Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1873-01-17

when he was member.
Committee adjourned until Saturday
| morning.
President Durant-HOw the Union
Pacific Was Built Curious Contracts.
The Wilson Credit Mobilier Investigation
Committee met this morning. The exam
ination Of Mr.. T. G. Duraut was resumed.
He said the Boomer contract was $27 900
per mile of railroad. The Union Pacific
Board of Directors passed q resolution ex-
tending the Hoxie contract over these fifty
eight miles at $1,000 per mile. This res
olution was not carried into effect, witness
having protested ard Judge Barnard hav-
ing granted an Injunction. The Board af-
tsrwsrds expunged his protest from the
books and rescinded the resolution. If the
resolution had been carried into effect the
difference between $27,500 and $4,000
would have gone into the Credit Mobilier.
These So miles had been completed, were
in running order and had been accepted by
the government.
Witness was examined as to Williams' pro-
posed contract, which was accepted by the
Board of Directors of the Union Pacific
Railroad Company in March, 1867, Tor
building 267 miles of the railroad. Witness
also sued out an injunction in this case, as
the contract covered q part Of the road al
ready constructed under previous con-
tract. After witness had been examined
specifically, he was examined generally.
He was asked by the Chairman what per
centage OF Union Pacific Railroad stock did
the Credit Mobilier stockholders own at
the time the Oakes Ames' contract
was entered into. Witness answered
seventy-fve, perhaps eighty-6ve per cent.
Having been asked why the Credit Mobilier
itself could not build the road, instead of
assigning the contract to trustees for that
purpose, witness replied that the trustees
were acting in the interest OF the holders Of
the Union Pacific Railroad stock, some OF
whom had no stock in the Credit Mobilier.
The object Of assigning the contract to the
trustees was also to secure individual lia-
bility in case of failure. Whenever the
trustees of the Credit Mobilier wanted to
buy, they made offers to the railroad
company for a certain amount of rail-
road bonds, naming price for them.
Witness said early in January, 1868, the
trustees of the Ames' contract had entire
control of the Union Pacific Railroad. It
was shown by the books that the aggre-
gate amount spent on Ames' and Davis
contracts was about $55, 100000, and divi-
dends $l6,690, 900, or 20 per cent. on the
$50, 100000, or 81 per cent. On the stock
of the Credit Mobilier; and if the estimates
are made on the securities as being at par,
545 per cent.
Witness did not know OF any person con-
nected with the Union Pacific or Credit
Mobiier who used money for the purpose
of influencing or procuring the election OF
any person to the Senate of the United
States. He had himself furnished
money for general political purposes, but
not specially to influence the election Of
any Senator. He gave two checks of S. 900
each to Harlan, payable to the gentleman
order. Harlan had said to him, Are you
not going to help us? when witness said,
When you are very hard up will do what
can. The money was sent to Harlan,
witness supposing Harlan knew how to
appropriate it. he did not know whether
Harlan was at the time Secretary of the
Interior or not, and did not know whether
he was at that time a candidate for the
United States Senate or not.
Chairman-Did you not understand that
the money was to aid in the election Of
Harlan.
Answer-I had not such understanding,
but was in hopes that Harlan would be
elected.
Without concluding the examination, the
committee adjourned until Tomorrow.
Double Postage ON Un1repa1d Mail
Matter.
Special to the Cincinnati Commercial.
WASHINGTON, Jan. IL The decision of
the Postmaster General that mail matter
not fully prepaid at tn office of its mail
ing had to pay double postage, even though
one full rate is prepaid ., has met with such
general opposition a. I'D censure that the
House Committee on Postoffices to-day
took up the Guestis for discussion, and de-
cided unanimously, except one vote, that
Mr.. CTaswelps construction of the law was
an jZnprsper one
The following joint resolution was theD
agreed to by the committee:
"Resolved, That the true intent and
meaning of sections Isl and 152 of the act
to revise, consolidate and amend the statutes
relative to the Post-ofice Department, ap-
proved June s, 1872, are, among other
things, that where one full rate Of postage
has been prepaid, as required by law, on
the mail matter, in said section mentioned,
such mail matter shall be forwarded to its
destination, charged with the unpaid rate,
to be collected on delivery, and that no
double rate of postage shall be collected
where such partial prepayment has been
made"
The Postmaster General was before the
committee in consultation on the general
subject of bis department, and it is proba-
bic be will modify bis order before the reso-
luton is presented. 1t may possibly go to
the Attorney General for his decision.
The question of the reduction Of letter
postage to two c5nts for each half ounce
was discussed by the committee at some
length, and seems to be fsvorably regarded.
The Postmaster General is also understood
to favor it. 1t seems probable the COM
miLtee will agree to the proposition for the
payment of newspaper postage, in order to
avoid the transportation Of large quantities
of newspapers, which are never paid for,
and not taken out of the office.