Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1873-01-08
The Credit Mobilier Investigation
Cakes -aInes' Testimony speaker Blair
Testifies.

Washington, Jan. G. The testimony given
before the Credit Mobilier Investigating Com
nittee has been made public.
Cakes Ames, after stating his connection
with the Union Pacific and Credi. Mobiler,
says: | began by soliciting my intimate
friends and men in Congress possessed of
means and capitalists in large cities. | fail
ed to persuade Senator Grimes. John B.
Alley and Samuel Hooper were willing to go
in and subscribed very largely, and these
cases offered TO guarantee them against loss.
Our capital soon proved inadequate and was
increased with difficulty. II was again mad
equate, and again increased, and this time
was obtained only by the aid Of an immense
bonus. Until late in 1867 there were neither
dividends nor profits. l was constantly at
work and held out every inducement and
made every representation that ! believed
iustiiable. Precisely 70 whom apoke or
WHO formally agreed to take shares, but de-
cided 10 postpone the time of payment, it is
Impossible to recall. When the stock was
Obtained in 1868 there was difficulty about
this, and time has not aided me in this re
spect, but az the time approached for the
the number of sharee that remained, and
with which alone could fulfil many agree
ments ! had made, or supposed l had made
was very small. then applied and got the
shares, the agreement says 2S0, but my recol-
lection says 260, which is confirmed by the
share list which shows 25Q allotted me. Our
prospects were then tattering and was COM
PEELED in distributing shares TO disappolut
many, though strove to use them in a way
TO spread our influence everywhere. As to
Mr.. Coltay cannot remember which of US
tiist mentioned the subject, but l know he
wanted to get some stock. Am pretty conf
dent that he paid me first, though it was new
er transferred to him, nor can | remember
having paid him any dividends.
At the next session he said something about
that thing being Oft. As to Henry Wilson,
was consulted as to investing fund given
Mrs. Wilson or the 2J,h anniversary of her
wedding. l recommended 20 shares for
$4,000, and the money was paid me some
months afterward. She objected to the in
vestmeut and took it off her hands. Mr..
Patterson of New Hampshire agreed 20 buy
80 shares and received the dividends upon IT,,
but the stock never transferred to him,
| although lie paid for it. Mr.. Blaine declined
the stock. Mr.. Dawes, in December, 1867,
came 20 me to purchase a Cedar Rapid bond.
! advised him 10 take the amount in Credit
Moblier stock, which thought a better in.
| yestment; guaranteed him 10 per cent. inter-
est upon the investment, and agreed to take
ii off his hands at any time. After making in
quiries he gave me $1,000 to invest. Some
lime afterward he came to me and asked wha.
Mr.. Larned meant by asserting that he and
friends were owners of the Credit Mubilier
| He then said he had rather not take the stock
| and the contract was rescined. Mr.. Bingham
asked me to invest some money for him in
such stocks or things that knew would pay
well. He furnished me about S2500. and
| invested it in 90 shares Of the Credit Moblier
and the balance in Iowa Falls and Sioux City
| Constructing Company stocks. | settled VI
| this matter with him in 1870. think I pait
him the amount due and took the stock off hi:
! hands at his desire. As to Mr.. Garfield
agreed to get ten shares of the stock for him
and held il until he could pay for it, He ney
err did pay for il, or receive it. AS to Mr.
Boutwell,, | offered him some of this stock
and there was some negotiation, but it result
red in his not taking the stock. As TO Mr.
Elliot of Massachusetts, he never agreed Il
take any stock. / offered il to him, but he
declined. | cannot, therefore, believe ev
cr mention his name to Mr.. McComb, for
never had any reason TO suppose he would
buy it. Mr.. Kelley of Pennsylvania is anoth'
or. recommend him to buy and he said he
would like TO bay, but he had not the money
to spare for il. | told him that | would carry
it for him till he was able to pay for it. He
never took the stock. My recollection is very
indstnct as to this case of his. | made a
loan 10 him OF $1,000, think which he has
never settled. He regards the stock as be-
longing to me, it being a transaction Of long
standing and of small amount to me. l have
never given it a special thought. Mr.. SEQ
field frequently talked with me very early IN
the enterprise about having some stock in the
Credit Mobiier, and l urged him to take
some as / did many others
Speaker Blaine testified as follows:
wish TO state without reservation or qualitica-
ton that | never owned u share of stock in
The Credit Mobilier in my life, either by gilt