Bonesteel, named for early freighter H.E. Bonesteel, had Francis M. Safeser as its first postmaster on 1 August 1892, and by 1905 had 754 people and had made major headlines. In 1902 the railroad reached Bonesteel, and in 1904 the eastern part of the Rosebud Reservation, the western part of Gregory County, 385,817 acres, enough land for 2,412 one hundred and sixty acre homesteads, was opened to filing. Registrations for the drawing were held at Yankton, with 57,432 filings; Fairfax, 8,700; Chamberlain, 6,100; and Bonesteel, 35,176, with chances in the drawing at 1 to 46. Trains ran night and day, everything was wide open, and gamblers, confidence men, and the underworld of 1904 flocked to Bonesteel to prey on the gullible who came to file. On July 18th, more than 4,000 registered at Bonesteel. Police chief Jim Nelon retired, and citizens, aided by Patsy Magner, Stanton, Bob Calahan, and other sporting men of the better class, drove the gang out of town after a sharp fight during which the town was practically in the hands of thugs. Magner said there were 200 of them and their slogan was stand for no pinch. In an episode reported under the headline BONESTEEL HAS HOT EVENING, bad men mobbed the officers, took their clubs and guns, beat them, and took their stars. One tough was killed, two were wounded, and two fly cops, Harrison and Stambaugh, were wounded. Sheriff Taylor asked for troops, but things quieted down. This became known as the Battle of Bonesteel.