The sun. [volume] (New York [N.Y.]) 1833-1916, 1876-03-01
VOL. XLllL-N0. no.
THE EMMA NINE SCANDAL.
nov senator MORTON WIS MIXED
VI IN THE GREET FRAUD.

share In the Profits stewart SummOnehs
wAsnINGroN, Feb. 20. Tho testimony OF
MIR. James Il. Lyon, the original owner OF the
Emma mine, before the House Committee on
Foreign Affairs yesterday, has created quite a
sensation. That part Of 1t which refers to tho
Arrangement he AMI stewart made with senator
Morton has especially elicited comment. The
Senator himself was very much annoyed by II,
and he me before the committee this morning
10 make an explanation. His statement did not
sifer materially from that made by Mr.. Lyon
yesterday. lie rccollected the Circumstance OF
meeting with stewart and Lyon while on MS
way home to Indianapolis from Washington,
and that he had a conversation with them In
regard to Mr.. Lyons lie agreed to accept
the case on contingent fec, but after
wards 10 concluded that he was want
cd only for his influence at Washing
ton In securing the removal OF Judge Nc
Kean, and therefore he refused to have anything
20 do with It, Mr. Lyons statement differs from
Senator Morton only in this That he agreed to
rive Morton fee OF s20OoO II he would 90 to salt
lake City and assist in trying the case This, he
says, was the understanding. and the terms
were acceptable to Senator Morton. The Sena-
tor who has the Presidental bee In his bonnet
lust now. and s, Of course very sensitive about
bis good name was not satisfied with his state
nent to the committee, but made a personal
explanation In the Senate this afternoon, In
which he told substantially the same story.
THE OTHER SIDE or THE STORY.
Now 1t Is quite evident that Senator Morton
ad not give stewart and Lyon to understand at
The time Of their nrst interview that he would
not accept their offer. On the contrary, the fol
lowing despatch, which Stewart sent to Morton
from Salt Lake shortly after his arrival there,
shows that he and Lyon expected Senator Nor
con 10 come on:
To o. p Norton, Iuff1rrpohs Ind
40 to California ms few days. Come here as soon
himpOr'ant' andhs has Oeen OutrSgsoa,iy ,reaied
The object Of having senator Morton como to
6nlt Lake city was, as MIR. Lyon admits. to ee-
cure his service ss LAWYER a. well as his in
shat II Morton could be secured they could
panage things at Washington. for he was all
enlisted, Stewart said. was to get him out to
Utah where he would see and feel the influences
dander wculd rise aud he would return to Wash
lngton aid make the hair hy. Ibis was lust
what Lyon wanted hence he was quite willing
10 pay 10000 for such aman; rhe cause assigned
~ Morton TO Stewart for his not going TO salt
what Stewart told Mr.. Lyon.
II will he remembered that Senator Morton's
Versy, which has been vexing tho courts OF Col
orado for several years. McNiurdy, the owner
ana and disposed OF portion OF his claim there
sCHENcK AND THE EMMA MINE.
The testimony Of Mr.. Lyon to-day was exceed
tnRly Interesting, and set forth In glowing colors
the monstrous nature Of toe swindle which
Stewart and Park psrpetrated upon the Eng
ns5 ,n people In the sale OF ne, the Emma Emma
of itself conclusive az to the infu-
snce which Schenck's connection with the
enterprise exerted upon the English public. At
The time the subscriptions were made TO the
eapltal stock money was worth nine per cent. ht
the Bank OF England. There has not been
time within the last quarter OF IA century when
the rate OF discount was higher than IL was at
this particular juncture, ana yet the suoscrip-
tions to the Emma mine stock were more than
douoie the amount Of stock To ne placed. Tue
people who took TINS stock mostly
persons 4 small means, and they were
beyond doubt unduiy. nucnced 10y the
fact inst The American Minister was a director
In the company. rney very naturally reasoned
IN this wi,e Najor-Gen. scheuck l. a man OF
high char cter; he h been the leader OF the
American House of Commons for many years,
anu he would not be connected with AN enter
prise that WAS not perfectly sound. Our Miu.s-
Ter at Washington would not. aud Of course the
American Minister 10 the Court Of -. James IL
equaly reful Of uis own reputation ana the
honor Of his country.
