty put upon Dr. Saville in cheating the Indians out of the issue represented to have been made on No- Wember 8, 1874, is without foundation, The next allegation of Professor Marsh 1s that in pur- suance of this design to defraud the Indians and the government Bosler delivered to Saville cattle so small and lean as to be unfit for beof, which the agent ac- cepted and receipted for, But the investigation reveals the fact that this charge rests solely on the statement of Red Cloud and two other Indians, though sought to to be strengthened by tho certificate of General Bradley, Captain Mix and Lieutenant Hay. The testimony shows that on the 9th of November, 1874, there remained in the agency herd seven head of cattle, which | are said by all who saw them and ad- mitted by Dr. Saville himself to have been poor, small and altogether unfit for beef; but that they had ever been receipted for to the contractor or issued to the Indians, as stated by Red Cloud, is by no means established. Red Cloud claimed that those seven head were a fair eample of the cattle supplied to the Indians on ordinary issue days. But there is overwhelming evidence that the great bulk of the cattle delivered were | full grown cows and oxen, From all the proofs the commission are satisfied that the seven head were never receipted for or issued by the agent, and were not a fair sample of the cattle issued at the agency. The fact of Agent Sa- ville having received those inferior cattle into his herd does not necessarily imply that he receipted for them. The interests of the government are not invoived until after the cattle are receipted for, Saville admitted that he had received the cattle, but denied having re- coipted for them. Owing to a confusion of ideas, Pro- fessor Marsh represented the agent as having receipted for them, His mistake was in confounding the words “received” and “‘receipted.” The certificate of the three army officers is equally frrelevant, for, in the first place, the seven head inspected and estimated by them had been rejected, and formed no criterion by which to determine the average weight | or the condition of the herd of which they were the remnant. and in the second place the mode of their en- deavoring to arrive at the average weight of those cat- | tle defeated their own end. Two of the ofllcers guessed | at the net weight of the seven head, while the third supposed it was upon the gross weight their optnions were to be given, and made his estimate accordingly ; so that when the sum of their private conclusions was added and the average struck they had reached no satisfactory result and formed no reliable deduction. Another charge of Professor Marsh ts that Dr. Saville Intentionally receipted for greater numbers of cattle than were dolivered, and that their weights were largely overestimated in the receipts One instance adduced as proof of this is that on the 14th of Novem- ber Dr. Saville receipted for sevoral hundred head of Texas cattle at an average weight of 1,043 pounds, while the truo weight did not exceed, in Pro- fessor Marsh’s judgment, 750 pounds, which he ‘considered a liberal estimate; that all the cat- tle of that herd were wretchedly gaunt and thin; thata majority of them were small; that many wero yearlings and scalawags, and not a few weak and decrepit. The testimony on this subject ts very voluminous and involves the general question of the weight of through Texas cattle, The department, the contractors and all persons concerned understand that beef for the Sioux Indians is to be delivered on the hoof directly “‘off grasa and water.” The difference be- tween the weight of cattle “off grass and water” and when they have been “‘lottea’” twelve hours, ts dif- forently estimated at from 50 to 100 pounds. This ts well understood by the men who take Indian con- tracts, and they are thereby enabled to pat their prices so much under that at which “otted” cattle are furnished to the army, or at the great cattle markets of the country as to lead men not familiar with the subject to think that such acontract cannot be honestly filled without loss, The com- mission entered into this Investigation with the idea strongly impressed upon their minds that no ordinary herd of Texas cattle could average anything like 1,000 pounds. On thelr way from Cheyenne to Red Cloud Agency they saw cattle of this class on the ranges, and estimated their weights at from 750 to 850 pounds, They were not prepared for the gctal demonstra- tion which they subsequently witnessed at the agency on the 41th ‘of August, whon 877 cattle were received and weighed. Tho scales were exam ined by the Commissioners and balanced by ono A) their number before the work began. All the 377 cattle were weighed except three wild and powerful steers, the last of the lwrd, which jumped from one division of the corral to the other, breaking, as they passed, large rails which formed apart of the partition. One of the Commissioners took down the weight of cach dranght from the scale ‘beam, the other members being present carefully watching the procoed- ings, The average , weight of tho herd proved to be 1,053 poulida .Many single stoers wolghed more than 1,200 and somé o¥ém™2,30 pounds. ‘They were all driven from Texas during tho last mpr'®6, and arrived at the Platte during June and July. With this evidence the question of the contractor's ability to furnish cattle of the weight of 1,000 pounds and apward seemod to be settled, But in