The New York Herald Newspaper, February 15, 1873, Page 3

WASHINGTON. Extraordinary Developments of Corrupt and Fraudulent Practices in Committees, BAD WAYS AND MEANS. Debate in the House on the Distribution of the Geneva Award. BROTHER HARLAN IN A BAD PLIGHT. @ancus of the Republican Senators to Oon- sider the Business of the Session. ‘Treasury Circular on the Shipment and Dis- charge of Seamen—Pomeroy Wants to Prove an Alibi—No Compro- mise in New Orleans. WASHINGTON, Feb. 14, 1873, The Leak in the Ways and Means Com- mittee—How Bills Are “Nursed”—The Tobacco, Whiskey and Stamp Tricks of Last Congress. The charges made against the clerk of the Com- mittee on Ways and Means of accepting money to “nurse” jobs and keep interested parties posted as ,to the temper of the members of the committee toward their measures has revived the story of tampering with the conference report of the Fi- Rance and Ways and Means Committees at the close fthe last session of Congress. For several years the plug tobacco manufacturers had veen working tosecure a uniform tax on al! manufactured to- bacco. It was finally agreed the tax should be twenty cents per pound. The manufacturers of fine cut were disappointed; but one of their strikers, in a fit of enthusiasm, declared that it did not make a particle of difference what Congress did, he could fix the bill to quit hisinterest. Thisremark, heard by a promi- ment tobacco dealer, induced him to watch the bill. A careful examination disclosed the remarkable fact that the important clause, establishing a uni- form tax at twenty cents, had been altogether ‘omitted, While the bill was under consideration im the Senate the omission was pointed out and the report of the conference committee inserted. Had it not been for the vigilance of an interested party the money contributed by the fine cut men to de- feat the amendments would have been successtul. No sooner had the act been signed than it was dis- covered that the clauses relating to spirits, instead of being operative on the ist of July, as the con- ference report agreed, was deferred until the ist of August. A more stupendous fraud =and __—ibetrayal of confidence is got known in. the history of legislation. For the sake of uniformity it was agreed rthat the consolidated tax on whiskey should be -seventy cents yer gallon, which would yield the government. all the revenue it was possible to collect from this source, while it would simplify the labor of the revenue officials and greatly lessen expenses. Con- mected with it, however, was a clause relating to spirits exported ; and what was the astonishment ofthe Internal Revenue officials to find that the trade had until. August 1 instead of July 1 wherein to take advantage of somebody’s mistake! During the month of July last the biggest Speration in spirits took place that was known since ante-bellum days, when whiskey ‘went up faster than it went down. Several large distillers not in the ring were ruined and com- pelled to go into bankruptcy. Senator Sherman @eclared in explanation that July 1 was dis- tinctly agreed upon, but that the Tariff act had probably confused the clerk in copying the bill. Then came the third surprise. The conference committee agreed that the stamp duty should be taken off checks and retained on every other article; but the bill reversed the order, retaining the tax on checks and repealing all other steam duties under that section. This nice little job is ex- plained at the Internal Revenue Bureau as being im the interest of a company whose business would not have prospered had the report as agreed upon been carried out. Then there were certain changes in the punctuation of the Tarif bill which relieved importers of books ten per cent. Now all these wonderful mistakes were pointed out to Sherman and Dawes, but, strange to say, they could not “see” anything wrong. Supposing somebody did buy a fine residence and own @ well stocked farm on $1,500 per annum. ‘Whose business was it, eh? Not that of the pub- lic. Ob, no! It did not cost the government a cent because somebody took liberties with tariff and internal revenue matters; certainly not! But ft is a matter of record that the chairmen of the Committees on Finance and Ways and Means had their attention directly called to the fact that somebody within their reach was oe for chan, ng ; conference gommittce reports iF the benefit of spectators. And 4 Hh gaat certain that the honorable chairmen of thésé tom. Mittees lifted up their hands in pious horror, ex- Claiming, “Impossible! impogsible!” A greater ‘Scandal than that of Crédit Mobilier overhangs the names of Sherman and Dawes. Bold-faced lobbyists, sneaking pretenders, pious frauds, exhorters and laymen in the Church hang around Washington, whose characters are despicable compared with the wharf rats of New York, and yet they find de- fenders in the leaders of both houses of Congress. The clerks at the Capitol are to-day superior to Congress, for by ascratch or stroke of their pens they can accomplish what the entire body of Con- gress would not presume to accomplish. They make and unmake legislation at the behest of every interest that pays. Debate in the Ho on the Geneva The only subject of general importance before the House to-day was the Geneva Award bill, pre- sented by General Butler, who made an able, ex- haustive speech in favor of the mode of distribu- tion recommended by the Committee on the Ju.li- Cary. He argued that the government was nota trustee of the money awarded. His principal ar- gument was, however, directed against the insur- ‘gnce companies, who claim about four millions after having received six miilions in war premi- ums, or a net profit of about two millions. Gen- eral Butier thought the award should be distrinuted inthe following order:—First, to the shipowners who have lost vessels that were not insured »~ the sailors and officers who inanned them’, segong, ‘hose who paid war risks shall be reimbursed for them, and lastly, the unfortunate insurance com- panies shall be compensated for their losses above the war premiums received. Mr. Peters, of Maine, Offered an amendment that the interest shall be ald from the day the loss was sustained, not from the date of the award, as the bill provides. Mr, Clarkson N. Potter made a long and prosy apeeen tn favor of the claims of the insurance companies, but his arguments did not appear to make a deep impression on the House. The bill will come ° Sgain to-morrow for further discussion. o Protest Against the Kemoval ¢” Troops from the Sow he ag Supervisor Perry has written a lette missioner of Internal Revenue mr tntimations that troops are * from the South, in which he _F to the Com -eference to the 0 be withdrawn of all the troops fp 4y8:—‘The removal and Georgia woula om North Carolina fortune to the re be a great mis- ag these States are- venue service, so far has patties out cor CORCerned.”” The Supervisor eries, and ty “8tantly breaking up iilicit ais- 4 service, he says, cannot be per- fully without the aid of an armed soldier is worth half a dozen armed -tizen’s clothes, The Commissioner will NEW YORK HERALD, SATURDAY, FEBRUARY 15, 1873—TRIPLE SHERT. Tepresent the matter to the President and Secre- tary of War. Caucus of the Republican Senators—The me for the Coming Ten Days. ‘That happy family, the republican Senators, met in caucus to-day and adopted a report establishing &@ programme for the work of the coming ten days. The amiable