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The Nez Perce Treaty Funds Scandal

A political war in the newspapers exposes missing funds and potential embezzlement in the Indian Superintendency.

The story, cleaned up

A cleaned-up reading of the newspaper page: spelling and layout repaired, one story lifted off a crowded page. It follows the original closely but it is not a transcription. The original page is below; read it if a detail matters.

Col. Rector, the Superintendent of Indian Affairs for Oregon, remained at the Agency one week, waiting for Mr. Hale, of Washington Territory, to make his appearance. He has failed to show himself, thus far, and Mr. Rector has returned to his duties in Salem. We copy the above paragraph from the Lewiston Age. The manifest design of the editor is to create the impression that the failure to negotiate a treaty with the Nez Perce Indians is attributable to the neglect of Mr. Hale. We understand that no day had been designated because not a dollar of the thirty thousand appropriated by Congress had been placed at his disposal. It is well understood that neither supplies, money, or transportation can now be had, because Mr. Hale's predecessor, Superintendent Kendall, refused to pay vouchers until they found their way into the hands of bankers at thirty to fifty per cent discount, and refused to turn over $35,000 in gold to his successor. It is a clear case of embezzlement; we think the facts justify the District Attorney in ordering his arrest without further delay.

“It is a clear case of embezzlement; and is it not recognized by the law of Congress as a penitentiary offense?”

— Printed in Washington Standard (Olympia, Wash. Territory) 1860-1921, 1862
Then · 1862164 years apartNow · 2026

The 1862 scandal involving the missing Nez Perce treaty funds illustrates the chronic underfunding and corruption that plagued Federal Indian policy in the Northwest. Today, this incident serves as a brutal historical reminder of how administrative 'neglect' was often a deliberate tool of Indigenous dispossession and economic extraction.

The original page

Washington Standard (Olympia, Wash. Territory) 1860-1921, 1862-11-15. Library of Congress, Chronicling America.

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About this story

From
Washington Standard (Olympia, Wash. Territory) 1860-1921, NOV 15, 1862, Page 2
Rights
Public domain
Place
46.43146, -117.05726 · placed automatically
The paper in the Library of Congress catalog ↗