order that the Commis- sioners might be certain that this lot had not been | selected for the occasion, three days later, on their way to Spotted Tail Agency, they made a aétour of about thirty-five miles and visited the contractor's large herd on the Niobrara River. That herd contained 5,500 head. They proved to be about the same ciass and of about the same average sizo and weight as those they had seen delivered on the 11th. The Commissioners caused all the cattle to be driven before them and two members of the Commission rode through tho whole herd scattered over the plain, carefully no- ticing many handreda, They were fully satisfied with the result of their observations in that respect, and say that if the cattle which they saw wore a fair sample of | the cattle which had been delivered to the Indians of | Red Clond and Spotted Tall agencies during the last three years the Indian and his friends should bave little | cause to complain; and they express an earnost wish that all the laboring people of the country could be as well and as liberally supplied. ‘The report next reviews the Foreman contract for the years 1874-5 for the supply of beef to the eix Sioux agencies, At the request of tho Commissioners Mr. Rosler presented for their private use an abstract from his books for that year, showing that the total aumber purchased for that contract was of beeves, 22,226, and of cows, 7,055, making a total of 20,880, of whieh he delivered 23,886, showing a loss of 066. The abstract shows the names of the parties from whom all those cattle were purchased, the exact cost of every animal, the cost of herding and all intidental expenees, im- cluding interest on the capital invested and the net profits on the contract; and also the same particulars with reference to the gpecial contract which was made for an ad- ditional supply, according to regulations. Tho total cost to the government of the beef on both contracts lowest bidder, It has not been shown or attempted to was $700,864 48, The net profit the contractor waa | show that any fraud was practised upon the Indians or | losses on the Indians and the government, are found | persuaded that with the present system ‘it ts possible | attention of the present Commissioner of Indian | Affairs he instituted a thorough NEW YORK HERALD, TUESDAY, OCTOBER 19 1875—QUADRUPLE SHEET. mission are satisfied from the evidence that this profit was perfvctly fair and legitimate. They say that if great frauds in weight have been perpetrated at Red Cloud similar frauds must have been practised at all the other agencies, and to assume this requires that they should find that all those six agents, their clerks and assistants, the contractor and his associates, assistants and herders, combined to cheat both the Indians and the government, and that all shared, directly or indirectly, in the benefits of the fraud. It may be in accordance with the current of present popu- lar fecling to adopt this conclusion; but, dealing as they do with the prools, they are forced to say that the facts do not support it, They came to the same con- clusion with reference to the contract for the present year. Referring to the contract of 1813-74 the Commission find that it is not only possible but practicable to realizo the net profits shown without re- course to fraudulent means, and moreover they are convinced that during the years in question all cattle were received aud receipted for at their actual weights and nurhbers, As an effectual answer to the complaints concerning small aud lean cattle, it is proper to state that it is for the interest of the contractor to buy cattle which are as large and in as good condition as possible, inasmuch as he purchases them by the head’ayd sella them by their weight Tn this connection reference is made to the report of the Bishop Hare commission, which investigated the affairs of Red Cloud agency in 1873. That commission took particular pains to inquire into the quality and weight of the beef furnished during that fiscal year. ‘The testimony of many witnesses and the personal ob- servation of the members of the commussion convinced them that the cattle had been remarkably excellent in quality, size and condition, and that their average weight, on the whole, has been considerably above that required by the contract, The high character of the gentlemen ‘composing that commission renders their testimony of great value and importance, Inspector Bevier, who made a subsequent investigation, came to a similar conclusion, With reference to the poor appearance of the cattle which Professor Marsh saw on the 14th of November, 1874, the commission find that they appeared gaunt and a Pato to the inclem- ency of the weather, and to the fact that they had been driven a long distance in a snow storm with- out food or water. Agent Saville’s statements con- cerning the weight of those cattle, and which Professor Marsh contradicts, are corroborated by the testimony of Bishop Hare and other evidence, Of the issue of May 4, 1875, whilo it appears that the catule were not equal’ to the average, there ts no evidence to the Government, Professor Marsh’s charges of fraud growing out of a system of stampeding, entailing great to be based also upon information only, and not on personal knowledge, which information 13 found to be incorrect. The statement in Reshaw’s certificate that cattle which had been stampeded and returned to tho contractor's herd, were driven to the agency