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given freely to the destitute. Receipt rolls were shown to me amounting to thousands of dollars that had been given outright to prevent suffering among the old and infirm. The 10 or 15 pr. cent profit on sales brought into the Treasury a fund which was absolutely required in paying the legitimate and necessary expenses incurred in running the Department.

These stores were in operation 'till June last when they were suspended by an order from the Secretary of War, and orders given to District Superintendents to dispose of stock of goods on hand at the earliest possible moment & forbidding further purchases & sales.

As to the Third Charge

There is no proof to be obtained to substantiate the accusation that Col. Eaton is now, or was at the time in question, or ever has been a partner in the firm of Eaton Backus & co. of Toledo, Ohio, or that he has ever had any monied interest, or any interest whatever in said firm, farther than the purchase of goods for his Department at the most reasonable prices.

I have been advised that Col. Eaton knew the members of the firm personally and that one of the partners is a brother. This will probably account for his obtaining credit for the first bill of goods which credit he was not able to obtain elsewhere.