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[[File:Oregon Land Fraud Scandal collage.jpg|thumb|Congressman John N. Williamson (left), Senator John H. Mitchell (middle), U.S. attorney John Hicklin Hall (top right), and Congressman Binger Hermann (bottom right).]]
[[File:Oregon Land Fraud Scandal collage.jpg|thumb|Congressman John N. Williamson (left), Senator John H. Mitchell (middle), U.S. attorney John Hicklin Hall (top right), and Congressman Binger Hermann (bottom right).]]
The '''Oregon land fraud scandal''' of the early 20th century involved U.S. government land grants in the [[U.S. state]] of [[Oregon]] being illegally obtained with the assistance of public officials. Most of Oregon's U.S. congressional delegation received indictments in the case: U.S. Senator [[John H. Mitchell]] and U.S. Representatives [[John N. Williamson]] and [[Binger Hermann]]. (Only Senator [[Charles William Fulton]] was uninvolved.)
The '''Oregon land fraud scandal''' of the early 20th century involved U.S. government land grants in the [[U.S. state]] of [[Oregon]] being illegally obtained with the assistance of public officials. Most of Oregon's U.S. congressional delegation received indictments in the case: U.S. Senator [[John H. Mitchell]] and U.S. Representatives [[John N. Williamson]] and [[Binger Hermann]], with Senator [[Charles William Fulton]] singularly uninvolved.


==Background==
==Background==
In 1870, the Oregon and United States governments granted the [[Oregon and California Railroad]] {{convert|3.7|e6acre|km2}} of land to build a line from Portland south to [[California]]. The land, which was granted in a [[Checkerboarding (land)|checkerboard pattern]] along both sides of the railroad's right of way, was then [[Oregon and California Railroad Revested Lands|sold to settlers in parcels]] of {{convert|160|acre|km2|1}} at the extremely low price of $2.50 an acre to encourage people to settle along the line, thus fostering development.<ref name=oandc>{{cite web| title =Oregon and California Railroad| work =Oregon History Project| url =
In 1870, the Oregon and United States governments granted the [[Oregon and California Railroad]] {{convert|3.7|e6acre|km2}} of land to build a line, from Portland south to [[California]]. The land, which was granted in a [[Checkerboarding (land)|checkerboard pattern]] along both sides of the railroad's right of way, was then [[Oregon and California Railroad Revested Lands|sold to settlers in parcels]] of {{convert|160|acre|km2|1}} at the extremely low price of $2.50 an acre to encourage people to settle along the line, fostering development.<ref name=oandc>{{cite web| title =Oregon and California Railroad| work =Oregon History Project| url =
http://oregonhistoryproject.org/articles/historical-records/oregon-and-california-railroad/| accessdate =June 17, 2016|publisher=[[Oregon Historical Society]]}}</ref> {{convert|2.4|e6acre|km2}} of the original lands were reclaimed by the federal government in 1915, and are managed by the [[United States Bureau of Land Management]].<ref name=oandc />
http://oregonhistoryproject.org/articles/historical-records/oregon-and-california-railroad/| accessdate =June 17, 2016|publisher=[[Oregon Historical Society]]}}</ref> {{convert|2.4|e6acre|km2}} of the original lands were reclaimed by the federal government, in 1915, and are managed by the [[United States Bureau of Land Management]].<ref name=oandc />


