Evening star. [volume] (Washington, D.C.) 1854-1972, 1882-05-01
THE PERU INVESTIGATION.
SENATOR BLAIR EXAMINED.
HIS KNOWLEDGE OF snlpHeRUs SCHEME.

and formally announced sae subcommittee to
visit New York, after which Senator Blair was
sworn. and Chairman Williams began q series of
questions, to which Senator Blair replied that he
desired. before answering any direct questions to
submit as part OF the record his correspondence
with the committee touching his appearance
before them. The letters were then read and were
fS to be made "a part Of the as
permission to appear before the committee.
SENATOR BLAIRs GENERAL STATEMENT.
Senator Blair then said: 81 have In a somewhat
hurried manner prepared general statement in
relation to the subject under investigation, which
l will read. and will then be pleased to answer
such questions as properly can"
Representative BlOunt desired to know exactly
what was meant He thought the witness put
himself unreservedly in the hands Of the COM
mlttee. fany questions were to be reserved, he
thought 1t had better be settled at once.
Senator Blair replied that he could not tell in
advance what questions might be asked, but he
He then read in efrect: II know nothing of the
membership of the Peruvian company. Except
the president, Mr.. Sh1pherd. do not know OF any
member OF either house being In any way what
ever connected with It except myself, and my con-
nectfon with it was purely as counsel with no pc
canIiary cum interest whatever in the company. and
with no expectation whatever of pecuniary re-
ward The statement then rehearsed at some
length the situation OF affairs in Peru and Chilli
prevent her dismemberment, which led him to
take an interest In the purposes and objects the
feruVtan company.
AS ID SENATOR BLAIR's RETAINER.
The statement then set forth the circumstances
which led up to witness accepting retainer from
the Peruvian company. He was introduced to Mr..
Shtpherd in New York as he (witness) was passing
through On his way to New Hampshire. Later,
near the middle OF July, he saw Shipherd again in
New York and had long conference with him, in
which Shipherd expressed strong sympathy with
Peru, and explained that his company was calcu-
lated to afford an opportunity to Peru to settle her
avoid Witness
listened to a long account from shipherd Of the
plans OF the company and promised his cordial
retainer, which witness at that time declined.
Some time In August, Shipherd wrote Offering wit
ness % as retainer stock in the company. Witness
money II he took any. Shortly after he
lShipherd) sent witness some scrip, which
set forth at the time in a letter. Witness then
read the letter, in which, while expressing his
hearty sympathy with Peru and the Peruvian
company In its desire to save her from dismem-
berment, he found that events were taking a turn
which renderedit highly probable that the subject
would become one for Congressional action, and in
view OF his distinct StipuLtt In deciding to take
retainer that he should return it at any time
under such contingencies he therefore returned
the scrip, and assured Mr. Shipherd that his sym
pathy was still strongly with the line OF policy to-
ward Peru which the Peruvian company favored.
Witness then read the letter which he wrote at
"Wlth the exception OF ex-senator Cragtn, this is
the only gentleman with whom ever had any
correspondence on the subject"
THE LETTER TO EX-SENATOR EATON
bore date November 26th, 1881. The letter says:
s'Mr Shepherds management OF the affairs Of the
Peruvian company seems to be tending so much
In direction towards requiring Congressional
action that have felt it my duty to retire from
my retainer" In further aIlusion to the comnany
II says: "!n fact, have never received anything
CT value from it; and again, should be sorry ii
TINS opportunity TO help both North and South
America should be lost by failure on the part OF
policy"
policy had been, and added: $50 far as know,
the affatr OF Mr.. Shipheri had no influence what
ever upon the policy OF our government, and never
had the effect to alter or change it In any conceiv
able degree"
THE INTERVIEWS WITH SECRETARY BLAINE
Witness then alluded to the interviews with
Secretary Blaine which took place on the 18th and
26th OF July. and added: 81 have no desire to go
over in detail, what occurred at those Interviews
unless 1t be the wish OF the committee that
shall do SO. desire to state that / never heard
Mr; Sh1pherd make any mention, in the presence
OF Mr. Blaine or on any other occasion in my pres
ence, OF his having made an offer to Minister
Hurlbut Of $250,000 OF stock in the Peruvian COM
pany; neither did ever have any correspondence
With Minister Hurlbut on the subject Of the Peru
Wan company" Witness had received a letter
from Mr.: Hurlbut, but never answered it. In the
letter Mr.. Hurlbut mentioned having received
many communications from Mr.. Shipherd, and
said he could not make him tShipherd) understand
that he {HurlbuD could not act in the matter, ex-
cept on instructions from the State department..
butts. He had, however, roughly blocked out an
answer, and had no objection to showing the COM
mltuee decided that they did not care for the reply
as it had not been.sent.
THE ARIzoLA LETTER
Witness then stated that he knew Of the letter
to Mr. Arizola, but had nothing to do with its
preparation. Mr.. Shipherd read to him (witness,
ness did not see at the time or now any impro-
prfety in Mr. Shipherds sending it to Mr.. Arizola
through Minister Hurlbut. 1t was known that the
mails were being tampered with, and this seemed
to be the only secure way of sending the letter. SO
that it would reach its final destination.
THE LETTER TO WALKER BLAINE.
Witness first saw the long letter of Mr.. Shfpherd
to Walker Blaine when he saw it in the printed
report OF Mr.. Shipherds examination before the
committee. He had, however. been requested by
Secretary Blaine to inform Mr.. Shipherd that he
(Blaine) did not wish him {Shipherd) to hold any
correspondence with any subordinates OF the State
department, and this desire he had verbally con-
veyed to Mr.. Sh;pherd.
Witness knew nothing Of the Credit Industriel
or their contract with Calderon.
IN RELATION TO HIS (BLAIR'sl LETTER TO SHIP
in which he says: "You should act as though
American ships OF war were on the way" wit
ness believed that our government ought to con-
slider the kidnapping OF Calderon breach OF good
"
at that time entertain the slightest apprehension
of any war between the United States and little
nation OF less than 20O0 600 people, however pucky
they might be, he had thought it most likely that
American ships OF war would be sent to the
South American waters, as English ships had
already BEEN 1t had been mainly due to the
efforts OF Minister Hurlbut-in pursuance of his
instructiOnS-that Calderon had been enabled IL
exercise the authority that he had done, and he
(witneSs) looked upon his forcible abduction as
measure which might be undOne by little firm
hess on the part OF our government. He under
stood that General Grant, without any pecuniary
interest whatever In the Peruvian compa nv, was
strongly In favor OF rendering such sympathy aDd
aid to Peru as would assist in giving her chance
before permitting her rdiSmemberment
AS for himself, witness was more interested in
the true policy OF our country than In the Ship
herd company or any other company.
Witness then stated that he was prepared to
answer any questions the committee might desire
to ask.
ADJOURNED TILL WEDNESDAY.
Representative Blount stated that he wished to
have the statement In print before proceeding
with any further examination, and as the hour OF
adjournment had arrived, the committee went into
secret session, and the room was cleared, Chair
man Williams remarking that the next meeting
win be upon call, probably on Wednesday morn
Ing
THE SUBCOMMITTEE 10 FAKE TESTIMONY IN NRw
YORK.
N was decided during the secret session OF the