, 1872-12-21
MR. WATSON:3 TRIUMPH.

The whole country, and not merely that por-
tion Of it Interested in the Eric Railway or in
railway property generally, will be favorably
astounded at the recovery Of S7,0o0,0o0 worth
of property from Jay Gould by Mr. Watson, the
new President Of tho Erie Company. That any
/ thing should be recovered after so long career
Of successful villainy is surprising. That Nr.
Gould should be able to pay go large C. sum is
almost equally surprising. Money gained in the
way that Gould aud Fisk made theirs, usually
takes wings. It is not generally found when the
Sheriff goes after it. The Erie Company claimed
$o,00o,00o from Gould, and they 1avo collected
77,o00,oo0 moro than the public supposed they
would get.
This is the result OF suit brought by Mr.
Watson, Oh tho 22d Of November last, against
Gould, claiming some s9,ooo,o0o from the de-
fondant, aa the aggregate amount of various
SUMS of which he had defrauded the Company,
SO fur es could be legally ascc1tained, while
serving in the capacity OF President and Treas-
uror, from Aug. 8, 1868, to Nov. 9, 1869. The
bill set Up that lIr. Gould had kept both his in
Railway Company at Tho banking house Of
Smith, Could Martin {; Co., and TINT, in several
transactions, described in detail, ho Ind OIL
dered his individual losses in certain
speculations to DO charged to the account
OF the Eric Company. These transactions
included speculative movements in gold,
in Eric stock, and in Reading Railway stock.
Without recoUnting the detailed charges, tho
substance WAS, that Mr. Gould's losing specula-
tions were thrown upon Eric, while those in
Which he made money were credited to himself
lr. Smith, d former partner in the banking firm
named, filed affidavit confirming Mr.. Wat
son'a charges from his knowledge OF tho firm
books, which were to bo produced. At tho time
this bill was filed, it was given out by 11r- Gould
and his friends that the suit was brought in the
"bull" interest in tho Northwestern corner
which Mr. Gould wss engaged in running at that
timo. Subsequently, it was proved By the evi-
denco OF lIr. Barlow, counsel Of tie Erie Com
pany, that the suit had been in contemplation
eyer since the new management Of the road had
been inaugureted, but that it was not until
the date upon which suit WAS actually brought
that the necessary examination Of tho books lad
been concluded. Mc. Gould's answer to the |
Eric bill was, that he had received d complete |
release Of all claims against him when he 1e- I
signed the control Of the road; but Mz. Bar
lows preliminary examination also demon
stratcd that no grck release, actual or con-
'trslotive, had ever been given. Hence the aet-
;ernent Sb;c;. 3fr, Jay Gould has been iorcet. to
make.
The letter in which Mr. Gould laid down the
'lan Of settlement that he proposed to the Erie
Company is curiosity in Wall street literature.
careful perusal of this document
'ill leere much tho same impression upon
ho reader that Commodore Vanderbilt received
fter a particular notice Of Gou1d's ,couate-
ance. It is but l. tov years since 11r. Gould
tent to New York City frcn4 Tho Western
crt Of the State, a worry obscure
aaiyidual, with no capital except brass.
et, to-day, be is in g position to turn oyer
100000 worth Of property to the Erie Rail-
BAD, "because," as he says, 'tanY litigation of
uch questions is mora annoying to me than tho
'ss Of the money inyo,ved.' # there were any
roof lacking that h1r. Gould had robbed the |
RE Company, his ability to pay $4,000, 600, ,
.thor than be larassed With lawsuit. fully
lpplios the deficiency. The cool acknowledge :
ent or the part Of Gould, that he has held in {
is name both resi G ena 3 personal property which
, "intended" Tor the use Ct tho Erie Com {
lny, is tho climax OF one Of the
ost impudent careers that is fur ,
shed in the history Of financial rsscalities t
+. Gould could not have expected anybody to c
,lieye him when he wrote this, for it followed 6
lmediate3y 1ron series OF unblushing false /
'ods. which this statsment itself contradicts. 6