Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1873-02-21

ington. They will do no good and may d
harm. Their action last summer prevente
the order doing away with the tax from
going into operation, caused Gen. Pleasan
ton to lose his position and reused Bout
well 10 become stubborn in his opposition
So now it may cause the tax to be retained
| while there is almost certainty that
will be repealed by Congress. have beer
to Washington once this winter and will g
again in the course of ten days, and hay'
every reason to be confident of success il
| putting an end to the tax. 1t might be tina
the board wish to conduct the matter In
their OVID way. Let me hear from you
| Nothing new. All well. Yours, truly.
G. L. SHERMAN.
| In another letter to Mr.. Lockwood, dated
June 25, Judge Sherman says: "1'he &C
| acknowledgement of the services of the con.
| tract is what especially desire, and that is
satisfactory. All that l do claim is that the
money be paid in q reasonable time
Please pay some attention to 1t, as you have
heretofore so kiodly done, and when the
money is paid and credited to me on the
books Of your house, advise me-"
Another letter was read as follows:
CieUelGsd, Jan. 20, 1673.-Dear Sir:
have about come to the conclusion that you
have been unsuccessful in bringing those
parties to terms In regard to my coInpensa-
ton for services last winter at Washington.
If such is your conclusion, please advise me.
60 to Washington in week or ten days,
and the result of your efforts
May Bear Upon My Action
while there upon the interests of these gen.
demen. Let me hear from you upon the
subject at your earliest convenience. The
proposed action of the government in rela-
ton to the stockholders of the Credit No
bilier, of whom your father was one, may
result in claim upon the estate. I, how
ever, think it will not. But be firm to say,
and do nothing. l will ascertain what is
claimed and what is proposed to be dene.
1 will advise you at the proper time. Very
truly, etc, G. T. SHERMAN.
To LeGrand Lock wood, Esq.
The Committee of Ways and Means in
secret session decided that testimony before
them as affecting Judge Sherman be sent
to the Committee on the Judiciary for their
consideration and such action as may be
considered proper in the premises.
The MObilier senatOrs-HarIan and
At the setting of the Senate Credit Mo-
bilier Committee to-day, Henry G. Crane,
Of New York, testified that while confden-
tial clerk of DR.. Durant on the 22d of De-
cember, 1866, he drew check for five
thousand dollars in favor of Harlan. 1t
came out of Durant's private bank account.
He didn't know anything of second S., 900.
Letters were offered showing that it was
Ames who deposited the Patterson stockl
with Morton, Bliss q Co. Also q letter
press copy of the letter of that firm dated
May II, 1871, notifying Patterson Of Credi
Mobilier stock to his account.
Oakes Ames was recalled and the papers
read to him. He testified that he had no
knowledge of leaving the stock with Nor
ton, Bliss & Co., but suppose he must
have left 1t there by direction of Patterson.
Jere Wilson's Report ON Credit Mo
biIier.
Hon. jeremiah NJ. Wilson this evening
made 8 report IN relation to the affairs OF
the Union Pacific railroad and Credit No
bilier. The committee draw the conclusion
in round numbers that the actual cost of the
road was fifty million dollars, which was
wholly reimbursed from the proceeds of the
government bonds and first mortgage bonds;
and that from stock, tie income bonds and
the land grant bonds the builders received
in cash value at least twenty three million
dollars profit, being per centags of about
As per cent on the entire cost of the road.
If as some contend, it was impossible to
build the road according to the act of Con-
gress they had no right to build ii; they
could easily have represented the difficulty
to Congress which has dealt generously
with them from the beginning.
The committee do not conceive it to be
their duty to express or to form an opinion
as TO the degree Of moral blame that at
taches to persons engaa ed in these trapsac-'
tions, and observe that there are many per-
sons connected with the Credit Mobilier,
who held their stock openly and without
concealment from the beginning and who
seem TO have had no share in its manage
ment and who have no knowledge of the
wrongful use of its stock or funds of the
railroad. Some of these persons are of
eminent character, holding high public posi-
tons and it is difficult to believe that they
had any consciousness that they were doing
wrong.
The presence as witness of Gen. Gran
vile NJ. Dodge, the Chief Engineer,
under whose supervision the principal part
Of the work was done could not be pro-
cured, although diligent efforts were made
10 that end. f....
Gov. John A. Dix who was President of |
the Union Pacific Railroad Company,
could not be present by reason of his exec
utive duties as Governor of the State of
New York.
Many 1.-THE incidents 10 these transac-
lions have not been investigated as thor |
0ughly as desired for want of time.
The committee think the facts shown |
would furnish ground for judgment of |
of all franchises Of the corpora
ion, but it would be harsh and unjust to |
orfeit the right of present stockholders, a |
arge majority of whom have bought this |
took on good faith.
The committee then find that there are |
persons connected with the Credit Mobilier |
1olding such bonds as are contemplated by |
he order OF the House. They are not hol- |
iers of the same in good faith and for value,
'ut did procure the same illegally. We do |
lot recommend that the United States re- /
use to pay these bonds or their interest |
Without f1rs9 ascertaining the facts. We !
hlnk that so many persons hold the first |
mortgage bonds of the Union Pacific Rail
Dad in good faith and for value, that the
aid mortgage ought not to be set aside.
Thos. Swami presented minority report /
o the effect that the majority report was
Incomplete IS to certain members of Con-
,ress implicated.
The Proposed Bill.
The Committee recommended bill en-
citing that the Attorney General shall
ause suit in equity to be instituted in
he name of the United States against the
Union Pacific Railroad Company and
Iga'nst all persons who have subscribed or
eceived capital stock in said road which
took has not been paid for in full in money,
n who may have received as dividends por-
ions of the capital stock of said road or
,roc eds or avails thereof, or other prop
'rty of said road unlawfully and contrary
o equity, or who may have received
IS profits or proceeds of contracts
or the construction or equipments of said
Dad or other contracts with money or
lther property which ought in equity be-
ong to said railroad corporation, or who
nay under pretense of having complied
With the acts Of incorporation, have wrong
ully and unlawfuly received from the
United States moneys, bonds or land which
ought in equity be accounted for and paid
o said railroad company or to the United
States, ard to compel the payment for said
took, and the collection and payment of
uch moneys and the restoration of such