The New Orleans Democrat. (New Orleans, La.) 1875-1876, 1876-03-19

A satisfactory Explanation 0f HIS CON
nectiOn with the Kentucky Centrai +
Railroad Claim.

A satisfactory Explanation Of his Com
nectiOn with the Kentucky Central =
Railroad Claim.
The Hon. George Pendleton appeared
recently before the House Committee
on War Expenditures and gave full
statement OF his connection with the
Kentucky Central Railroad. The com
pany was organized in 1858, and In 1869
Mr.. Pendleton became its President,
succeeding Mr.. Bowler. his deceased
brother -in-law, in that Office. Some
time after assuming the presidency he
became cognizant Of the roads claim
against the Government for transporta-
ton OF troops and supplies during the
war for the difference between 80 per
cent OF it's regular tariff and the amount
paid Upon communicating the fact TO
Senator Stevenson and other heavy
stockholders, he learned that the direc-
tion was willing to grant commission
Of so per cent upon the amounts col
lected from the Government. Mr.. Pen
dleton, with this understanding, worked
up the case and established claim OF
$l49, 800. This claim was presented to
the War Department and refer red from
that department to General Dunn, its
law officer, and after few months de-
Law was acted upon favorably and
passed to the Treasury. Mr.. Pendleton
presented the claim to Mr. Boutwell,,
with the simple request that he should
not be kept waiting for the money, and
after weeks delay the warrant was
issued. We now quote from Mr.. Pen
dleton's interrogatory as given by the
New York World a.
| Q. In procuring tho award from the
War Department, did you pay the late
| Secretary OF War, or any member OF MS
family, or any other person for him, d.
rectly or Indirectly. any consideration
for his action? A. Not u dollar, or any
other consideration.
In further reply to questions, MT
Pendleton said he found on examination
| there had been convention OF repre-
affected by rebel incursiOns, at which
certain charges for freight had been
agreed to, but exceptions were made In
| favor OF roads In territory liable TO such
incursions; the claim OF the Kentucky
Central Railroad Company WAS the diff
ference between what had been paid to
it and ninety per cent OF its regular
tariff rates, such difference being ten
per cent, the company having received
only ninety cents on the dollar. he
found that the Baltimore and Ohio Rail
road Company and the Louisville and
| Nashville Railroad Company had been
paid the full amount OF freight charges.
| He presented the claim to the Secretary
| OF War in November, 1870.
q. Was any pecuniary inducement
asked or paid to Gen Dunn? A. None
whatever, not a cent.
o. Did any official OF the Government
have any interest In the claim A. Not
BY Mr.. Blackburn / understand
YOU to say there was nothing in the
prosecution Of the claim that would war
rant any statement that would implicate
the Secretary OF War, Gen. Dunn or any
member OF the Secretary's family in the
prosecution Of the claim A. You did
understand me to say that, most en-
phatically. ~.
BY Mr. Danford-The claim Of the
Kentucky Central Railroad Company
has been pending for some years In the
War Department had 1t not been pre-
sented and rejected repeatedly before
YOU took hold OF it? A. am not able
to answer OF my own opinion; my in
formation is that it had been presented
to Secretary Stanton, but not to any
other Secretary; do not understand
| that Secretary StantOn'S action con-
corning the claim was u rejection il the
claim had ever been presented to Secre-
| tary Rawlins the fact never came to my
knowledge.
o. Was not the claim presented twice
while Judge Holt held that position,
tnI1 n N GFI -
knowledge.
o. Did you interest yourself with Sec
retary Belknap to have the claim refer
red to Gen. Dunn? A. do not know
how it came to be so referred.
q. On what basis was the claim origin
ally rejected? A. / could only tell from
the papers have an impression that
it was on the original report from Cen
eral Meigs; my impression IS l went to
see General Meigs when l was here,
and had conversation with him on the
subject; having replied to MS argu-
ment General Meigs told me the claim
ought not to be paid having once been
before the War Department and not al
lowed, he did not think it ought to be
reopened the General further said the
Kentucky Central Railroad Company
was not entitled to make the claim, be.
cause the Government had been at
a heavy expenditure to change the
| gauge OF the road; said to, General
Meigs that he mistook, for the gauge
had never been changed, and presented
the proofs.
Mr.. Clymer asked Mr.. Pendleton
whether he met him at any time in Eu
rope. ~,
Mr.. Pendleton said he never did
General Boynton was then sworn, anc
said he appeared voluntarily. He said
the information published in the New
York Herald on his authority was fur
,, nished him by Colonel B: +. Grafton
who got it from Colonel Kiddoo, United
States Army. Colonel Grafton said t
: Mr.. Shellabarger week ago, There i
! gentleman who knows all about sun
of $40. 900 or S25, 900 being paid to Mrs
Bowers afterwards Mrs: Belknap) ou
!. Of the Kentucky Central Railroad Case,
e that Colonel Kiddoo was in Europe witt
e Mr. and Mrs. Marsh, George Il. Pen
r dleton, Mrs. Bowers (afterWard1s Mrs
G Belknap) and Mr.. Clymer. Mr.. Clyme
q ;ptorr,,Oted that he was not IN EurOp