Anthony was in the chair, and endeay- ored to reconcile all differences of opinion, and it was finally settled that the appropriation bills should have preference; that the bili to enable the President to squelch the Mormon polygamists should receive consideration, and that after that time Senator Sawyer, who will soon retire, should have a show with his bill on Education and Labor. No Compromise Effected in New Orleans, Hon. W. L. McMillan has received the foliowing from a prominent Kellogg republican in New Orleans :— New ORiEans, Feb. 14, 1873. The mooted proposition is that those members entitled to seats come into our House, and that a sumcient number of the Lower House to make a majority with them pledge themselves to go for reforms and the seating of those who are entitled to seats. This plan does not include the Senate. United States Marshal Packard has received the following despatch, dated New Orleans, February 14, from a Kellogg republican :— At @ caucus our members asked democrats legally elected to take seats at the State House. No compromise 1s rao of, nor is it likely an- other meeting will be hel Pomeroy Suggests an Alibi im Defence, Subsidy Pom is getting ready for his coming ex- amination, He hes so arranged matters that York and his other Kansas foes are to be questioned first. Pomeroy bas obtained Caleb Cushing, and it is said that he yesterday suggested the propriety of getting up an alibi, by showing that it was some deceased philanthropist who gave him the $7,000, and that he handed the money over to York to be used for charitable purposes. This pleasant narrative did not strike Cushing favorably, and he advised Pom to adopt some more creditable line of defence. Brother Harian Before the Senate Credit Mobilier Committe: Brother Harlan was before the Senate Credit Mobilier Committee this afternoon, and rather made “a judy” of himself. The committee had proof that Dr. Durant paid Harlan $10,000, also that this money was nbt spent for electioneering purposes tn Iowa, The Reverend Senator was not, however, inclined to disclose what he did with the money, and he tried to stand on his dignity; but the two democratic Senators on the committee were not to be bluffed 80 easily, and atter some interesting disclosures they let him retire until to-morrow, when he will have to account for quite a large sum of cash, Harlan hag stood on his dignity and used the whitewash brush long enough, He had better now get the Vice President to so testify that he will himself be exculpated, and then send for the men who generously remit large amounts of cur- rency in unregistered letters. “Where the Carcass ls the Carrion Crows Gather,” and we have here just now a large flock of black- coated legal gentlemen hovering over the Geneva award, They are hospitably received. They give good dinners to Congressmen, and use their attrac- tive powers of wit, learning and reminiscence to. aid them in securing influence at. the Capitol for thelr respective schemes. Meanwhile they don’t refuse tit-bit retainers from Congressmen who are on trial before the various investigat*%; commit- tees, for all is fish that comes to their legal nets. Unpaidg Postage—Decision of the Attor- mney General. The Attorney General to-day sent to Postmaster General Creswell an opinion to the effect that the section of the Postal act, which has been con- strued by the Post Office Department warranting the collection of double the amount of unpaid postage, is not in accordance with the spirit of the act. The Attorney General plainly says that only the amount of unpaid postage can be lawiully collected, The Shipmenc end Discharge of Sca- men—Circular from the Treasury De- partment. The following circular, relative to shipping arti- cles, was issued from the Treasury Department to- day :— To OFFICERS OF TN" @usTOMS AND OTHERS:— The Department regards as still in force the pro- visions of the act regulating the shipment and dis- charge of seamen, approved July 20, 1840, which re- quires owners of vessels in certain cases to obtain from collectors of customs certi- fled copies of the shipping articles, under section 12 of an act to authorize the appoint- ment of shipping commissioners, and approved June 7, 1872. The form and requisites of such ar- ticles are prescribed. In order to secure unifor- mity at the various ports of the United States in the mode of procuring certified copies of shipping articles, officers of customs are directed to re- quire owners of vessels (whose masters are by the last mentioned act obliged to procure articles from ashipping commissioner) to obtain the certificate of the collector of customs to the duplicate copy of such articies furnished to the master in any case by the Commissioner, and they will notify such owners and masters of the liabilities that may be incurred by a failure to produce to consuls of the United States in foreign countries a copy of the articles of agreement, authenticated as the law di- rects, informing them of the penalty prescribed in the nineteenth clause of the act of 1840, above cited, namely, a fine of $100 and con- tingent damages for proceeding on a foreign voy- age without articles certined by a collector, and of the penalty of $200 prescribed in section 14 of the act of June 7, 1872, for every person carried to sea as one of the crew without articles of agreement certified by the Shipping Commissioner. Adverse Report on the Tobacco Bill. Mr. Sherman, from the Committee on Finance, to-day reported adversely on the House bill amend- ing the Internal Revenye Jaw #0 ag to allow pro- ducers of tobacco to sell $100 worth of tobacco annually to consumers at the place of production, Nominations by the President. The President sent the following nominations to the Senate to-day :—Lieutenant Commander Theo- dore F. Keine to be commander in the navy; Mas- ter William J. Barnett to be lieutenant com- mander; Ensign E. H. Taunt to be Master. Appointments Confirmed. The Senate, in executive session to-day, con- firmed the following appointments:—R. C. Kerr, Register Land Office at Jackson, Miss; J. G. Baker, to be Captain in the Revenue Marine Service (reappointed) ; George Delap, of New York, and S. 8. Willett, of New Jersey, Third Lieutenants Reve- nue Marine Service; J. 8. Payne, Second Lieutenant Sixth cavairy, and Willigm W, Mitchell, Associate Jastice of the Supreme Court of Utah Territory. NAVAL INTELLIGENCE. Arrival of the Alaska from Hong Kong. The United States steam sloop-of-war Alaska, commanded by Captain Homer C. Blake, arrived at this port yesterday afternoon from Hong Kong, which port she left on the 29th of October. ‘The following is a list of her oficers:—Captain, Homer ©. Blake; Executive onary. ©, M. Chester; First Lieutenant, A. 8. Snow; Masters, R. M. G. Brown, J. B. Smith, O. T. Forse, A. D. Wadham, L. N. Rosevelt; Chef Engineer, 0. E. De Valan;, First Assistant Engineer, Jobn ey Paymaster, Frank Clark; Surgeon, J. H. ¢ Asi nt Surgeoy, S. W. Latta; Second , Gunner, Geor ze Fouse ; Satimal * er, W. Boatswe',,; Alexander McCone; Mate, Jonn Pav’ naster's Clerk, £. ©. Cronan, ed fassengers bronght home—Lientenants RockwelJ, George F. Wilkins. J. B. Jan, Aeut — Naval Orders. AWasninoTon, Feb. 14, 1873, Licuténant Commander D.C. Woodrow 1s ordered to the Sabiag> “Master R. Clarendon James to spectal duty“g_ New Orleans; Master U. R. Harris nay i Bye'c3 Ensigns Willian F. Buckley and Syd- ney way to the Juniata. / ©0D00 MURDERERS INDIOTED. An