St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1893-03-11
AS TO PINE LANDS.
The Investigation Begins In the
Auditors Office.

Auditors Office.
The special committee of the house
appointed to investigate the recent sale
by the state auditor of pine lands in
Mile Laos county met in the auditors
Office yesterday afternoon on account of
the crippled condition OF Auditor Bier
man, which makes 1T very difficult for
him to get up stairs. Fayette Ma rsh,
the Saltwater attorney, appeared ana
wanted to make statement to the COM
mittee but in correspondence which had
passed between himself aud Chairman
Dunn he had offended that dignitary
and his request was summarily refused.
G.. A. Smith, of the firm of Smith g.
Co., Minneapolis, who purchased the
land i'll question, was the first
and one of the most important of the
witnesses. He stated that his firm pur-
chased the Stumpage from the state au
ditor about IA year ago at 81 per 200. 1t
was not worth that much, he said, but
he thought they could afford to pay
more than its value. because they were
cutting logs in another section. in that
vicinity. He would have been glad at
any time to sell out for 81 per l,000, and,
in fact, if any one would pay the camp
glad to close out all the standing pine at
81 per 1000. He testified that the logs
are worth IS per 1000 in boom limits in
Minneapolis, and the cost of getting
them to market was from IS to So per
1000. The contract for cutting, driving
and hauling the logs i'll question was
5000. He stated that, if the season were
favorable, the contractors would make
little money, but in case the logs were
tied up they would lose. 1t was fire.
quently the case that logs remained
tied up for several seasons. Under
these conditions the cost of driving was
more, and the timber itself deterioIated
from % to 80 per cent in value.
Mr. Dunn inquired of Mr. Smith if he
had paid a premium for the timber, and
he replied that he had not. but,under
stood that premium had been paid. He
did not know how much. He considered
that his firm had paid full value for the
logs in question. In answer to ques-
ton from Mr.. Dunn he stated that his
firm had bought 80, 900, 900 feet of other
timber at less than 81 per thousand, most
of it from the n orthern Pacific Railroad
company. He bought the stumpage in
good faith, thinking any action of the
state auditors would be legal.
State Auditor Biermann was next
sworn. lie acknowledged having VIII
ten the letters to which Mr.. Dunn had
called attention, and when asked what
was his authority for selling stumpage
at private sale. said that, az custodian
Of, the state lands, he was supposed to
act for the best interests of the state.
and was frequently called upon to use
his own discretion, as in this case. He
considered that he mad good oppor-
tunity to sell this land and accepted it,
as the timber was liable to damage by
fire if held. Mr.. Biermann said he did
not reeoIect that Mr.. Goss had ever
been in his office or that he
had made any offer to pay 81 per
1000 for the timber in question.
He said that since the trouble arose lie
had instructed the state examiners to
look into the matter ana submitted re-
ports from James Holman and j. A.
Wesley to- show that the land was eS-
timated by them to be worth g per
1.00J.
James Mulvey also testified, his testi-
mony tending to show That Mr.. Bierman
had received good price for the stump
age
Inspector Clark testified that GoSs
had called at the Office during Mr.. Bier
mIAnH'S absence. and he bad told him to
either call when the auditor was i'll or