St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1884-12-28
CHAtFEES SECURITIES.
Son-in-Law Buck" Grant Tells What
He Knows About the Firm Of
Grant d Ward,
And Gives the Public Hint Of the Methods
ofthe Brilliant Blmboozler, Fred
e=iek Ward.

NV YoRK, Dec. 27.-In the suit brought
BY ex-SgD ator Chaffee against the receiver Of
be defunet firm OF Grant & Ward, 70 recover
about 100000 worth Of securities found
among the assets OF the hrm, 5uI claimed
by Chsffee, U. S. Grant, Jr., testified be was
a partner In the firm of Grant & Ward, and
son-in-lsw OF Chsffee. Mr.. Chafiee gave the
witness some bonds, on which be borrowed
$40, 900 and went 10 Europe. He
intended to repay bis father-in law.
but Instead, on his return, borrowed an ad-
ditional 100000. This money went into
the hrm as his individual interest. Witness
had charge Of all ChafTee's interest and owed
him $3.50, 600. Ward suggested il would be
better to use the money Of his friends rather
than 60 outside, and witness, after writing
Chaffee and telling him what a good thing II
was, obtained bis consent 10 transfer the Sc
curities. Ward guaranteed the loan. The
money was supposed To be used in buying
govern ment contracts and making loans 10
railroads with so per cent. profit.
Ward frequently showed advertisements OF
govern mvnt contracts. aud said lie would try
10 get them. The profits were to be distrib-
uted among the members OF the firm evenly,
but sometimes, when they were smaller than
usual, Ward would take bis share and divide
the balance. Ou the profits made upon the
loans from Chafer, Chsfire was 10 have so
per cent. profit, out OF which be allowed
something 70 witness. Ward knew the loans
were from Chatfee, because witness told him
so. Ward displayed great knowledge Of
what went on in the Office, and. II
wituess had $1,000 OF $40. 900
in bank on his own account, Ward
generally borrowed il. When contracts
papcr) 10 81, OO0, 900 OF 50, OOO, 900 witncs.
asked Ward IL they could BE- let In, but Ward
replied be wanted 10 bui4d up a banking
house, and contracts were outside matt-rs
for which be was responsible. DE said he
bad got contracts away from David Bows.
and somebody might in turu get them away
from him, SO they had better be- kept scpar-
ale. Witness said he had advanced IN cleau
money Tor the business various sums. He
had $500, 0OJ Or $500, OO0 before be went iutu
business with Ward. Sunday, May 1, he firsl
learned OF the trOnble, when Ward came Ia
his house and said be WAS afraid all vas up
with them. Witness asked what he meaut.
aud Ward explained that tile Marine bank
had drawn heavily on its reserve, aud Their,
was $3.50, 900 ~ the credit ol the firm there
Tue iauurc Ot the bank Wuuld make IL diff
cult 10 OBTAIN loans on the street Ward saiu
If money could be raised, il would be- ali right
Witness SAID be could not raise any mOury,
but his father migAt
Witness and has father then went IN Mr.
Vanderbilt aud got a check Tor $3.50. OOO.
Gen. Graut told Vanderbilt he lhougut the
check OF Grant q Ward was AS
good AS the cheek Of Vanderbilt.
Tue check was drawn to the order
vi Gen. Grant Next DAY witness took Ia,
chrck for $3.50, 900 10 Mr.. Vanderbilt, and hr
regretted he hau not bad il certified, as Il
MAS drawn on the Marine bank. That DAY
witness received letter addressed ''Dear
Buck" and went 10 see Mr. Elkins, who
went with him 10 Wards house in BROOKLYN.
where they waited until midnight before Mr.
Ward came IN. Ward said the balance in
the Marine bank was about 5000, 900 or $780,
900, and If Spencer (the cashier) had said
1t was S663,OO0 he made mis-
take. E-kins thought tie Interests OF
CuaGee should be protected, and Warn
Thought that there were other interests 10 be-
protected. Up tO that time witness had no
idea tue money WAS due any others than his
own family and Mr.. Chaifce. Ward agreed
Ia meet them with the keys OF the safe nrxi
day, but DID not, WHEN witness went 10 the
Sale Deposit company and Informed IN,
officers 1e was a partner IN the firm OF Grant
* Ward, aud had their safe opened, alter
which the securities were counted by Messrs
laruCuue and Elkius