The Portland daily press., 1873-02-01

| road was robbed from the Credit Mobilier At
| ter Ames s. Co. had acquired voice in the d.
rection of the road they developed several plans
which increased the cost OF the construction to
the payment of large commissions to them
selves for loans to the company or procuring
for it such loans and locomotives which mad
been purchased at government sales OF CON
demned property, and being repaired were forc-
ed upon the company by them. They we'll
knew that $50 miles OF the road next west of
the Tooth meridian was being built for about
S2O,000 per mil exclusive Of equipment and
station houses. This fact appears from the
of it. Oi'
As to the Fisk suit witness stated That Mr.
Ames, as acting President of Credit Mobjier
gave direction to the treasurer to receive no
subscription for stock except when accompan.
led with payment of the full par value thereof
Thereupon Mr.. Alley and his friends proceeded
to subscribe for stock. On the first subscrip-
ton being made parcel of greenbacks was
produced by the party making subscription,
stating to the treasurer that it was tender of
% per cent. of the amount of the par value of
his subscription, which, of course, was refused
by the treasurer as the party well knew it would
be. The amount thus pretended to be rendered
was not, as / understand, ever counted by the
treasurer, but was retained by the party so Of
fering to subscribe, to be used the next minute
on another subscription. Among the subscrip-
tions made in such way at this time, are three
in tine name Of John B. Alley and john B. AL
ley trustee, amounting in the aggregate to $685.,
100000. This facial substitute and tender
thereon was continued for period of about ten
minutes and reached in amount the sum of
about S60,000,000. Not dollar of this money
passed into the hands of the company, nor was
it intended it should so pass. All this took
place about five days before the election of di-
rectors. The bylaws of the company provided
that no stock could not be voted on which had
not stood on the books of the company in the
name OF the person offering to vote thereon for
ten days previous to the election. On the dav
OF the election Mr. Alley and his friends, wi
Gen u. +. Butler present as their counsel,
the stockholders meeting passed resolution
amending these bylaws to suit their desire, ap
pointed new inspectors and opened the polls
The duly appointed inspectors having previous
ly opened the polls and commenced receiving
votes, all parties were enjoined from voting
upon the subscription on stock on which no
money had been paid at this election but l I'M
derstand Gen. Butler in some way succeeded in
getting one of the injunctions modified, the
election being carried in two polls with two sets
of inspectors on the same roll, one ticket rep
resenting the old board, and the other that of
Mr.. Alley and his friends. Each board of in
spectors declared their ticket elected. An in
junction restra ming Mr. Alleys bogus board
from acting was at once procured and served on
them, to which they gracefully submitted.
Durant next read the records of the directors
to show that Alley was not opposed to the dis
tribution of the profits under the Ames con-
tract, as he had testified. He next cited Cakes
Ames contract to build 667 miles of road at the
following prices:
First, 100 miles at $40, 600 per mile; second,
167 miles, $4,000; third, 100 miles, $685. 900;
fourth, 100 miles, $4,000; fifth, 100 miles. $780,,
600; sixth, 100 miles, 5000 On the 10Th Of
October, Mr.. Ames assigned the contract to
seven trustees, but previous to this assignment
the board OF directors agreed to recognize said
assignment and accepted the guarantee of the
Credit Mobilier Company and to release Ames
from all liabilities under the contract was duly
executed by the proper officers of the company
and Mr. Ames' Responsibility was completely
wiped out.
The witness next referred to the fact that
Gen. Dodge, chief engineer of the road, under
salary OF $40, 900 per annum, instead of being on
the road when witness demonstrated against
this, he was informed that Dodge could do more
good in Washington where he had great infiu-
ence. He further found that the wife of Gen.
Dodge had 100 shares of Credit NIobilier stock
and was therefore a large participant in the
profits TO be made by the contracts.
Peace with the NIodocs.
| The peace policy suggested by a number of
prominent Oregonians now here, relative to the
| settlement of difficulties with the Modoc Indi-
ans in Oregon have been adopted by the admin
istration and will be Immediately enforced A
peace commissioner will proceed to the scene of
| the difficulty with ample powers.
Mr. Colfax.
| Mr.. Colfax reappcars tomorrow before the
Poland Committee to make a defence against
Cakes Ames' testimony. He is confident of
! clearing up his record and showing his former
! statements literally true.
General WOward's
accounts in the Freedmans Bureau have passed
the I'd Auditor of the Treasury and Gen How
ard was found, by clerical error, to be indebt-
ed to the government for $32.54. He gave his
check for this amount and his accounts are
square.
The Cotton Tax.
The Committee on Ways and Means to-day
discussed Mr. Beck's bill to refund the cotton
tax. The vote stood Messrs Kelley Burchard,
Finklenburg, Roberts and Dawes against the
bill, and Messrs. Maynard, Beck and Kerr in
| its favor.
Mr.. Dawes agreed with the minority that the
export tax on cotton was unconstitutional, but
thought this was not q proper time to take leg
isative action ON the subject.
The committee will report adversely on the
bill with the understanding, however, that the
minority shall have a full hearing before the
Hoase