commitment to a gold-backed dollar. Grant later pressured Congress for a bill to further strengthen the dollar by gradually reducing the number of greenbacks in circulation. When the Democrats gained a majority in the House after the 1874 elections, the lame-duck Republican Congress did so before the Democrats took office. On January 14, 1875, Grant signed the Specie Payment Resumption Act, which required gradual reduction of the number of greenbacks allowed to circulate and declared that they would be redeemed for gold beginning on January 1, 1879. Reforms and scandals The post-Civil War economy brought on massive industrial wealth and government expansion. Speculation, lifestyle extravagance, and corruption in federal offices were rampant. All of Grant's executive departments were investigated by Congress. Grant by nature was honest, trusting, gullible, and extremely loyal to his chosen friends. His responses to malfeasance were mixed, at times appointing cabinet reformers, but also at times defending culprits. Grant in his first term appointed Secretary of Interior Jacob D. Cox, who implemented civil service reform: he fired unqualified clerks, and took other measures. On October 3, 1870, Cox resigned office under a dispute with Grant over handling of a mining claim. Authorized by Congress on March 3, 1871, Grant created and appointed the first Civil Service Commission. Grant's Commission created rules for competitive exams, the end of mandatory political assessments, classifying positions into grades, and appointees were chosen from the top three performing federal applicants. The rules took effect on January 1, 1872, but Department heads, and others were exempted. Grant, more than any previous president, elevated the federal civil service, but his critics refused to acknowledge this. In November 1871, Grant's appointed New York Collector, and Conkling ally, Thomas Murphy, resigned. Grant replaced Murphy with another Conkling ally, Chester A. Arthur, who implemented Boutwell's reforms. A Senate committee investigated the New York Customs House from January 3, 1872, to June 4, 1872. Previous Grant appointed collectors Murphy and Moses H. Grinnell charged lucrative fees for warehouse space, without the legal requirement of listing the goods. This led to Grant firing warehouse owner George K. Leet, for pocketing the exorbitant freight fees and splitting the profits. Boutwell's reforms included stricter record-keeping and that goods be stored on company docks. Grant ordered prosecutions in New York by Attorney General George H. Williams and Secretary of Treasury Boutwell of persons accepting and paying for bribes. Although exonerated, Grant