The New York herald., 1876-03-22
A LETTER FROM MIR. LYON.

/ A LETTER FROM NIX. LYON.
To the Hon. THOMAS SWAMI, Chairman Of the Com
mttec Foreign Relations:-
SR--I have the letters of Professor B. silman,
OF the 18th and 18th inst in which he seeks to explain
certain telegraphic report signed Williams, silman
! and Hussey, communicated to the Emma Silver Mining
I Company Qimedl OF London, and received there
April 1872 Professor Siman seeks by these letters
change the import the despatch and thus
himself from the responsibility that attaches to him as
being OF the authors of such monstrous and un
truthful report In order that you may have this
telegram under your eye to be read in connection
with this letter, quote as foows:-
Very great improvements since last report. On
seventh loor drif,ed l2O feet and on tenth floor 10
feet all IN Al bottom winZe, 10 feet below old
workings, drled 40 feet all IN orc. Sample assays.
2S per lead and 1000 silver. Reserves DIS
covered since last report 5000 tons. Everything
connected with the mine is highly satisfactory.
Mailed supplementary report Canyon road still bad.
Shall forward 900 first class forthwith.
Have 65 tons bullion, worth $1,000 Propose selling
here VIII report fully on return.
WILLIAMS, sILLIMAN AND HUSsEY.
You will that this report sent from Salt Lake
City, Utah, and that 1t was subscribed by Williams
SillIman and Hussey" The first named, it will be
membered, Is f. Bridges Williams. NJ, p, then
of the directors and vice president OF the company,
who employed by Mr. Trenor W. Park then
in London, to visit and report the Emma mine
/ ON the following terms-viz, Go 900 in cash. paid
! TO him on his departure from London, and
| call Mr.. Park tor 1900 shares of the
stock OF the company ut f2O per share This cee-
bruted and dslnterested expert was joined IN New
York by ex-senator Stewart and Professor Silliman,
who accompanied him 10 the in accordance with
the prearranged plan oil Mr.. Park 1t never has
pired why ex-senator Stewards name wanting TO
this report ior at that time he also director Of
the company and prolessed to be the owner of 5000
shares OF its stock Warren Hussey was the mine
! manager, and then also owned 5000 shares.
The fact that this despatch was transmitted to
London has never been questioned nor has II
been denied that by remarkable coincidence it ar
rived there at the proper tmc TO assist in the sale
ot $500 shares oil stock controlled by Trenor w.
Park, advertised to the following day,
which subscribed for and sold through the
London aud Westminster Bank at f23 per share.
l insist that this paper bears difficult or doubtful
construction 1t is short and terse aud means
acty what authors intended convey The minds
OF It's readers in London. This the despatch referred
To in my testimony before your committee, printed
on pages IL and 81 and is the same OF which pre-
sented copy, and submit, sir, that the construction
oft rs presented in testimony is the only
able, rational reading that be given to the paper
II means that large bodies OF rich had been dscov
cred since Professor Silimans last report of February
20, 1872 by sinking shafts and winzes and by driving
acs which he reported had been sunk and driven all
In ore. II that sample OF these rich
discoveries assayed IS per cent lead and $1,000
per silver. 1t means that the reserves thus dis
covered amounted 10 5000 tons of that contained
2S cent lead and 81 600 In silver ton IL means
that the recent discoveries aggregatey estimated we're
I OF the value OF SIG, 000, 000
Referring TO Professor Sllhman's more extended re-
port, copy OF which he has placed before your
mittee, bearing date Salt Lake CITY, April ?, 1872
find the following paragraph San approximate
estimate of the amount Of ores exposed by these
several explorations show that there s 0C0
tons and there may be much more; emitting only
fix the amount in excess OF this estimate" Now,
sir, this extraordinary valuation of mineral twenty
eight per lead and 81 200 silver per ton. does
! apply the 900 OF reported have been
| thus discovered IN the Emma mine TO what ores or
mines does 1t applyY Professor SIlman further says
in hls letter OF the 18th that it is evident that this
despatch did not materially affect the price OF Emma
18th OF March and the 18th OF April, 1872
because the price OF the shares did not dur
hat Aot..u son
per share. My reply to this is, that between April
and April 20 Mr. Park sold the s. 500 shares subscribed
for the day at fs3 per share and he also sold
about 5000 additional shares (and have seen the nc
count sacs thus realizing the equivalent Of 81 900
in sterling money. 1t not possible Tor the price
Of the shares TO materially advance while Mr. Park
Offering and selling largo blocks OF stock at the current
rates II viii also be observed, by reference to proies
sor Siimans letter OF the 18th that the despatch was
published In the London Mining Journal The
9th of April being the same day on which
the $500 shares subscribed. The trans
mission and publication OF this despatch having
occurred, in point Of time, In connection with the
sale OF the S 500 shares shows conciusiyely
the object which the report made see by
referring TO the London Mining Journal OF the 20tn
OF April when the full effect of the despatch had been
felt through the country and Mr. Park had ceased
be large seller that the prioe OF the shares had ad
vanced 10 E3l l would ask why Professor Sliman
suppressed this important TACT in his letter to the
mittee!