and re- ceipted for a second time, has not a shadow of founda- tion, except in the fact alteady stated, that 150 were re- turned but not receipted for a second time. In concluding this branch of the subject the com- mission say that, notwithstanding their careful and ex- haustive investigation, they found no sufficient evi- dence to justify the Conclusion that fraud had been committed by the agents or contractors, yet they are for corrupt agents and contractors to combine and de- fraud the government and the Indians The commis- sion recommend, as an additional check, that the de- livery of beef be superiutended by an officer detailed for the purpose under the direction of the Commissary General of the army. With reference to the alléged double pa: it of $16,000 to contractor Morrow, for cattle delivered at the Crow Creek agency in November, 1870, which was pressed upon the attention of the commission by Pro- fessor Marsh during the investigation, though not in- cluded in his communication to the President, the coim- mission find that the irregularity on which the charge is based grew out of neglect on the part of the agents, the cattle being received and receipted for by an out- going agent and not cared for by the incoming agent, on account of which ‘many were lost to the govern- ment, Morrow denied that he ever received his pay twice, and there is evidence tending to show that in this he was correct. As soon as the mattter came to the investigation and caused a suit to be commenced against Morrow for the recovery of the price of the cattle. It was finaily com- promised by Morrow delivering the same number of pounds that was represented by the voucher, There can be no doubt that the Commissioner of Indian Af- fairs acted with judgment and discretion in view of the peculiar condition of the parties and the embarrass- ments of the case in the compromise whrch he effected with the approval of the United States District Attorney for Nebraska and the Attorney General of the United States. FRAUDS IN PORK. Professor Marsh charges that the issue of pork on the 15th of November, 1874, was made in a careless and slovenly manner, and that the pork ftself was anfit for food. ‘The Commission found that the mode of issuing was rude one, but that substantial aceuracy was msured by the watchful oversight of the persons most directly {initerested. With reference to the second point, all the testimony goes to show that Professor ne was mis- taken in supposing tho pork to be old, or’ that any con- siderable portion of it was damaged. The statement quoted from Hed Cloud that he believed somo of the children had died from eating it is too trivial for serious notice, It is one of those childish and irresponsible complaints which Indiana in general, and that chief in partigular, are prone to maks. 1 18 parallel with the comp/aint made by one of the Indians that the pork was spoiled by ‘the Water in the barrels, and to the statement of one of Spotted Tail’s band that the hillsides wore covered with the graves of their children who had died from eating sugar. While, tn regard to the principal charge, thore is no evidencd that any considerable part of the pork was otherwise than sweet and wholesome, the proof is clear that {t was of an inferior grade, Tho Com- mission are fully convinced that it was far- nished in pursuance of a deliberate and premeditated attempt to defraud both the Indians and the govern- ment. Tho irregularity of this transaction reflects un- favorably on the contractor, J. W. L. Slovens, and the inspector, E. R Threlkeld. 'The advertisement inviting bids called for a grade known to the trade as mess pork, but by a clerical error the word “moss” was omitted in the contract, which simp'y called for pork. After the delivery of the first 200 barrels Slovens took advantage of the omission and furnished the lowest grade of pork known to the + market. This lot,, consisting of 600 barrels, the inspector was’ ‘induced to When’ the pork arrived and the agent discovered that it was unfit for use, he promptly communicated the fact to the department, While Com- missioner Smith’s vigor and promptness in dealing with this matter as soon as his attention was w it leave nothing to be desired, the Commission cannot acquit him of responsibility for the error of the clerk, by which the fraud of Slovens was rendered ‘ible, Amid the almost Cig logy! Lr page pore 80 inportant, irean, there must be many cannot tohe had ‘Ne Thimedate fey, of the chior officer, but it would be inadmissible to regard the preparation of contracts which involved the expendi- ture of public fands ag one of them. The matter was compromised between the government and the con- tractor by the latter furnishing $2,100 worth of bacon at the agency where the {inferior pork was delivered. With regard to Mr, Threlkeld, who passed the pork, the Commission recommend that his services a8 inepector be hereafter dispensed with and that Mr. Slovens be excluded from all participation in futuro contracts with any department of the government, FRAUDS IN FLOUR. The evidence obtained bearing on the alleged inferior quality of flour at Red Cloud Agency shows that twenty-seven sacks which had been condemned found their way to the agency in some way not explained, and that {n September, 1874, some of the flour which Major Long was ditected to inspect, was slipped throngh without inspection in some manner that ho could not ascertain. Tho sample which Red Cloud