Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1876-04-27
A POint-Blank Answer TO the Iefiant
Speech Of Ex-Speaker James
g. Blaine.
The Accusation of Corruption In the
Matter Of the Fort Smith Bonds
Emphasized.
How and Why Blaine Escaped Suit fol
the Recovery Of the $4,000
Loaned Him Etc.

CINCINNATI, April 26.-Ine GdSette
Tomorrow morning will publish an In
terview with JohnC G: s. Harrison, of In
djsuapolis. NJ. Harrison makes the
following statement: "At the Ssptem-
hor ao .o,S, In--uIug o! unecoard OF direct-
ors of the Union Pacific railroad, st
which l was Iresent, the president of
the board, Mr.. Horace f. Clark, called
the attention Of the directors to letter
from the president Of the. Fort Smith
and Little Rock LAND grant railTc sd,
with reference to some bonds OF that
road, held by the Union Pacific COM
pauy, desiring to know something more
about these bonds. l made a motion
to appoint 8 committee OF three to
investigate and report before the ad-
lournment OF the board as to how they
came into its possession and all matters
connected Herewith. ThereupOn E H.
Rollins, the secretary, took me to o.
side and told me that | must, withdraw
that motion, FOR an Investigation OF the
bond transaction wOtild involve James
q. Blaine. He said the fall elections
were near at hand, and Blaine was
candidate for reelection to congress,
and that an exposure Of the transaction
lust at that time would be sure to defeat
nim. With that / withdrew the mo-
ton. Subsequently 1 took J II. Miliard,
of Omaha, who was, and still lremains,
government director, to Mr.. Rollins, and
in his presence asked Rollins il l under
stood him correctly in relation TO the
bond transaction involving Mr.. Blaine.
He repeated that did, and that an in
vestigatiOn would be sure to kill-otf Mr..
Blaine ST the approaching election.
AfterWard, when the einvestigating COM
mittee, of which J. NJ. Wilson was
chairman, was in session, and &. d,
Rollins was on the stand, l telegraphed
WilsOn to ask the W tnts5 certain ques-
tions concerning the Fort Smith and
Little Rock bonds; but in noticing the
daily reports OF the committee after
ward, saw that no such
questions were asked, On the third of
February, 1873, wrote to Wilson, chair
man Of the committee, more fully about
the matter, detailing facts that l have
Just stated but l did not mention
Blaine's name. stated that the trans
action implicated prominent member
of the Republican party. That letter
was copied into my regular letter-Dook
at Indianapolis, and can be referred to
at any time. l never received any an
sWer to the letter to Wilson, but on the
tWenty-siXth OF Februsty just twenty
three days later, Mr.. Delano, Sec
retary Cf the interior, wrote letter
TO prominent Republican official, say.
ing it was deemed best on the part of
the government 10 change the entire
board of directors of the Union Pacific
railroad, and that he therefore proposed
to appoint some one from Indiana in the
place o. J. G 8. Harrison. This prOpo.
sitiOn of Delano's met with such q strong
opposition that it was abandoned, and
none CT the directors were removed.
We were engaged at that time in max
ing an active fight against the
Wheeling coal company, which
was sWindling the Union Pa
cifc out OF five hundred thousand
or six hundred Thousand dollars year.
II the committee want that letter Of
DaIano's they can find q copy Of it in
the interior department. Bear In mind
that this action on my palt as govern
ment director, and the correspondence
to which have referred, and the effort
on the part of Secretary Delauo to
have me removed from the baard Of di-
rectors, occurred in 1872 and early in
1873 Just about the time Of the reelection
of President Grant, and when neither
MIR. Blaine nor any other man was
spoken OF in connection with the
Presidency in 1876. 1t is therefore
unreasonable to suppose that any
anybody at that stage Of the proceed
ings was interested in defeating Mr..
B!aine's Presidential aspirations. This
whole Little Rock railroad matter
would have been Investigated by the
United States courG at the time but for
the killing off of the credit mObiiisr
suits. showed to Mr.. jerks, the gov
ernment special attorney, who, with
three others, was charged with
investigating the affair, this order OF the
executive committee:
NEW YORK, December l6, 1871.
Ordered, that Merton, Bliss & Co. be
authorized TO draw on the treasurer Of
this company for sixty-four thousand
dollars, payable at forty days from date,
and hold as collateral security for the
company seventy-five land-grant bonds
of the Little Rock and Fort Smith rail-
road company. Bonds one thousand
dollars each.
He made a copy Of il in my presence,
and would have entered suit upon 1t at
once had not all these credit mObiIier
suits failed in the courts, being ruled out
on demurrer. In conclusion, l have to
say that / am ready and willing at any
time to go before the Judiciary commit
tee OF the house and make oath to the
facts in this statement.