The New York Herald Newspaper, April 9, 1875, Page 3

THE CANALS. An Unveiling of the Mystery and the Manipulations of Fraud. Advent of the Hour and the Man. Governor Tilden’s Assault Intended To Be Effective. AN ANALYSIS OF THE WORK. The Legislative Investiga- tion a Sham. CANAL CONTRACTS RESCINDED. ALBANY, April 8, 1875. Bovernor Tilden’s assault upon tre Canal Ring, 4/ it did not come without warning, had all the effect of a bombsbei suddenly hurled into the camp of his mends. The announcement of his”) purpose occasionea derision rather than jear, and Bo when the shock came the consternation was overwhelming and complete. Frauds on the canals are coeval with the canuls themselves, end the system of fraudulent contracts by unbalanced bids isa growth, rather than the deliberately formed plan ofaring. The Jaw sald that work on the canals was to be let to the lowest bidder, and so the contract was given to the person whose bid 1u the aggregate was the lowest. it will thas be seen that at che very outset skill 1n Didding became an art, in which every contractor was justified in using bis own acuteness to make money, The State furnished a basis ior tne bid- ding, not for the benefit of the contractor, but for the protection of the people. This basis, though prepared by an engtneer, could at best be only a guess, ‘The contractor understood and the State insisted that whatever was necessary to com- plete the work must be done at the price pamed im the vid, Thus if a contractor under- took to do a thousand yards of rock excavation at aridiculously small price, and 10,000 yards were required to be done, he was bound to do the whole at nis own price, He might be ruined in this way, but at the same time if he knew better than the engineer the kind and character of the work that would be required, ne might so mould his bid as to make afortune. The contract necessarily included several kinds of work, as earth and rock excava- tion and vertical and slope wall, besides the kinds Of lumber to be furnished. The estimate of the engineer was intended as a mere basis Jor the bia- Ging, and the letting was made to the person whose bid was the lowest in the aggregate. Vat Of this system sprung what are known as “un- balanced bids,” and this phrase im turo conveys the fall significance of “canal frauds.” Taking | these estimates as the oundation Jor the bidding, with the requirements as to quantity aha price, it was impossible jor an honest bidder to obtain a contract at al), and it was not long until honest contractors refused to contend with the sharpers pursed by the system, and the Canal Ring obtained ‘he complete mastery of the State. HOW CANAL CONTRACTS WERE LET. It will thos be seen that the whole system was im itself a iraud; but IfearI have not yet made it Plain wherein it 18 necessarily fraudulent. This it 1s diMcult to do in @ few words, while an elab- orate explanation would only make the mystery more profound, Somebody has defined protection as the robbery ofall for the benefitofaiew. Sol ‘Would define canal frauds an agreemen: to do work that would not be required to be done at an absurdly low price and work that would be re- quired in great quantities or amounts at a wickedly high rate. Two points are to be con- sidered by the contracior—to bid low enough to obtain the contract and yet make money. It 19 the aggregate of a bid that determines tne first of these questions, and the application of the eati- mate to the real work will determine the sec- ond, Ifthe contractor has a better knowledge or the requirements of the contract than the en- gineer—thas is, ithe knows to a nicer degree the quantity of work of each kind to be done—ne can scarcely fail to bid low enough to get the contract and ce «the State. Being sure there is little or mo rock excavation to be done or that mo vertical wall will be required he may undertake both at a nominal price while putting earth excavation and slope Wall, of which he will be required to doa great deal, at very high figures. In doing tnis he is not ceasarily dishonest, though tne contract 1s itself atrand. Neither is the engineor necessarily in sollusion with the contractor, though bis estimate ig the foundation of the fraud. The disease is in the system, for these so-called unbalanced bids are indeed so artiuliy balanced that the | tontractor generally obtaing three or four | times the amount of nis bid for the work actually fone, While the system lasts he is not much to blame for balancing the different kinds of work | re to be done #o nicely as to | it bid; and as the State makes the contract an open one, it is notin buman na- tare to refuse to take advantage of it, The cure would be in letting out the diferent <inds of work to different contractors—as rock excavation to one and earth excavation to another, vertical ‘Wall to one and slope wall to another—at a Oxed | price. As it is Jet in the lump to one contractor disproportionate prices, ri | gra being had only to the aggregate | @: the bid while the contract itself is an open and flexible one, iraud, in fact, is inevitable, though there may be no fraud im the performance | ofthe contract according to the terms of the | agrebment. Coijuston with the engineers may | Dreviousiy have entered into it aud false meas- | urements may subsequently intensify the wrong, | division cugineer, but neitner of these is necessary to the fraud, and the