The true northerner. [volume] (Paw Paw, Mich.) 1855-1920, 1876-03-10
THE EMMA NINE SCANDAL.
Testimony Of James r.. Lyon, n Former
Owner Of the Mine, before the House
Committee.

recently before the House Committee on
Foreign Affairs, at Washington, and told
what he knew about the Emma Mine
swindle. Lyons story is substantially
as follows
Witness originally owned a one-third
interest in the Monitor Lode, which af-
terward became the Emma Mine, and an
interest in which was purchased by
Henry II. Baxter and Trenor w. Park.
Suits arose, and witness employed as conn
sci ex Senator Stewart, of New, and Gen.
Hillyer. Witness and Stewart visited
Salt Lake City. where they met Senator
Morton, TO whom Stewart related the
difficulty of obtaining trial in the courts
of that Territory Mr.. Morton said it
was all wrong, when Stewart replied
that if Morton would assist he should
have twenty thousand dollars. An eff
fort was made to have Judge Mexican
removed, but without success. They
objected to Mexican because he was en-
gagged in trying in his own court case
in which he was interested, being Presi-
dent of and large shareholder in a
company engaged in litigation with an
other similar mining company. Mexican
was also interested to the extent of $780,
600 in the Tunnel Mining Company,
which organized with capital Of 81, 000,-
900. The other Justices were joint
partners in the Emma Mine interest adj
verse to him. The Marshal of the Ter
ritory was also interested in the Emma
Mine stock. A party i'll San Francisco
had purchased from the estate Of Silas
Braine, for nominal sum, claims about
quarter or half a mile from Monitor
Lode, and organized the Emma Mine
Company, with capital of 80, 900, 600.
Stewart advised witness to consolidate
his interest with the new company,
which would have shares enough to give
to witnesses, judges, juryllen and all.
Witness was anxious to dispose of his
interest to Park, and for consideration
was willing to Withdraw both his claim
and the suit he commenced. Stewart
said that Park was not TO be trusted, and
would swear to lie, steal the records of
the courts, buy witnesses, and do any
thing to carry his point.
Witness, in response to Mr.. Stewart,
said: 81 have heard Park say hard
things about you, and that you would
not hesitate to buy judges, jurors and
witnesses at your personal convenience. "
Witness asked Stewart to see Park and
effect a settlement of the business. II
was agreed that two millions had been
taken out of the mine up to July, 1871,
and allowing half million for expenses.
Witness was willing TO settle on that ba-
sis, never having surrendered his inter
est in the Monitor lode. Stewart and
Park left for New York, and on the 9th
of August Stewart wrote that he could
not make so good bargain with Park as
he desired, but there was no occasion for
much dispute about worked-Out niue,
winess objected TO the contract Stewart
proposed with Park, as it did not secure
to him the half million promised. Park
discharged all the miners but six. Nc
ore was to be taken out, but only devel-
oped for examination by an engineer, as
it was TO be sold on its reputation. Elk
Senator Stewart and Mr.. Park went over
to England. Stewart telegraphed No
vember 9 to witness TO come to London.
When he got there Stewart said there
were hundred mines there for sale, and
against previous advice of witness he
had been complied to identify himself
with the Emma Mine. Prof. Silliman's
report had placed the mine among the
great mines of the world, and stated that
ore to the value of three and half mil
lions had already been removed from it.
At London witness found Stewart and
Park occupying room at the Edwards
Hotel as an office. Albert Grant, OF
London, framed a prospectus of the EN-
ma Mine Company, and 100000 were
paid to him as promoter of the scheme
EOS, 900 were paid to the banking house
of Jay Cooke, McCulloch e. Co. for the
use of their name. J. II. Palveston, OF
that banking house, was promised f10,-
600 sterling for the use of his name, but
the money was not paid, and besides the
sums expended Gen. Schenck was pre-
sented with 500 shares of stock at twenty
pounds a share. Albert Lewis & Sons,
of Liverpool, were to have received e.
600, but did not but that Prof. Silliman
received $4,000 or 100000 for making
his favorable report.
The witness further gave his expert
ence with Stewart, who made various ex-
cuses for not obtaining for him the sum
he promised, and the witness thought
he made proposition to close the tran
saction for S250,000. Gen. Schenck
wrote letter to Park on the 1st OF De-
cember, 1871, saying he was going to re-
sign the Dictatorship, giving as a rea-
son that he did not want to be criticised
by his political enemies. Park said he
would have better letter than that, so
when Schenck wrote the letter of the 9th
of December, IN which he resigned, Park
said: "This is better Endorsement of
the Emma Mine than Schenck's name as
Director" When the scandal against
Schenck first became known in England,
Park said he had fixed the thing with
the General. He required the General
to give mis- note for the stock. Schenck
said that if the note was not good secur-
ity, he would mortgage his house i'll
Washington. Owing to the famous tele-
gram from Williams, Silliman & HUI
zey, of new and very large discoveries
in the Emma Mine, the stock went up.
Shareholders thought our Government
was backing the speculation, as Maj
Gen. Schenck's name appeared in the
prospectus as Minister from the United
States.
Card from Minister Schenck.
LONDON, March l.
In some London papers this morning were
published telegraphc dispatches purporting to