Evening star. [volume] (Washington, D.C.) 1854-1972, 1873-01-18

mitted. 1 examined the question, and gave
An opinion to the effect that holders Of the
Union Pacific stock could vote their own
shares regardless of the proxy running with
it, and that the affairs of the corporation
could not be tied up in the hands of a few in
diviiuais in the way attempted BY the terms Of
scheme of the credit mobiier was one which
might render every officer and director of the
Union Pacific railroad company who was party
profits accruing TO him from the construction
contracts. Down to the time these papers were
placed in my bands | knew almost nothing Of
mobiiier, or of the value of its stock. But
l then saw there was abundant ground for
further trouble and litigation, and as one or
the results, sold out my interest in the credit
mobilier, nor did L, at any time, or i'm any man
ner have any interest of any kind or character
in said eompanyothert than as hereinbefore stated
so Tar as Mr.. Ames Is concerned, his action war
the result Of my application to him for the puI
chase of the stock. My action was induced
solely by the conversations had with Mr..
McComb, who WAS actuated, as i understood, by
what he denounced As gross injustice practiced
on him by the company and il was well known
to both Of them as 1t was to everybody, that my
then term. The reports of the testimony given
before this committee. as published in the news
papers, show that Mr.. McComb has testified
some credit mobilier stock. Not one word of
this ever came to my knowledge from him (Mr.
Ames) or any other person, except as 1 have
Il
recall the fact that when the transaction above
related occurred the whole country re-
sounded with praises Of the energy manifested
by the constructors of the Union Pacific railroad
They had pushed the work with great yigor and
under great difficulties. In March, 1Ses, the
chief engineer, in reviewing the diff entities at
tending the construction, told the country that
.During the past two years the road had been
built through an Indian country, with all the
tribes banded together and hostile. Our best
ablest men have been killed, our cars, stations
ranches hnrnld- ri OF "a
our stock stolen. Graders and track-layers
tio-men and station builders have had 10
sleep under guard, and have gone to their
work in the day time with their picks and
shoveis and their mechanical tools in one
hand and the rifle in the other, and they
nave often to drop the one and use the other
The graders went 10 their WORK
as soldiers, stacked their arms by the cuts, and
worked ali day with hostile bands of Indians in
view, ready to pounce upon, kill and scalp any
uniucky or negligent person who gave them an
opportunity. Down 20 this time the interest on
the bonds advanced by the government had
been paid by the company, and with only about
400 miles of the road completed. there had been
saved to the government in the cost of trans
portation for the year 1867, over 81 .J00.O00
Every person seemed satisfied with what wa
being done, and astOnished at the results pro-
dueed. These facts, together with the recog-
nized high character of most of the gentlemen
connected with the enterprise, were sufficient
to satisfy any person unlearned in the data
which those veTsed IN the secrets of the credit
mobilier in purchasing stock in either COM
pany. And it will be remembered that
the praises of what was being done
swelled on until they burst forth i'm the ringing
OF bells and the firing Of cannon all over this
country when, in the spring of 1863, it was an
that the tracks of the L. p X. X. and Central
p. r. r. had been united, and that an iron way
spanned the continent from ocean to ocean.
The completion of the road brought to the sur
face the contentious and quarres amongst the
parties who held the secrets and power of the
credit mShilier. Then developed the facts
which now give erection and tone to the public
judgment, but they are not those with which 10
measure the motives and actions Of men who
acted under the former state of facts. What
did was under the former state OF facts, with no
suspicion that they were not true, and
would not continue true to the end
The very fact that NcComb threatened to
carry his claim to the courts for adjudication
was of itself calculated to allay any suspicion
OF fraud or wrong in the affairs of the company;
for such suit would of necessity bring to hight
the whole history of the operations of the com
pany:
wish to say in conclusion that when entered
Congress in 1861, did 80 as the representative
Of constituency UNANIMOUSLY IN tayQg " IL.
construction Of q railroad to the Pacific. NJ
predecessor had been chairman of the commit
tee on the Pacific railroad. To his efforts ia
favor OF the construction of such a road, more
ELECTION to one ne 0 at ,b as
embraced nearly half OF the state of Iowa, and
extended from the Mississippi to the Missouri
river Idesred TO secure the location OF the road
50 as to have it commence on the western boun-
Diary OF my district, and thus secure connection
with it tor the Iowa roads then projected and
IN course OF construction. The bin or 1862 Sc
supported the bill of 1854, believing the repre-
sentations made as to its necessity to be true.
worked al efficiently As could to promote the
Interests OF the section of the country was rep
resehting. was the pronounced friend of such
legislation as would tend TO develop that great
western country regarded the Pacific rail-
road az the greatest of all measures proposed To
II
hasten the construction of the several roads pro-
jected through Iowa, and thus secure to onr
people at an early day the facilities for trans
portation so much needed to promote the growth,
prosperity and settlement of the state. The
result proves that NV Judgment in this respect
was not at fault. Consider what that country
was decade ago in comparison with what IL
was now. and | ask for no more perfect justifi
cation of the support which gave to the mea-
sures of legislation which have produced the
result.
Mr.. WILSON'S PROFIT.
Mr.. Wilson, turning to Mr.. Ames, asked him
If the statements which he just made relating to
Mr.. Wilson then asked Mr.. McConb if the state
ments 50 far as they related to him were true, 20
which Mr.. McCOmb replied they were, most en-
phatically. The witness then testified In answer
to questions of Judge Poland, that he sold the
stock carrying the dividends with il. To the
best Of his memory realized profit of about
other members of Congress having held stock.
As government director of the Union Pacific
ralroaQ, ne desired TO enter his protest nov
against the reports going around the country
that the government would lose its investmen,
in that road. He had no doubt the road wouh
be able to pay back every dollar. Mr.. Ames,
Dir. NcComb. nor any one else attempted to in
ffuonce the action OF the witness as a member OF
Congress. Did not know at first whether he had
q profit or loss on the stock. Would act again
exactly as he did, under the same state of facts
SENATOR GRIMES SATISFIED WITH TEN RECENT
= By MIR. McCreary Witness was in Mr..
-Grimes' room when Cakes Ames came i'm and
asked Senator Grimes to take S25 900 worth OF
stock In credit mobilier. Ames said to Grimes
:" We must raise money, and ir you will. take
stock will guarantees Won ten per cent. ON your
money, providing you viii divide all the profits
over ten per cent. with me-" Mr.. Grimes re-
piled, ssN ell, 1 am satisfied with ten per cent
on my money" and agreed to invest. -f
Mr.. Smithers, counsel for Mr.. McComb, said
in the statement submitted by Mr.. Alley there
were 49, - =
+ PERSONAL REFLECTIONS on Mr.. M'coMB,
which had nothing to do with this Investigation.
and he desired that Mr.. Alleys statement be
supervised by the committee, and thoae personal
statements erased. If they b allowed to stand
Col. McComb sh0uld DO allowed to produce WIT i.
nesaee 10 refute them, but this would prOlong
the Investigation, and that they did not desire
b The chairman announced that the committee
would consider the matter. s's,,s