The New York herald., 1879-08-23
An Energetic Protest by
President JeWett.
IRRESPONSIBLE COUNSEL DENOUNCED.
Charges That Information is Sought tor
Private Purposes.
[DY TELEGRAPH TO THE HERALD


having been submitted to and approved by the COM
mittee its chairman. Against this position
Mr.. Jewett strongly protested before
swering any question. taking the ground
that the province OF the committee
to impsrtiay investigate and to ascertain facts
and not to appear as prosecutor OF the railroads
He expressed himself shocked at the chairmans an
nouncement. While he was willing to aid the COM
mittee in a search for facts which to base sound
legislation. and to trust his In their hands. 1t
in the belief that they we're impartial and un-
prejudiced investigators. II they declared hostility
to the roads, however. the different. and he
should decnet to answer questions that could in any
manner be used to affect influence pending law
suits in which he was involved
COMMITTEES POSITION UHTRHABLE.
Since the adjournment of the session three OF the
members Of the committee have expressed their ap-
prehension that the position Of the chairman is un-
tenable One of the number. who does not desire to
be named. said. 1--WE appointed to investigate
and ascertain facts and authorized to employ
o stenographer. do not see hoW VIC can properly
employ counsel or how we can fairly appear in q
hostile position to the railroads any moro than in
friendly position toward them. In either case we
lose our character impartial investigators.
Or course we must be careful to elicit all
facts bearing on the subject investigating;
but everybody knows that the sharply framed ques-
t,ons of lawyers and the demands for categorical
answers thereto more frequently conceal distort
facts than elicit the whole plain truth. fear we
have error in letting the inquiry pass it
were out Of our hands into those OF lawyer ire
sponsiblo to the State" He asked. "Do you
think Mr.. Jewetts position will change the course
OF the committeer 81 think 1t Will revolntionize
it" was his reply.
THE REGULAR pRoCERDINGs
Mr.. Clark General Freight Agent Of the New York
Central and Hudson River Railroad was first called
to the stand at half past eleven O'clock A. M he
was compelled to leave Saratoga at noon. In the
course OF his testimony he stated that he knew
nothing about the American Transfer Company but
its name. aud in examining him as to 1t aud to its
Connection with the Now York Central little informa
ton was elected beyond the fact that the latter
company had participated In rate less than sixty
cents per barrel. He was not competent to say
whether not that rate was paying one.
MIR. blanchard. OF the Erie road. stated that
tirely independent pipe line outside OF New York
State has engaged in carrying oil at rates with which
rate paid In 1878 to be eighty centser barrel for
haul about 446 miles; had iden OF the cost Of
FIRST ATTACK ON srRRNE
Mr.. Sterne asked MIR. Blanchard to tell what
the cost Of an oil car.
Mr.. Blanchard-When 60 upon the stand as
witness will give that information and much more.
Mr.. Sterne-But We would like you to give it to
milk car was yesterday when Mr.. Vanderbilt ON
the stand. Why did you give the informstion then9
Mr.. BlAnchafd-Becanse the New York Central
asked me for it,
Judge shipman objected to Mr.. Sterne's assump-s
ton that he represented the committee and that the
committee in accord with his lines OF question
The Chairman informed counsel that Mr.. Sterne
and the committee were entirely in accord
THE STANDARD COMPANY AGAIN.
Witness (rosuming)-Did not know the cost of
tank car had no opinion on the subject; fixed no
ratio milk; found it fixed and did not interfere
with it, had heard complaints once or twice. the
rate oil eighty cents per barrel for refined
was made upon certain rule that ono
and throe-tenth barrels OF crude produces
barrel of refined; never represented the New
York Central at any conference liking. the rate
Oil don't know what the terminal rate paid to tho
Standard Company ut New York is. Witness was
requested to obtain for the committee q statement
showing to what extent the Standard Company
shared in the rates. the amount paid that company
for terminal faclties whether not it shared in
profits on oil not handled by 1t. and what WAS CON-
pretended in the name STANDARD Oil Company"
Mr.. Jewett here took the stand. and on being ex-
amined by Mr.. Stcrne said he president Of the
New York. Lake Erie and Western hallway. and has
been since its organizations prior to that was presi-
dent OF the Eric since 1874 has boon since the 2th
OF May. and still is receiver Of the Erie.
Q. Why did you not end your receivership at the
time OF the new orgahixationr A. That is Tor the
courtssto decide.
MIR. JKwErr's PROTEST 40 THE COMMITTEE
Mr.. Jewett here arose and. addressing sthe chair
man, spoke as follows:-"I wouli now. with the
permission of the committee. make o statement.
When this committee was appointed was gratifed
s as 1a TO- the it's
anxious to render to il. and am now, all the aid
in my power to make that investigation sue
that purpose. But few hours before 1 left home
subp9nas were lett ut my Office having reference
to accounts. not the management. but the financial
trausac ctons between tho Erie Railway Company and
divers other parties which are now In litigation.
found, also, whom caine here the counsel OF
McHenry. one OF the parties with whom
are htigating sitting by Mr. sterne. and an
nounced in The papers as one Of his assistants IN
this investig alton. That did not trouble in the
least, but when the chairman OF the committee an
nounccd this morning tina. In this investigation in
sfttruf in
the way II has been conductcd-Mr Sternc
represented the committed. aud acted from
ference and consultation with the committee. /
felt 1t my duty then to inquire for myself
and to determine for myself the rcprescn tativc
of the New York. Lake Erie and Western Railroad
Company. what questions are within the purview Of
the resolution under which this committee was APP
pointed. with no Intention. however. to withhold
any thing about which there can be any possible
doubt. But cannot believe that this committee
intends to sit here to be made instrumental in got
ting or securing statements which may conflict with
testimony already taken, or may In any way affect
the issues pending between the railway company,
James McHonry, the London Banking Association and
Bischoflsheiin and Goldsmith all accounts and
respondence and contracts with reference to which
have been called upon this way. SO far as those
accounts concerned. IL the committee have any
doubt about their bong proper am willing to go
with the committee or any subcommittee and sub
NIT to them under that confidence. which suppose
this committee feels devoivcs upon them. the whole
record. but to present that here under these
circumstances. with irresponsible counsel to take
advantage OF every thing which may be said for the
purpose of aiding them In the trial of those causes
which to inc il position this COMMITTEES will
not consent to occupy. regard therefore this qucs
ton having direct reference to the questions pre-
sented upon the subpnnacs to produce those
counts and therefore object to It..
FOWLER SPEAKS IN REPLY.
Mr.. Fowler arose and stated that he presumed he
was the person referred to by Mr.. Jowett as being
present to forward the interests OF James McHenry
but begged to state that he there in that ca
pacity, nor did he think Mr.. McHcnry inter-
estcd had anyt thing to do with this investiga
ton. He was at one time In the interest OF clients
largely interested In the welfare of the Erie Com
pany, and in the course of litigation much
matter came to shis knowledge. which he
placed at the disposal of 4. b. Thurber, OF
the Chamber of Commerce, for the enlightenment of
the Legislative committee. He was referred by Mr.
Thurber to Mr.. Simon Sterne. counsel for the Cham
Der of Commerce aud Board of Trade, and
gagged by Mr.. Stcrne to assist him In his labor be-
fore the Legislative committee. Mr.. Fowler
serted that Mr.. Mciienry was In way concerned,
to his knowledge. In the affairs OF the committee.
and that his (Mr. Fowler's) information OF Erie
affairs referred exclusively to the administration