Oregon Grand Jury Indict Scar Faced Charley, Hocker Jim, One-Eyed Mose, Old Dr. Humphrey, Little Sim and Others of Capta: jack’s Gang= When Will the She: Execute the Warrants? SAN FRANCISCO, Cal., Feb. 4, 1873. To-day the Grand Jury of Jacksonville, Oregon, indicted Scar-faced Charley, Hocker Jim, One-eyed Mose, Old Dr. Humphrey, Little Jim, Boston Charley and Dave, all belonging to Captain Jack's band ot Modocs, for murder in the fitst degree. Mrs, Brotherton gnd son, the sutvivors of the Brotherton family, swore positively that these’ In- dians were in the band which massacred the set- tiers on Lost River last December. It is believed the Sheriff will not try to make any arrests till ‘the result of the Page Commission is known, CONGRESSIONAL CORRUPTION The Clerk of the Ways and Means Committee’s Little Game. Experience of the New York Stock Exchange. A Proposition to Obtain Desired Legislation for $260 a Month and $5,000, TESTIMONY OF CLINTON @. COLGATE. “A CLERK WITH A VENGEANCE.” James Brooks Sees Colgate and Recom- mends Him to See Dawes, WHO BACKS BASSETT? Wasuinaton, Feb, 14, 1878, ‘The following testimony was taken by the Com- mittee of Ways and Means to-day :— Clinton G. Colgate, sworn and examined, deposed :— By the Chairmanc-g. 1 am desired to ask You to iaake ur suitement or explanation as you made itthe other jat is correct, to the aragraph of the to which your attention was then . from & paper, which closing paragraph ie as fol . Colgate, the Secretary of the Bureau, has re- cently returned from Washington, where he has been hard at work, and reports that he has no doubt but that his efforts have b reat measure successful In pro- tax, although he has been compelled, it is sald, to make use of inuch money to eflect his purpose.” 1s that acorrect statement? A. No, sir; I never so stated that I was compelled to use much money in Washington. Q. State what you said in reference to that subject. A. No official stateinent had been made tothe Stock Ex- change at that time ; the conversation to which I refer took pluce in the rocm ofthe President of the New York Stock #Exenang between B. O. Wight, secretary of the Stock lsx- change, aud myself; there were several others standing by; in that conversation I stated that my personal ex- penises had been very large in Washington ; 1 had my wite and family here and the expense ot keeping up my house in New York; I alsoyhad,to provide for that: the de- tails of my personal expenses Were very large; when the article came out in the New York mex to which you have reierred L immediately saw the city editor of that Paper and asked him to contradict It si Was there any contradiction inthe paper? A. Yes, re Q, Have yout that? A. T may have it, but not here; T I think I have it in New York, and that I'can produce it. You said you had uyed'ng money here? A; 1 said £ had used no money whatever here for the pur. Pose of procuring, legislation; I have, iy oficial report to the Stock Exchange here, which, if you will al- low me to read trom, will show that I so stated to them. . Have you any objection to incorporating the whole ‘and making Ita part of your evidence? A. None Whatever; Lthink itis proper, injustice to myself, that the committee should know éxactly what I did report to the New York Stock ixchange- ‘MR. COLGATE'S REPORT, That report 4s, in substance, as follows:—Mr. Colgate made a proposition in writing to take charge of the tax and claim business of the Stock Exchange ata salary of $10,000 per annum. On the 27th of January he started for Washington, in company with John ‘I. Denny, the chairman, to seek in their behalt a modification of the then rule ‘requiring borrowed money employ: rving stocks, gold, bonds, &c., to be returned and pay a tax on capital at the rate of one twenty-fourth of one per centa month, the same as fixed capital em: ployed in the business of banking, He relates specitic- ally his transactions in Washington, and alludes to the fact that some persons put in clatms tor services ren- d, adding Bo inoney Was paid to or even hinted at by y person connected with the Internal Revenue De- partment or Congress, except in one instance, when eorge W. Basseit, clerk of the Ways and Means Commit- tee, ollered nis services for the sumi of $200 per month for the session and a contingency of $5,000 in case the amendment reterred to became @ law. ‘This proposition was submitted to the Stock Exchange and declined, and Mr. Bassett was never paid. although in Mr. Colgate’s opinion, the New York Stock Exchange has received great benefit and advantages by reason of haying proper representation at the seat of government, It, asa body, had not been called upon for a dollar toward the expense of obtaining a modification of the rule taxing borrowed money as capital and the repealing of the stamp tax on sales, although each member of the Exchange is more or less Interested. ‘Q, Have you those letters you were asked to produce? A. i wrote’ to Mr. Denny for them and I have received his reply, which Chand to you; Mr. Denny is the chair- man of the Law Committee; he states simply that he lumself has been suinmoned to come before the commit- tee, and, { suppose, will bring the letters, as I stated yes- terday; after leaving the committee room I immediately wentdown to the Post Office and wrote to him to send me copies of the letters, and he replies, as stated here, that he has been summoned to come heré himself, Q, Idesire to repeat wo you the question Mr. Kerr put to you the other day, whether it was the impression of the stock Exchange that in order to procure legislation ere IT WAS NECESSARY TO USK MONEY? Witness—That was not exactly the question. By Mr. Kerr—Q. The inquiry 1 made was whether the impression prevailed im the Stock Exchange that lexisla- tion useiul to them would be accomplished here by the use of money ? A. That was the question, and I replied I thought it could: that was my impression, Q. 1 then asked you'to give some fact in illustration of the basis of that opinion? A. [ said that legisiation had taken p and that there was then a demand made to the Stock £ Of $10,000 for it. By the Chairmaa—Q. What was the answer made to Mr. Ke 's inquiry as to what lead you to that beliet ? A. My answer to that was that legislation had taken place and a billtor $10,0W sent to the Stock Exchange tor procuring it ina Dill by Judge Sherman for influence ‘with his brother and with Garfield (I use the name Gar- field without any prefix, because I gave itjust as Judge sherman’s letter gives it); Lhave never spoken to Mr. Garfield that I know of, and I would not know him if i were to see him now. Q. What else did you state about the matter? A. I also stated that | knew a person who was a triend of Mr. Gar- field, and that showed him this letter of Mr. Denny, in which it is stated that Judge Sherman claims $10,000 tor preparing an argument and working through his brother, Senator Sherman, and Garfleld; Senator sterman I had nothing whatever to do with; I ‘never spoke to him on the subject; I went to a gentleman called deneral Boyn- ton, Who was a personal iriend of Mr. Garfield, @: Is that the General Boynton connected with the reas? A. No; 1 think he has been @ detective for the G Btatet vernment; I rite at eS OSES CUNERAL sorxtox tly wha: te now—that the Stoc! had received a Furs from Judge Sher- mi ot Cleveland, Ohio, and that the pretext under which that amount was claimed was that he had pre- eon itand used it