The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1873-01-14
WASHINGTON.
Credit MObiIier.
Statement of Congress-
man Dawes,
Testimony OF MIR. Brooks SOn.in.
Law.
Sharp Passage Between Brooks
and McCOOmb.

Sharp Passage Between Brooks
and McCOomb.
WASHINGTON, Jan. 13.-The following is the
statement of Mr.. Dawes, made before Judge
Poland's Committee:
l have been ready at all times, whenever it
should be desired by the Committee, to make a
full statement of whatever connection 1 have
with the Credit Mobilier, and regret that have
not had an earlier opportunity. / was never
| the owner of any OF the stock of that corpora
ton. Yet did agree to take ten shares OF
that stock; but the agreement was rescinded
before the stock was transferred to me and it
| never was transferred.
At the commencement of the session in De-
cember, 1867, had due me at the Sergeant-at-
| Arms office one thousand dollars OF my salary,
that had then no occasion to use. l asked a
colleague of mine, Mr.. Washburn, with whom
l was rooming at the time, what 1 could best
do with it, and he advised me to purchase with
| it bond of the Cedar Rapids Railroad of Mr..
| Cakes Ames, saying that he had been purchas-
ing OF him large amount OF those bonds for
| ninety cents ON the dollar fol his bank, and he
thought 1t an excellent investment. | accord.
| ingly went to Mr. Ames, and asked him to sell
| Washburn. He replied that he had not got
any of those bonds then, for he had sold
them all, but that he had something else as
| good, and he thought better. He would let me
Credit Mobiler stock. I said to him did not
know anything about that stock, and asked
him to tell me about it. He replied: "It is a
Pennsylvania corporation which has the con-
tract to build the Pacific Railroad. 1t is good
| thing, and l think it will make money out of
| it. AT any rate will guarantee you ten per
| cent on your money; or if you don't want your
stock at any time will pay back your money
| and ten per cent. interest. told him would
| think of it and let him know. then inquired
of Mr.. Alley about the stock, and he said it
was good stock, but he did not think it was
as good as Mr.. Ames thought it was. On my
telling him that Mr. Ames offered to guarantee
me ten per cent he said that Twas safe enough
then, and made no further enquiry, but went
to Mr.. Ames and told him 1 would take the
stock. He said that he could not transfer it to
me then, but that it was at his home; that the
hrst time he went home he would get it trans
ferred to me and let me have it. then paid
over to him the thousand dollars and took his
accountable receipt for it, he saying at the time
he gave it to me that it at any time 1 got sick
of it he would take it back and pay me back my
money and ten per cent. Before he went home
l had occasion to go home to Pittsfeld, and
while there Mr.. Edward Larned, a friend and
Deighbor of mine, who was then, believe, an
officer of the Kansas Pacific Railroad, came in
to my office and told me of q suit which Duff
Green had commenced, or was about to COM
mence, in the Pennsylvania courts, against Mr..
Ames and his associates, to get possession of
the Credit Mobilier charter, claiming that it
belonged to him and his associates, and had
been wrongfully taken possession Of by Mr..
Ames and those connected with him. When
returned to Washington iold Mr.. Ames what
Mr.. Larned had said to me, and told him that
did not want any such stock. He replied:
"Well, you need not take it, I will pay you
est if you prefer" told him I did. He
thereupon settled with me in that way, allow
ing me interest and paying me back the money.
In the meantime, and before went to Pitts
field, he had paid me dividend once. L do
not know how much it was, but think it was
about So per cent. Whatever it was allowed
him in the settlement he paying me over the
balance only. This was the end of the rransac-
ton. The stock was never transferred to me at
all. l have had no other transaction with the
Credit Mobilier or the Union Pacific Railroad.
