Ashtabula weekly telegraph. [volume] (Ashtabula, Ohio) 1853-1873, 1873-01-25

: r y
The case of Phelps. Dodge & Co. has been
compro missed, by the firm paying Sj0O,00O
or one half the amount supposed 10 have
been Iraudulently Withheld by them from the
Govcrnment. We suppose this includes free
pardon for all the persons who have for years
committed false swearing to false invoices, and
praciscd regular system of fraud. How
can the Government hereafter prosecute any
petty offender ANY man who swrars, 10
false invoice, or engages in petty smuggling
II II man attempts to smuggle n box Of gloves
and is detected, he is compelled to forfeit the
gloves und be punished otherwise This firm
has been let oft cheaply, and even-handrd
justice requires that al other offenders be let
off in the same way,that they may purchase
exemption from punishment and penalty by Il
mall pecunary gift.
Was there ever in the history of the coun.
try, outside Of the city Of New York. such a
bold, gigantic, bare-faced swindle as the Pacific
Rlilroad Company? The mind casts about
in vain for anything to equal 1t. 1t not only
shows the deprayity of human nature MS Illus
trated by the men who had organized thcm-
selves for that work, but i shows more lament
ably, STILL the easy virtue of many who were
supposed TO be the best men in the country
and whose souls would spurn and reYOlt al
the very inlimation of a bribe. That Odkes
Ames is coustitutionally corrupt, he himself
is bareiac enough to admit, by rccling his
Shiny course. Has this fact just come 10
liGhtP Did nobody suspect il when he was
dodging about among his lcllowmcmbers,
with note book and pencil in hand, distribut.
ing bis Credit Mobilier stock among thcm
which subscriptions were to be paid for in div
idendsY All, some of them, it seems by their
own confessions, were sensible of o shadow
fitting across their minds. But child like and
bland, and in all the innocence and simplicity
of their nature, conscience was easily quicled
by the query-no legislation is wantedY And
Mr.. Amrs who had the Keeping of the L. p,
| r., and all the Knowledge Of its future require
mcnts and the future action of his fellow mem
bere in his hands, replied-N gentlemen.
! Quiet your yirtuous uprlsings No legislation
is rsked for, or expected How afectngly
dramatic! But, seriously, how painful to read
of the degradation Of such man rs Senator
|
to Ames for sham letters denying his connec.
| ton with the matter, and the assurance thus
encouraged to deny under oath ever having
received any dividends In the face OF t.is
withering rebuke, too. he was confronted with
receipts over his own signature of such dyi-
dends having been paid into his hands. This
case is the sad,lest Of all.
To show how stupendHous was the fraud
the recital of one admitted fact will suffice.
II is the first grand act of the Credit Moblier
Company. After the first 1873 miles Of the
road had been constructed and paid for a con-
tract was made 10y Ames, Alley, and Durant,
OF tie Pacific Railway, with Ames, Alley, End
| Durant, OF the Credit Moblier, by which the
latter !, c"iycd the same pay p.rmile for build
ing this 1873 mil, that they did for the other
parts OF The road This 1873 miles cost, first
to build 1t an average OF $25,OOO per mile, and
was paid for; the Credit MObilier was then
paid $50 900 per mile under the fiction of re-
building the same piece of road. The profits
on this 1879 miles ar admitted by Alley to
| have brcu $4,000 coo. This is the corporation
! into which Amcs admitted Brooks, ColiaX,
Patterson, Kelley, Boyer, Dawes, Scoheld,
Bingham, and the Others; and which melted
altogether perhaps 2O,OOO 900 profit in exec IS
Of what was divide among the Congressman.
These facts are the result of the determine.
tion Of Mr.. Ames to whet up his memory by
consulting his memoranda, and further, Il
make clean breast Of the whole thing, which
ut frat hr declined to do, Notwithstanding his
solemn oath TO do So
| The Chicago Tribune theories upon this
subject as follows, which cannot in our opin-
ion be viewed in any other light than as
wholesome and sound.
One of the best lessons. which has been
drawn from the Congressional connection with
Credit Mobilier frauds is that the General
Government should never dabble in specula-
lions. The developments la the case OF the
Cove rnmcnt copuecliOn with the Union Pa.
ctlc Road is at the snme Time nn argument
against the Government assumption OF the ,cl
epraph lines of the country Had The Union
Pacific Railroad been the work of private en-
Ierprise, the frauds which have been committed
under the name of Credit Mobilicr .wauld have
been almost impossible. Ii they had been
committed there would have been no occasion
for drawing Congressman into the transaction
The truth Is, that Government interference
with railroads, or tergraphs, or canals, ol
farming, or any other actual business pursuits
, opensihe way ior. official corruption, which L
hard enough To control In q. republican form
Of government without anordlng II specla
facilities, We have industrial enterprises whiel
have been accomplished by Individual eiEpr
that are more magnificent than anything
which Government has ever done. The inter
forcnee. OF Government Is, consequently, no
necessary to satisfy the business wants of an!
> community; and Government cannot itself &
, into business on ils.own. account without reu
. dering Credit MpbilieTs aud their counterpart
= permanent institutions.
g WE did not believe the House woul
n pass the Scnate's amendments to III
o. Franking Privilege Abolition but. w
o haye.grave doubts whether the Senai
i itself believed'itany more than the Hous
c believed the Senate would pass the. bi
n in any shape. But whether passed |
:. good faith, or out of spite at the attemu