“A large number of warrants for the indemnity money have been issued by the United States Treasury and forwarded to this office. Some of these warrants, without coming into my possession, have been improperly and illegally applied by parties through whose hands they have passed and the counties to which the warrants belong have, up to this time, failed to receive the money. This matter is of so grave a character that I deem it incumbent on me to call the early attention of the General Assembly to it, and I therefore ask the immediate appointment of a joint committee to investigate the facts.”
The General Assembly appointed a joint committee, in accordance with the Governor’s request to make an investigation of the alleged diversion of the Swamp Land Indemnity Funds, consisting of Senators Stiles, Richards and Udell and Representatives Hale, Barker, Clark, Russell and Martin. This committee made a thorough investigation and toward the close of the session made a majority and minority report. The majority report was signed by E. H. Stiles, Nathan Udell, Wm. Hale, John Russell and L. Clark, the Republican members of the committee. The following is a brief summary of their findings:
“During the month of December, 1864, and the year 1865, there was awarded to the State of Iowa by the General Government Swamp Indemnity Warrants amounting to the sum of $151,254.19. These warrants were sent by the Treasury Department at Washington to the Governor of Iowa by mail. In the Governor’s absence these warrants were delivered to R. G. Orwig, the private secretary of the Governor. Of these warrants thus received by Mr. Orwig $33,994.36 were missing and not accounted for. We find that all of these unaccounted for warrants or drafts came into the hands of R. G. Orwig soon after their arrival by mail endorsed by his writing the name of the Governor on them, and most if not all of them were cashed by him or deposited in the two National Banks at Des Moines. The committee unanimously find that said $33,994.36 came into the hands of R. G. Orwig and that he has not accounted for this amount and that said deficit is with and in the hands of R. G. Orwig. The committee further finds that on the 16th of December the said R. G. Orwig, for the purpose of securing all parties interested against loss, executed to B. F. Allen, as trustee, a deed of trust on property estimated to be worth from $30,000 to $40,000.”