==Fraud==
==Fraud==
Line 15: Line 15:
|date=Summer 2007
|date=Summer 2007
|accessdate=March 6, 2012
|accessdate=March 6, 2012
}}</ref> So to circumvent the requirements of the land grant, [[E. H. Harriman|Edward Harriman]], president of the [[Southern Pacific Railroad]] — which then owned the O&C — hired former surveyor [[Stephen A. Douglas Puter]] to round up people from saloons in [[Portland, Oregon|Portland's]] waterfront district, escort them to the land office, have them register for an [[Oregon and California Railroad Revested Lands|O&C parcel]] as a settler, and then transfer it to Puter's men. The accumulated parcels were then sold in large blocks to the highest bidder for timber harvest.<ref name=terry>{{cite news
}}</ref> To circumvent the requirements of the land grant, [[E. H. Harriman|Edward Harriman]], president of the [[Southern Pacific Railroad]] — which then owned the O&C — hired former surveyor [[Stephen A. Douglas Puter]] to round up people from saloons in [[Portland, Oregon|Portland's]] waterfront district, escort them to the land office, have them register for an [[Oregon and California Railroad Revested Lands|O&C parcel]] as a settler, and then transfer it to Puter's men. The accumulated parcels were then sold in large blocks to the highest bidder for timber harvest.<ref name=terry>{{cite news
|last=Terry
|last=Terry
|first=John
|first=John
Line 32: Line 32:


==Exposure==
==Exposure==
Harriman eventually had a dispute with Puter and fired him. Then when a lumber company bookkeeper exposed the scheme to an ''[[The Oregonian|Oregonian]]'' reporter, Puter turned on his former boss, testifying against him, and writing a scathing expose, ''[[wikisource:en:Looters of the Public Domain|Looters of the Public Domain]]'', about the scheme.<ref name=terry/>
Harriman eventually had a dispute with Puter and fired him. Later, when a lumber company bookkeeper exposed the scheme to an ''[[The Oregonian|Oregonian]]'' reporter, Puter turned on his former boss, testified against him, and wrote a scathing exposé, ''[[wikisource:en:Looters of the Public Domain|Looters of the Public Domain]]'', about the scheme, while imprisoned.<ref name=terry/>


{{quote box
{{quote box
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==Indictments==
==Indictments==
Initially, more than 1,000 indictments were issued in the case. U.S. District Attorney [[Francis J. Heney]] narrowed down the list to the 35 most egregious offenders, including U.S. Senator [[John H. Mitchell]] and U.S. Representatives [[John N. Williamson]] and [[Binger Hermann]].<ref name=terry/>
Initially, more than 1,000 indictments were issued in the case. U.S. District Attorney [[Francis J. Heney]] narrowed down the list to the 35 most egregious offenders, including U.S. Senator [[John H. Mitchell]], and U.S. Representatives [[John N. Williamson]] and [[Binger Hermann]].<ref name=terry/>


===Mitchell===
===Mitchell===
Heney charged that Mitchell had illegally used his position to aid a client in the acquisition of patents to fraudulent land claims. Mitchell's law partner and personal secretary both testified against him, and on July&nbsp;3, 1905, the jury found him guilty. He was sentenced to six months in prison and a $1,000 fine. Mitchell appealed, but before the appeal could be heard, he died from complications associated with a tooth extraction.<ref name=ohs_mitchell>{{cite web| title =Land Fraud Trial of Senator John Mitchell| work =Oregon History Project | url =http://oregonhistoryproject.org/articles/historical-records/land-fraud-trial-of-senator-john-mitchell/ | accessdate =June 17, 2016|publisher=Oregon Historical Society}}</ref>
Heney charged that Mitchell had illegally used his position to aid a client in the acquisition of patents to fraudulent land claims. Mitchell's law partner and personal secretary both testified against him and, on July&nbsp;3, 1905, the jury found him guilty. He was sentenced to six months in prison and a $1,000 fine. Mitchell appealed, but before the appeal could be heard, he died from complications associated with a tooth extraction.<ref name=ohs_mitchell>{{cite web| title =Land Fraud Trial of Senator John Mitchell| work =Oregon History Project | url =http://oregonhistoryproject.org/articles/historical-records/land-fraud-trial-of-senator-john-mitchell/ | accessdate =June 17, 2016|publisher=Oregon Historical Society}}</ref>


