New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1874-12-19
THE PACIFIC MAIL INQUIRY
STATEMENTS OF FORMER AND PRESENT
OFFICERS OF THE COMPANY.

IsIs-TiIE SECRETARY or TIE COMPANY ON THE
STAND WITH THE BOoKS-AN ENORMOUS PROFIT
AND LOSS ACCOUNT vICE-pRrsIDENT SCOTS
sToRf-iE DOES nor BELIEVE THE IMMENSE
DISBURSEMENTS III WASHINGTON NECESSARY or
PROPER
lBf TELEGRAPH TO THE TRIBUSEl
WASHiNGI0N, Dec. 1S.-The Ways and McansC Com
m ttce OF the House were in session about four
hours to-day examining witnesses with reference TO
the Pacific Mail corruption. The subcommittee
early III The day. had paid another visit 10 the apart
mcDts Of Mr.. Irwin who il still too sick TO leave his
lodging, aud continued his examination az TO TIE
part he took in the great corruption. The Com
mitee guard his testimony with unusual care not
syllable being allowed to escape. None of the
members Will give the s,bstanco of his testimony,
and they have placed him in such n position that he
cannot Win proprety give any hint as to the facts
he las sworn to. One thing however, is very evil
dent. Ills testimony, whatever it may be, has de-
moralized great many Of the strikers and crabbers
among officials and lobby men. and they arc much
alarmed. Whether their fright is occasionod by
MIR. Twins developments, or whether they are
troubled in their minds rs to the position they
took when the subsidy was being pressed through
Congress, cannot be determined. The Committee
seem to be III fair way OF finding the facts and If
they have the disposition TO continue the work in
the same spirit, regardless Of the consequences.
there IL no doubt that one If the most remarkable
cases Of legislative money-spcndng will he de-
velopcd. The inquiry has now reached that point
where II seems almost impossible to suppress the
facts, and there il. unfortunately, picspcct Of
landing some more Of the heavy fish in the Rcpub-
lican pool.
Much OF the examination to-day was based on tho
testimony, taken in secret. Of Mr.. irwin that It's
Iof no
tmony is made public, which will probably be carly
next week. Four witnesses were examined by the
Committee, namely Mr.. johnson. the Secretary of
tine Pacific Mail Steamship Co.; Mr. Bellows, the
Late Vicelreaidcnt; Mr.. Smith, one of tue directors
and ilr. Scott, the present Vice President. Mr.
Johnson and Mr. Smith and Mr.. Bellows were
connected with the Company under ITS old manage
mcnt, while Mr.. Scott has only been in Office about
year. Mr.. Johnson was the first witness. He has
been connected with the Company since 1850. IL
he VINO, as Secretary, drew the checks, amount
ing to over 100000, at the direction Of his superior
in tho Company. The chcck.book was
shown and the stubs examined. Tho checks.
as is well known, were drawn about
the tmo Of the passage Of tho half
million yearly increase Of subsidy to tho Pacific
Mail Company. The checks first drawn to the
order Of Sir. Stockwc the then President of the
Company, but subsequently it was thought by those
managing the affair tia. they ought 10 be drawn
TO the order of Irwin. Tho checks were then
destroyed and new ones prepared, payable
TO tho order of Irwin. Tho description
Of the checks. with explanations did not
appear on the stubs when the checks were first
delivered, aud johnson was informed that in day
or two he would be told how TO fix the stubs.
While neither this witness nor any other to-day
1, l.
corruptly used, it was evident from the manner Of
all of them that they wcro cognizant OF that fact
either before or after the passage Of the increased
Subsidy BILL
.Manyof the Company's books were in the commit
Tee room, and Mr.. johnson recognized some of his
entries and acknowledged that there had been
erasurrs. The witness testified as to how the drafts
were made, aid that they wore placed in the form
of loan to the brokers Harriet * NOycs, and moth
ing appeared on the books to show that the loan had
becn paid. Ii was regularly entered as loan to
lhcln and Mr.. Dawes asked them What claim has
the Company against Irwin !" The answer was,
think the Company has no claim AGAINST Mr.. Irwin
for that amount" G50,0O0. This witness developed
one point that appears to have been lost sight of.
lie produced resolution passed by the Executive
Committee of the directors authorizing the Prcsl-
dent Mr.. Stockwcll. toiemplOy counsel aud incur
other necessary expenses, pending the Application
to Congress for increased subsidy. A rule of the
Company inhibited the President from spending
more than 5000 without authority of the directors.
Mr.. Johnson and other witnesses to-day testified
that AL Mr.. Sockwell pretended to ask for was
from $4,000 TO $1,000; that he wanted to employ
LAWYER in this city; that he wanted to get to-
Gather statistics and facts to lay before the proper
Committee of Congress and that some little enter
toiumcnts might be necessary. In consequence
of this explanation, the Board adopted the resolu-
tiop and under it sum not far from 81 100000 was
drawn and got away with. Mr.. Smith confirmed
Mr.. Johnson as to the statement by Stockwell. Pre-
vioIs to the passage of the resolution, former
AGENT Of the Company in this city. Charles Albert,
was paid $4,000, at about the time the application
was lrst made to Congress for the Increased sub
sdy but he never accounted fora dollar OF II, ana
was never asked to do 80. About the same
time Mr.. Irwin received S@j,ooO on account OF
oxncnses. &c. to Washington. and not long
afterwards or nj abont the same time this was de-
vcloped By the testimony of Mr.. Bellows, the Vice
prcsidept). $4,000 or $4,000 was charged to the
proGt and loss account in consequence OF this
Washington business He subsequently found items
If this character through the books OF the Company
Stockwell, in February. 1872 (the bill was passed
in May), obtained $4,000 which was charged to
profit and loss. Mr. Scott. the present Vce-Presdent,
showed much feeling against Stockwell, aud made
n very good impression on the Committee. He had
recently returned from Europe, where he saw both
Irwin and Stockwell; the former he saw in Paris,
and he explained to witness his difference with the
Company; how he was acting against his
own protests. and only carrying out the
directions of his superiors, and detailing
somewhat his present position and intentions
This was after suit had been begun against Irwin
nv the Company. The witness said that as IRWIN
had explained his case to him he approved it, and
nromised to call the attention Of the Company to
n.,l To maItpra. This