with Senator Sherman and with Mr. jarfield, ot Ohio. Q. Did you give any other reason why moncy was used to sigcure by wy oA A. No, sir; Igave no other rea- eon. 2 olla ly coll Rasa Q. Did you have this report at that time in zone pookes A. Lam not sure whether [ had or not; if T had on my Pg oe I came into the room I had; if Thad not, ad no Q. Do yo? remember talking here with it partly out of your pocket aud saying you would read itif desired? A. ‘That calis to mind the tact that Lhad it with me when I Was before the committee. Q. When asked what reason the Stock Exchange had for supposing legislation could be procured for money, why did you not state «nat part of the report which refers to the clerk of this committee? A, Because I had not originally intended even to state anything about him in my report, but his proposition had been communicated to Mr. Denny, and Mr. Denny said that T nad submitted it to him i must include it in my report; DESIRED TO SHIKLD MK. BASSETT, 9. When you were belore this committee and were in- quired of as to what were the reasons why the Stock Ex- change should suppose that money was necessary to pro- cure ‘fegisintion why did you omit to refer to the clerk of this committee from whom you had received such «# proposition? A. The question was not asked me in any such way. Qt ‘am geking you why you omitted that important circumstance. A. The reason was that Mr. Bassett was not a member of Congress either at that time or since. . Was Judge Sherman a member of Congress? A. No; but he is an employe of the United States government. side of Congress, and the proposition of Mr, Bassett came from outside of Conyresst A. The proposition of Mr. Bas- sett was not accepted. and he did not ¢l that he could influence any members of Congress. Q. When you went out of the committee room. did you state to a reporter what your testimony was? A. Re- porters, came to me and wanted to know what it was, and told fhe it they wanted to find out they must go to the committee. 9. id you show your report toany of them? A. I did not; Tid to a member of the commit 5 Q. What were you doing with port when that Date a On ee a K . %. mana fae hita WO dowte outt” Ae T hed spoken LOOT ke: per, and was waiting for him to eqine out. at my Tepor je New York Stock tradicted the article in the New York wi hich you have had here, a enn chow 4% Pert ot your report referring to Cio Mr. Roberts io, sir; 1 did not, ees ains to conceal itt’ A. No, sir, I did not jpvas in the next paragraph to that which l'calleq hig: OH Cosme reser gr eee nr \4 By Mr. Roberis—Q, Did you not read that parhgeap) ihe aig ae heey Pad ree. pad or kay seuk purpose here in Congress? A. L did. Q, And did not you then have the paper in your hand and point me to ihe lines in which it ts stated that Money had been paid, Holding the paper so that L cout Rot sce what iollowed ?, A. Nom, E did not; theta the aper ditectly bet . Pily the cha rman—4. Did you show your repal’ to any other person tA. Noy sit, not a soul. 9. Vid you communicate the contents of Yt to anybody before you came iate this room on thatd&y ¢ A. I thial no! 4 Q. Can yourive the reason why that part of it in ref- rence (0 Mr. Bassett oatne out in the Star of this city fhat cvenitty? A. 1 c&n positively that it never came frot in any way, shape or manner, eyhat ts ot ny questo, A. It you ask for my be- ‘Net Tecan telt you that I believe that Clinton L. Merriam, who, used to be a member of the Stock Exchange, nad ‘recetved a copy of my report, and that the information came from his copy, aid not from mine, Q. Do you reierto Mr. Merriam of the House? A. Yes, ir. ou made your report to the Stock Exchange, wits dia you not report to this committee the Rrppontin the Clerk had made to you A. Tdid not think it was a speak about. me You chine berore this committee the present session. We inquired of you about the use of money, and you withheld this information irom us. Witnexs—' ago. A. Yes; Mr. Roberts put me PMO stook exchange tadan m7 belief tint money could buy legislation Kore, to which I replied in the affirmative. ‘How could Mr, Denny have insisted that you shontd your reper A. f had dis- in the Times which you read re T desired to put myself upon being one of the fellows who believed Con- ress could be poaghts I desired to put taht upon record; weld to me thay it 1 wanted jo make ral question, A PERFECTLY HTRAIGHT AND TRUE ACCOUNT of it I should im the report what 1 had said to him about Mr. Bassett, and therefore I did so a By Mr. Roberte—state whether, in ‘me this re- roars the gax bets yesterday, you tt de- sire me not to see that po a we referred to Mr. Bas- pied, te rd W YOU; yut myself upon this wi Tstated to the committee that I nad reid to the Stock Ex: nge in New York that money was not improperly used ere, and I de ou, Mr. Roberts, to see that iy re- pe the ne Hachange Was exactly that; | took par- emplo; atte you that paragraph: in regard to ie here, I did not think it was nec nulon to what T had reported; tala ‘not with to se out of my way to hurt a Q. Then your statement is that you did desire that I should know what was in that partof your report which pai Me ei ae adviser ot mine, fecame to 2 0 Mt tom that t ought to show the wi report, and I re raugements ‘with @ copyist to have. the entire report d for that pt when I received my summons up nore i nd stated that I would give Mr, rts the re- pol . Q, That at other question I was about to ask zoe or whether % was your intention to submit your ll report? A. sir;as I stated I went to a person who was a copyist to geta gopy made of the entire ro port for that purpose before I came here. By the Chi With whom did left the committee room the other day? A. He was a personal triend ; unless it is material I would mot care to mind you pay ps bers tion with ‘ou joney to mem! In connection inte mater Y A. Rivera dollar in any shape or form. the circu attending this interview when he made you this 7 ition, Witness—If you are going into this matter in T would like to have the. privilege of consulting my counsel. Q. You will answer my question, I Sitar ae A. Oh, yes. 1 will answer any yng is, to state the circumstances connected with this proposition I will tell for the circumstances; when I was about leaving New York itwasa matter ot ponte notoriety wition in the Stock Ex- . Wallace asked me if T was b WIEN MANY. MEMBERG; W one or two, and those only to talk with members, and that had ‘beon elect change ; Mr. P mea te file as Nell pequat with General. Ketchum}. 