New-York tribune., 1878-12-03
MIR. TILDEN's INCOME.
DISPOSITIONS IN THE TAX SUIT.


his LARGE FEES As COUNSEL or WESTERN RAIL
ROADs-HIs METHOD or EvADlSG TAXES ON
THE MARQUETTE MINING COMPANY.
The affidavts now on file in the Office of the
United States for in the Tlden in
come suit pending, present some interesting Tea
lures and throw considerable light the business
methods OF the defendant. The history OF Mr.
Tilden's connection with the affairs of the Pitts
burg Fort waync and Chicago Railroad IL briefly
stated by +. NJ. Hutchinson secretary OF that
organization. Attached TO this deposition Is a
copy OF q voucher drawn in favor Of Mr.. Tiden and
dated June 3O s69 for O00 This fee is for legal
services rendered TO the company from its ORGANIZATION
that date period OF eight years. and for the negota
tion and preparation Of the lease to the
Railroad Company. Appended TO this paper s the re-
ceipt OF Mr.. Tlden, as follows:
Received. WipslOw, Laier & Co., October 90 1869,
Of the Pittsburg. Fort Wayne and Chicago Railway Com
'~0'' "s. j. TILDEs."
From 1865 to 1872. Mr.. Tdeu OF the trustees.
also received $500 year for each OF the
first and second mortgages. As treasurer OF the
Lawrence Railroad, Mr.. Hutchinson also furnishes the
account OF dividends paid to Mr. Tilden by that road
Beginning with April l. 1871, his dividends ON that
stock amounted 10 about $515 quarter, or not less
than 81 800 during that year. and payments In Ike
amounts have continued since.
The affidavit Of W. J.. WetmOre relates to the Mar
Guette mining transaction. His acquaintance with Mr
Tden began 1863 by the sale 10 the defendant or
ve-sixths interest In twenyy lease for which he
paid So 900 in cash. with other considerations In 1854
the arrangement took the form OF an organization IN
wanted 10 buy the property. He desired to have
the stock placed in the Boston market On
July 23, 1854, Mr. Tiden wrote 10 Wetmore as OioWs
" IN respect to the NewYork Mine, incline To think
that should put il into stock in the usual way W ~
cudc all that pertains 10 the reality, but not however
wagons etc. which would have TO be taken az valuation
agreed price, With reference TO the possible prices
TO be realized for the ore mined the writer In the same
letter says 1.-THE chance that the depreciation OF the
currency viii increase the price, as also the pron's
In order to comply with the state mining laws II was
necessary to have certain number of propuet0rs to
perfect the organization For TINS purpose ne names mes 4
j. T. SnnOtt and John Rankin f were inserted Dut III
in the business. Wien the articles of associa-
ton filed, in 1865, the only persons having
owned hvesixths, and Mr. WetmOre, representing the
remainder although the latter, IN the same year. sod
the question whether tde business should be carried on
partnership or corporation was frequently dls,
undecided whether TO call it partnership or 20 moke
reports under tue laws as an Organiz1 1ton,
matter p OF profit" says Mr.. wetmore, " was
TO be the governing condition" The company faued TO
we're begun AGAINST them. Under WetmOres advice,
legal action anticipated by the payment OF nearly
was done by my urgent solicitation there was very
strong penalty attached TO it, and was determined to
Mr. Tden had charge OF the finances president OF
the company, and the funds were deposited IN New
York TO MS Individual account III uEdWinR uoHc1
WetmOre was requested to draw on Mr. Tiden indl-
vdualy which for fourteen years lie had eonuaued 10
do. The directors OF the company, the witness
understood, consisted OF MT. Tilden's office men.
Dividends were never declared by the board.
for meeting directors was never held
for that purpose. WetmOre called on MI.
Tiden prior to 1872 make distribution OF profits
prOuOrtIunCd the shares, but this he declined 10 DO
Al one time lie paid the witness 100000 but said they
had ,beter not make any dividend. subsequently ne
told Wetmore that il he wanted S2j 900 100000 or
$4,000 he could have It Oy paving per cent Interest
NJuR had ever been said TO the witness about the in
crease OF the capal stock TO 10000 shares The mine
large lender Of money, having at one time Sloo
600 loaned to persons for buldng vessels.
Being asked by counsel In regard 10 his relations
with Mr. 1lden until 1872. the witness rephea thal
hey were pleasant but OF their relations since then hC
/ declined To say anything. Ii reply 10 le
/ pcated requests OF counsel for an answer he said
decline TO further questions In the iac
OF the unlawful proceedings that have taken place u
rohbing me OF my bOOlIs-ny own personal property.
Thc toIOston Of Mr.. WetUOre closes wth certificate
OF the notary, Matthew II. Maynard Ia regard to the
! puroiuing OF the books OF the NOw-HOFk Nine,