Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1885-10-09
GRANT Il WARD.
Ferdinand Ward Interviewed-The TN.
successful Schemes of the Firm by
Which They Sank Thousands-Many
Infiuential Men Implicated.
New YORK, Oct. s.

New YORK, Oct. s.
That a success sosphenominal as that which
apparently attended the brief career of Grant
& Ward should be followed by disaster so
complete, and that no acceptable explanation
could be obtained by expert search, has been
monumental conumdrum over the solution
of which Wall street and many another street
has labored and pondered for months.
The New York Herald this morning prints
eleven columns of an interview with Ferdi-
nand Ward. giving transcripts of books and
copies of numerous letters and documents in
complete detail Of the inside history of the
firm In this interview Ward reveals the
names and profits of men, many of them in
high standing in the community, business
men who took commissions from him for
securing him favors in financial institutions
which they controlled, or who accepted month
after month at his hands profits so great upon
their investments with him that. if not their
consciences, their business experience must
have told them that such profits could not be
honestly earned.
OF Gen. Grant, Ward saws that he never
looked at the books, but took everything to
be right.
Ferdinand Ward, it seems, was the son of
the late Scott Lord. He was employed in
the produce exchange, married the daughter
of director of the Marine bank, and thus
made the acquaintance of Fish, with whom
he soon began TO speculate. He made a good
deal of money from a mine, and had $780,
600 of his own tc put into the firm of Grant.
Ward & Fish in July. 1880. the other two
partners putting in each an equal amount.
In November of the same year Gen. Grant
was admitted to the firm, and it seem that
thereafter the firm made frequent losses. The
coal mines of Gen. Gordan, the West Shore
bonds of Gen. Horace Porter and various
other losing ventures were entered upon,
Ward says, mostly upon the suggestion of
the Grants.
Ward tells the story of the connection of
his firm with the Belmont Coal and Railroad
company, of which Major General John b.
Gordon, formerly CT the Confederate service
and conspicuous at the funeral OF General
Grant, was president, and of which the firm
of Grant & Ward became propretors:
General Grant came into the office ac
companied by General Gordon, and his son
U. S. Grant, Jr., some time in 1881, and hav-
ing introduced General Gordon to me said he
had been talking with Gordon on matter of
business and that he had brought him down
so that he might talk with me and then de-
termine what was best to do. General Cor
don sat down in company with U. S. Grant,
Jr., and myself, General Grant having left
after the introduction, and stated that he, to-
gether with a few others, was the owner of a
coal mine and railroad in Belmont. The
other owners were General A. II. ColQuitt of
Georgia, K. c. Gordon and W. S Gordon,
but being financially embarrassed they could
go no further with the management, and that
he, General Gordon, had now come to con-
suit General Grant with the idea that the
General should become interested in the pur-
chase of the property. General Gordon told
us that the mine could be put in thorough
working order for from S30,00 to $50, 900,
that the debt of the company was some $780,
900 and that there was great demand for
coal and that if the mine could be put in
operation they would have no trouble in dis
posing Of the product as fast as they could
take it out.
Gas it was expressly desired by both u S.
Grant, Jr., and his father that we should aid
General Gordon in the matter if possible,
consulted with Fish about the matter and he
said that although we knew nothing about it
still if General Grant and his son could relv
on General Gordon could, and also if it
was their wish to make an investigation that
we, Ward and Fish, would not stand in the
way.
The company was reorganized, Gen. Cor
don still retaining the presidency. There
were issued 500, 900 in bonds and S40O, 900
in stock, the agreement being that Gen. Cor
don, Gov. Colquitt and Gen. Gordon's broth
ers should have 5000 shares of the stock but
that Grant and Ward should have control of
the proxies representing at least one-half of
the entire capital. Gen. Gordon and his
friends received the stock, and, after the
firm had made several payments on account
of the mine. we received letter from Gen.
Gordon. dated April %, 1881, in which he
asked for loan of $40, 900 on his note and
the stock in the mine as collateral, and gave
as reason for desiring the loan that he had
sl4, 200 of his money in the Citizens bank
at the time of its suspension. He was max
ing improvements upon his residence at At
lanta and had expected to use this money for
that purpose, and added we will have in the
treasury of the Belmont Coal and Railroad
Company at least $500 after our improve
ments are completed
II consulted with Mr.. Fish and with Gen
Grant and U. s. Grant, Jr about the matter
The Marine bank made a loan of 5000 on
April 25. 1881, to us on a stock note given bv
Gems. Gordon and Colquitt and Gen Cor
don's brother. Gen. Gordon failed to pay to
the Marine bank this loan, although repeat
edly requested so to do.
$50, in a nut shell Grant & Ward bought
mine from Gen. Gordon and others, they
issued 500 900 bonds and put 800, 900 into
the mine, they used 100000 in paying the
debts of the mine and putting it into working
order, they issued 1000 shares of stock. 5000
of which are given to Gen. Gordon and his
friends as bonus, Gen. Gordon obtained
loan at the Marine bank of SIS, 200 on 5000
shares of stock, the Marine bank repeatedly
called on Gen. Gordon for the principal of
the loan and no attention is paid to the calls
At the importantly of Fish the firm of Grant
Ward is compelled to take the loan up
from the Marine bank and they do so and paw
SIS, 200. This gives them control of the en-
tire stock and bonds of the mine
FINALLY, March s, 1882. the resignation
of Gen. Gordon was asked for, received and
accepted. II. G. Otis was engaged to man
age the mine upon a stated salary but it was
soon decided to close it up as losing ven
ture and thus it was that although when the
firm purchased the mine Gen. Gordon said
there was not over $50, 1000 or $50, 900 in
debtedness on it, that they had spent up to
the time the mine was shut dewn some sl30,
600, besides having assumed the debt of Gen.
Gordon to the Marine Bank as loan on this
stock which cost him nothing
"Sinee the failure Of Grant & Ward the
mine has been sold for 5000. 1t vas through
the suggestion of Gen. Gordon to Gen. Grant
that the firm of Grant a Wapd Jo.& f~or,