1 told him I did mot care much about seeing many Members, but he said he | would | give me a tter of introduction to General Ketchum, which e did; when Tarrived here! found there had been @ Dill introduced called Duel’s bill, which bill proposed to take off the tax from banks other than national banks; I presented my letter to General Ketchum, and inquired about that bills he said he knew nothiig about it: it would proba! be before the Committee of Ways and Mesos Ate the would introduce me toa ‘ontleman who wou! all Lwanted to know about it, and he intro- duced me to Mr. Bassett " IN ONE OF THE LoBBIKS of the House: I said to Mr. Bawett that I wanted to ob- tain a copy of Duel’s bill; “he said, “E suppose you will want to employ counsel; I had not then employed an: lawyer; he said, "I will give you iny services tor $2000 er ‘annum, and'in case it becomes law I will charge you joo; replied that T had no authority toemploy such erson, but that! would submit his proposition to the Stock. Xchange; he said, “Do so, but there iy no occasion to mention names,” and added, “and T will call on you your hotel; Treplied that 1 would rather call ot hin; us I went down I met an official of the House—one em- ployed in an humble capacity—and sald to him, “Who is hat man? he replied, ‘He is the clerk of the Commit- tee of Wags and Means! I said, “He is a pretty high clerk; he is 4A CLERK WITH 4 VENGEANCE; he is pretty high strung, and I told him what he had pro- posed ; Captain Nares sa: to me, “Have nothing to do ; Ifyou have anything thatis justice you can get attended io, but have nothing so do with himi” I then went down stairs and met Ralph T. Wood, who is a lawyer, and retamed him as my lawyer in this matter; there was no money paid, and nosurreptitious means used ; Lwent to New York ahd told Mr. Denny what Mr. Bassett had Proposed ; he replied, “Tell Mr, Bassett we have no occa’ sion for his services,” which I did; very soon after this conversation with Mr, Bassett I met General Ketcham, Who introduced Mr. Hassett, and told him of this conver? sation; Talso told Mr. 8. 8. Cox. iy Mr. Koberts—At what time did you tell these gentle~ ot this coi rsationt A. I told Captain Ni within ten minutes; I told Mr. Wood within two hours told General Keicham, I think, the next day, and Mr. Cox within two or thrée days afterwards, VP State about the date of this conversation. A. It was in 1872, between the Ist of March and the lst of April. By the Chairman—Have you the card on which Mr. Bassett wrote his addrevs? A. I have. Q. Will you show it tome? (Witness produced a card, on one side of which his own name was printed and on the other side, “Geo. N. Bassett, 118 D_ st. W., Comm, Waysaind Means. H. R, 1349, Hrs. 10, “ By Mr. Burchard—Would you know the gentleman with whom you had this conversation if you were to see him now? A. Yes, sir; he isin this room, sitting at the table, . You think you can identify him? A. Yes, sir; he sits atthe fable there. vi @ Chairman—What are the figures on this card? A. The figures are mine, sg . When you were introduced to Mr. Bassett by Mr, Ketcham did he tell you who he wast A. fain not posi- tive about that; I think he did, . et you say you inquired of the next man you met who he wast A. Yew: Linguired of Captain Nares, and ¢ said, “He is aclerk witha vengeance.” You know how introductions take pia: Tonly want you to auswer the question I put, Who Was present when you nad this conversation with Mr. Bassett? A. (twas with Mr, Baseett-alone, Q. Where were vou when it occurred’ A. I think we were standing immediately opposite this room, in the hall; I remember he wrote the card against the wall; Captain Nares was in the lobby opposite the House door; I told isn the whole of the conversation ut the time. . Your purpose was to get Duel's bill? A. urpose was tofnd out what Duels bil was, rity Q. Where were vou when you reported to Mr. Bassett that they declined his services? A. My impression is that it was in the lobby; that he was passing through and I merely made the remark that they declined to have anything to do with it, . Did you know him by sight? A. I never spoke to him in my hfe, Q. You never had a talk with him about what this legis. lation cost? A. Never in my life; when I say I never spoke to him I should have added except once, and that ‘was when I was a private IN THY SEVENTH REGIMENT DURING THR WAN. G You never said to General Butler that it had already cost $40,000 and youhad not got the bill through yet A. I never spoke a w neral Butler on the subject hnd have no personal acquaintance with him; 1 have said in print and over my own signature that there had never been a dollar spent in any such way, By Mr. rts—Q. You stated that it was not your de- sire to mention the name of any employe; was any Proposition made to you by any other employe of the jouse? A. Never. Q. Do you know the wa: = in which intormation has been sent from this committee to the brokers? A. I do not think it ever has been gent; I should be very apt to have heard it, and I never heard anything ot thé kind. Q. I was going to ask you, further, whether, except the proposition which you say was made by Mr. Bassett, any Proposition was made to you for INFORMATION OR INFLUENCE by. ae? employe of the House? A. or. ‘Q. And you have nicoady. said none by any member of Congress? A. I say none by any member of Congress or by anybody in Congress or out of Congress, and that no money has been paid except for the services of a lawyer, which was done openly. . Youmean that answer to be taken without any reservation? A. Without any reservation whatever. . You say you desire to shield Mr. Bassett? A. Yes, sir; but if you had asked me the question the other day as you have asked it nowI should have mentioned Mr. t the door that T ought rt to the Commit mmediately aaid | to a Bassett ought to have the whole report and that he should have it; I believe shat T stated to you that I would give a copy of this re- 0) : %. You said you would ax me a copy of the report bearing upon this ae a ut that there Were some per- nal things in it you did not wish to exhibit? A. Yes, here are ppine pereapal things I should probably. have left out—what there is about my salary and the financial When Tivade shat request of you to submit that . When I mi at request of you to submit that re- port fo 6 eomrnl yo ‘Sid ‘not ive me any informa- lon about Mr, Bassett?” A. No, sir, not Q. The first time you have mentioned name to me in this connection was this morning? A. This morning is the first time; Iam sorry to have done it this morning. By Mr. Kerr—State who Mr. R. T. Wood, whom you loyed as a lawyer, is. A. He isa lawyer in Penn Yan, N. he was Deputy Collector of Internal Revenue at one time in the northern part of that State; I selected him as ay attorney because he was ek familiar jo rt. Mr. Bassett’s A. with the forms of the Internal Revenue Department and with the matter of ment of tax. ace Interred that he flved in ¢he city of Washington t 0, sit; ° he jives at Penn Yan, and he can ive cor. roborative evidence in regard to this conversation with Mr. Bassett, it you will summon him. Q. You referred to General Ketcham in connection with your subsequent relation with Mr. Bassett—you r. Ketcham, of the House? A. I mean General Ketcham, of the House, ‘Q. Tam'not sure wheter it is to be inferred from what you said that he referred you to Mr. Bassett, or that you fought ¥n introduction to, Mr. Bassett A.’I presented a letter to General Ketcham and asked him for Ducll’s bill; he treated me yery politely; h about it; that it would naturally be referred to the Com- mittee on Ways and Means, and that he would introduce ine to a gentleman who knew all about it; he introduced me to Mr. Bassett that morning and I left him. Q. Aiter you had communicated to Mr. Bassett the fact that you did not desire his services did sequent interview with him? A, Never; there was not & word passed between us, I believe, except “Good morn- ing" trom that day to this. 8 Younever had any correspondence with him? A. Not at all; I never wrote to him, and he never wrote Mg pir ms By Mr. Roberts—At the time you were sceking Mr. Duell’s bill did you say that Mr. Bassett made the propost- tion to you to take care of that subject, or what subject ? A. The conversation was quite | wurried a would nok under’ e to ie Wor bro} ion Was, as sager mand, tirat be would take