Benson Syndicate facts for kids

The Benson Syndicate was a group that did things illegally in the western United States during the late 1800s. They got contracts from a government office called the General Land Office (GLO) to measure public lands. This group was led by a man named John A. Benson (1845–1910). He used to be a school teacher and later became a respected land surveyor and engineer.

The syndicate worked all the way from the Rocky Mountains to the Pacific Ocean, but they were busiest in California. Their main office was in San Francisco. They operated from about 1875 to 1898, and their busiest time was from 1883 to 1886. In California alone, at least 40 people were known to be involved, and probably even more.

Here's how they worked: They would create fake requests for land surveys. Then, they would get contracts from the GLO to measure these lands. But the surveys they did were dishonest. They were either poorly done, not finished, or completely made up. These "surveys" were supposedly done by people hired to measure land, but sometimes these people didn't even know that contracts were made in their names! Benson tricked them into signing blank papers, which he later turned into contracts without their knowledge.

Other times, people with little or no experience in surveying, or who weren't properly qualified, did the work. The actual person who was supposed to do the survey was never even there, which was against the law. Often, they would only survey a small part of an area. Then, they would make up the rest of the maps and notes to make it look like the whole area was surveyed. Sometimes, they didn't do any work on the ground at all! They just made up entire survey areas, which were usually several square areas of land (about 36 square miles each), right from their San Francisco office.

How Far Did They Go?

Benson's group managed to get people working for them in very important government jobs. These people, along with some members of Congress, helped the group's dishonest plans. For example, in California, at least two top land officials in the 1880s approved many fake survey results. They also approved requests for government payments that were 200 to 700 percent higher than the original estimated cost, and the government paid!

One official, Theodore Wagner, was especially known for this. When he became the top land official in California, the group's activities and power grew a lot. Other officials approved contracts that had been rejected before, even without proof that the surveys had been fixed or completed correctly. Also, at least one government inspector in California was part of the syndicate. He tried to get payments for rejected surveys by doing fake "inspections." These inspections were later found to be fake themselves when the full extent of the group's activities became known.

Banks were also involved. They provided the money needed for the contracts in exchange for a share of the huge profits. These banks later paid for the syndicate's lawyers when the government tried for ten years to prove the group members were guilty and get back the money paid for the fake work.

Government Reports on the Syndicate

It's hard to find a lot of detailed information about the Syndicate's history. But two Annual Reports from the Commissioner of the General Land Office give us a peek into what they did.

Report from 1887

The 1887 Report, on pages 25–26, summarized their plans like this:

"In April, the United States grand jury in San Francisco made 41 accusations of lying and planning dishonest acts related to fake surveys of public lands... This group's operations were not just in California. They also spread to Nevada, Oregon, Colorado, Arizona, New Mexico, Idaho, Montana, Utah, and Washington. Their goal was to control all surveying contracts in these states and territories. They would create fake requests from settlers for surveys, file fake notes and surveys in government offices, and take large amounts of money from the United States Treasury using dishonest surveying accounts."

"Most of the contracts were given in the names of 34 supposed land surveyors. Three of these were 'dummies' (fake people), two were very close to the top land official who approved most of the contracts, and the rest were relatives, partners, or employees of the syndicate's leader. Over $1,000,000 was paid to these 34 supposed surveyors, but all that money went into the syndicate's treasury. The people used as tools were paid regular salaries by the syndicate just for using their names and services. Three of the supposed surveyors, who officially seemed to have been paid over $190,000, have sworn that their names were used without their knowledge, that they never had a surveying contract, and never received the amounts shown as paid to them. One even swore that he never did a day's work in his life measuring land and knew nothing about it."

"The defendants and their partners used every clever legal trick to avoid and defeat trials on the accusations. But it is hoped that at the next court session, the trial and deserved finding of guilt for those involved in this huge plan of cheating, lying, and stealing from the public will happen."

Report from 1888

The 1888 Report, on pages 186-187, describes one fake survey of three land areas in the high Sierra Nevada mountains, southeast of what is now Yosemite National Park:

"Township 7 South, Range 25 East and Township 8 South, Ranges 24 and 25 East, Mount Diablo Meridian: These areas are very rough, with deep canyons and very steep, almost impossible mountains. Some parts are covered with thick bushes. Six weeks before the surveyor claimed to start his work, all the people who live there in the summer are forced out by the snow. All business stops, and the mountain area is empty. When we compare the original notes, copied notes, maps, and the inspector's report, it shows that at the time of year (from December 1, 1884, to January 3, 1885) when the surveyor pretended to do the surveys, the deep snow made surveying impossible. In the original notes, much is missing that is found in the copies and information made up from memory. The copies are not at all like the original notes. Measurements that were left out of the originals are boldly given in detail in the copies, as if they had really been done in the field. The very fast speed, more than 6 miles per day, at which they pretended the work was done, is unbelievable when we think about the type of land and remember that the surveying was done during the shortest days of the year. The surveyor describes wrong trees where no such trees, either in size or type, can be found. Despite all the difficult conditions – big canyons, high and steep mountains, deep snow, thick bushes that are impossible to get through, cliffs that are impossible to climb or descend – the surveyor, with his 'two' teams of 'four' men each, 'often with the impassable San Joaquin River between' them, pretends to have surveyed Township 8 South, Range 24 East at a rate of more than 6 miles per day. And then he manages to 'record all this work' in 'one' field book. The conclusion is that the surveyor did not do the surveys of these areas according to his notes, and that the notes are largely fake and dishonest."

What the Government Did

It was unbelievable survey results like these, along with information from unhappy employees or partners, that showed how widespread the fraud of Benson's group was. Starting around 1886, the government stopped paying for contracts held by certain surveyors thought to be connected to Benson. This led to various lawsuits.

In 1887, 41 federal accusations for planning dishonest acts and lying were made against Benson and several others, as mentioned in the report above. However, the court cases in federal district court didn't happen until 1892. When they did, everyone was found not guilty because of small legal details. But everyone who knew the facts understood that they were truly guilty. Because of this, surveyors connected to Benson had trouble getting work.

In 1895, Benson suggested what became known as the "Benson Compromise" to the California Surveyor General. He offered to fix or finish the survey work on several contracts that had never been paid because government inspectors had said the work was fake. The government accepted this deal, but it's reported that very little of this supposedly "corrected" work was ever accepted by the Surveyor General as valid.