The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1898-11-17
Dreading Indictment by the Grand
Jury He Wished That lie
Were Dead.
The Wrecker Said That the Los Angeles Railroad
Submitted to BlaCkmai to Save the
Two Banks.

In all but one of the concluding let
tiers of NJ H. Sherman to the managers
of the Pacific Bank and the Peoples
Home Savings Bank the arch-con-
spirator discussed the great Los An
geles electric road and its distressed
condition during the existence of the
Pacific Bank. In these letters Sher-
man himself admits the worthless char
acter of the bonds which he had in
duced the McDonalds to accept. Not
only were the bonds of no practical
value, but the road itself was con-
slant drain upon the treasury of the
Pacific Bank After Sherman had
built the railroad, he either cajoled or
forced the McDonalds to support it.
In one of his letters he frankly adj
mits that in a period of ninety days
the railroad had paid out $4,000 more
than it had taken in. In another he
declared that the project had cost an
enormous sum Of money but having
been launched it would have been
suicidal to retreat. So much money
had been sunk into the scheme that
Sherman determined to get as much
more as he could and strive for success
in the very face of defeat.
During this period of threatening dis
aster the great conspirator claimed
that he was constantly at the mercy
Of blackmailers and was forced to pay
them hush money to prevent an expose
that would have ruined not only the
road, but the banks. Sherman de-
elared that he dreaded an investigation
whose object would be to discover
whether or not bride money had been
paid to the City Council of Los Ange-
les or the Legislature of this State. The
bank wrecker wished primarily to
avoid any public knowledge of the in
innate connection between the Pacific
Bank and the Los Angeles Electric
Railroad. The condition of the road
was such that if the bank were con-
nected with the project it would be
most seriously injured in the. financial
world One of the most sensational
letters ever written by Sherman was
penned over an alias. When the south
ern schemer wrote he was in fear of
financial ruin and personal dishonor.
He believed that his enemies had sur
rounded him and were more powerful
than he and he dreaded that the grand
Jury of this city would make an honest
investigation of his affairs. Under the
stress of mental torment he pleaded
for mercy and assistance, cringingA cry
ing and begging for aid in his distress.
sHERMAN'S BAREFACED ADMISSION
THAT HIS BONDS WERE USELESS.
"Jayhawker" again thrust his ag
gressive personality into the affairs of
Sherman, who thought Dick Mcdonald
might have been influenced by Wood
ards talk Fearing that such was the
case Sherman penned a long letter
Safeguarding Woodland and trying to
convince the McDonalds that he was
still alive to their interests.
L. A, Thursday, a m.
My Dear Friend: 1 thought that r.
H Jr did not seem quite as cordial
the other day when visited s. F., but
l could not account for it in any other
way than by the fact that that man,
Woodland had influenced him against
me. Still it does seem strange that a
nasty two-faced liar could have influ-
ence over any one. l dread him as l
would rattlesnake and don't want
to see him. l have a man in Phoenix
looking over the Phoenix water works.
turning 1874 600 in cash over to the Pa
cific Bank Every day | keep trying
and thinking and / am trying to ma
ture a plan to. help the Pacific Bank
get its $66 000 out of the Valley street
railway bonds, and 1 am working all
the time. Very truly, NJ. h 5.