care of oll MATTERS FOR THE NEW YORK STOCK EXCHANGE that might come before this committee; what the particular services were he did not state. . State whether at that particular time. when this proposition was made {0 You, tere wets BeTots this come fou Know, any other bills or proposition fn whith you hall any interest AT thine the earl bil Was mentioned, Q. This was the first time you ever met Mr. Bassett? A. it was. By Mr. Keliey—Yoy Were introduced to him as clerk said he knew nothing < cuis comm! ? that | Sascitar Fett SF not “beeduneImmeaitey went ovat ‘4 Captain Nareq who that man was; Captain fares T knew very well: he was a commissary of sub- nee in a regiment of which [ was colonel. By ‘Mr, Beck—You had received a card from. Mr. mi . tt, Committee of Ways ask who he wag, with “Ways nd Mei card? A. I belleve I have stated two or three rd i 1 without goin, * joet t met Captain & out met Captain nad cald to hin in substatic sort of man isthat he said, “That is the clerk ‘ays and Mean: palttees i said, “He Brotty good idea of himselt, ether? i - Mr. Burchard—Did you send in your own card to General Ketcham? A. I sent in my own card, I think. . At which door did you meet lilm? A. Ido not recol- lect distinctly which a it was, 4 @ How long an interview did you have with him? A. Not more than five or ten minute Q. Did he come out alone or did any one come out with him? A. He came alone, By the Chuirman—Q. Did you ask Mr. Bassett for his card? A. Lasked him for his address; he said he would call on me at the National Hotel; I replied he hau better not. t objection had you to his calling on you at the National Hotel’ Ar Twa them with my wile, and it te Not always ye to entertain his proposi Mended tothe President of tie Stock 2 shoul! have nothing todo with it. > Sern a inquire of Mr. Bassett what he’ could do for . Now a oy he tell you what he could do? A. I do not think id. “1 You do not know whether he told you he was clerk If ommittee? A. T ain not sure, ot scnd then-vou went And waked tive other man who he wi ‘A. Imet Captain Nare nd asked him what sort man he was; he said t he was the clerk of the Committee of Ways and Mea Q. Did Mr. Bassett ask what business you had here to Mend wt A. Lam not sure abous that; ‘the Myst thing 5 = s : i me ei ritip wr ey tr Poe atc in this Tead it; * sede iinconrriten hemo La eat a you? fe aaid that Mr. Ketcham wad’ that he treely he then made & provosition; Iaaid to that { would submit his pro| jon, as he made it, to jock Exchange, which { did. Q you say intended, when he made the position, not to employ, and you did not want ese tehave: any question about it discussed theres La ey iy wife ‘was there, andl promised he should not ‘go there to see me. janted to me; then g is it ; g ae s5z 58 = Ris address and he wrote it; f said I would prefer to call ROT TET did he give you this card? A. Then he gave me his card. By Mr. Finkelnburg—How did the tariff matter come up in thiscennection? A. In Mr. Keliey’s bill there was ‘proposition thes the resarns should be made every six read of monthly. 3, Returns of what! ‘A. Returns of capital and deposits belonging to banks and bankers. understand you to say that any particular Proper was mention between A. No, sir; I do not know that provision of the tari fou and Mr, Bassettr ‘@. Yous that this Poaitic hich refers to thé ‘ou say thal roposition which refers 6 bank matter wast A, Rt sir; Ido not know what pos- sible benent he expected to confer except to give advice; he only yoaness had made to him wasI wanted to see Duel's bill, 4 BILL THAT RELATES TO RANKS AND BANKERS. By Mr. Maynard—Did General Ketcham introduce you in this room? A. No, sir; he introduced me to Mr. Bas- sett in the passage or lobby, and Mr. Bassett came with me into the room. Q. How long were you in the room? A. Not more than ove or ten minutes—while Mr. Bassett went to get ry By the Chairman—You know, then, that he was the clerk of the committee who had charge of its files before you went out into the lobby? 4. No. sir; had had this conversation with Captain Nares before 1 came in here. Q. Then it was atter he made. this proposition to you in gs lebby that you came into the committee room? A. ‘es, sir, A the proposition as accurately as I possibly could: if 1s something that I thought nothing of and paid no attention to. Q. I see in your report that you say that this proposi- tuon was finally agreed upon and brought fae, the Honse wy ir. Dawes, the chairman of the c ittee? ALT ink 1 said it wasin the bill known as ‘Kelley's tarift bill,” which was introd! into th louse by Mr, Dawes, chairman of the Wi and Means Committee, and Yy them sent to a committee of conterence. Q. Here isthe bill lintroduced. Will you point out the propesltaon, If you will ‘read the report again you res did. AN Wind that Taay the bill intgeduced Roa wi ind that I sa: ie intr . contain that proposition aia sticn . Here is the bill which finally passed the House. Will xen polntout the provision in that bill? A. [think Tecan ind the provision I reterred toin that; [think you in- troduced this into the House, did you not? this is the paragraph to which [refer :— “SKO, That the taxes imposed by section 110 of the act, entitled ‘An act to provide internal revenue to sup- port the government, to pay Interest on the public debt and tor other purposes, approved June, 30, 184, as amended by section 9 of the act of July: 13, 1866, to re- duce internal taxation and amend the agt aforesaid and acts amendatory eof, upo! the deposits, capital, &c., and circulation of banks or persons, SeeDcIRSLOnE, COM DO DIES or corporations en- gaged in the business of banking, shall hereafter be paid reml-anually on the lst day of January and on the Ist of July, but the same shall be calculated at the rate per month as prescribed by said section, so that the tax for six months shall not be less than the aggregate would be if the said taxes were collected monthly as proposed by said section, and the exemption from tax, authorized by said section, of deposits of less than $500 made in the name of one person In associations or companies known as provident institutions, savings banks, savings funds or savings institutions 1s hereby extendéd to deposits 60 made of no} exceeding $2,000." Q. Do I understand yon to state that you had an inter- view with me; that you assented to the form of the pro- position; that'l introduced it into the House, and that aiterwards it was passed through the House? A. I think youare mistaken about that; I said Mr. Fenton intro- duced it into the Committee on Finance; my report will show that. (Reading from the report.) By Mr. Maynard—Q. Do you mean to state that the bill was introduced into the House by Mr. Dawes, or that he brought it before the House as it came trom the Senate? A. Ifyou will allow me to read trom the report it will show precisely what I did sa; ‘his not being neces- sarily very objectionable to the interest of the people whoin Irepresénted was agreed to by me as bet factory, and was so added to the bill known as ly’ Tariff bill, and was introduced to the House by Mr. Dawes, the Chairman of the Committee of Ways and Means, and was by that body sent to aconference com- mittee of the House and Senate, and was finally agreed to by such committee, passed the House and became the luw'on the sixth day ot June and to Ko Mito effect on the lst of August, 1872, as it is last mentioned above.” By the Chalrman—Do you say that I introduced