The States And Union

The Peter Funk Of The Cabinet

Under the present money-getting Administration it seems that in nearly every quarter from which proceeds an expenditure of public funds there is a systematic effort to defraud the people for the pecuniary benefit of the President's immediate friends and supporters. The baneful influence of the Military Ring, which has assumed and apparently acquired complete control over the measures of the President for its own mercenary ends, has spread through every department of public service, and each day brings to light some new instance of the demoralization which, encouraged by the tacit approval of Grant, as manifested in the San Domingo job and in the case of Commissioner Parker, appears to pervade the management of national affairs in all their details.

The letting of mail contracts, other than railroad, for the Southern States involves a vast expenditure of money. Postmaster General Cresswell, who has already gained an unenviable reputation through the fraudulent Chorpeming claim, has been exhibiting peculiar financial talents in making his mail contracts. Proposals were invited several months ago for mail service in the division embracing Texas, Louisiana, Arkansas, Alabama, Tennessee, and other States. Under the law anybody who could furnish the guarantees, with a Postmaster's certificate, might bid. Interior Postmasters with salaries of $100 or $50 have been in the habit of certifying to the responsibility of contractors who proposed to assume contracts involving the payment of hundreds of thousands of dollars. But it was provided that in case any bidders should fail to furnish good and sufficient securities for the performance of their service, the Postmaster-General shall proceed to contract with some other person or persons for the performance of the work. It has been the uniform practice of the Department in such cases to take the next lowest responsible bidder and give him the contract.

This year a great portion of the bids made for mail service in the extreme Southern States have come from fictitious or irresponsible parties, who have assumed the position of Peter Funks in this great national Post Office mock auction transaction. The bids were made so low as to overbear all competition; but they were made with no intention of performing the service. The various routes were awarded to these low bidders in accordance with the terms of the law, but when the men were called upon to fulfil the duties they had undertaken they were not to be found.

Under these circumstances, an honest official would naturally award the contracts to the responsible parties who offered to perform the service for a reasonable consideration. But Postmaster-General Creswell sees fit to pursue a different and entirely unprecedented course. He announces his intention to readvertise all the lapsed routes; and in the mean time he will make temporary contracts with such parties as he may choose to favor, giving them such terms as he sees fit. The present contractors have made immense profits out of their lettings, and it is probable that they will take the requisite measures to secure themselves in the continuance of their emoluments.

Mr. Creswell had ample authority to crush the combinations which in this case undoubtedly existed. The fictitious bids in all cases were put in by parties who were interested in the continuance of the present mail service with its exorbitant rates, and the bids were made for the purpose of preventing the acceptance of propositions made by legitimate bidders. Over one hundred and fifty of these straw bidders have been reported since the first of July as failing to fulfil the terms of their contracts. Mr. Creswell had only to summon the recent bidders and require them to present bonds within thirty or sixty days, and he could have gained an assurance of having the service performed in accordance with the requirements of the law, and for a reasonable remuneration. But he has chosen to open the matter anew, giving opportunities for a repetition of the same disgraceful farce. In the mean time he will award to his favorites temporary contracts on the same extravagant terms now existing. And this is the way in which the people's money is being squandered under the present corrupt Administration.—N. Y. Sun, (Rep.)