When the booty was divided, Morgan is accused of having defrauded his followers.
In 1858 he was sent to California by the United States attorney-general as special Federal agent for the settlement of land claims, and he succeeded in breaking up a conspiracy by which the government would have been defrauded of vast tracts of land of almost inestimable value.
He didn't steal the money—he found it—and aside from some name changing, it would be hell to prove he defrauded anyone.
Yet, in 1713, he was implicated in the famous Solov'ey process, in the course of which it was demonstrated that he had defrauded the government of ioo,000 roubles.'
Defrauded of their bloody diversion, the people were wild with rage.
As secretary of the treasury (1874-1876) he prosecuted with vigour the so-called "Whisky Ring," the headquarters of which was at St Louis, and which, beginning in 1870 or 1871, had defrauded the Federal government out of a large part of its rightful revenue from the distillation of whisky.