The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1870-01-25

rt,t of tho SchcmcrS 10 Aeep UP
cold The Crops-Thc Operation on
., rrcs,,,cut-Grant n Student OF
,,,nouccs-How Corbin was Manfpu.
lated and Esed-Isis Relations will,
,,o prcsiacut-Thc Dark Friday
Uici, Developments. &C.
WASHINGTON, January %, 1870.
Yesterday jaw Gould and James Fisk,
:. a,,,.rorcl before the House Committee
-, linking and Currency &nd gave very
n,I evidence in the matter Of the famous
s,vtcnhcr sold panic in New York. Each
..;;,css was before the committee for seve-
- Lours. Nu; testified in the main to con-
,.'rrInt details, Of which the following Is 3
~,..n!nf: The committee asked the witnesses
:, ~n ahead in their own way. and give
,trrvegsiou VI the causes that led to the
...,i, and as to whether any Government
'.s.,.a,s were engaged in tho speculation,
/, They then commenced by stating that
,H,v were managers ana interested parties
g. ;nc Erie railroads. corporation that
,..}t II earn siNtccu or seventeen millions
,,ar and which was one OF the princi-
,tr u1nk lines in moving the western
'-,,, 70 the eastern markets. When
Iii vas high, rs in 1866, 1867, and 1868,
.hn pr:tc Of the crops was also high,
s.j naturally enough moved rapidly to
..er,rt. las, spring they saw that geld was
',, "a, decline. and looked forward to see
.1.,, woulA he the result, If II continued to
, loyu. in moving the crops IL the fail
:, ,bcy were largely interested TO know
,ta; Ind Of business their road would do
.rc7 that time came around. They made
r~ rlcig wini that ;he price Of the crops
Would Ne governed blythe price Of gold, and
.1,t The price Of gold would lie governed q
,,.l deal by the financial policy of the
ywiuistration: and 10 ascertain the latter
VI. Jay Gould first directed his attention.
Tnrv. therefore, commenced operations on
.., 18th Of June, 1869, when President
I,-.nt was on board the Sound steamer of Fisk
Gau,i. N his way 10 ;hc Boston Jubilee.
The President ATTENDED Il dinner Il which
seven others were present. and the conyer-
.a:iou turned upon finances, and it ap-
reared. says Fiss, "to our Gstonishment,
That, Grant was studying financial matters,
and that he intended 10 rule them in his
Administration and we were still more
..rp!i.cl when we discovered that he was
- the road 10 specie payments. for it struck
- like dash Of cold WATER Mr.. Gould
Z. oacc proceeded to argue to the President
,lat i vas had rolcy 10 Iut gold down in
The fail: that with gold ii 20, the crops
wnu,l not be moved. The policy Of Sccre-
tley Ncl'ulloch was referred 10 as having
been the true one in that particular, as he
always kept gold high in tic fall to give
tie Vest a good price for lis crops. To this
the President replied: = Wei. gentlemen,
VT might rs we'll prick the bubble now, for
il has ~; 10 he done some time" This was
MI that took place then, and the President
was no; sounded again until he appeared at
Long Branch. in July, when he did not seem
tocarc 10 talk urtjc- Oil The subject. In the
mean time Mr.. Gould had become &C
quaiutcI with ;hc Presidents hrothcr-in-
law. Mr.. Abel I. Corhin, and they fire.
,G,ut!y talked over ;hc effect OF the decline
Il E0.! OH the business Of the country, and
ho,h agreed tina, 10 mGn was then making
dollar in legitimate trade, and that it
would grow worse as gold declined. Colbin
believed with Gouli tia; If this theory were
rnvvecliy represented to the President and
Secretary boutwell, il might induce change.
Accordingly Mr.. Could wrote to Mr.. Bout
well, and received rely which did not
Indicate what the Government would do in
financial matters. This was the last OF July.
ant Grant WAS then on lis way 10 Newport
~. board Of Fisk < Coz steamer. Gould
wrote . letter to the President stating that
he bad information that three hundred yes
scls we're then on the way 10 Liverpool, from
Mediterranean ports, engaged TO move the
crops in Europe. Gold YVES then 80 and
a in New York; AMI in sending this
letter 10 the President hy AIr. Fisk, Gould
requested the latter 10 say 10 Grant that
II the Government would decide moi
10 sell gold the price could be put
up il the market, the crops could be
moved by rail 10 New York. and thence by
water to European markets, aud that husi-
ness would thrive again. Fisk says he had
long conversation with Grant to this ef-
feet, and the result was that the President
wrote to Boutwell,; but he learned subsc
qucnlly that the latter had made no reply
The witnesses then detailed how, through
Corhin'S influence, General Buttcrtield Wa!
made assistant treasurer at New ork. i
wasSrst intended to make CatlerwOod (COr
bins son-in-law) the assistant treasurer
bat il was opposed Oil the ground Of rcla
tionship, and Buttcrfcld was put in. Thit
appointment confirmed TO Gould Corbin'!
influence with Grant, and they both talked
over frequently the financial situation
Corbin said gold ought to be higher, and hi
believed it could be put up ana money
made out Of the transaction. Having
90, Buttcrfcld in the proper Office, Cor
hin said he had conceived the idea O
controlling the Government on the golC
question. Gould says that Corbin com
mcnccd at once to interview Grant, and
that he (Gould) afterwards interviewed
Corbin. The latter reported that he coulI
regulate Grant, and OF these assurances tht
first transaction was made. Gould testities
that he bought two millions and half OF
gold at 81. Half Il million was for Mrs
Grant, half million for General Porter
private secretary to the President, and the
rest was divided between Corbin and Gould
Fisk testities that Corbin told him that Mrs
Grants gold had been sold out, and Noted
q profit of $4,000, which had been remit
ted to her at Washington. This was i'll the
beginning of September, and it appears
from the evidence that Fisk did not step
into the speculation until then, when Gould
introduced him to Corbin by letter, which
was followed by Il three hours interview.
Corhin said on this occasion to Fisk that
everything was fixed; that the under
standing with Grant was perfect; that
no gold was TO be sold by the Government
and that no uneasincss need be felt, and
that Fisk could go on and buy. The latter
says he was inclined TO doubt Corbln's state
mcnt at first, but he was so explicit in his
details and positive of the results that he
finally believed all he said: Corbin re-