placed in the bands of Professor Marsh was in- ferior to the vilest flour that over reached the agency. In the opinion of the Commis «ion the character of Red Cloud should have ‘nase. Professor Marsh more careful in accepting his vistonidmcs a8 trie without examining for himself the at theagency, The fact that that wily flour that bis sample of coffee (alluded to bere- clef had mado lip =\8 Sambo cor throws sus after) in a way torerve yarn on the santle of four pe rnished. This sua- picion is confirmed SY @ chemilcal beg! eh ie Commission procured of *2at sample of flour. dea the usual ingredients of wheat Sour it revealed iron as oxide and sulphuric acid, the gait amounting to eight per cent of the whole sample, The prosepee of ao large a percentage of foreign substance seems 10 rove adul- teration, and, in the absence of all othe? flour, at the agency containing such foreign substance, the Commission are forced to the conclusion that Ret Cloud is responsible for ghie tmposture. practised, upon the learned Professor, No fault is found with the In- dian Burean in furnishing a low grade of flour to the Indiang, who aro incapable of discriminating as to quality. As the government is now under no treaty obligation to feed the Indiang, all that could be expected of it in this particular is that furnished should be wholesome and nutritious, The Commission con- clude that the Indian Otfice erred in awarding the contract for flour to J, H. Martin. Ho was mere speculative bidder, not the owner of a mill, and had not i, the means within himeelf of filling such a contract, He had been tho year before the lowest bidder, but had failed in its fulftiment, The awarding of the contract to him led to geveral irregularities, Firat, it was ir- regular and unbusiness like for the Commissioner of Indian Affairs to instruct the Superintendent, Barclay White, to accept from Mr. Hurford 2.500 sacks upon & sample to be furntshed by the vender himself to the Superintendent. Second, it was improper sub: sequently to permit Hurford to substitute a lower sample and for the Superintendent to accept flour upon it, Third, it was improper in the Com- missioner to sanction the act of D. J. McCann, by which he ordered of Hurford 202,000 pounds of flour m sacks weighing ‘hty-eight pounds, when the contract expressly provi that it should be delivered in 100 pound sacks, and this departure from the contract might have led to fraudulent results if they bad not been frustrated. Fourth—It exhibited a want of due dilligence on the part of the Commissioner to allow ten carloads of flour to arrive at Cheyenne without making any provision In advance to have the proper inspector: thore to test ita quality before it was sent to the Agency, McCann was summoned to explain his reasons for ha’ ing ordered the flour put up in eighty-eight pound sacks instead of 100, which is the universal custom. His explanation was not satisiactory, Ho doxied having dirocted Hurford to gut up the dour jn } eighty-eight pound sacks, He denied that it was dot at his particular request, and barely conceded that he thought he had made a request, but thought the request was made after being informed that they were the only sacks on hand, Mr. Hurford denies that he had any eighty-cight pound sacks on band, and further states that when be afterward saw McCann he asked him why it was to be put up in eighty-eight pound sacks, saying that it was unusual and might lead to trouble, MoCaan’s rej “For the convenience of issue, toy er with other reasons.’ this was a deliberate scheme to defraud the gov- ernment and Indians, it was frustrated by the vigi- lance of the storekeeper, Mr. Palmer, at Cheyenne, On leering of the short weight, Commissioner Smith immediately ordered Major Long to weigh the flour as Well as to Inspect it. The commission recommend that hereafter instead of bey contracts for flourin the city of New York, they be let at. some suitable point in the West, whore, in the valley of the Mississippi among extensive flouring milis, it is believed an active compe- tition may be created, and flour be obtained of a better quality and cheaper rates than is now furnished by the aor ow speculating contractors, ithout pronouncing conclusively upon the Intention of Martin of McCann, the evidence 1s suiliclent, in cou, nection with the latter’s action im the matter of trans- portation, to justify the Indian Bureau and the Board of Indian Commissioners in refusing to confide to McCann the performance of any other contract; and Martin should have been long ago excluded as a bidder, There was certainly enough, also, to justify Com: missioner Smith’s suspicion of fraud as expressed to Indian Comuinissioner Roberts, and communi- cated by him to Superintendent White in his letter of November 1874; and that there was no fraud succosatully ‘perpetrated is perhaps due to the vigilance of others, and can in no wise be traced to the elficiency of Superintendent White. The embar- rassment which the Commissioner met in this trans- action might have been guarded against to a great ex- tent if heshad taken the precaution to procure the do- tail of an army officer to act as inspector of flour at Cheyenne in due time for the inspection and delivery of the flour, which he know was coming on. His prompt and onergetic action, however, i repairing his pre- vious errors and omissions, when awakened to the con- uct of those parties, evinces an honest purpose to protect the intorest of