The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1875-01-05
FROM OUR REGULAR CORRESPONDENT.

TRACING THE PACIFIC NAIL SUBSIDY BR1BEs-
THE MARKS OF CORRUPTION CAREFULLY CON-
CEA4ED-THE MYSTERIOUS DRAFTS IN NEW
YORK.
the subcommittee Of Ways and Means to-day
endeavored to trace the sums which John G.
Schumacher drew from TWO Washington banks
Riggs Co. and Jay Cooke Co. Schumacher de-
posted with the FIRST cheek for 100000 and with
the last two checks, each for $4,000. The books
OF Jay Cooke are in Philadelphia and Will be
brought here BY Wednesday. Riggs books showed
that Schumacher drew out his deposit there in
money himself. Irwin had an account here at the
Metropolitan Bank, and 1t Is discovered that he
had given power OF attorney to Charles Albert
Of Maryland, to draw out money and balance his
account. Albert has been summoned before the
committee, and it Is hoped his testimony may
lead to other developments. 1t appears that
Irwin managed his deposits and drafts in New
YORK with great care. Concerning the sum of
$15o.ooo got by Irwin between January "a and
May 20. and before the s75o,ooo was
drawn, the committee as yet know
little. Seven hundred ana nifty thousand dollars
was given him on the oath OF May, and deposited
In the bank by him on the 9th OF May. On that
day three checks were drawn out, one Tor $125,0O0
and two for $4,000 each, and the account was
balanced and the checks removed from the bank
on the same day. On the Goth King drew Sis, 900
and Schumaker $275,ooo, and again the &C
count was balanced on the same
evening and the cheeks withdrawn. 1t is
in evidence that Irwin had left New York
before these last sums were drawn and that the
account was balanced In obedience to a written
order of his dated, Philadelphia, May 2s. On the
goth, when these large cheeks were drawn by
Schumacher and King, Irwin was actually on his
way to California In this way all traces OF these
transactions were as far as possible concealed,
and II the books OF Jay Cooke 4 Co. shall show
that in their case, as in that OF Riggs Co., Schu-
maker DIRE his account out IN money the COM
mittee will lose the thread OF an important
branch OF the investigation. They rely, how.
ever, on Aoert to give them other
cews The committee confidently expected
to examine Mr.. Schumacher here in Washington,
expecting that ne would be at once able to ex.
plain anything which seemed doubtful IN his share
OF the subsidy matter and that as member OF
Congress he would be able on the floor OF the
House to clear himself of blame.
THE FINANCE BILL TO PASS THE HoUsE-No
AMENDMENTS TO BE MADE
The Finance bill, which comes up in the House
on Thursday, VIII undoubtedly be passed without
amendments, on the ground that it harmonizes
conflicting views and that 1t points toward specie
payments. II 1t is not positively the best thing,
say its friends, 1t is the best that be got
they point out that leaves very large discretion
airy powers in the hands OF the Secretary OF the
Treasury, which Mr.. Brlstow is likely to use judi
ciously. The Secretary himself favors the bill as
the best that Congress viii adopt ard on the
ground that 1t, at any rate, sets time
Tor resumption, and he thinks the substitution
OF silver for the fractional currency can be man.
aged as practical measure. There Is no doubt
that II this bill should iail no other can pass at
this session, unless, perhaps, a very much worse
measure; and 1t Is very certain, too, that an
amendment compelling the Secretary OF the
Treasury to cancel any greenbacks which NAV be
Withdrawn would cause the defeat OF the bill in
the Senate. This means, OF course, clearly that
II the bill becomes q law the administration may
at any time IN It's discretion reissue such green.
backs, and thus initiate the currency; and, while
1t Is not at all probable that Secretary Bistow Will
ever consent to do this, 1t Ia among the possibili-
ties that he may have successor who would.
IMPROVEMENTS OF THE CAPITOL PROPOSED.
Frederick Law Olmstead Is here, ana VIII to-
morrow lay before the Senate and House Commit
tees on Public Grounds his plans for Improving
them, as well as the estimates OF the cost OF the
work. He proposes TO enlarge considerably the
terrace the west front of the Capitol, and thus
remove defect which has long been lett in the
appearance OF that which still remains the princi.
pal approach Of the building.