that into the House? A. There is probably a mistake about that; the amendment was written aud HANDED TO MK. REUBEN FENTON, who introduced itin the Senate. By Me, Roberts-—Did vou appear before this eommittce atalla year ago? A. Never; 1 made my debut here yes- terday. Q Bia your counsel appear before this committee last Spring! A. No, xin; never until about a week ago, y Mr. Burchard—Did you have any interview with any member of the committee on this subject? A. [have not, except with Mr. Brooks, who told me the person to talk to upon the subject was Mr. Dawes. Did you talk with Mr, Dawes? A, I did not. or With Mr. Kelley?” A, Tdid not. Mr. Maynard—I tindersiand that you took no inter- e the legislation until these two bills, the Majorit; and the Minority bills, were introduced in the House at then you advised your counsel that it was necessary to have'some action'In regard to it? A. No, sir; I state fully in regard to that in my report, las your report been printed, of have any copies of it heen taken to your knowledget "A. It has never been rinted; 1 had @ fair copy made for the New York Stock xchange; my own copy has never been out of my pos- session, and if any other copy has been taken it has been obtained trom the Stock Exchange and not from me. BASSETT'S PROPOSITION AGAIN. Q. Was the proposition made by Mr. Hassett before you caine Into the committee room or afterwards? ‘A. I think if was before, but T am wot positive enough ‘to swear to that; 1t was a thing that took place a year ago; my memory 1s reasonably good, but I would not like to swear to every little detail like that; I think it was be- fore. "You say you spoke immediately to Captain Nares, and after that do you think you came into this committee Toomt, A. I think came in after that and ot a copy of the bill; some Lrtle time, T remember, was oecupled in obtaining a copy of the bill Hefore the proposition was made did you explain to im what your business orthat you had any busi- ess Except to see a copy of the bill. A. Lexpluined to h that represented the New York Stock Exchange; he asked if J said to him that I represented them as tully as they could represent themselves; that I hud come on here representing a committee of that Board to consult with the Commissioners of Internal Revenue, and that I was their representati By Mr, Bla having appeared before the Com- mittee of W: 1d Means last Spring, and not having conversed any of the members relative to your business, tell us Now how you made your business known?’ A. I stated that [ had A CONVERSATION WITH MB. JAMES BROOKS on the subject. ‘ . And told him the nature of your business? A. I did. . He advised you to see Mr. Dawes? A. He advised me to sce Mr. Dawes. Which you did notdo? A. Which I did not do. . Was that the only conversation you had with any member ot the Committee of Ways and Means? A. [ would not like to say one way or the other; 1 kuow quite a number of gentlemen in the House; I do not know who all the members of the Committee of Ways and Means We are all here now, except Mr. Brooks. A. Then I never spoke to one of them. Q. What rs of the Finance Committee of the ik to? A. I spoke to Mr. Sherman, for . What person appeared before that committee for that purpose? A. No one did that I know of. weed amendment that was put in? A, Mr. Q. Did he appear before the Finance Committee? A. % Who did he present the amendment to? A. Reuben nton. ‘9. Tt was put in by your attorney, Mr, Wood, and handed to Mr. Fenton? A. I said that ithad been changed from time to ume. Was that the only matter of legislation you had, acting in behalf of the stock brokers’ board in New York? A. Yes, sir; the only legislation that I had in their be- halt or in behalf of anybody else. Q. And you simply, confined your action in regard to that to speaking to Mr. Brooks, who referred you to the chairman of this committee, and you did not see the chairman and did not appear before the committee by yourself or by counsel? A. There was a printed argu- ment presented to the c! jan of this committee and to the chairman of the Finance Committee of the Senate and to nearly every member of the House. That was the extent of the work done in regard to that matter? A. Yes, sir, except that there was a series of arguinents before the Commissioner of Internal Reve- fue. Q. I mean at thisend of the avenue? A. I have stated the whole ot it here. . Mr. Bassett wrote this card as soon as troduced to him? A. Within afew minute: Not say whether it wasimmediately or not. Q It was before you spoke to Captain Nares or before rou came in here? A. Yex, sir; my recollection of it is Yhat’L had his card in my’ band when I spoke to Captain Narei O: When did Mr. Bassett make the proposition to go to the hotel to see you? A. Just before he wrote the card h offered to go to the hotel and talk with me upon the sub- ject; I said I preferred to wait on him, and asked him for is card; I took out my, own card and he wrote on the back of it his address ; I held the card in my hand, I think when Iwas in is room, because I remeiber the pencil ry it, . ot Mehiion to him this particular legislation ea tn the Tarif bill? A. No, sir; it was before we conversation about ‘9. bid ‘you mention to him’ any legislation which the Stock Board wanted to push in Congress? oy sir; I asked for Duel’s bill, and told him I Ow about any bill that might be here or in the Finance Com- mittee of the Senate which related to bankers and brokers. ny n his conversation did not relate to an: ir sr etter anu! Hoe Mr. Burchard w is $8,000 fort A. T have B: yu what he said to me; I do not know what ee Touts yt ane Q. You say he prop contingent upon, what? A, Contingent “pon ¢ legislation being satisfactory, iu case we got any legislation through that we desired Did you not ask him about guy tegiela tion? ALT ald oa sea we eS Eh MN omc @. en you sa; jou have spoken to him Melee non?’ A. thers. was. a bill belore the house of Mr. Duell’s, which. it it had Bae would have giv all the relief asked for and considerably more; knew this bill; I did not know it when I arrived hi : did not ane that ‘Mr. Duell or anybody else had intro. a bill. deen eoberte—Q. You sald that Mr. Bassntt offered his services for amonth durin he Mie bil of wiendnvent alluded to ase the bill or amendment allude sree, whe Dill oF amenament ‘was alluded tot A. The whole conversation is not related in that report exactly as occurred one guusncr MATTER OF If was that Mr. Bassett offered his services for $250 a month to look after any and all matter we required, iter {his conversation when this amendment was wrften ‘which we endeavored to have incorporated into ing Oitken your language about the passage of the amend. ment you referred to is not strictly accurate? A. It is not, except in a general way; it is true we did not then ‘famendinent; this conversation with Mr. Bassett in tour or five days after my arrival and the legislation reterred to did not take place until the eud of June ; 1 do not pretend ey the cepyersations referred to that report are literally accurate. ino You went us to understand that your statement of jon of Mr. Bassett curate in reiation to panded? A, Yes, sir; I you to under- Mr. saied to iF. look ater tor $260 a month, drough (or words to that effect) that conversa! im. want me and i? 1 relate Ineiiately to several others vritom ‘you can call if you de- ate want mre and who will substant exactly what | have said, ‘The investigation was then adjourned until to- morrow, ‘GRANT ON UTAH, Message of the President on the Condition of Affairs in the Mormon Territory. PROPER LEGISLATION RECOMMENDED. What is Needed to Enforce Obe- dience to Law. The General Policy of Congress Respecting the Territories of the United States. “No Persons Anywhere Should Be Allowed to Treat the Laws with Open Defi- ance and Contempt.” WASHINGTON, Feb. 14, 1873. + The President sent the following message to Con~- gress to-day :— TO THE SENATE AND HOUSE OF REPRESENTATIVES !