the government. SUGAR, COPFER AND TOWACCO, ‘The samo remark is to be made of the'quality of tho sugar, coffee and tobacce that were furnished to the Indians at Red Cloud Agency last year as of the flour, "These articles were all of an inferior grade, and were designedly purchased as such; but the commission have no evidence tonding to show that they cost the government more than a fair market prico, or that the ‘ull amount purchased did not reach the agencies. The tobacco was of three several grades, all plug, two of which wore of a fair quality, but the third was @ miserable compound of bits and cuttings manufactured with some ether ingredients to stick them together and ressed into shape. As smoking is the only way the ndians use tobacco, plug is not the most suitable for their purposes. Better tobacco ts being furnished this year. The coffee was of alow grade of Rio, but abundantly suitable for the use of the Indians and far better than the brown and ground mixture called coffee, which toaaee of families are glad to be able to procure for use. 5 SUPPERING AMONG THR INDIANS, Doubtless individual cases of suffering among the Indians may have occurred, but their known improvi- dence sufficiently accounts for any such instances in the absence of evidence of other causes, Major Stanton testifies that during last winter, which was the severest ever known by the residents of that part of the country, there was somo destitution and suffering among Indians en- camped on Bordeaux Creek, at a distance from Spotted Tail Agency, and for a period they were reduced to the necessity of eating their ponies The fact that they were far jaway from the agency and that there was a short supply of provisions, owing to the impossi- bility of transportation, is sufficient to exonerate the government from blame or responsibility. Certainly the evidence that these ings were the direct re- sult of fraud is entirely wanting. The commission were not only unable to ascertain from white men ex- amined that there was any widespread suffering at Red Clond, but the Indians themselves, very many of whom were questioned on the subject, failed to confirm the statements of Professor Marsh in this particular. An Indian’s admission on this subject, in view of his well known Byetepon oe to grumble, should be con- sidered very reliable evidence. That there may have been some suffering among the Indians for the want of food is highly probable, but that it was due to their im- providence or the severity of the winter and the con- sequent impossibility of keeping up supplies at the Sanne is tho only conclusion the commission feel war- rented in drawing from the evidenca, TRANSPORTATION. ‘This topic is one of the most important in the report, not only on account of the abuses shown in connection with the transportation of goods and supplies, bat because it discusses the policy of the government toward the Sioux. Situated as the Red Cloud and Spot- ted Tail agencies are at so great a distance from all ints of raiiroad and river transportation, the carry- ing traffic for their supply forms ono of the principal expenditures in the Indian service. The custom has been to award contracts for freighting to the lowest bidders for ‘a given price per hundr ands per hundred miles, Thus, owing to all lack of actual measurements as 10 distance of routes traversed by the trains, great tempta- tion is offered to dishonesty. The only frauds dis- closed are those practised by D. J. McCann. In the summer of 1873 Red Cloud Agency was removed from tho Platte to the White River, about eighty miles further north. Before its removal the distance from the agency to Cheyenne was conceded almost univer- sally to be not mere than blasts miles, but McCann charged and recetyed from the government pay at peat on — oer for is be the most onesty on his part He wag engaged in removing Red Cloud Agoncy to its new location ‘The work, according two reliable estimates, should have been done for about $5,000; but ag it was to be paid for by the day and the number of yoke of cattle employed, by over. estimating both the number of teams and the number of days employed, augmented the bill to $14,375. Upon this point the commission say, whatever nay have been the means used by McCann to obtain the contract for the removal of the property from the old agency to the new, whatever ho may have done to procure Dr. Saville’s approval of that extraordinary voucher- almost his first official act after assuming the duties of Indian agent at Red Cloud Agency—and whether fraudulently obtained or not, the charge for the service rendered is 60 exorbitant as to shock the moral sense of any man who will look into the transaction. The commission recommend, in view of ‘tho unmistakable evidences of frand brought to light in connection with this transaction, that the subject be re- ferred to the Department of Justice for the purpose of restoring to the government the tnoney which seems to have beon 60 unjustly taken from it, Tho question of distance was raised by the Commissioner of Indian Af- fairs, but at the solicitation of McCann the ' department sottled with bim on all for- mer contracts on his own terms, loaving the dis- pated question to be adjusted after the distance should ave been officially ascertained, he having been awarded the contract for the current year and having already entered into bonds for ite performance, Com- missioner Smith committed a gravo error in this ar- rangement