Worst contracts yet exhibited may be ex- plained without eitber of these elements being found to enter into them. The great wrong is in the system of bidding, and the bids have been made in this way irom the earliest days of canal euterprise. As I said before, canal rrauds been a growth, and the Canal Ring forms a part Oi that growth as naturally as the fower becomes @ part of the plant, We mays iraud” written ail over the canal management of the State with- out being able to bring sbsoiute crime home to anybody, Whether contractor, engineer or oficial, anditis certain we shail never be abie to cure inced bidding, or, in other put @ promium upon acate Gisnonesty compel contractors to be rogues, THE ORIGIN OF GOVERNOK TILVEN'S EXPOSURES, It is irequentiy said by the apologists of th Canal Ring taat canal frauds, and the exposure canal Irauds, are noting n ‘This 18 true, it bas a greater significan: an at first apy The newspapers have taken up the subject iro: to tine at frequent intervals during the | years, Gud that the mahagemeat of Canals Was corrupt fas been generally accepte 8 an establisned fact. The w question was the sadject of a jong and earnest discussion in the Constitutional Couvention of 1887, and the neces | sity ol reform was demonstratea as ciearly then | as it 13 Bow by Byer since the 2 of a ‘a a, 0 Th character have been lyiog in years, wWaitiig the advent some arith. Qietic man Who would give them Vitality, | ‘his could not be done, however, excepe | an @Xceptinnal Mau exceptionabiy placed, VvGyage aod atrength and high position were all | required for its accomplishment, Governor Til den Bimsel! told Me that ti an engineer thoroughly | vouversant With the whole suvject, anu armed With tures and argaments, had wnderiakeu (he bask te Would fi ven completely overbvorae | Qn: dbeuten. Indeed, that claas O/ men, either Ve | CwUSe HOI sOUls sIcKOHed at the corruption they | were compelled to wit ¢ because the King | Peieed them u share iO spoils, Ol! along | been trysng to Wad it was le r Wane @veryuody knew that syoteyo 40s homey-cumbod with corruptio! ‘ vonWaots Were nesessariiy iravduien' oi the Auditor's of jor NEW YORK HERALD, FRIDAY, APRIL 9, 1875 e officers were enriching themselves at the expense of the people: that the engineers who the estimates upon which tae bids were made were in coliusion wih the bidders, and that false Measurements supplemented iraudulent es- tumetes nobody dared to undertake the exposure uf so much wrong. As in every case of this kind, 1% Was necessary to Wait tor the time and the man. Frequent attempts and frequent failures proved this; but when the time came and the man ar- rived the accomplishment of the work was com- paratively easy. Ten years of corrapuon and extravagance had weuried the peopie with their excesses, and in 1871 the reaction set in against the riotous ving which began with the war in 1861. Stealing rom te public treasury, so tong regarded 4% 4 trivial, 1! bot altogether commen:: abe Vice, Was seen at last in its true Ment by vir tuous persons, Tweed fell though in the very face and in defiance of his crimes ne was elected to the Senate one year, he Was sent to the venitentiary the next, A revolu- tion nad been accompiishea, and the person most active in accomplisiiing it was Samuel J. Tiluen. Let those deny him the credit of this achievement Who may, tie fact has the force of hisiory, aud this, together with the reaction against the cor- ruptiouists, elected bim Governor in 1874. Natur- ally active aud earnest, as well as acute and amoitious, he saw tie ude that was bearing hun on to fortune. and so he resolved to rule the waves, instead of beiug merely carried by them, More capable than King vanute, he net only com- manded but was oveyed, fhe circumstance wnich led tu bis action Was, as such circumstances are upt to be, Insignificant. Youug Horatio Sey- mour, anephew of his distinguished uncle, was a He had entered upon the work contrary to his uncle’s wishes, put, like his uncle, he was honest, and meant to uo his work honestly. It Was not loug, however, unttl he was politely requested to certily to some 1alse measure- ments by some of the members of the Canal Ring. This he reiused to do, and then the Ring tried to get him out of his place, so that it might be given toamore humble and ‘obedient servant 0: the contractors, He not only deciimed to be kicked out, but the one Horatio appealed to the other, and the sreat Horatio teld the vrave and boid ‘iden all abuut it, lt was necessary to Tillen’s ambition that something of this kind should turn up. Heis bold. He likes political wariare. He bas anidea, and sometimes expresses it, that @ Governor ought ‘0 be something more than 4 dried mummy at the Capital. He wouid not have the siightest objection to be- coming President of the United States. The road to the White House could oniy be cieared by mak- ing @ stout and manly war against corruption. He resolved to begin with the Canal Ring. He has made if, and made it effectually; but 1 have nis own word for it that the idea o! bis exposure originated with young Horatio Seymour's experi ence with the canal contractors, THE PREPARATIONS FOR INVESTIGATION, Governor Tilden never does things by halves, Having resolved to assault the Uanai Ring he pre- pared to assault it effectively, The contracts upoo which the attack must be based were in the Audi- tor’s