Mitchell was convicted under Rev. Stat. §1782 (enacted 1864) which prohibited Senators and other officials from engaging in compensated representation in matters in which the United States was interested.<ref>{{cite news|url=https://timesmachine.nytimes.com/timesmachine/1905/07/05/101362442.pdf|title=Verdict of Guilty a Blow to Mitchell|date=July 5, 1905|format=PDF|work=The New York Times|accessdate=May 22, 2014}}</ref> The year before, in an [[Burton v. United States|unrelated case]] under the same statute, Senator [[Joseph R. Burton]] of Kansas had become the first U.S. Senator convicted of a crime.<ref>United States Senate Historical Office, [https://www.senate.gov/artandhistory/history/common/briefing/Expulsion_Censure.htm Expulsion and Censure].</ref>
Mitchell was convicted under Rev. Stat. §1782 (enacted 1864) which prohibited Senators and other officials from engaging in compensated representation in matters in which the United States was interested.<ref>{{cite news|url=https://timesmachine.nytimes.com/timesmachine/1905/07/05/101362442.pdf|title=Verdict of Guilty a Blow to Mitchell|date=July 5, 1905|format=PDF|work=The New York Times|accessdate=May 22, 2014}}</ref> The year before, in an [[Burton v. United States|unrelated case]], under the same statute, Senator [[Joseph R. Burton]] of Kansas had become the first U.S. Senator convicted of a crime.<ref>United States Senate Historical Office [https://www.senate.gov/artandhistory/history/common/briefing/Expulsion_Censure.htm Expulsion and Censure].</ref>


===Williamson===
===Williamson===
Williamson's trial also resulted in conviction for [[subornation of perjury]] in 1905. The prosecution argued that the three defendants had attempted to illegally obtain land claims under the [[Timber and Stone Act]]. Williamson appealed his case to the [[U.S. Supreme Court]], which overturned the verdict in 1908 because of apparent jury tampering and witness intimidation.<ref name=ohs-wg>{{cite web| title = Williamson-Gesner Fraud| work =Oregon History Project| url =http://oregonhistoryproject.org/articles/historical-records/williamson-gesner-fraud/ | accessdate =June 17, 2016|publisher=Oregon Historical Society}}</ref>
Williamson's trial also resulted in conviction for [[subornation of perjury]] in 1905. The prosecution argued that the three defendants had attempted to illegally obtain land claims under the [[Timber and Stone Act]]. Williamson appealed his case to the [[U.S. Supreme Court]], which overturned the verdict, in 1908, because of apparent jury tampering and witness intimidation.<ref name=ohs-wg>{{cite web| title = Williamson-Gesner Fraud| work =Oregon History Project| url =http://oregonhistoryproject.org/articles/historical-records/williamson-gesner-fraud/ | accessdate =June 17, 2016|publisher=Oregon Historical Society}}</ref>


===Hermann===
===Hermann===
In 1907, Hermann was found not guilty of destroying public documents. His second trial for collusion with the actual land fraud was postponed until 1910, and ended in a [[hung jury]] and Heney declined to refile charges.<ref name=ohs_hermann>{{cite web|title =Shadows in Public Life| work =Oregon History Project| url =http://oregonhistoryproject.org/articles/historical-records/shadows-in-public-life/| accessdate =June 17, 2016|publisher=Oregon Historical Society}}</ref>
In 1907, Hermann was found not guilty of destroying public documents. His second trial for collusion with the actual land fraud was postponed until 1910, and ended in a [[hung jury]]; Heney declined to refile charges.<ref name=ohs_hermann>{{cite web|title =Shadows in Public Life| work =Oregon History Project| url =http://oregonhistoryproject.org/articles/historical-records/shadows-in-public-life/| accessdate =June 17, 2016|publisher=Oregon Historical Society}}</ref>


