New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1876-03-30
SCHENCK'S SPECULATIONS.
HIS LOSSES A FICTION.

TRUE CHARACTER OF THE WHOLE TRANSACTION
BROUGHT OUT.
BY TELEGRAPH TO THE TRIBUNE.l
WASHINGTON, March 29.-Mr. Hewitt's cross
examination of Gen. Schenck to-day, although bring
ing TO light points concerning the connection
of our late Minister to England with the Emma
Mining Company, grouped together and brought
out in a very forcible manner the leading
facts already known, and presented them
in such way as doubt made Gen. Schenck
himself perceive if he has not done before, the i'm
proprety of the whole transaction. He showed from
the contract which Gen. Schenck made with Mr..
Park OH the 1st of November 1871, and the prom
ssory note on which he raised the money to pay for
his shares, that Mr.. Park lent him the cash. charging
him nothing for years interest and taking
no security but an assignment of the shares;
that on the stock Mr.. Park at first guaranteed him
dividend of per cent, and that II at any time
during the year Gen. Schenck had desired to with
draw from the speculation he might have done so,
on surrendering the stock to Mr. Park at its par
value. On this note several Endorsements were
subsequently made. One for $500 represented
a. sale of 20 shares which Gen. Schenck made to
friend. Another of Ct S9i represented some stock
speculations which Mr.. Park made in Gen. Schencks
behalf, but of the details of which he knew moth
ing. He put UP no margin, took no risk, and ac-
ceptcu tne clStuJ Oh inc vi 'ii'
Park that he had invested for him in stock specula-
tions from which he realized profit as reported.
He did pay from his own funds $500, to which, be-
fore giving him credit for it, Park added $4,000
commission on Gen. Schencks stock, which Mr.. Park
made Albert Grant refund, thus making the third
Endorsement on the note $500.
In settling in May, 1874 Gen. Schenck paid to 'r.
Park II 700 in cash. From this statement 1t viii
be seen that from the LIST of November, 1871 to the
18th of May, 1874, when the note was Cancelled,
Cen Schcncl made on The note ont of his own money
only two payments, the first amounting to abont
80 900 and the second to $1,100, making in all
about 50, 700. He received from his investment
about $4,000 in dividends. and still holds his
AIS shares, worth about $1,000 more; but IN his
final settlement with Mr. Park balance of about
$50 600 was found to be due the latter. To pay
this Gen. schenck assigned to Mr. Park $4,000
worth Of various kinds of stock, with privilege
If redeeming it at any time within
four years. and also a note for $4,000.
The income from the stock Gen. Schenck
retained himself. At the time of settlement also
Gen Schenck borrowed of Mr.. Park, in order TO re-
trieye himself from the embarrassment caused b.
this settlement So O00 and!secured it by deed'of
trust on his house and lot in Washington. This sum
was payable in three annual installments one OF
which has been paid while the other two become
due in May, 1876 and 1877.
From this statement it will be seen that Gen.
Schcnck accepted from Mr. Park $4,000 at one
time. which represented the commission which Al
bert Grant refunded the stock Gen. Schenck puF-
chased and 81 ,S9i which Mr. Park made for him IN
stock speculation. lie also testified that al
the time the settlement was made in
1874, Park told him that he had been en-
gazing in some stock speculatons for their
.. Il, y 10 ehovV cd q
Gen. Schenck sufficient to balance their account.
This Gen. Schenck absolutely refused to receive
credit for and in reply TO question by Mr.. Hewitt
admitted that the severe criticism of his course
under which he was then smarting probably
had something to do with this REFUSAL al
though he thought that he would not have
accepted it even if these criticisms had not been
male Had this offer been accepted by Gen. Schenck
the transaction with Mr. Park might have been
stopped, and the only payment Gen. Schenck would
have made ont OF his own funds would have been
$500 which would represent about the present
value of the stock he holds, and he would
have realized n profit of about T1,0oo on
his original shares in the Emma Mine. Mr.. Chltten-
den of New-York, who Is acting as counsel for Mr..
Schenck, Mr. Stewart, and Mr. Park, will briefly eX-
anime Gen. Schenck tomorrow. after which Mr.. Lyon
and his counsel will be allowed to ask such questions
as they desire. Then Mr. Lyon and Mr.. Johnson
will be cross-examined on behalf of Gen. Schenck,
Mr.. Stewart and Mr.. Park.
WHY GEN. sCHEYCK LEFT ENGLAND WITHOUT
CALLING on THE QUEEN-HE Defends HIS
corRsE IN THE EMMA MINE MATTER-A MAN
WHO KNOWS ILL OF LYON.
GENERAL PRESS DTsPsTcHl
WASHINGTON March 29.-In the examination Of
Gen. Schenck to-day, besides being questioned in
TO L.
was keenly Intercepted to his departure from
England He said he was not recalled from England
at the request of the British Government He allu-
ded to the writ served him just previous TO his
leaving London, TO meet pending sui and the iol-
lowing note in the way Of explanation:
No. 10 LIycoLNs INS FIELDS, -,
LONDON, W. G., March o. 1865
SIR; The writ issued by served upon YOU
under the impression that You had resigned your post OF
So made and bog that You will consider the proceedings
commenced as abandoned yours 3pSGe ti,,,prrv
His Excellency Gen. scHEScK, Washington, u A.
Mr.. Monroe remarked to Mr.. Schenck that it had
been said that he had left England without taking
leave OF the Queen.
Mr.. Schcnck replied that he came home on leave
of absence but not knowing his status, he did not
know whether he would return TO London The
usual note was sent to Lord Derby, stating that as
he WAS leaving suddenly, he was not able 10
nav his personal respects and that lie had leit the
Legation in charge OF Col Hoffman. 1t Is usual for
the resignation of Minister to take effect on the ap
poiutment of his successor and successor had not
vet been appointed. lie supposed he was still Min
ster but on leave of absence. He left London Tor
Washington for the sole purpose OF appearing before
the Committee.
After testifying TO the settlement with Mr.. Park,
he was asked by Mr. Monroe whether it did not
occur 10 him that while Mr.. Park was bestowing
- -, Ia ,,o. ,bus acting in order to