throngh his misapprehension of its legal effect, McCann is under bonds for the faithful per- formance of his duties as contractor, but not to restore to the government any moneys which may hereafter bo found to have been improperly obtained by him The dey nt has not been altogether negligent, how- ever, in its duty to ascertain the exact distance of the route over which transportation is paid, io be ‘ronk to sent to the storekeeper of Indian supplies at Chegenne, with instructions to obtain the actual dis- tance travelled by the trains transporting freight to Red Cloud Agency. It was placed on a augue 11 of that year, but got out of order and did not effect the object. On the following November the distance ‘was moasured by the odometer and indicated to be 226 8-100 miles—a result 80 groatly exceeding all former estimates that the Commissioner refused to accept tt Daring the same month, on application to the of War, Lioutenant Winters was directed by General Ord to make the measurement, This final attempt was unfortunately frustrated by tho severity of the weather, Tho commission recommend that, if the Red Cloud and Spotted Tail agoncies shall remain in their present localities, the contracts for the transportation be here- aftor let dt bony no iene ba whole dis- tance inst of per 100 miles; but the; w rational excuse fof continul to ite sre ay they are now located. The id past, they submit, when the government should purchase peace from the Indians by humoring their unreasonable caprices, That part of the country now occupied by a great portion of the Sioux possessés ho Advantages for an Indian reserva- tion. Tho butfwo and small game have almost entirely disappeared, so that the Indians coald not subsist on the Iruits of the chase for thirty days, Without the ho lies furnished them by the government they would jnovitably starve, The regton is also barren and anfit for agriculture, offering no inducements to the Indian adopt the pursuits Fogger eee Bat, aside spy) esd Sopsideration out-of-the-way position o! those Spat esto of cadtloe to the very nearly $120,000 yoarly for the of ‘transportation, a sum well nigh equal to the original cost the provisions in the Western market; while the outlay for the transporta- tion of quartermaster and commissary stores to the mr rendered for the protection of pd iy increases this expecditure, ‘The es Commeaion submit Unit ynasmuch as the government, without obi |, bestows its bounty upon the Indians with hand, they Id not be allowed to dictate in what ity it 8 petributed to them. Their remo ¥. the Missouri River, whe: according to the treaty éf1868, they should bby. woul iy diminish this great tax for transportauiort 5ES ERORETASY OF a8 SrrECn. sta Having thus posed lo wea, specific heads under which Professor Maresh arraigned the nt, contrac- tors and ete en connected with Choud ‘Agoncy, mmission proceed to notice the grounds Goon whined he excused himself for Devine coeds direct appeal to the President to canse an investigation of the alleged abuses, He announces to the President that ho has “no confidence whatever in the sincerity of thé Sccrotairy of the Interior or the Commissioner of Indian Affairs when they publicly announced their wish and determination to correct the present abuses in the Indian management,” because he declares he has “reason to know that they have long been aware of these abuses and have made no sincere effort to re- form them ;”’ that in all his intercourse with those two officials their object manifestly was to ascertain the x- tent of the information he possessed, not so much to learn what the fraads actually were as to prevent by all the means in their power an exposure ot and that he had evidence in his possession reflecting unfavorably tage Shoge two prominent officers of Te en e Commission regard these as grave wi it _ to” is both Leste impeachment, The; fo however, the Sccretary of the Tatdvior pactulialte has but ue connection with any of the contracts made for the In- dian service or with the adjastment and jent of the accounts returnable to that office. mmis- sion were unable to learn “that the late was congulted or bad any direct official qgunection with any proved, ought subject the Commissioner ordered an odometer | ene | - cofmendations, of the contracts relating to the Red Cloua Agency, or that he had any adel Ghenrcdion. with auy.of ine accounts presented for payment at that bureau except those which, if allowed there and re ject by the Board of Indian Commissioners, necessarily came before him for final adjudication. The original vouchers and papers hace which clatme , amounting to nearly $500,000 were ordered by the Secretary to be paid were carefully examined by Messrs. Floteher and Harris, of the Commission, who reported that none of them had been rejected by the Bourd of Indian Commissioners on the ground of fraud, but mainly because of some technical difficulty or an honest diversity between their body and the Indian Bureau upon some questions of law arising in those cases. The Tirther reported that in no Instance were any sued payments made without having been submitted to the Juw officer of that department and met with his ap- proval. Recurring to the payment by order of the late Secretary of the Intertor of an account of $14,375, claimed by D, J. McCann for the removal of govern- ment stores and other property from the old to the new Red Cloud Agency, the Commission say they can re- gard the account