Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1873-01-14
WASHINGTON.
The Progress of Investigation
In the Various MesSes of Radical
Corruption.
The Uuiou Pacific.

A1Ais W lSOO SaiQ lS 0dH tx ApTcSsSu W bHS Az
torney General the wishes of the commit
tee to have present two attorneys 10 be ap-
pointed under the Randall resolution. The
Attorney General replied that such attor-
neys would be speedily appointed and aid
the investigation. There would be no wit.
nesses for examination to-day, but to-rnor-
row Mr.. Shellabarger said he would be
willing that the counsel should lead in the
investigation. Both counsel aud the com
mittee have the same object, namely, The
recovery Of the rights OF the Government.
Mr.. Allison said that VIXEN the attorneys
should come before the committee they
could make suchrequest. Mr.. Hoar thought
the committee should carefully
avoid tgiving up control of the
investigation to the attorneys, but that
it could invite them to make suggestions
as to the time of examination: Mr.. Shela-
barger said that perhaps it would be the
better way. Mr.. Hoar offered a res
olutiOn that the counsel TO be sp-
pointed be requested to be present
by the committee and make suggestions
and render such aid as may be in their
power. Mr. Slocum said he would like to
have the attorneys point out where the
government had been wronged. He did not
|
would like TO hear from the chairman who
they were going to sue. Mr.. Hoar said the
House had affirmed that the road was In de-
fault, ana further that owing to the enUr-
nous profits of the Credit Mobilier the OBJ
legations Of the road TO the government had
not been paid. After that the House had
appointed this committee 10 find out if what
the House had affirmed was true. Mr.. Slo-
cum asked whether there was single in
| stance In which the Union Pacific Railroad
had failed to comply with its contract. Mr..
Wilson remarked that that was what they
were going to investigate. Mr.. Hoar's res
olution was adopted. Adjourned till TO.
morrow.
Kansas Corruption,
The Senate Committee on Elections this
morning examined Ira Busick, member of
the Kansas Legislature, G. w. Thomas, and
James L. Mcdowell, the latter of whom
testified that Thomas offered to sell him for
Caldwell tho votes of Steele and other
members of the Legislature. The commit
tee also examined at great length II. T.
Smith, Csldwells partner in the banking
business. Smith gave the details of an ar
| rangement made before the Senatorial
| election between Caldwell, Gov. Carney,
draw from the Senatorial candidacy for Sl5-
900 paid him by Caldwell. This amount
was subsequently paid Carney by Caldwell
! in installwents Of ten aud five thousand
dollars respectively. Some time afterwards
! Smith gave Carney $1,000 to reimburse him
! for expenditures during The election.
Credit GIobIIier-Dawes yyhitewasises
! Himself
! The special committee, of which Judge
| Poland is Chairman, to investigate the
| Credit MobilieT charges resumed its session
this morning, and II. L. Dawes, Of Nasss-
| chusetts, being present was sworn and sub
mitted written statement. he says he
never was the owner of any Credit Mobil-
ier stock, but he agreed to take ten shares
OF The stock, but the agreement was re-
scinded before The stock was transferred.
In December, 1867, he had $1,000 which
be had no occasion 10 use, and asked his
colleague Wsshburn how he had better in
vest L. WashbuTue recommended a pur-
chase Of Iowa aud Cedar Rapids Railroad
bonds, saying that Amas had these bonds.
He went to Ames and asked him TO
sell him such bonds, he replied they were
all sold, but he would let him have for his
$1,000 Ten shares Credit M05iler stock, and
guarantee him ten per cent on his money,or
II he got tired Of ths stock, he would pay
oEck the money and ten par cent interest
Dawes then told Ames he wouli take the
stock. he gave hin the $1,000, and took
receipts for stock TO be delivered in the fu-
t2T5. Subsequently ia YES learned suit
was about to Oe commenced in PennsylVa-
Lila courts by Duff Green against Ames and
bis associates, to get possession Of tie
Credit MObilIer charter. When he returned to
Washington, he told Ames be did not want
any such stock, and Ames paid him back
the money and ten per cont Interest. Ia the |
meantime he bad received one dividend Of
% per cent which he allowed in the settle |
ment, he paying Dawes he balance only.
In answer 10 questions of judge Poland, !
Dawes testified that 10 the best Ct his MEM |
0Ty It was The beginning Of the session Of |
1867 that be let Ames have the 1000 dol
lars, The dividend was paid to Lin in
about three weeks afterwards. The trans
action was rescinded in jan. 1868. Knew |
nothing of the market va.ae Of that stock. |
When Aues said be would guarantee him |
10 Ter cent. be thought the investment
would be a good one.
4 Suggestive Letter.
". Hastings sent letter TO the commit |
tee proposing to show that a large share |
holder il the Union Pacific Railroad and |
also IN the credit mObilier testified in Cal |
ilornia court that he said a stakeholder |
had used money and stock in |
tie L. p. road and Of the credit mobilier to |
bii5e Congressman to inaugurate their in-
huence and carry through by bribery and |
corruption legislation in the interest Of tie |
road. lie asks the committee TO procure |
the records in the action in the 18th Judi |
Cial district Of California, in San Francisco, |
OF ). q. Elliott rs. Ben. Holiday; also with |
same court Of the action Of John Nightin-
gale vs.. Ben. Holiday. lie also suggests |
that they examine as witness W. II. L.
Barnes, law partner of Eugene Cssserly, |
attorney iJr the Central Pacific Railroad, il
San FraHc SEQ, and ask for tie reasons ap-
peaTing in an address delivered by him be-
fore a meeting in San Francisco, at the re-
quest OF high official. Hastings asks
leave 10 read 70 the committee an extract
from B5rnes' address.
Jas. brooks SOu.in Law.
Charles II. Nelson was sworn. Witness
produced bis certificates of stock in the
Credit Mobilier, the first certificate being
for 100 shares dated December 6, 1867, and
the second for 50 shares dated February
%, 1868. Witness subscribed originally to
100 shares.
Questiou-Did you sign for them?
AusTer--I do not racollett. James
Brooks, my father,in-lsw, put me in the
way Of getting that stock by advancing the
money. All the dividends came to me,
and got the money. Brooks did the bus
mess. lie told witness he had a chance to
puJ him iu the Credit MObiljer, and did So
Witness was not present st the negotiation.
Don't remember who furnished the certif-
Gates. Did not remember how he came in
possession Of the certificates,
QGestiOn--HoW was the matte arranged
between you and Brooks in reference to
% the money paid?
AnsWer,-The arrangement was made
simply by Brooks advancing the money
md ] receiving the dividend. | gave no
security to Brooks when the money was
advanced, Gave no note or bond. Did not
hink ihlt necessary between father aud
'01. l began to receive dividends very
hort}y after getting the stock. Received
)na dividend in money, amounting to So
300. Did not TememCer when. Had re-
'lid a portion Of the money to Brooks.
purchased the second fifty shares with
money borrowed from Sidney Dillon.
Brooks furnished mona Of II TLCrgbt ba ,