The Columbian. [volume] (Bloomsburg, Pa.) 1866-1910, 1880-06-18
Garfield and the Credit Mobilier.

The New York Tribune is quite gleeful !
over its escape from the diet Of boiled crow 1
on which 1t would have been obliged to sub
sist II fGrant had been nominated at Chicago |
But that journal was not so fortunate in the |
nomination of Garfield as its editor pre-
tends. 1t will be forced to eat its own words
iu supporting the republican nomination. 1t
was very severe on the congressman who
were implicated in the Credit Mobiler mat
ter at the time it was first made public.
When that disreputable business was under
going investigation in congress the Tribune
took occasion to remark
at is very easy to see that the stock Of the
Credit Mobiler was very handsome invest
ment, provided it could be purchased at par
Here was wherein Oakes Ames was such
pr fitsbe friend to Congressman and Sena-
tors. He let them in, as he phrases it, on
the ground floor. They got their stock at
par, and the dividends which were ready 10
be paid were more than enough to pay fJI
| the stock. This is what is called in Wall
street parlance max ing one hand wash the
other. The actual value ofstock sold at 800
share would have been to anybody out Of
the circle of Oikes Ames' friends not pur-
chaseable for less than $500 to S400. But
there was film of decency thrown over the
transaction by Mr.. Ames, in charging sever
al months interest on the stock at the time
| it was sold to the members of Congress.
| This interest had accrued while he was
holding it 10 see where it could be placed to
the best advantage"
That is to say that the Congressman who
received stock from Oakcs Ames got it for
nothing or as giit the accrued dividends
being sufficient to pay for it. The Tribune
went on to say: The more recent Legislation
which Ames' transactions with members of
Congress had reference to, may be stated in
a few words. Secretary Boutwell, insisted
that half the earning OF the road il carrying
mails and troops for the Government should
be applied to the payment of interest on the
loans that the government had made to the
road The Legislation obtained overruled
the Secretary aud enabled the road to post
pone payment ofinterest until the bonds fell
due some thirty years hence. To sum up, it
may be briefly stated that the Union Pacific
and Credit Mobilier together got the pro-
ceeds of liberal United States land grants, of
donations of communities near the road and
the entire subsidy of government bonds, as
a clear profit. The proceeds of the mortgage
bonds which displayed the government lien,
were sufficient to have built the road TO
| ~ riu '
cihc, the profit was something almost in
credible. A share bought for So subscrip-
became 500 Credit Mobilier, which paid,
as we have seen in the evidence concerning
the Legislators who received it, dividends
that amounted to at least treble its nominal
value 1t is, of course, that all Legislation
who favored the Union Pacific railroad
swelled the profits Of the Legislators who
became stockholders in the Credit Mobilier
The awkardness OF this position was vastly
increased by the thin disguise Of purchase
being torn away, under which the profit
bearing stock had been really the gift of
Oskes Ames The denial of the facts con-
verted the transaction into criminal act"
|
who where shown by the testimony taken
before the investigating committee to have
received Credit Moblier stock from Oakes
Ames. He went before that committee and
denied on his oath that he ever held any of
the stock. So then it appears that the re-
publican candidate for President was one OF
those Congressman whose denial of the
facts" according to the Tribune converted
the transaction into criminal act." Mark,
now, the article in the Tribune from which these
extracts are made was published months At
ter the death of Horace Greeley and while
Whitelaw Reid, the present editor of that
sheet, had control of its columns. The
question arises, has Mr.. Reid changed his
former opinion of the conduct of the Con-
gressmen who received Credit Mobiier stock
as gift from Oakes Ames? If not he is
convicted by his own newspaper of support
ing candidate tor President who was guilty
OF Criminal act" This is the severe and
nexorable logic OF the matter and there is
no possibility of escaping it, The Tribune
will not eat crow but it will be obliged to
masticate its own editorials 10 supporting
Garfield for President - Patriot