===Hall===
===Hall===
Heney also prosecuted [[John Hicklin Hall]], who was the U.S. Attorney originally charged with investigating the case, but who had been fired in 1905 by President [[Theodore Roosevelt]] for not aggressively pursuing the investigation. Heney charged Hall with failure to prosecute fraudulent land companies and for using knowledge of the fraudulent activities for his own political advantage, and the jury convicted Hall in 1908.<ref name="greenberg">{{cite book|title=Historical Encyclopedia of U.S. Independent Counsel Investigations|url=https://books.google.com/books?id=qOgCthdaJqIC&pg|last=Greenberg|first=Gerald S.|pages=164&ndash;166|year=2000|publisher=Greenwood Press | isbn=978-0-313-30735-5}}</ref> Hall was later pardoned by President [[William Howard Taft]].<ref name="graveyard">{{cite web|url=http://politicalgraveyard.com/special/pardon.html|publisher=The Political Graveyard|title=List of Politicians Who Were Pardoned|accessdate=June 27, 2007}}</ref>
Heney also prosecuted [[John Hicklin Hall]], who was the U.S. Attorney originally charged with investigating the case, but who had been fired, in 1905, by President [[Theodore Roosevelt]] for not aggressively pursuing the investigation. Heney charged Hall with failure to prosecute fraudulent land companies and for using knowledge of the fraudulent activities for his own political advantage; a jury convicted Hall in 1908.<ref name="greenberg">{{cite book|title=Historical Encyclopedia of U.S. Independent Counsel Investigations|url=https://books.google.com/books?id=qOgCthdaJqIC&pg|last=Greenberg|first=Gerald S.|pages=164&ndash;166|year=2000|publisher=Greenwood Press | isbn=978-0-313-30735-5}}</ref> Hall was later pardoned by President [[William Howard Taft]].<ref name="graveyard">{{cite web|url=http://politicalgraveyard.com/special/pardon.html|publisher=The Political Graveyard|title=List of Politicians Who Were Pardoned|accessdate=June 27, 2007}}</ref>


== See also ==
== See also ==

Revision as of 20:53, 12 September 2019

Congressman John N. Williamson (left), Senator John H. Mitchell (middle), U.S. attorney John Hicklin Hall (top right), and Congressman Binger Hermann (bottom right).

The Oregon land fraud scandal of the early 20th century involved U.S. government land grants in the U.S. state of Oregon being illegally obtained with the assistance of public officials. Most of Oregon's U.S. congressional delegation received indictments in the case: U.S. Senator John H. Mitchell and U.S. Representatives John N. Williamson and Binger Hermann, with Senator Charles William Fulton singularly uninvolved.

Background

In 1870, the Oregon and United States governments granted the Oregon and California Railroad 3.7 million acres (15,000 km2) of land to build a line, from Portland south to California. The land, which was granted in a checkerboard pattern along both sides of the railroad's right of way, was then sold to settlers in parcels of 160 acres (0.6 km2) at the extremely low price of $2.50 an acre to encourage people to settle along the line, fostering development.[1] 2.4 million acres (9,700 km2) of the original lands were reclaimed by the federal government, in 1915, and are managed by the United States Bureau of Land Management.[1]

Fraud

Since much of the land was unfit for development, it did not attract many settlers. However, the land was very rich in timber, which meant that timber companies would pay much more than $2.50 an acre.[2] To circumvent the requirements of the land grant, Edward Harriman, president of the Southern Pacific Railroad — which then owned the O&C — hired former surveyor Stephen A. Douglas Puter to round up people from saloons in Portland's waterfront district, escort them to the land office, have them register for an O&C parcel as a settler, and then transfer it to Puter's men. The accumulated parcels were then sold in large blocks to the highest bidder for timber harvest.[3][4]

Exposure

Harriman eventually had a dispute with Puter and fired him. Later, when a lumber company bookkeeper exposed the scheme to an Oregonian reporter, Puter turned on his former boss, testified against him, and wrote a scathing exposé, Looters of the Public Domain, about the scheme, while imprisoned.[3]

These looters of the public domain—working with crooked federal and state officials—through rascality and fraud, gained title to thousands of acres of valuable, publicly-owned timber lands, and at minimum prices.