In no other light than as iniquitous and fraudulent, but add that it might be unjust to com- demn the late Secretary for its payment, as there is 10 assurance that the certificate of the former agent, J. W Daniels, accompanied the vouchers of McOunn, With’ reference to the charge of official delinquency and concealment of fraud, the Commission learned of but three occasions where the attention of the head of the department was called to the existence of any abuses and frauds at the Red Cloud and Spotted Tail agencies. Tho first instance was that of the presenta- tion of the report of Measrs. Kemble and Alvord, which was laid before the Interior Departinent on the Ist of July, 1874, and which limits its exposures to the Spotted Tail Agency. The irregularities and corruption there found, growing out of Agent Risley’s mismanage- ment, led to the recommendation of a special investi- gation and the suspension of his accounts, outstanding vouchers and certificates. They also exposed the fraud: ulent character of the Graves transportation contract. In accordance with this recommendation, J, W. Daniels was deputed to make the special investigation at the Spotted Tall Agency. Mr. Alvord finds fault with the Secretary of the Interior for having entrusted that im vestigation to Mr. Daniels, he having just ceased to be agent at Red Cloud and “could not have exposed in de- tail the irregularities and corruption of his neighbor without implicating himself,” The Commission canuot concur in the force of this objection. They find that Mr. Daniels has long held important trusts m conneo tion with Indian affairs withoOt, so far as appears, any assaalt upon his character. ’ Mr. Daniels reported that after a fuil investigation he did not find that there had been any moro supplies receipted for than were received and issued to the lodges as num- bered by the Indians themselves. He confirmed the frandulent character of the Graves contract, which has accordingly beon repudiated by the deparment, The second occasion was on the report of Samuel ‘Wilker, who was sent by the Board of Indian Commis- sionera to investigate the affairs at Red Cloud and Spotted Tail agencies. This report was highly unfavor- ‘able, and as soon us the Socretary received a copy of it he appointed the Bishop Haro Commission to thoroughly investigate the facts embraced in the special report of Mr. Walker, After moro than a month’s in- vestigation they made an elaborate report, sacuermene Agents Saville and Howard trom the char; of frau and declaring the administration of their respective agencies “deserving of commendation.” "There does not appear, therefore, the Commission gay, inany of the transactions above referred to, and whien ocourred prior to the personal interview of Professor Marsh with the Secretary of the Interior, any evidence that this officer had been long aware of the abuses of the Indian agenctes without making any sin- cere offort to investigate and reform them. __'In the third place. the Commission come to the impu- tation of a want of public zeal manifested by, the Seere- tary of the Interior in relation to the abuses and frauds which Professor Marsh sought to impress upon him In disposing of this delicate branch of the inquiry they present the accounts given by both’ these gentlemen respecting vhe interview, but draw no conclusion, In his account the Secrotary says he earnestly requested the Professor to furnish him with such inturmation as he had and with all the proofs that he could refer to against the agent at Red Cloud, which, however, Professor Marsh de- clined to do. The interview took place in the Secre- tary’s office at his request. Professor Marsh, on his rt, says he told the Secretary distinctly thut if the investigating committee wus appointed be would give the committee the specific information in his posses- sion, bat on thinking {t over concluded he must keep the information to himself until after the committee was appointed. COMMISSIONER OP INDIAN AFVAIRS. The Commission report that they have seen polhicy in the course of their investigations that would | to any other conclusion than that the present Commis- sloner earnestly and sincerely desires to perform his duty faithfully to the country. They have encoun- tered no transaction which casis the least shadow upon his personal or official integrity, but met with many marked with that want of vigilance, astuteness and decision of character which should belong to the head of that important bureau. They think it was inexcus- able to permit so long a period to elapse without ascer- taining the precise distance between the railroad and the agencies, especially as the contracts for freighting were based upon an agreed compensation per mile, Ib was an error to let at New York those contracts for wagon transportation; also to pay to McCann the full amount of his transportation claims while the distance was in dispute, relying upon a new contract to cover any possible losses to the government; also to author- ize Dr, Saville to select an inspector of flour at Chey- enne; also to supply pork to the Indians instead of bacon, as the farnishing of pork involves the needless cost of transporting the brine and barrels, which form one-third of the entire weight. The Commission find, however, that thore has beep improvement in the Indian service under Commissioners Smith’s administration. Contracts are now more faith- falty executed, and the recent supplies have been of