New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1869-02-06
THE UNION PACIFIC RAlLRoAD SWIYDLE
CONTINUATION OF THE OBSERVATION-DISCLOSURES
Trims STATES EVIDENCE.


Union Pacific Railroad Company by tho sane OF S4<iVVo
worth OF bonds given them "a collateral security lor
loan Of OOO was continued yesterday Dcoro Jusuco
Bowling at the Tombs. Tho following testimony was
taken:
Christian b. Macdoucal detective officer attached 70
Police Headquarters, testified that he arrested Mr. No
In was near Bro9d%a Wo asked My a me %,S ma
issued by Justice bowling for aegea do ag HAT
he held the note OF the Company for 4oan' ana 'n' "
ASSISTANT DlstrctAttorney Hutchings then called asa
witness for the prosecution Frederick a. GOoul ,his
counsel FOR the accused objected TO the rGcepO u and
Mr. Hutchngs then offered in evidence me sworn SsS
mont Of 9oaa which the la'G n P s He"dqnarers
aud the presence Of Capt Young anu NV Tic
counsel for the DEFENDANTS and On, responded @es
follows Capt make fS" This HG Statement had
been under arrest three four hours had been placed
one OF the b Sros p Young was he pledged me his
word OF honor that should be protected aud added that
did not make the statement others Of the defendants
wond do so; that he had selected the one most
worthy of condolences; that the statement would not
be- satisfied With noeyed settlement, and such one
could be made understood By this promso OF indemnify
was afterward removed to more eligible apart :
@ont the siseTS he %tness added that on
The following sunday, on an assurance ron rom
against and the same lie had previously re-
ceived from Capt Young, he signed statement drawn
added that he would not have signed the statement but
for the promises held FORTH and an additional promise
that he should have the services OF detective Queer 70
aid him in some private business The counsel for the
defense commended that this confession could nor DC SUI
United evidence. asinuch as INC witness ts au t
Induced to make it through promise OF immunity from
punishment given by officers of the law After consider
sbie spaTring between counsel the magistrate decided
that he would permit the statement TO DO read IL Is as
Frederick A. Goodnl testified that he Is money
broker and insurance agent residing NJ NO. o. N3Gkst
tbnt he became aware that the Union Pacific Railroad
Company the market for oans and that he called
the office Of the Company No 20 Nas'HS1 ana hT0
duced himself to Benjamin f. Ham, the Auditor OF inc
Company and said he wished to negotiate loan; when
deponent called the office, he had no particular parties
IN mind who ready 10 loan money TO the company;
Mr. Ham said he ready TO accept loans on Dea OF
the company and offered GOodal One-half OF one per
cent commission on any loan that he mgut procure for
the Company, and added that tho Company would
pay for the Of the money so loaned onea oI
cent interest; the following day deponent called again.
andn order to more definitely fix the terms Of inc loan,
Mr. Ham. Two or three days afterward he again Gale!
Arms as likely 10 loan. among them Gilman, Son & Co,
bankers. III Exehangeplace, j. W. sehgman, ana Hat
s oap 10 or one Jacob Barrow who introduced
him TO Ogden Seelye, having an Office at No
az Broad ST; James WILLIAMSON present when the de-
ponent spoke of the lOan and the latter after being in
troduced said he knew where the money Tor the loan
office, No. 90 Broadway, on the following day. IN the
mean re prnere tne IT was agreed that the
commission Of onehaf per cent allowed by the Company
was to equally divided between Barron. seelye VIII
kinson and deponent; on the following day Wilkinson
brought with him Wesley Lyon who wished 10 know pr
first PLACE Gse eds Of na gong Wilkinson and IyOn
had had conspired together to defaud the Railroad
out OF their First Mortgage bonds, which were
se1 as wa p S OF sd sell
the said bonds soon as they obtained possession OF
them and 10 pocket the difference between the amount
loaned and the bonds given as security Lyon Sa VIII Wiz
knsOn Gyngea the scheme sS on i"1 20 bo e
should share with them II 1t proved successful they
added I9i Sre would go down and the bonds could
then be re6ougbt at lower figure; Lyon said
a nS the sale Of said bonds, and that they would
only be LIABLE rd un S ee
they agreed TO meet the following day. GOodal was
pocITe t6e funds from some one Who would act as money
lender in Transactions on the same day. and in pnr-
OF this scheme depOnent went to the office OF the
COMPANY, and informed Mr. Ham that he had found
party who would loan the Company 10000 and
nany's Office this person the following day;
on the MT Ham, and Introduced I as the attorney Of
the person who had the money to loan IN response 10
question Lyon said that his principaps name was Simon
Wolf. and that he was retired merchant man OF
Mr. Bnshnfi ono OF the directors of the Company,
recognized Lyon having met him previously and SAID
that he UyOn) responsible person. ana MI Charles
Ham then professed themselves ready to receive the
loan e as sos eco for this amount the Company
were to hypothecate 40 OF their first morgage bonds as
coatera security the repayment OF the loan Lyon
then said he would go and his party and requested
that 6s bonds and o Ham nc @ Sa I the bond
Which given must be returned ana Lyon assented
the office OF Lyon, No. IS Broadst, where they
met Wilkinson aud MOni calculauOn WAS hade
Of the amount Of money needed, and what
they would he enabled divide; Lyon had previous 10
going TO the COmpanys office: called at the office OF
Waterbouse Pearl & Co., In Newest, and disclosed 10
them plan which had been devised TO get the Bonds,
exact amount necessary make the loan, and
the bonds procured to take them at So cents on the
dollar and that the difference over and above the
advanced should be paid over 10 you after
they had received the bonds: 1t was part OF
Lyons arrangement that Waerhouse. Pearl Co. should
have all they could from the sale Of the bonds at over
So cents the dollar their share OF the profits for nd
vancing the money to procure the bonds Lyons told
the arrangement, tie nrm ala
their 10 appear IN any way m the trans
action the firm deposited IN the tougth NATIONAL Bank
$56G0 for which the DaK gave ceuncate Oh deposit 70
the effect that ID. T. Jett who Is cashier Tor
Waterhonse Pearl q , co.; hSd deP1 h tnat
the return of said certificate properly Ddorsed; Water
house. Pearl Co. kept this In their possession
until they received the bonds at their request the loan
was closed in Eaknss Office, In the Hanover Bank build
ing when everything was inreadiness, deponent went
the Office Of the railway company and requested that
the bonds and note and receipt might be sent with him
the street. where the money was then ready
90 with defendant; Lyon stood on the steps OF
the Hanover Bank; Wolf remained on the opposite side
OF the street, near the Posto1ce, waiting Tor precOn'
certed signal from defendant when he % come over
Mr. Eaknss Office and sgn the receipt and indorse the
certificate OF deposit; Lyon went with the boy into
EakIns's Office, where from the Office
Of the above firm was in waiting; when all
was ready Lyon came down and gave the signal
and Wolf went for the purpose OF signing the receipt
aud ndOrsDg the certificate; Lyon soon aferward came
ponent then went back TO Lyons Office and told
Wilkinson, who was waiting there. OF the success
Of the scheme; Lyon then said he would 20
and get their shares; he went TO Water
house. Pearl & Co.'s Office, and soon returned with
y check for $1,000, to divide between Lyon
Wilkinson, Wolf and deponent and which de-
SEQ was FIRST set was aside to pay yius one q
Thomas Son OF ExchaDge-plIce, who had introduced
Lyon to waterhouse, Pearl 4 Co.; they had demanded
$1,000 which they had received in similar trans
son and oneourth 10 eponent, Lyon reserved the one
hal forW ol M fhpuo hf