Fayetteville observer. [volume] (Fayetteville, Tenn.) 1850-1966, 1869-02-11
And who got It'll
Loyalty" steals $780, 900
The whole Affair Exposed

Inc WnOlo Aualr EXPOSED
On Tuesday, the End inst, the
Special Committee to whom was
intrusted the duty Of investigating
the school fund business in connec-
ton with the failure Of the Ten
nessee National Bank of Memphis,
made a report extending. over
about $50 pages of foolscap.7 We
pick out some of the luscious bits,
leaving much untouched. Among
those who were 'bought with a
price," all Radicals, we find S.
NJ. Arnell quoted at So, 500; Speak
er Richards the same, Wines ST.
500, Hall 81, 900, Mullins $500,
and SO on down to Duggan, who
was to receive hat as conside-
ration for his influence. When
Mullins was fully satisfied that he
was to receive $500, he became Ella
ted, imbibed heavily, and told
Parham, the lobby manager, to
"Tell Rutter that l remember him
as a lovely spot in memory's waste,
as the shadow of great rock in the
desert, as the rose Of Sharon and
the lily of the valley and as the
cedar is among the trees of Leb-
anon, so is Rutter among men"
1t was proven by Rutter that
Mullins received a very large sum
to buy others, and as the money
wasnever accounted forafterWards,
the virtuOus Congressman is to be
prosecuted if he does not inform
how the money was expended.
To Mr.. Richard S. Parham, of
Memphis, seems to have been en-
trusted the funds deemed necessa-
ry to bride a favorite measure
through the Legislature. We ex-
tract from his testimony, in the
Press and Times
Quest. At whose instance did |
you come to Nashville, and when,
and under what solicitation, etc.
Ans. / came to Nashville first
in January, 1866. l had started
toNashville on business personal to
myself. / met Mr. Butter on the
road and he employed me to assist
him in defeating Mr.. Cherry, the
President of the Merchants Ma
tional Bank of Memphis, in this eff |
fort to have that bank appointed |
Fiscal Agent CT the State, apd get
the bonds of the State on depos-
it. Mr.. Cherry was here and &C
lively at work for that purpose,
and had a resolution, or other leg
islRtive means pending looking to
that end After these were defeat
ed, Mr. Rutter then employed me
in having has bank selected for
these purposes.
Dues. How did you aid him in
this, and by what means?
Ans. The ultimate plan adopted
was that we would have passed a
resolution or bill through the Leg
islature leaving to some one or more
of the State Executive officers 10
designate what banks should be
the fiscal agents and repositories
of the State, and would get polit-
ical friends so to endorse us as
would secure the first appointment,
and thereby insure large deposit
and great influence this plan ulti-
mately succeeded, and we secured
the passage of a bill to that effect,
the forty-third section of the act
passed May 20, 1866, being the gen.
eral appropriation bill, giving the
power and authority to the Treas
urer to select these repositories,
taking a bond for two hundred I
thousand dollars; the bond was
given by Mr.. Rutter, approved by
the Governor and received by the
Treasurer desire to say that I
did not get any of these funds, nor
did | know that the fund would Ee
at the time, or know
when the deposit was made I !
thought that it would be fully as
safe ia the Tennessee National
Bank as where it was.