an unexceptionable character. The temper of the Indians has undergone a very favorable change toward our peo- ple The tron band of tribal sovereignty is rapidly weakening, and the day has gone by when a formidable Indian war can ever again occur in this country. : GENERAL OUSERVATIONS. As to the policy of the government in its relation to the whole Indian population of this country the Com- mission conclude there are now but two Courses left open to us—to keep them as they are at present, im their large reservations, where they are unable to sup- port themselves by agricultural labor, and where we must continue to feed and clothe them at an oppressive cost, or to remove them, by compulsion if need be, to the ‘Indian Torritory or to other suitable locauons where, by the cultivation of the eoil, they may pro- vide theinselves amply with the means of sub- sistence, By a recent act of Congress no more treaties are to be made with the Indians, lt isa virtual announcement that theycare to be treated as in- dividual inhabitants of the Republic. The suspension of our supplies to them for three months would cause the surrender of any “wen stipulations that might in- terfere with the fixed poliey of government. In the opinion of the Commission the time has arrived whem the policy foreshadowed by the act of Congress above referred to should be vigorously enforced, The crim- inal laws of the United States should be executed onthe reservations, Some form of territorial gov- ernment should be established. where the number and compactness of the Indian popu- lation were such as to render it practicable. The indi- viduality of the Indian as a member of the community should recognized and the absurd fiction of tribal sovereignty, in which individuality is merged, should be abolished, The Commission report that the efforts to civilize the Indians are meeting with such burg ce ag as should 0 tont effort jn that direction. They ex- Via ‘fal Rlahstion al the fuccéssful operation of schools and missions, recognizing the importance of intelligence and pert Tespousibility as the first essontials to civilization. The next important step ig to impress upon the Indian the necessity of individual property. The community of property now existing Ender the tribal organization 1s fatal to any advance im civilization. In this connection tne commission reo- ommend the creation of the office of District Attorney among the Indians, to protect their rights and redress their grievances in respect to person and property, where the establianment of courts among them is Practicabla, Lom e treaty provision by which tho Indian is kepe’ apart from the white man in bis reservation it repartee as contrary toa true policy of civilization. That can only be imparted by contact with its influences. The Ries w exoludes from the reservations al] persons eo ite ka except those who are ready to aban- don civilization Maelf Buch examples must tend to degrade it in the estimation of the Indian. The use of blankets for clothing and the fented tepea also tend to perpetuate his barbarous habits. If clothing be issued to him at all it should be such ag he could work in. A bolder policy in the treatment of the Indians is specially recommended. The Indians believe the present conduct of the government is dictated by cowardice, and with all our monificence in their behalf, extending to an annual expenditure of $8,000,000, no’ sentiment of gratitude ever touches their hearts, The commission loo! ever, with disfavor upon the recommendation of some persons that the management of Indian affairs be storred to the War Department, though the exist- would be available in inspecting Indian supplies; and the ee ia thrown out that perbaps the young men of the friendly tribes might be vee ag goldiers in the country occupieg by the odians, ence of the militar; ERCOMMENDATIONS. Ip conclasion, the commission recapitulate their re iy, that Agent Saville be re- moved; that J. ‘w. L. Slavens, J. H. Martin and D, J. McCann- be excluded from future contracts with the vernment; wat B, R, Threlkeld be excluded trom all it as inspector; that McCann's sooouni vie to tho’ Department ot Justice; that distance from Cloud and “8 to Cheyenne and Sidne: see all ieee facia delay; that a now census be taken of the Sioux at byth those agencies; that bida for floar, clothing and a, transportation be received at some suitable point in th» West; that tho office of Superintendent of Indian Aj “8 be abolished and th duties connected therewith be transferred to i that the feasibility of dispensing with freight contractors from New York to West be con-! sulted; that army officers be detailed to inspect Indian supplies; that the system of keeping accounts be improved ; that the Indian agencies be graded with reference to the salaries of th ts; that Red Cloud cad Beotted Sail agencies be removed nearer tho Mis- sourt River; that a commission of army officers be ap- pointed to consider the propriety of organizing an In- dian soldiery for police and similar duties; that Coa” be established over erritory; that suitable persons to prosecute for all wrongs inst Indians and to defend thoir rights as far as they may become the subject of adjudication before the courts, and that future legislation be shaped with a view bo Ursa, the Indians under the same laws which govern all other tnhabitants of the Repubiic, ‘Tho [ad Le Thomas ©. Fletcher, ioe J. Faulkner and George W. Howe, the remaini: sain Harr