The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1873-03-25

twenty per cent; there were no enoas n@ ~ ~
OF any other arm; our whole credit was cue 10
the first instance to the change OF management;
us by CO. ssSDe nndes ese
commence proceedings against Mr.. Gould to
recover nom him for Ss,o0oooo Of bonds which
had been SSnfn ~ OUnG Sa. be-
dincult to establish the TACT that he had not
bought them anti e. tnsr full market yans
taneous with the rise in the stock the bonds were
don banking house suppose they would have sold
as well as BY Bischofsheim but they have think,
better faculties for placing securities upon the mar
never entered into the MINDS Of any Of the direc-
what they had done for us; il q loan was hawked
around on the London market before il was issued,
for railroad company in which 600 OF bonds
were issued at the same rate; know Of q similar
So, 100000 at the same rate, two and half
per cent; have no knowledge OF Bischensheim
they have ' accounted for; the advances made BY
Bischoffshem had nothing whatever to do with
the contract; ! do not think any other London
Country who can ten anything personally Of the
don at the time it was made BY the London drdc
tors; there was NO opposition made by any Of the
thought il A Would be most advantageous; Blscno
sheim's account was rendered IN last January; the
only item in dispute between US Is the ESQ, 600
rating the new Board; / don't think the Erie
Company intend to make any claim upon Bis
resist any such claim, as think they are entitled
to the sum through every consideration Of fair
play and justice; the amount expended In the
and eight hundred thousand dollars, all Of
which was paid before the 18th OF March; we have
higher rate than any other loan ever placed upon
the London market; have never heard what the
PAID TO GENERAL sICKLEs
for hts services was, but understand 1t was large
sum; believe Mr.. McHenry advanced $4,000 to
never received any beneft from the rise in the
stock n the stock had fallen instead of having
wsuld have had no claim for compensation; they
would simply have made rash attempt to restore
ment made that Bischonsheim stills holds IN his
hands 200 900 out OF the proceeds OF bonds sold
Is pure fabrication and has no foundation in TACT;
the only reason can give for Bischofsheim adj
road into the hands OF al honest administration;
IN making ing these advances DO not pretena to
analyze their mOtives; neither one OF the three
London directors was member OF the London
firm OF bankers and had no connection with It; the
gross amount received by Bisch0lfsheim on commits
sion up to the present time would, think, be
j.
was the only person who made the ar
Of Directors to make them retire; saw none
OF them, except Mr.. Thompson; Mr. Ramsde re-
ceived nothing, and did not retire; he was most
anxious for change, and ! understood ne was
being being made with him whereby the CONTRACT he
extended; when General 0lx was frsi asked 20
az
have seen statement that q letter was written to
Mr.. Gould Dy General Sickles, promising the former
immunity; l think have seen the letter in the
Sickles never told me in terms that such an ar
rangement was made; there was no compromise
and the new directors to my knowledge;
on the Monday night after the election, when Mr..
Gould was occupying one hall Of the building and
We the other, one Of the old directors came TO
me and said that the company would suffer from
the disarrangement, and that Mr.. Gould would
which, he Gould resign, on condition Of a release;
meeting was arranged between Mr. Gould and
myself and the terms OF the negotiation were en-
tered upon; as was director / did not feel my
sei and named General sicses who fmmediatey
then in session in this room, and some time after
General Sickles came in and said that Mr. Gould
4sa hsS
rangement, though
GOULD AFTERWARDS CLAIMED HE HAD
the resolution passed at q subsequent meeting OF
the Board, directing that $31 100 be paid to the
New York Central Tor our share OF the legisla-
amount has ever been paid; the claim was an
informal one, merely stating that large sum had
been expended in Albany for counsel and agents;
don't remember by whom the matter was brought
up; 1t was subject Of common talk; don't re-
member by whom the statement was made at the
Board that the claim should have been paid it may
have been made by myself; the reason why the
bill has never been paid ID that vouchers have to be
presented to the treasurer for the actual amounts
W fnds
the claim was that the Central Railroad, in and
about the Legislature Of Albany, had spent about
President Of the road at the time the resolution
came up; the money had been expended during
as NSa es WAS NJ
directors at sal,l without any other evidence
being before them there was
CONSIDERABLE DIssENSION
about the payment OF the amount the question
arising ss to the proportion which we should bear
question Of local rates and pro rata freight bills
Central; I don't know what the nature e
We had the assurance Of the New York Central
that the money had been expended, and we be-
leved that the Erie Railroad were honorably en-.
titled TO pay its share Of It; no check was ever
sent to the Central for the amount and afterwards
returned; think the entire arrangement with the
sdmtnistraton know that the new Board as Wen
as the old one were very much interested In some
bills in Albany, particularly the Pro Rata Freight
bin, and one or two OF the directors and my part
ner Mr.. Mcfarland, went up to argue against 1t !;
there were no terms Of compromise between Gould
and Sickles made known to the Board; am In
cltned to believe that there was some arrange
ment made between General Sickles and Gould
on the morning after We took possession, but it
was never communicated to us; think there was
$4,000 paid to James thompson; General Sickles
told me SO; he was employed by General Sickles
to help to get up the facts of the case for General
Barlow Mr.. Thompson IL q member of the New
York Bar Judge Porter was also retained In the
case; all the counsel was employed by General
Sickles; for what purpose some OF them were en-
gagged don't know; cannot state what services
Mr.. Goodrich rendered
The examination Of Mr.. Barlow was concluded
at this point, and the committee adjourned until
four O'Clock. At four O'Clock the members went
into executive session in the Erie Railroad oices