New-York daily tribune. [volume] (New-York [N.Y.]) 1842-1866, 1862-01-17

iIle may of buyiug ehi e. ard that the result ol
he nurclases proves IL; aud | deny that tits iaci
furnishes any ground to infer tuat il lett to
nv own discretion | should adopt the very worst
possible mode of makiDg contracts for the conttruc
tion u! shiJs.
Tie facts in relation TO the employment Of Nj
Morgan date hack to the commencement OF the ~
sure elton and the interruption of communication OF
Baltimore. At that time, when extraordinary pow
ers were conferred Oh Conn Odore Brcese IN CON.
mend of tie Navy-Yard OF Brooklyn, he was directed
TO consult with certain gentlemen, aud among others
with Mr.. Morgan, bat 10 direct purraases were au-
thor1ed to he made by him or by any o bit eXie
Tienced naval ofIicers II mistake not, Commodore
Brceso awaited himself Of the buiness talent OF Nv
Morgan 10 TIE purchase OF TIE s'eaniiug Freeto7n,
for Which he had contracted 70 pay S3oCoo on WI zen
contract Mr.. Morgan obtained reduction oil VOW
Rom tie owners. lie was coon after requested ~
me to procure change modification OF The char
teT of tue steamer Quaker City, which had been 'lrsl
e-.gged by he Union Defence Commute at 81 ,Vuo
per day. I was dissaii,Ged viii that aIrangs -! NJ
believing it unluit 10 the Government. MI Moitah
succ, ed,d in procuring modification OF the cuAr-
ter go that the Government paid thereafter but ~
per day. being u daily reduction Of $500 Tor mat
steamer Tie was about The came period authorized
hv me- in consultation with Commodore Breese, ,c
purchase two whale-shps, but the agency IN Tine
case without the knowledge of the DepartHe' wac
by Commodore Bteese gwen 10 another gentleman,
and resulted TO the iu Jury of tie Government ia the
purchase Of the Roman and Badger, as VIII be more
fully exhibited hereafter.
In the month of jun Mr.. Morgan, In consultation
With Commodore Paulding, and sometimes also VIVID
Commodore Bnese, made several puicheSes o'
steamers and ealiog vessels that satisfactory.
The examination OF vessels in some instances rot
beioR as thorough aud efficient as was desirec i
early in July directed that the Naval Constructor at
BROOKLYN Mr.. Delano, should personally suie-in-
tend all such examinations. But u was sooh "DNi-
~ r. fl lie N ul fuN D
bic time 10 the examinations and do justice to Tie
then crowded and aceumuiating busIuess al TIE
Navy-YaId 10 which lie was attached ana Tie nee
sty of RAPID augmentation Of The Navy pIessl .
earnestly on the Department, on the 10Th OF Jolly
ordered Naval Constructor FOos to repair TO New
York and give his exclusive attention 10 the exam
ination q ve.tel- that were in tie market. With
him WIS associated Commander Bell, an ordnance
officer and CLief. Engineer kimball the three con
stituiing board 10 examine and decide on the ea a.
biliies OF each ana every 'eeh.i oHeIed, anu ts
adaptation 10 naval service
Mr.. Morgan WAS employed 10 necOtiate aud make
nurehases after tie Board bad DECIDED the quail
tie. of tie vessel Hir purchases were first restricted
to New-York, but subsequently, Included the rors
of Connecticut. This briefly II "A statement OF tie
facts connected with the hrst Enjoyment Of Mr.
Morgan, and Of tue progress, development, and adop
ton of that system uLder which almost all the pur-
chas. that in short period aided m creating navy
have since been mAde. II constituted part OF hls
duty also 10 investigate aud certify the utN-s aud 10
guard the public interest IN that particular and To
take charge also OF all the furniture AID property
transferred with the vessels be purchased. lie was
also employ Cd to disembarrass and relieve the de-
partment from some unfortunate arrangements made
by the dising uished naval Oiicer who was fret ~
thofized procure vetselr Tor The navy Ia sugic
transaction, originally made with "A large shI .
owner by Commodore Breeze, Tor five valuable
steamers, felt that the Government was un,oT.u-
pntely involved aud Mr.. Morgan was employed to
relieve the department. Under many and great diff
fcul,es he succeeded IN saving 10 the Government,
by his action IN that transaction alone fl2i, 90.
Ii is not necessary that should Teoa itdlate ~ ts
refer, nee each Of the many details OF SIMILAR sess
fol operations for tie Govern meut. Bur may add
that not q vessel bought by him has TUNED out
badly nor has Of them, Though severely tesied,
been lO.t. Oar naval oilcefs speak VI them IN terms
Of high commendation.
OF cour,e, tie more purchases that were made the
greater tie aggregate II conui,-ions, whether tie
commissions were .cceiyod by one or more SCENTS.
Bat the brokerage d al incident 10 the tratsaciOns
not the Transactions themselyee Zach case oi Iur-
chase IL independent Of the other ard tie qucstion
is has the Government got fair equivalent for ne
money IN every instance. satisfied that such Is
tie TACT In every Instance where MIR. Morgan hSs
been permitted 10 eAeICiso bis own ludgment-tEAt
all oi his purchases have been JuollOusly and eco
noun ally made-that hts coGicnsa'lon In no CIR"
has exceeded the ate established ~ Ito Chamber Of
IL I
en- constituting paIs Of the bargain IN almost every
car.,thai IN many instances such Arrangements are
made with the teller that full brokerage was not
paid--and finally that not a angle dollar has ever
been paid from the Treasury 10 Sir. Morgan for Lis
stryices-he having always giscn to th- Government
he fll value IN sDlpo OF lhs money paid his pur
cha.es.
Willie preparing, in the midst Of my current du-
tee this resl once the resolution OF the Senate
have received from Mr.. Morgan, in New. York, u
copy Of letter addressed by Tim TO the Hon. e.. Is
Sedgwick, Chairman Of the Committee on Naval
Affairs III der date of 9Th met, in reply H. letter
Of inquiry upon this rHme sub ct, addressed 10 hin
by that distinguished gentleman. Ulon looking
over this letter Of Mr. Morgan, written without any
consultation with me upon the subject, sdop, its
statements in regard to my own action IN Tire case
entirely correct. j never entered into Any NJ
rangement with him to be my permanent purchasing
agent, nor ola inform hin OF my purpose to employ
him any other peIson permanently IN that capacity.
On the contrary, held myself perfectly free to EN-
ploy any other person when In my Judgment the
public service might require me to do 90. | imposed
npon him, whenever employed, the conditions which
he state,. paid him no salary and no commissions,
and | limited him 10 the rate of brokerage from
sellers fixed by the Chamber of Commerce.
Thus If required 70 report " tho amount of COM
pensstion paid to him by NE from the Treasury, |
must answer not a dollar" but il required to re-
port what amount Of compensation he his received
IN the form Of cOmmssions from the sellers OF ships
purchased by him. answer that fully believe it to
be as stated by him in the following letter, which
make part Of this my report TO the Senate 1t being
as personally know an authentic and correct state
ment Of the iacts ia regard 10 the employment Of
George ID. Morgan of New ork to purchase vessels,
and also 10 the beet OF my knowledge ana belief to
=" the amour, Of compensate pad to Lim;" aud
upon ths latter point and upon any other point in
this letter requiring in the Judgment OF the
further examination, concur asking the fullest
examination IN the most solemn and strinsant form.
GEoRGE ID. MORGAN TO The cH,IBsAS or THE
HOUsE coAMiTTg.
kwfORK, Jan 4, 1867.
Hon II sKDGwICK Chairman d Cont IN