TRICKS TO BULL THE STOCK.
The story that Mr. Lyon told about the tricks
which Park resOtted 10 TO bring up the stock Of
the En-. ma Company, IN the spring Il ls12, was
quite funny. lhe stock was then selling for
SPOUT 4li sterling Park made an announce
ment tina, he would pay the expenses Of any Of
the stockhC Clders who wished 10 so out TO salt
he told Lyon that lie was not apprehensiye Of
receiving many applications; iie had n reality
Amemher ~ farllament' I" 20 out Tor that pur-
pose. Williams was to receive $500 sterling
In advance, aud call on 500 shares OF the stock
at f,J sterling per share. ~ On saw the check
for the 5000 sterling, which was pdd TO VIII
hams, ana he saw also the cipher telegram
which ne was TO send, and the reports which
bad been prepared la aoyauce, and winch were
10 be publlsned on the receipt Of the cAoleerams.
Park also told LYON that Baxter was to take care
pf Williams ON his arrival 1T New York, tn
Stew IT was to come over from Washington and
way, and tAat Warren Hussey was TO taks him
IN charge "hen he re1ched salt Lake.
sCHENCK's DIvvY.
Mr. Lyon said that Gen. Schenck received
100 shares in addition To- tae, go ire
yiouslN Owned by him' wmlch sod tor ~
sAFs 81. or ~ ETs"S@s & %s ws rf3 sngg an Eoo Vas
nreetor Of the Emma Nine Company. Stewar:
left the session Of tue Senate m the winter Of
lsIs' and soon thereafter the famous telegram
hgned by si.liman Williams, aud Hussey was
sent TO Lond II. REPRESENTING That large beds Of
pre- haG been discovered at the Euma niue
The Telegram was ~ de puoIc on tue morning
Of the Gtn Of Arril, leis. Ine new discoveries
were repe.enied AT $500 tou-, worth t2,OUJ a
lon, or Sl8,VOOOO, Mr.. Lyon related that
IN a conversation between Park ana him
70 live on Si7cdO a year; he had to
buy dresses for members Of MS family wlicn
cost s,Vl Apiece, 10 20 10 Queen NictoiiA's
drawing ooIn. aud the GT,s, could be worn only
once. \ oert Grnt, the. promoter Of the Emma
gave senator stew r .ttD .na'es of tho stock
10 become oitrctof ,u. -e.t, and to assist IA
Stewart w..s ask % how tuty could satisfy the
English stockholdeis for tnc hpu. proc .ctlon -
ore he reillod thht was easily managed. They
could say that tho snow, OF Utah were 70 deep
- to prevent hauins, tut tney could make up
for lost iiue curing the summer. Park wrote
on the - h Of July, 1874, ~ er his return from
Bait Lake City, that wnlio ne eXpectel 10 see in
Abe Emma mine large beds OF ore, the sight Of
them Went far above hif expectations. ihers
was no rep rt concerning the vast products Of
khs mine. put what fcll f9r short OF the truth.
On such false representations the stock, as a
sons qucnce, advanced.
The committee have summoned ex-senator
Stewart, VINO - now in California, and L. W.
Park, VINO Is In South America. The com
niittee VIII examine Ia a Gay or two the tc3ti-
mon x 4 XHn & nd IN
nerning ms Emma mino connection. The
lnyestiga,lon viii be thorough and "a fun 0ppor-
Iunity VIII TO gwen To Gen. ScnenCk and his
Rlends 10 oe heard on tne subject.
NEW R1ILRO1D PROJECr