New-York tribune., 1875-02-13
CURIOUS TRANSACTIONS or NEWYORK
FINANCIERS
TEXAS AND PAcrIC-MEMpHIs, FL PAso AND IA
CIFIC.
Fron IN. Ner. YorE Sun.

IIAAS AND PAtlIN-MEMPllIS, Ill fASO AMI IA
CIFIC.
From In, Netc York Sun
The following is an extract from paper
prepared ny the attorneys Of Jonu A. C. Gray receiver
Gt m 'Ie aae PM ~ ~ ~ Swark Sr
" il under this reglmt-Epperson, FremOn',
Sold in France about s75O000 construcion bonds scat
tered about for Congressional and ether purposes,
but without any money paid to the COMPANY
and about HOOUOJ construction certncates ana ilIRo
amount OF the $lO00OO stock disposed OF IN tle same
ngton in aud before the winter OF 1869 10
- MI John A. G. Gray was IN Washington that winter,
and Nathaniel Paige told hun then ann there mat Ffe,
mont rad promised hin about SLOOJNO OF STOCK ana
s2joO)O in construction bonds for services III pro
noting the passage OF Dill through Congress ana Mr
P4I6c asAel Mr. Gray 70 Use ms lAluchcG WIN Ifouont
to pay Mr.. Gray denied that nc mad any power IN
On or about March c. 1862 and two davs after the
adjournment, on" Morton {: Hunter member Of Con-
eTc,s received S25O.OOO bonds as q 'iee' -
The following extracts from an athdayit OF WI
Lam schmOcle. Treasurer OF The Memphis f. Piso ana
Pacific R!iiroad Company. AiterreciunC freDQnls 4p
OF his agency which required him to remit
and account TO the Treasury ailant says:
That lnstrai Cf paying over tho sLd gross proceeds
to him, the said scAmOcle, as tue salI freuOnt WAS
bound 10 DO by the terms Of his agency, he invested
portion thereof ~ the summer and Edli OF 1862 under
contracts made with Frencu IRON iOundcrS aud engine
builders to wit: The Of hai million OF dollars,
gold, more or less IN me purchase OF iron rams 'n1
locomotives in France" Tins property, Schm)el nj
escs WAS arbitrarily and fiaudueuty sold by Fremont
to john a. g. Gray Of NeW-foik wItnolt n0dce TO NE
directors Jrea.ur. contractor Tie TRANSACTION
place about tEe time OF the interview between
Paige ana GRAY AT the Arlington HOLci, Washington,
Wncn Page AYERS that Gray cXprosSed very e-Ihe,t
wish to adyalce enough money to buy senator HOWARD
Of Michigan
"Tlst instead OF paving over 10 the said schmoee
that part OF tue funds arising from tue sale Oi said DoEds
required Tor expenditure upon tho WORK % BUILDING the
road ITSELF the SAID Fremont. in violation OF tho terms
Of his agency, and OF tne SAID contract diverted tad
funds fUm said SchmOc les rghtu possession and
pad large amOunt thereof, "it, tho sum OF 100000
gold TO Benjamin II. EppcrsOu, late President, aud
$4,000 gold IA United s.atts bonds to Jaes ii. Daniel,
cucf engineer OF SAID Company, Hhe he nm m'el, tHe
said Fremont. retained In his possession aui under
his control also large amount Of said funds to
Wit, more than 81 $4,000 gold"
For tne enormous sum realized in France ard esti-
mated by SchmOee at 100000 Ia gold there Is literally
nothing TO snow Mr.. Gray 1rst private purchaser
money lender, and subsequently the sOcaed re-
ceiyer got possession OF tie IRON and locomouyesi
while the other s25OG0 there might nave been seen
"a few years ago, down ON level Texas prairie, away
in the Wilderness three miles OF crazy road, the
ties rOtting and the loose rails rusng IN the calm ana
rdttlng IN tbs wind, in silent and melancholy ROry
How Dlucn OF that money was used Ia bilUcry at
Washington Fifty thousand dollars OF 1t we know
already was expressly APPROPRIATED TO Dohneiy. Idt
Hho got the restf That question Oh which Wo pre-
Hood OF light will yet be cast bu! cannon be
answered to-day.