The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1884-12-28
VANDERBILTS CHECK TO GRANT.
Testimony of Ulysses S. Grant in the Suit
Brought by Senator Chaflee.

New YORK, Dec. 27.-In the suit brought by
Senator Chaffee against the receiver of the de-
funct firm of Grant & Ward, to recover about
$500 900 worth of securities found among the
assets of the firm but claimed by Chaffee, q. S.
Grant, jr., testified that he was partner in the
firm of Grant & Ward, and sonin-law of Chat
fee. Mr.. Chaffee gave the witness some bonds,
on which he borrowed $4,000 and went
to Europe. He expected to pay his father-in-
law, but instead, on his return, borrowed an addi-
tional 800 900. This money went into the firm as
his individual interest The witness had charge
of all Chaffee's securities and owed him $780, 600
Ward suggested that it would be better to use
the money of friend rather than 60 outside,
and the witness, after writing ChafTee and tell
ing him what good thing it was obtained his
consent to transfer the securities. Ward guar
anteed the loan. The money was supposed
to be used in buying government contracts and
making loans to railroads, with 80 per cent
profit Ward frequently showed advertisements
for government contracts, and said he
its were to be distributed among the
members of the firm equally, but some
times, when they were smaller than
usual Ward would take his share and
divide the balance On the profits made
on loans from Chafee, Chaffee was to have 50
per cent. profit, out of which he allowed some
thing to the witness Ward knew the loans
were from Chaffee, because the witness told him
so. Ward displayed great knowledge Of what
went on in the office, and if the witness had, say
So 900 or $40 900 in the bank on his own account,
Ward generally borrowed it When the con
tracts of the firm, with contingent profits,
amounted on paper to 5000 0C0 or $500, 600, the
witness asked Ward if they could be let ill., but
Ward replied that he wanted to build up the
banking house, and the contracts were outside
matters, for which he was responsible.
He said he had got contracts away
from David Davis, and somebody might, Ill
turn, get them away from him. SO they had bet
ter be kept separate The witness said he had
advan ced, in clear money, for the business
various sums; he had 5000 900 or $500, 900 before
he went into the business with Ward. On Sun
day May T. he first learned of the trouble, when
Ward came to the house and said he was afraid
all vas up with them. The witness asked what
he meant. and Ward explained that the Marine
Bank had drawn heavily on its reserve and
there, was $4,000 to the credit of
would make it difficult TO obtain loans ON
the street. Ward said if money could be raised
it would be all right The witness said he could
not raise any money, but his father might 1ne
witness and his father then went to Mr. Wander
bilt and got II check for $50, 00Q General Grant
told Vanderbilt he thought the check of Grant
e. Ward was as good as the check of Wander
biIt The check was drawn to tire order of Cen
eraI Grant Nextday the witness took the check
of $3.50, 0ea to Mr.. Vanderbilt, and he regretted
/ he had not had it certified. as it was drawn on
the Marine Bank That day the witness re
ceived letter addressed Dear Buck and
went to see Mr. Elkins vino went with him
/ towards the house in Brooklyn, where they
waited until midnight before Wand
came in. Ward said the balance in the Marine
was about 5000. 900 or $500, 600, and if Spencer
the cashier. had said it was 1868. 600 he made a
mistake. Elkins thought that the interests of
Chaffee should be protected, and Ward thought
that there were other interests to be protected.
Up to that time the witness had no money that
was due any other than his own family and Mr..
Chaffee Ward had agreed to meet them with
the keys of the safe, the next day, but did not,
when the witness went to the Safe Deposit Com
pany and informed the officers that he wanted
the safe opened. after which the securities were
counted by Messrs. LaPocque and Elkins