Neither during this transaction nor before it
nor since its close have l entertained any
thought or purpose in connection with it, nor
was anything suggested to me in that connec-
ton in any way, directly or indirectly, having
reference to any official conduct of mine in or
out of Congress. Nor did anything in connec-
ton with it pass between me and Mr.. Ames or
any other person, other than would naturally
have passed had 1 purchased of him the Iowa
Railroad bond endeavOred to get, or had
purchased any share of National Bank stock or
United States bond either of him or any banks
outside of Congress. Before and up to that
Mobilier mentioned or any measure touching
the Union Pacific Railroad since the legislation
of 1864, under which it was then being con-
structed, nor did know of MIR. Ames's deal
ings with any other person in or out of Con
gress. In closing this statement of all that did
occur in this transaction, 1 desire to add that
although have never desired or sought to con-
ceal in any way anything that have done in
this matter, have never made or authorized
any public statement in reference to it before
to-day, feeling that 1 could patiently wait until
your committee should call upon me for this
statement Nevertheless there did not get into
print without my authority or knowledge
private note written by me to friend in New
York, thanking him for voluntarily and on his
own responsibility denying the state nent in the
New York Sun that Cakes Ames had for cur
rupt purposes given me stock in the Credit Mo-
bilier, and l desire to make that note part of
this testimony in order that all have said as
well as all have done in reference to this mat
ter may become part of this statement.
The note is os follows:
PITTsFIELD, Mass, Sept. II, 1872.
My dear Sir:-I thank you for denouncing as
false libel the charge of the New York Sun so
far as am concerned. Neither Cakes Ames
nor any other man, dead or alive, even gave
me, directly or indirectly, a penny. of the stock
of the Credit Mobilier or OF any other corpora
ton in this world In; never owned a;d dollar or
full value of with my own money, earned with
my own hands, Truly yours,
FL. L. DAWES.
In answer to questions of Judge Poland, Mr..
Dawes testified that to the best Of his memory
it was at the beginning of the December SEES
sion, 1867, he let Mr.. Ames have the thousand
dollars The dividend was paid to him about
rescinded in January, 1868. He knew nothing
of the market value of that stock. When Mr..
Alnes said he would guarantee him ten per
cent. he thought the Investment would be a
Aoo" oA Auo,her yVis.ess
MIR. Haskings sent letter to the comm ittee
proposing to show that q large shareholder in
the Union Pacific railroad and also a share
holder in the Credit Mobilier, testified in
California court that he (said shareholder) had
used the money and stock of the Union Pacific
Railroad and Of the Credit Mobiier, to bride
Congressmen and to inaugurate influence and
carry through by bribery and corruption, legis.
lation in the interest of railroads.
Mr. Haskings asks the committee to procure
records in action in the 18th judicial district of
California ia San Francisco, of 8. G. Elliott
VS.. Ben Halliday; also in the same court of
action, of John Nightingale VS.. Ben. Halliday.
He also suggested chat they send for w. a. L.
Barnes, law partner of Eugene Casserly, attor-
ney for the Central Pacific Railroad in San
Francisco, who can furnish reasons appearing
in the addresses made by him (Banks) before
the meeting iu San francisco at the request Of
high official. Gan extract Of said address is
appened to the above.
MIR. Brooks son-fn.Law.
Mr.. Nelson, accompanied by Congressman
Brooks, his father-in-law, appeared before the
| Committee, Nelson being sworn testified that
he resides in New and operates in stock; had
| held stocks in the Credit Mobilier Company.
He became holder of the first one hundred
| shares in 1867, December 26th. Witness pro-
| duced his certificates of stock in the Credit Mo-
bilier, the first certificate being for one
HUNDRED shares, dated December 26Gh, 1867 and
| the second for fifty shares, dated February
| 9th. 1868. Witness subscribed originally to
| one hundred shares.
! Gus. Did you sign for them?
| Ans. do not recollect. 81.
| James Brooks, my father-in-law, put me in
the way of getting that stock by advancing the
money. All tho dividends came to me and
| got the money. Brooks did the business. He
| told the witness that he had chance to put
him in the Credit Mobilier, and he did so.
Witness was not present at the negotiations.
Don't remember who furnished the certificates
did not remember how he came in possession of
the certificates.
O. How was the matter arranged between