The New York herald., 1874-12-19

rae payment OF necessary expenses in connection
a sns e Counsel and other saismsss @
TRANSACTIONS; StocKwels stock operations and
losses were enormous. and ne 10 largely Indebted
70 the company; the company dld not admit that
the aflairs were closed between 1t and St0ckwell,
but that StockweIl 10 liable for considerable money
James d. Smith testified he was elected Novem-
ber H. 1871, director oil the company, and has
present at the Board to consider the subject OF
subsidy; the resolution adopted was to meet such
legitimate expenses as might be incurred; witness
asked StockweL what amount would be necessary;
Stockwell spoke OF lavish expenditures, hotel bills,
counsel fees, DC. witness reminded Stocswell
that more than $4,000 could not be spent without
vote OF the Board, when stockwell replied the
exoenses could not be over $4,000; Stocswell
agent was doing; Stockwen mad entire direction
OF the money no communication was made tG the
Board after the subsidy passed; Stockwell vent
out OF once in May, 1873; witness never heard OF
any voucher presented TO the company touching
disbursements in Washington; stockwen speat q
large amount in obtaining the subsidy.
Mr.. Hatch stated to the committee he should
like to be present when Irwin's testimony IL
taken.
Mr.. Dawes, as chairman OF the committee, re.
phed :-"When Irwins testimony is taken II VII, VIII
be read to the full committee and no objection wiz
be made to receiving such explanations or teslE
m0ny as gentle Zen may present"
The committee then adjourned till Monday.
The SUBCOMMITTEE visited TWINS lodgings
again this morning but only asked him lew
questions OF little Importance, wnen his sunenngs
from headache and nervous prostratlon compsile.ui
o postponement OF his further examination until
tomorrow.
PEDDLnSG NAVAL OBSERVATION-DISCLOSURES ALTON
OF THE CHARaEs AGAINST CONGRESSMAN
srowELL.
The House Committee on Naval Anairs to-day
commenced the investigation OF the charges
against Representative Stowel, OF Virginia, Of
selling naval cadetship.
Joseph G. Bea.tie testified that he resided near
Richmond Va that his stepson, o. J. Schoolcraft,
had been very anxious to get into the navy; that
he had made strong efforts to that eject, but had
not succeeded; that in February, 1873 man
named Graham had been introduced to him, and
told him that he thought he could arrange for the
appointment or his stepson, but that 1t would cost
o considerable amount Of money, which would be
spent for party purposes; Graham also said that
the appointment was in the hands OF Mr.. Stowell,
but that ne (Graham was Chairman Of the District
Committee IN Stowes district, and could induce
him give the appointment, but thai the boy would
have to procure domcile in Stowel's district; the
boy did 80 and got the appointment, and witness
paid Graham $1,700 Tor it; witness did not know
Mr.. Stowell in the matter and was not aware that
he had ever seen him until yesterday.
Mr.. E. M. Weber testified that on the 14th OF
last May Graham came to HIM and said Stowel
had prevented money being PAID to the Piedmont
Railroad Company Tor mail service, as the same
question affecting southern railroads was at that
time pending in Congress; Graham, acting in be-
half OF the Piedmont Railroad. said Stowell had
not served him well and therefore was going to take
revenge unless Stowell should withdraw his op-
position; Graham told him that his revenge would
consist in exposing the TACT that Stowell had sold
q cadetship ana received $1700 for 1t; Witness at
the request OF Graham, informed Stowell that
Graham would expose him unless ne withdrew his
opposition to the railroad pay; Stowen denied
that he ever received q dollar; witness informed
Stowell that II he would Withdraw his opposition
1t would much crafty the road, and on that
ground StoweL went to the Post once Depart
ment she same afternoon and withdrew his objec.
tion, when Graham received pay from the CON-
pany; Stowell was indignant when witness told
him that Graham said he (St0welD had received
money for the cadetship.
State Senator Latnrop, representing the district
from which the cadet was appointed, having been
sworn. said he knew nothing personally about the
matter put only from nearsay. St0well, however,
informed him tnat there was no truth In the
charge.
Jonn Brady, member OF the House OF Delegates
OF Virginia, who filed the charges against Mr..
Stowell, testified that he knew nothing about the
cadetship matter except what Graham had told
him.
The investigation was then postponed until to-
morrow.