Iis scarcely necessary Tor to give further atten-
ton to Professor SIiman's most FOOLISH attempt TO
change the OBVIOUS meaning OF his despatch His
port was obtained for the purpose OF enabling Mr. Park
the British public II well served that purpose and
now that the great fraud OF selling this mine and its
shares mas been exposed Professor SIlman must bear
the criticism and that inevitably follow the
present reading OF his untruthful and most remarkable
reports. Will Professor Sman have the kindness
answer the following pertinent inquiresS-
FtrSfWere there H. $50 tons oil nrst class In the
Emma mine developed and 200 tons second class
on the dump OF the mine the 10Th day Of October
1871, being the date Of your first report OF the
mated net value OF fl2l, IJ0y
Second-wrre there "a 600 tons Of all classes OF ore
October IT, ISL being addition to those vouched
by the first rcporp the 18th day OF February, 1872
aud being the date OF your second report OF the
OF $5.S45, 900
Third-werc 5000 tons Of nrst class orc discovered
at the mine the 5th OF APRIL 1872 the result of
explorations after the 29th OF February being the
embraced In your despatchy
Eourh-If you that the several quantities OF
not discovered in tho mine at the dates
toned why did you so lcporty
Fyn-If you answer that these 81, $50 tons of ore
were IN the mine, as represented IN your several
reports, viii you state what has become Of these vast
bodies OF orey
By careful computation Of the values Of these vari
Gus discoveries OF ore affixed by Professor Sillman,
lhnd that they amount in the aggregate to the enor-
nous sum Of So, 59f. Go Such reports were circu
lated TO the English public into the belief
that new GocOnda had been discovered that
would outve ia its lavish yields the exist
encc OF three generations II Is quite evident,
from the hight OF subsequent developments, that
the conscicnousncss and truthiuness OF the father
had not been inherited by the son The Emma Com
pany Of London have paid thirteen monthly dividends
OF fl5,0oO each amounting TO fls6OO0 How were
1ue! palus fOftysM uousahd thfcc huhureu pouhus
were placed IN the treasury by the yenders 10000
was represented be the value OF the depot
In salt Lake ready Tor shipment at the Of the sale
and not included Professor Silnmans reports refer
red TO; f33,0OO were borrowed OF Mr. Park To pay
dividends These several sums amount TO fl49, 800.
Let us deduct this amount from the total sum
paid as dividends and have a balance
produced from the mine OF f45, 700 The liabilities
OF the company on the LIST OF January last
f4O0OO including the money due 10 Mr. Park. Mr. Al.
wood the Ininng engineer, alter being IN charge OF
the mime roarly Two years and halt in the concu-
!
have stated IN my prcviods rcportsthlt that your
mine Is virtually exhausted and that your only hope
for the future rests entirely geological problem,
! which problem Will take time and largo amount OF
money and engineering TO solve Respectfully yours
JAMES T. LYON.
ST. NICHOLAS HorEL NEW YoRE, March is, IsT6