New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-04-01
PRICE FOUR CENTS.
THE ERIE INVESTIGATION
REFORM MADE PROFITABLE.


THOMPSON GEN. A. 8. OWEN. AND OTHERS
UNDERWRITING THE OLD DIRECToRs-wHAr WAS
PAID TO LOBBYISTS AND FIVE SENATOR'S.
The Committee of the Assembly appointed to in
veslgate tho affairs and conduct of tho Erie Rail
way reassembled at the Fifth Avenue Hotel yester-
day soon after 10 a. m. The Committee hold execn-
tive sessions in the intervals Of their public exami-
nations and map out their work so carefully, and
with such knowledge Of the subject that there Is lit
tie or no delay in conducting the investigation; and
each question asked in the direct examination leads
directly TO the conclusion sought to be reached.
There is thus little time wasted by random ques-
TONS and when witnesses wander from the track
marked out for them, they are quickly brought back
to the matter directly indicated by the qaestons
In this respect the Erie Committee, a working
body, present n marked contrast 10 many others
which have met in New-Yorlk and Albany Yester-
day all the members were present. Mr.. Stickney
appeared for the Committee and Mr. Barlow for the
Erie Company.
John TAYLOR Johnston. the first witness was a
director at the time the last dividend declared
and gave his reasons for voting against the action
under the belief that the earnings of the road
did not Justify it, He did not believe that the
money could have been divided among the stock
holders except for the money realized from the sale
of convertible bonds that the debt of the road
was increased just the amount Of the dividend. Mr.
Ramsdell gave his version of the coup detdt. Ho
entered into the arrangement with Gen. Sckles, who
thought that everybody connected with Enc was
corrupt and could hardly be made to believe that
witness didn't wish any money either as "absOlu-
tion" or indemnity" for acting with him. The in
demnity was to protect the members of the old
Board from suits, which Gen. SIckles seemed 10
think they had oil done something to render them
f,oh ho Uuifa
money used to influence legislation had been em-
poyed onIyto defray legitimate expenses The Archer
freight contract had made Mr.. Archer rch, but not
at the expense Of the Company, though witness
afterward admitted that if the Company should em-
ploy Superintendent capable as Mr. Archer, they
could save the profits now paid to the latter. The
witness explained the nature Of the sleeplng-car
contract and also the one held by him for trans
portation of freight via The Newburgh branch
Henry Thompson, an old director, was the next
witness. he cooperated actively with Gen. Sickles
in the reorganization and was paid for his services
but knew nothing Of dissolution or indemnity Gen.
Sickles told him that large amount of money was
to be made and they might well share III II. de
didn't know of any money having been used for cor
rupt purposes and knew of no meney paid for legal
services except $25O0 TO Mr.. Barbour for which be
had made out a voucher at the request of Mr. Gould,
| who signed it. The voucher being produced proved
! to have been signed by Mr.. Thompson himself, at
which he was somewhat astOnished, but said that II
| was mere matter of form. Upon close questioning
he admitted that, if common report were true, the
services of Mr.. Barbour rendered as lobbyist
which was Barbour's principal business. he be-
| lieyed the commissions paid to Bischofsheim O. 20.
were excessive and that their claim for $4,000 part
payment of expenses, was preposterous IN the e1-
| IRENE.
| Mr.. Ramsdell was recalled by Mr.. Barlow 10 re
iterate former statements in regard to the beneficial
results to the Company of the Bischoffsheim con-
| tract.
Gen. Alexander S. Diven, director OF the Com
many. said that he had voted for the DIVIDEND
though with some misgivings as TO the wisdom Oh
the act 1t was declared the basis OF the increased
value of the road. He knew of payments of money
to influence legislation only from hearsay. lie had
co0perated with Mr.. Vanderbilt in defeating bills
damaging to railroad interests aud the latter urged
that Erie should assist i'll paying the expenses de
had been told by Mr.. Butcher while Van Veehten
was standing by, that Barbour and Van Fechten had
paid $4,000 to FIVE Senators and certain lobbyists.
The Senators received $1,000 each. Their names
were given to him at the time, but he remembered
| only one and declined TO mention him. butcher
gave no names of members Of the Assembly inhu-
| enced by money ----s -"S"-',- 49,
| At 2S0 D. m. the Committee adjourned to 4 p NJ,
| when John Parkes testified that he knew nothing
of money having been paid to Influence legislation.
Justin d. White was recalled at his Own reqdest.
and submitted a statement showing that the voueh-
ers paid April IS, 1871, were kept cash until March
II, 1872. After an unimpOrtant statement by j. Ru-
bino, the Committee adjourned TO this morning.