The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1858-04-28

sce then, ard be lived there nine years he though.
mao got 700 mnt for IL land in sna region acid
enoulous prices ragged from 81 70 W b an acre be-
on 10 one ea, Mr. Steele tina, he was su horned sci
me property, but Or Graham, nom Virginia, seemsf
Hoow 'ne prop'ry, be thought would make goof
70 "n site, but nov tnst St vas built A. was too iss
Ior thst; hekepzes claim for his hlel was sl5 oop.
~hcn STEELE agreed TO nay him
Upon the data you bad before you how did you ar
rive at Inc conclusion that os pro ersy was worth 900
ESQ A. Ia this way: a.ade ioquby Curing the vno,e
time there what and ia he 10, 80
worth. and az to wbai selae for fouud maj 81
was ral ny nom very high prices 10 came to
the copciu ion that most OF was selling for from aava
To eight or ten doars acre. aud thought ths Ian
was worth about that have been Mistaken ons hat
was my conclusion was DESTROYS OF getting much as
could for IT, there Instructions except the mini
mum limit OF 81 ON acre. supposed that if had s, il
at that should have been justified wAned 10 ee.
more; Mr. Steele had al eady a6e an Offer for it,
O. What was that oferS A. $1,000; Steele was suter
Of the fort he (witness) frieady terms With
HIM. and had no PERI ona feeling in selling to M seess
improvements were bo..e, worth s., goo $4,000
sto, ehOuse worth sbOa $500 aud ferry nouse vsus4
be thought at 81 800 they did not advertise tho an1 "a
cause their objects nigh, be defeated they mza, have
got good bids for the beet portions of but Tor ers..
portion none at ALL their objec. was 70 get the price bsy
bad liked a. ts value, 100000 steele give that
10 The government and to pay Si50o0 TO Mr. McKenzie
for his claim; be did not know who were connected wb
Steele in the purchase the newspapers put may
persons that he thought they knew nothing at aoou ~
public lands have nearly always sold at the yuioimun
prices and think such haa boon the fact the sale of
mi iary reservations; the first will name il tina
main and best part Of the Fort Susng which ok
pace some three or four yeavs ago. there were hs
best Of my recollection, about thirty Thousand acres in
all and all sold at dollar and }uartsr per acre:
this par. Dcuced site of Minneapolis the water
power at the Falls OF st. Anthony the site of the %
Mendoza and portion of the site of the city OF 81 Paul
2. DO you know what induced the government: 30 sell
this property at this tmeY A. No than ore
sumo was NO longer wanted was informed that Fort
Winnebago was sold in this way at auction aud brought
only " 90 an acre for toe greatest portion Of IT. Of
brought ST. understood that o. operty ths. locality
AZ that time was worth $40 and $50 acre; supposed
the interior of Wisconsin; believed Mr. Steele vas abe
TO pay for the property due he richest nsa
SIS N0 from bridge across the Mississippi aoov the
Falls Of st. Anthony.
O Had you any knowledge, agent OF the govern
meDt prior TO this sale drec' or Indirect Of any comb
nation fraudulent Otherwise, upon the part Of Mr.
Steele with others to purchase this property less
price than was WORTH No. sir.
q But understood you to say that you were appre-
hensve there would be a combination A. combina-
O. DO you believe Mr. Steele would have combined with
othersY A. would not like to give my belief in such
case as that might be doing Injustice to him. believe
the In the country would have bined and psf-
hsps he would have Co nbined with them.
O. Did the idea of private sale originate with you COM
msioners alone, or did come from auy person uide
A. originated with U.S. knew at the time that the most
proper way was to sell at public SALE if it did bring
would doing injustice the government 70 run the r:
proper TO say that before was agent and when did
not expect to be appointed SUCH took every
enhance the value of the property by prasng per-
haps, over estimating it; when people asked me about
did the best could to raise the value of
O. Were you not authorized by Instructions to
make private saley a. Yes, sir public or priv ate
Y. Did understand You to say that you and your col
nxed upon what gu regarded a. the value Of the Ln3
before you offered At private sale9 A Certainly
And that you hello II at private sale at the prce fixed
by you az its iull value? A Yes sir
Or. Archibald Graham sworn-I reside 10 Isxogton,
Virginia, and am physician; was concerned in the
chase Of Fort Smelling reservation was in Minnesota 1t
the time the purchase made, the agent Of New
York company; aided and counseed with Mr.. Steele
from day to day until the purchase made the terms
OF the purchase forth article Of agreem nt
made by Dir Steele with the government; IN the mouth
70 Secretary War Governor Floyd whom had
known in my State, and during Conversation With him
ments and asked him he had thing in hs department
could do for him there, to pay expenses he told he
bad nothing unless took the agency Of selling old
Fort Smelling and Fort Ripley; had been in Minnesota
in 1864, and knew something Of the vslse Of Fort
Smelling, and preferred being Interested . pur-
chaser to taking the agency for the sale OF 4
Therefore ] declined TO have anything 10 do with
a. that aS S Ss bad
War at that time any future time upon the subject;
a. nearly as recohect went 10 Minnesota The last Of
April 1857.