—Governor Oswald West.[5]

Indictments

Initially, more than 1,000 indictments were issued in the case. U.S. District Attorney Francis J. Heney narrowed down the list to the 35 most egregious offenders, including U.S. Senator John H. Mitchell, and U.S. Representatives John N. Williamson and Binger Hermann.[3]

Mitchell

Heney charged that Mitchell had illegally used his position to aid a client in the acquisition of patents to fraudulent land claims. Mitchell's law partner and personal secretary both testified against him and, on July 3, 1905, the jury found him guilty. He was sentenced to six months in prison and a $1,000 fine. Mitchell appealed, but before the appeal could be heard, he died from complications associated with a tooth extraction.[6]

Mitchell was convicted under Rev. Stat. §1782 (enacted 1864) which prohibited Senators and other officials from engaging in compensated representation in matters in which the United States was interested.[7] The year before, in an unrelated case, under the same statute, Senator Joseph R. Burton of Kansas had become the first U.S. Senator convicted of a crime.[8]

Williamson

Williamson's trial also resulted in conviction for subornation of perjury in 1905. The prosecution argued that the three defendants had attempted to illegally obtain land claims under the Timber and Stone Act. Williamson appealed his case to the U.S. Supreme Court, which overturned the verdict, in 1908, because of apparent jury tampering and witness intimidation.[9]

Hermann

In 1907, Hermann was found not guilty of destroying public documents. His second trial for collusion with the actual land fraud was postponed until 1910, and ended in a hung jury; Heney declined to refile charges.[10]

Hall

Heney also prosecuted John Hicklin Hall, who was the U.S. Attorney originally charged with investigating the case, but who had been fired, in 1905, by President Theodore Roosevelt for not aggressively pursuing the investigation. Heney charged Hall with failure to prosecute fraudulent land companies and for using knowledge of the fraudulent activities for his own political advantage; a jury convicted Hall in 1908.[11] Hall was later pardoned by President William Howard Taft.[12]

See also

References

  1. ^ a b "Oregon and California Railroad". Oregon History Project. Oregon Historical Society. Retrieved June 17, 2016.
  2. ^ Tallmadge, Alice (Summer 2007). "In the Red". Forest Magazine. Retrieved March 6, 2012.
  3. ^ a b c Terry, John (October 14, 2007). "Rail scam tainted lots of officials". The Oregonian. Portland, Oregon.
  4. ^ Miller, Joseph S (2006). Saving Oregon's Golden Goose: Political Drama on the O&C Lands. Portland, Oregon: Inkwater Press. ISBN 978-1-59299-212-6. partially read into the Congressional Record by Gordon Smith, 2007-02-12; see 110th Cong., vol. 153, no. 1, 2007, pp. S1837-S1838.
  5. ^ "Oregon History: The Oregon System". Oregon Blue Book. Oregon Secretary of State. Retrieved July 6, 2009.
  6. ^ "Land Fraud Trial of Senator John Mitchell". Oregon History Project. Oregon Historical Society. Retrieved June 17, 2016.
  7. ^ "Verdict of Guilty a Blow to Mitchell" (PDF). The New York Times. July 5, 1905. Retrieved May 22, 2014.
  8. ^ United States Senate Historical Office Expulsion and Censure.
  9. ^ "Williamson-Gesner Fraud". Oregon History Project. Oregon Historical Society. Retrieved June 17, 2016.
  10. ^ "Shadows in Public Life". Oregon History Project. Oregon Historical Society. Retrieved June 17, 2016.
  11. ^ Greenberg, Gerald S. (2000). Historical Encyclopedia of U.S. Independent Counsel Investigations. Greenwood Press. pp. 164–166. ISBN 978-0-313-30735-5.
  12. ^ "List of Politicians Who Were Pardoned". The Political Graveyard. Retrieved June 27, 2007.
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