New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-03-22
ARCHDALE oDoUGHERTYs TESTIMONY.

The testimony will be found below.
ARCHDALE ODOUGHERTY'S TESTIMONY.
Arcbdale ODongherty was the first witness
examined. He repeated the well known story of the
coup d{at He referred 10 $. L. NJ. Barlow by Mr.
McHeDry his London principal; 1t was understood that
Mr. Barlow was not TO share In the profits which might
arise from thesr action but after he had explained his
pans Mr. Barlow telegraphed TO Mr. McHenry, making
some notifications aud demanding one-fourth OF the
profits which might this was the status Of affairs
when Mr. Crouch arrived In this city the agent OF Mr.
McHenry and a representative AngloAmerican stock
holder; Mr.. Crouch not taken into the plan, but
was assigned TO aid Gen. Sces In lobby work at Albany
Gen. sckes had been kept In ignorance, up to this time
of the details Of the Lane and ODougherty PLAN and
now learned OF it through Crouch he then teegraphed
TO McHepry and BischOffsheim that he could accom-
plish tho same purpose by the use OF 100000
the English stockholders then teegraphed TO Lane
that he would have from the business unless he
would agree to work for the same amount. Lane would
have acceded to this but Barlow and sickles obtained
authority " proceed The witness then telegraphed 10
the English stockholders thatf the designed programme
were carried out by of the agents who had been
employed the result would be an ignominious failure,
involving large pecunary loss. Lane continued to CO.
operate in the plot although his authority had been
Withdrawn and March II a meeting Of the Board OF
Directors was held, aud majority OF directors
elected in the interest OF Mchtnfy GOuu agTtth
with sickles 10 confirm tins action, condition that all
claims Of the Erie Company against him should be
withdrawn by the Company. The existence Of this
agreement has been denied but Gould has letter In
his possession setting forth the substance Of it, 1t Is
dated March H. Could learned Of the whole plot
from Lane few days before the coup
dfiat, and took steps 10 prevent II
by obtaining injunction against the formation OF
new board; but Lane obtained the papers from the Off
tI,am fnrs and fore
up Gould also used English adyenturer, calling
himself Lord Gordon, who pretended 10 hold proxies for
a majority OF the stock. This plan failed Of course.
short time after the success the plan the witness went
to England
THE COST or REFORM.
Nine OF the old Board Of Directors resigned Rams
dell and sisson received nothing; it understood
that McHenry distributed $4,000 mt subsequent cleo
ton; witness received $4,000; Crouch got $4,000 for
cheating the OrgnatOrs OF the plot out Of sl20)OOJ In
the interest OF Bschosheim; McHenry had no interest
in the Erie Railway except from It's connection with the
Atlantic and Great Western; Bischofshen furnished
the money and among the amounts paid were:
f. A. Lane 1900 J. d. White $1,000
o. H. T. Archer...... 4O,OOD y. Il. Simmons, iii
Hilton. clerk 23.uO VoOo"
Gus, Secrctary....--. $1,000
The credits for these amounts 10 the name OF d.
E. sickles but they paid by Barlow. THE contract
between the Company, Bischotfsheim Goldschmidt,
mortgaging the road for SOOOOOO, payable III 1920 was
read by the Commttee) Two and a quarter per cent
was paid for negotiating this loan. The original OF this
contract in the safe OF the Company. Tue bonds were
issued at % in gold, which more than par in cur
rency here. Only $62sOOO have been sold. but commits
sion has been claimed aud received on the whole
amount The cannot be negotiated, as they are In
the keeping OF the New-York Trust Company.
q. amounts have been paid out OF the Erie
reasuryl A. More than $4,000 have been drawn by Mr.
Barlow to reimburse Gen. sckes and others. retain
tan A. nnO a N
to have been paid to sckes also There Is voucher for
this amount signed by Crouch.
Photographs of vouchers and other papers were here
presented 10 the Committee and put IN evidence. Among
these was letter from Attorney General Barlow TO Cen
sickles ia reply to letter retaining him as counsel
letter from Matthew Hale TO Gen. slckles number OF
hotel bills amounting to $4,000 and other documents.
The witness testified that the originals doubtless
in the Auditors office OF the Erie Railway
An ORDER FROM WASHINGTON.
came over here the personal representations OF
McHenry that would have the support Of the govern
ments at Washington Albany. &c. We did get an ex-
raordinary order from Washington TO Marshal Sharpe
10 seize the books and papers of the Erie Company ON
the pretext that 1t had violated the internal revenue
laws This emanated from the President, and would
have been carried II it had not been countermanded
by Secretary Boutwell,. This would have given the
lawyers just what they wanted-an opportunity TO eX-
anime the books aud papers have no personal knowl
edge this but have been informed OF by Mr. Barlow
and others.
In answer 10 questions by the Committee. the witness
said that the late dividend Of the Erie Company
Maid ont of the sOO1OOO convertible bonds issued last
month; the witness had connection with the Erie
road in 1872 or prior; his first object in effectng
change III the directory was 10 help McHenry and his
second to make money. The lobbyists operations he
had spoken of those carried in Albany for the
repeal of the Classification act, and TO obtain other
nd a. oil Ityt The
present directors about the time of the coup 6at Mr.
Archer the Vice-President OF the Company, was in
Albany and authorized the payment Of 5000 apiece to
six Senators. The money was paid by WIN. ii. Van
derbilt, and formal resolution passed
by the directors in July, 1872 (Gen DIX in
the chai to repay this moneyto Vanderbilt THE latter
had accepted the money he was too smart 10 10
State Prison $4,000 The witness did know per-
sonaly of the representations made to Lane to induce
him TO take the 100000 When the fact Of the 100000
was teegraphed to slckes Barlow exasperated but
took his revenge later by eectuay preventing sckes
from obtaining seat on the Board. Probably no one
except Barlow and Day knew how the 100000 was ex-
pended. The customary commission paid IN England
for negotiating Of this class Is per cent which
would be liberal. After the election OF July last
luton was passed at what purpored 10 stockhold
ers meeting TO reimburse Bischonshem 4 Goldscnmdt
for moneys advanced; but this palpably fraudu
lent that they didn't dare 10 act upon IT, day after
Goulds overthrow Barlow McHenry in favor OF
myself and Gardiner for $4,000 each for services.
1t will be found from an examination OF the Companys
books that a balance IL due from Bisehoffshem of
100000. It's pity that Mr.. Barlow and Mr.. Watson
are 30 busy they can't find time 10 testify until they
find what others are say about them. Under the
arrangement made with the Witness the Company was
TO receive $4,000 from the $i5OoOO. This was
generous than the plan carried out.
JAY GOULDS TESTIMONY