The Valley Virginian. [volume] (Staunton, Va.) 1865-1895, 1876-03-23
Exit Pendleton.

Another sshightoned'' statesman, saws the
baltimore american Of the 18th, has come to
grief. The Hon. George H. Pendleton may
go to the rear; his usefulness as public man
| is at an end. 1t is still an open question as to
whether he divided his enormous fee in the
Kentucky Central Railroad case $500, 00U with
any of the officers of the Government. but
| there can be no doubt that the whole transac-
| ton was highly disreputable, if not positively
| dishonest. We have heretofore stated the
grounds upon which the representatives Of the
| Kentucky Central Railroad demanded increas-
ed compensation from the Government for the
| transportation OF troops and army supplies du-
| ring the war. Secretary Stanton entered into
| convention with a large number of rail
road companies. in which it was agreed that
| military transportation should be conducted at
one-half the regular rates. On this basis the
Kentucky Central was paid for all the passen-
gers and freight transported for the Govern
| ment while the contract was in force. Some
time after the settlement the COMPANY came
forward with demand for forty per cent adj
ditonal because the Government had contract
ed with some other road at ninety per cent. on
the regular rates. The claim for additional
compensation was twice rejected by Secretary
Stanton and Quartermaster-G General Meigs.
In 1870 Mr.. Pendleton became President of
the Kentucky Central Railroad. His deceased
brother-in-law, Mr.. Bowler, had owned three
fifths OF the stock, and as administrator of the
Bowler estate, it was an easy matter to put
himself at the head of the Company. The
shares of the capital stock which he represent
ed belonged to Mrs. Bowler, (Mr. Pendleton's
sister, and her three children. (two of them be-
ing infants,) and theoretically, at least, they
were to be managed for their benefit. Nosoon.
er did MIR. Pendleton succeed to the Presiden-
cy Of the road than lie revived the old claim
90 no If anti oc1.
ministrator might have thought it his duty to
make another effort to increase the value of the
railroad stocks for the benefit of the Bowler
heirs. Mr.. Pendleton was also supposed to be
acting for the railroad company, and as Presl-
dent lie was bound to take care OF its revenue AS
administrator OF an estate and President of a
railroad he might possibly have been justified
in calling the attention'of Secretary Belknap
to this rejected" claim; but his own testimo-
before the Committee on the Expenditures
of the War Department shows that he
was acting substantially for himself, and
that the minor children of his sister and
the railroad company received only a small
portion OF the proceeds of his successful
raid on the United States Treasury. The whole
amount collected was $14S, 900. Mr.. Pendleton
seems to be in doubt as to whether he got $780,
600 or 800, 900 for his share. He did not bur-
den his memory with little matter Of $4,000.
He said the understanding was that he was to
have fifty per cent, which would make his
share $4,000; but he is now unable to say
whether he kept for himself sso,00Qor 100000.
One draft for $50, 900 seems to have been paid
to somebody for the use of the railroad compa-
ny; but, although the Auditor of the company
was before the committee with his books, we.
do not think that it was proven that even this
draft was ever entered on its cash account
There was another railroad official q man
named Ransom, who was to get ST., 900 for his
services in working up the claim, bit Mr.. r.,
is not certain whether he paid him put of his
100000. Or whether the company paid him.
Mr.. Pendleton's forgetfuIness is trny marvel
lous. Inasmuch as the three Bowler heirs are
supposed to be entitled to the three-fifths Of all
that was paid to the company, it is q most ex-
traordiilary circumstance that the. adninistra-
tor to Wit Mr. Pelfdletpn) does not know