Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1873-01-14
DaWes's Confession The Hastings
Letter---COngreSsmen we're
Bribed.
Interesting Passage.at-Arms Be.
tween Brooks and MCCOmb as
TO Their Characters.

II Ten SnafeS OF lDe STOCK, Out IDe agree
r ment was rescinded before the stOcl
n was transferred. In December, 1867, h
s had one thousand dollars which he hal
e no occasion to use, and asked his col
n league, Mr.. Washburne. how he ha,
V better invest it? Mr.. Washburne re
! commended the purchase of Iowa ant
d Cedar Rapids railroad bonds, sayinj
d that Mr.. Ames had these bonds. H
!, went to Ames and asked him to sell hin
u such bonds. He replied that they wer
D all sold, but he would let him have 70
: his two thousand dollars, tel
: shares of the Credit MObilier stock, anC
( guarantee him ten per cent. on his in
e vestment, or if he got tired of the stOct
2 he would pay back the money and tel
= per cent interest. Dawes then tOlC
: Ames he would take the stock. Ht
g gave him the thousand dollars and tool
5 the receipts for the stock to be delivered
J in the future. Subsequently Dave:
= learned that a suit was about to be com.
menced in the Pennsylvania courts by
: Duff Green against Ames and his
associates to get possession of the Credit
MObilier charter. When he returned to
Washington he told Ames that be did
not want any such stock, and Ames
paid him back the money and ten pei
cent. interest. In the meantime he had
received one dividend of thirty-fve per
cent. which he had allowed Ames in the
settlement, he paying Dawes the bal
ance only. In answer to a question of
Judge Poland, Dawes testified that to
the best of his memory it was at the be.
I ginning of the December session, 1871,
that he let Ames have the thousand
dollars, and the dividend was paid 10 him
about three weeks afterwaTd; the trans
action was rescinded in January, 1865.
He knew nothing of the market value
of that stock when Ames said he would
guarantee him ten per cent. If he
thought the investment would be a good
one. w. Hastings sent a letter to the
committee proposing TO show that a
large shareholder in the Union Pacific
railroad, and also the Credit MObilier
testified in California court that said
shareholder had used the money and
stock Of the Union Pacific road and of
! the Credit Mobilier to bribe Congress-
men to inaugurate influence in carry
/ ing through bill by bribery and cor
ruption legislation in the interest Of the
railroad.
Hastings asks the committee to pro-
/ cure the records in the action in the
! Eighteenth Judicial district of Califor-
mia, in San Francisco, of :. G. Elliott rs.
/ Ben. Halliday; also, in the same court,
of the action of John Nightingale Us.
/ Ben. Halliday. He also suggests that
they examine as a witness w. n. L.
| Barnes, law partner of Eugene Casserly,
attorney for the Central Pacific railroad
in San Francisco, and ask for the TesO-
lutiOns appearing in an address made by
| him before meeting in san Francisco
at the request of a high official. Hast
| ings asked leave to read TO the commit
! tee an extract from Barnes's address.
/ Charles II. Nelson, son-in-law of Jas.
/ Brooks, a sworn witness, produced his
| certificates Of stock in the Credit Mo
/ bilier. the first certificate being for one
I hundred shares, dated December 26, 1867,
the second for fifty shares, dated Feb
ruary %, 1868. Witness subscribed orig
| inally to one hundred shares.
Question-Did you sign for them?
Answer do not recollect: James
Brooks, my father-in-law, put me in the
way of getting that stock, by advancing
money; all the dividends came to me,
and / got the money; Brooks did the
business. He told witness he had :
chance to put him in the Credit Mo-
bilier, and did so; witness was not pres
ent at the negotiation; don't remember
who furnished the certificate; did not
remember how he came in possession of
the certificate.
Q.-How was the matter arranged be-
tween you and Brooks with reference to
the money paid?
A.-Arrangement was made simply
by Brooks advancing money and re-
ceiving dividends. | gave no security
70 Ar Il
vanced; gave no note or bond; did not
think tlIat necessary between father and
son. l began to receive dividends very
shortly after getting the stock; received !
one dividend in money, amounting to |
nine thousand dollars; did not remem- /
ber when; had repaid a portion of the /
money to Brooks, and purchased a sec !
Ond fifty shares with money borrowed 1
from Sidney Dillon; Brooks furnished |
none Of it; thought he paid over par |
for the last fifty shares of stock. Brooks 1
had no connection with the last fifty /
shares in any way. The whole stock of |
one hundred and fifty shares belonged T.
to me, ahd all dividends were mine. /
Brooks had no ownership in any of /
them. He simply advanced ten thou
sand dollars. There was no under
standing that he was 10 derive any ben
efits from the stock. On the contrary,
it was understood that witness was to |
have the whole Of it for his own use.
by Mr.. Niblack) MIR. Brooks origin
ally mentioned the matter to witness
and stated at the time he had the power
of putting witness in the Credit Mo-
biiieT, but made no explanation beyond
saying that ne did not care to hold the
shares himself.
(TO Mr.. Niblack)- new he had paid
the premium on fifty shares, but did not
know whether Mr.. Brooks had any
agency in procuring the last fifty shares;
Mr.. Brooks told him he was entitled to
fifty shares additional, and told him to
go and get it.
(To Mr.. McCreary) Witness received
besides nine thousand dollars in cash,
eight hundred and twenty-five shares ofI
stock in the Union Pacific, received in
the way Of dividends from the Credit
MobilieT; turned some of them over to
Brooks, and some to Dillon; gave the
latter enough to cover the loan received
from him; still owns five hundred shares
of the stock of the Union Pacific rail-
road; none Of his stock has ever been
held in the name of Brooks.
CrOSs-eD0niHed Gg McCon6-Re-
ceived fifty shares additional stock by
virtue Of his ownership Of one hundred
shares; did not remember having re-
ceived notice that he was en-
titled TO fifty shares additional.
Mr.. Brooks paid for the first
shares; witness did not pay for
it; when he went TO the office TO get the
stock he found ii already paid for in his
name; Mr.. Brooks was ia the habit of
putting witness into good investments;
did not remember from whom he re-
ceived them.
Mr.. McCOmb waved further cross
examination until tomorrow, when
Judge Black would be present.
Mr.. Brooks then asked that various
records from the War Department be
produced before the committee, by
which he wanted to show that McComb
was not TO be believed.
Mr.. Niblack-Well that is a matter
we viii take under consideration.
Mr.. BrOoks-I want to show that Me
Comb is man not to be believed under
path, and man of bad character.
also want TO have summoned, Lyman
ElmOre, III. 7. Pinly, Calvin Slade,
General Doubleday and the ex-MayOr Of
New Orleans. l forget his name.
Mr.. ACKNOWLEDGEMENTS i. Flanders
Is his name. can give you a good I
many more names If you want them. I
would also like 10 give the committee '
'Ome names In references to BrOokH's !
character.
Mr.. hooks-Well, 1 can give you j