—o I consider it my duty to cali the attention of Congress to the condition of affairs in the Territory of Utah, and to the dangers likely to arise if it con~ tinues during the coming recess, from a threatened conflict between the federal and territorial authori- ties, No discussion is necessary in regard to the ger, eral policy of Congress respecting the Territories of the United States, and I only wish now to refer to so much of that pohcy as concerns their judicial affairs and, the enforcement ef law within their borders. No material differences are found in ré- spect to these matters in the organic acts of the. Territories, but an examinationr of them will show that it has been the invariable policy of Congress to place and keep their civiland criminal jurisdiction, with certain limited excep- tions, in the hands of persons nominated by the President and confirmed by the Senate, and that the general administration of justice should be a@ prescribed by Congressional enactment. Some- tumes the ‘ POWER GIVEN TO THE TERRITORIAL LEGISLATURES has been somewhat larger and sometimes some- what smaller than the powers generally conferred: Never, however, have powers been given to a Ter- ritorial Legislature inconsistent with the idea that the general judicature of the Territory was to be under the direct supervision of the national gov- ernment. Accordingly, the organic law creating the Territory of Utah, passed September 9, 1850y provided for the appointment of a Supreme Court, (the Judges of which are Judges of the District Courts), aclerk, a marshal and an attorney, an@ to these federal officers is confided the jurisdictiom in all Important matters, But, as decided recently by the Supreme Court, the act requires the jurors to serve in these Courts to be selected in such & manner as the Territorial Legislature sees fit ta prescribe. It las undoubtedly been the desire of Congress, 80 far as the same might be compatible with the supervisory control ef the federal gov- ernment, to leave the minor details connected wit the administration of law to regulation by local authority; but such a desire ought not to goverm when the effect will be, owing to the peculiar cir cumstances of the case, to produce A CONFLICT BETWEEN THE FEDERAL AND THE TERRI> TOKIAL AUTHORITIES orto impede the enforcement of law, or in any way to endanger tie peace and good order of the Territory. Evidently it was never intended to entrust the Territorial Legislature with power which would enable it, by creating judicatures of its own or increasing the jurisdiction of Courts appointed by Territorial authority, although recognized by. Congress, to take the administration of the law out of the hands of judges appointed by the Prest- dent, or to interjere with their action. Several years of unhappy experience make it apparent that in both of these respects the Territory of Utah requires special legisiation by Congress. Public opinion in that Territory, produced by eircum- stances too notorious to require further notice, makes it necessary, 1n my opinion, in order to pre- vent the miscarriage ol justice and to maintain the supremacy of the laws of the United Statea and of the federal government, to provide that THE SELECTION OF GRAND AND PETIT JURORS for the District Courts, if not put under the controk of federal officers, shall be placed in the hands of persons entirely independent of those who are de- termined not to enforce any act of Congress ob« noxious to them, and also to pass some act which shall deprive the Probate Courts, or any Court cre- ated by the Territorial Legislature, of any power ta interfere with or impede the action of the Courta held by the United States Judges. lam convinced that so long as Congress leavea the selection of jurors to the local authorities it will be futile to make any effort to enforce laws not acceptable to a majority of the people of the Terri- tory, or which interferes with local prejudices or provides for the punishment of polygamy or any of its aMiliated vices or crimes, I presume that Congress, in passing upon this subject, will provide all reasonable and proper safeguards to secure HONEST AND COMPETENT JURORS, whose verdicts will command confidence and be @ guarantee of equal protection to all good and law- abiding citizens, and at the same time make it un- derstood that crime cannot be committed with tm- punity. I have before said that while the laws creating the several Territories have generally con- tained uniform provisions in respect of the judte ciary, yet Congress has occasionally varied these provisions im minor details as the cir- cumstances of the Territory affected seemed to demand, and, in creating the Territory of Utah, Congress evidently thought that circum- stances there might require judicial remedies not necessary in other Territories, for by section 9 of the act creating that Territory it is provided that a writ of error may be bronght from the decision of any judge of the Supreme or District Courts of the Territory to the Supreme Court of the United States upon any writ of habeas corpus involving the question of personal treedom—a provision never inserted in any other Territorial act except that creating the Territory of New Mexico, This extraordinary provision shows that Congress in- tended to mould the organic law to THE PECULIAR NECKSSITIES OF THB TERRITORY, and the legislation which 1 now recommend is i full harmony with the precedent thus established, I am advised that the United States Courts im Utah have been greatly embarrassed by the action of the Territorial Legislature in conferring criminay jurisdiction and the power to issue writs of habeas corpus on Probate Courts im the Territory, and by their consequent interference with the adminis mn of justice Manifestly the Legislature of the Tertltory Cannot give to any Court whatever the power to discharge by habeas corpus persons held by or under process irom the Courts created by Congress; but complaint is made that persons 80 held have been discharged in that way by the Probate Courts. I cannot doubt that Congress will agree with ma that such a state of things ought not longer to be tolerated, and that no class of persons anywhere should be allowed to treat the laws of the United States with open-defiance and contempt. Apprehenstons are entertained that if Congress adjourns without any action upon this subject tur. bulence and disorder will follow, rendering military interference necessary—a result I should greatly deprecate—and in view of this and other obvious considerations earnestly recommend that Con- gresa at the present session pass some act which will enable the District Courts of Utah to proceed with independence ana efmiciency in the adminis tration of law and justice. U, 8. GRANT. EXECUTIVE Mansion, Feb, 14, 1873. FRALICH DENIED A NEW TRIAL Syracuse, N. Y., Feb, 14, 1878, Judge Morgan to-day denied the motion for @ ew ira in the case of Fralich, under sentence of eat