O. when and by whom you Informed of toe fact
that this property could be purchasei private A.
IL was thought desirable by company that pro-
perty should be bought ~ whole; did not know OF
the private sale until few days before the sale con-
summatsd Mr.. steele, who carried on the negotistoa
with the commissioners, informed that be tnougat
hey would, owing " combinations formed there, dis-
pose Of privately we desired 10 make the purchase II
private sae but rather eIpeced that the conmissousrs
would sell publicly, And We we're prepared 70 bny m
spch lots should think most advantageous 20
contrary Mr. steele was co1versant with all inc polnts
Of the property better perhaps than any othor man ly
ng therefore ~s that We were so Al Ious TO have h
company.
O. DO you know whether the Secretary Of War had NV
kno~edge or Information Of any kna Of the Of
lie certainly lad none rom
O. Who constituted the company OF which you
agentf A. As far know the company they are Joor
c. Nsther, Richard schei Franklin steele and myself
There are other par res pssbiy in New York connected
with whom do rot know
hen uas his ~ Cd A
was organized In The month Of April, 1857.
q hd you seek 70 exercise any influence in producing
Trey subjected this property 10 private instead OF pub
lio sslei 90 not recoeo, that had any CONVERSE
ton with the commissioners the subject Of SALE
until after Il WIS over; the ncgotiaon with the commas
soner, was carried on BY Mr. Steele.
O. VIII you state TO The committee Jour opinion Of tho
value Of the tract Of land pJrchA edY A. went first "
visit the property ~ the agent Of company;
anined carefully. and the highest estimate PLACED
upon vas sl2o,cto, - q speculation; ihere were
claimants to tie amount Of $4,000, probably, upon
the land, which we've allowed Our Company would
not have goue beyond ust figure for a. tss. was
ia full value; they had realized nothing on II since
the purchase, hu, had expended 5000 heard that
other parties besIdos those named we're iDteresd but
never beard who they were. having laid OF q t9Fn at
the junction 81 TIE rivers Minnesota aud Mississippi they
applied 70 the lrosasni for deed, but was rcfassl
share third did not urge steele 70 say VI too
commissioners iha there would be combination n ,ho
land put up at public sale heard tina, oiers
the fort were anxious puonsse QusrtermasIsr Mar
tin had no ccnyetsauon 9th the commissioners
VII Ater me safe, ana tucn old not eu tnem thN vas
Interested did no, tell Governor Floyd my for
declining the agency the company only paid TO outsiders
s1,5t0, to who ownos the ferry house; Mske-ka
took back hR butel and leo Governor Floyd did ut
inform how the sale 10 be made. FOR the sgsnts
not appointed then drst heard Of the sae being p
vsie frtm Steele, my share IN he company was ono
ninth In the written articles ~ agreement there oa,y
three parties Neee, Mather and myself; Ssee owned
enc hrd, and ksther and myself two thirds Governor
sbcy got an allowance Of thxty acres ct cost he YES
Seeles brother IN law and o-ped the Of kentcts,
but a. be bad no water landing 10 the town nsy gave
i'm md nd rnf.fn tIp whal M
profit ON the purchase would be; supposed woui be
good operation do not know that the COMMISSIONER hsf
any interest IN the sale do think cents worth ofMn
owned south OF New York except my own; be supposed
the property worth double what they gave for ~
became things would advance 10 the West; Mr. Msthcr
went west with me- do not know when be tMstberl
hr-t heard that sale be made; have reason %
suppose that the Commissioners favorable 70 ther
purchase DID not vi them ., course that hey we're