office, but they were a mass of figures, in- compreneusible to the ordinary mind. An expert was required to unrave! thew, 80 a8 to make them usefuleven to the Governor, who is himself no mean arithmetician. This task was uodertaken by Mr. Davis, a democratic member of the As- sembly from Washington county, Davis was thor- oughly conversant with the canals and canal man- agement. ie was @ prominent witness in the ne peachment triai of Canal Commissioner Dorn in | 1868, and his testimony was traversed and he was rather severely traduced by toe frieuds of the Ring at thac time, He owed them no goouwill in consequence end resolved to study their mis- doings unto their undving. When Tilden resolved to make war on the ling Davis became bis tirst lkeutenant, and be it was who enabled the Gover- nor to apply the four rules of arithmetic to tue canal contracts with so much vigor and effect. Tne first broadside went through the thm de- fences of the Ring hike the snotted guns ol a Yankee frigate brougut to bear upon the calico jorts of the Corea. its full effect was not imme- diately apparent, and while the smoke was clear- ing away the execrations of the enemy were ter- ridie, Senator Lo:a Was so exasperated that he was betrayed into talking what ue felt to a HeRaLp reporter—an indiscretion on his part that mext to inconceivable. Mr. Al- vord wes full of wrath aua fury. Speaker McGuire was “out of bis head,” and he pubicly aud privately took issue with the Governor, toereby destroying his own poiitical prospects in a week, The Assembly Was ready to stand by the Speaker, though compelied to sustain the Gov- ernor aiso, But when the skies cleared it was jound the Governor had gained a complete vic- tory. His preparations had peen masterly and the enemy was utteriy destroyed. Tiiaen had demanded a commission to investigate the charges contained in his Message, aod, Immediately upon the efect of his assaui¢ veing discerned, the iniends of the Wanal Ring became the loudest ad- vocates of investigation. Speaker McGuire aeclarea he wouid esteem it as a mark of want of confidence in him unless he was allowed to name an investigating committee. Jarvis Lord wanted 1o inquire into everything and everyboay. Even the Canal Board, 80 jong \vsensidle to the wrongs inflicted upon the State, woke up to the necessity | of doing something. A strange spirit had seized upon the statesmen at Albany, and all because Governor ilde7’s preparaviens for compelling in- Vestigation were so compiete. A GLANCE AT THE MACHINERY, it4s unnecessary so review step by step the somewhat conficting legislation which vrougnt the present mucbinery jor investigation into ex- istence. ‘There is first the Goveraor’s commission, upon which the reaily (mportanc inquiries will de- yoive. it cousistx of tour Commissioners, nom- inated by the Governor, and in the matter of com- peiling the atteadance 01 witnesses and requiiing them to testtly, it Is clothed by jaw with che au- thority of a Lourt of Record. It 1s empowered to inquire, bot only into the letting of contracts by the Canal Commissioners, bat into the general management 0! the Canal Board and the awards of tae Canali Appraisers. The oniy limit ot the in- quiry 18 a8 to time, Which Is not to extend further back than 1863, Practically 111s a special Grand Jury, to bold a grand inquest on the part of the Stale upon ail matters touching the canals, and it is expected, as the result ot its labors, that they will shed much ligat upon the mysteries which wenerally designated us “canal frauas.” Governor Tilden’s Message to ovtaiu trom the Legigwtore and through it ne expects to attain all his aims in the purification of the canal system. It 18 the great car of Juggeruaut which is to crunch the bodies of the contriviag contractors and corrapt engineers who have sv offenaed pup- ic morality. 1t will thus be seea thac it is not only the principal part of the macoinery required Jor the proposed investigation but taut the other invesugating machines must contribute to its effectiveness or become utierly ineffective. There are b» fewer than three other commitiees charged ‘With Inquiring tute canal affairs, One of these is the joint committee of the senute and Assemoly now constituted alter much difficuity, and re- quirea to report within thirty days, itis impos- sible that its labors can have any real sizuificance, and ite @ppoiniment only shows how absurdly a double for of otuerwWise seusibie statesmen may behave. The thirty days allotted to its task will expire beiore it can even begin tu investigate, and then it will’ be «discvarged witnout pre- tending to have had an excuse jor ex- isting at all, unless, indeed, it should crown the absurdity of its organization by making areport. Then again whe Seaate Com- mlitee of Canais i instructed to make ingairies icto the charges at dotn ends of the Erie Canal Which are & tax upon tue traffic of the greas nigh- Way Oj the State. This investigation is speciaily aimed at the elevator men in Sudaio and the Warehouse men and Produce Exchange people in New York, and, thougo a littie spiteiul to its pur- pose and without any real relation to the general question Of canal management, it 18 nov likely that whatever lizht obtained will do any parm. [ am inclined to think, however, that Senator Cole’s committee will not ada very iargeiy to the general fund Of canal imormation. Besides these tie Canal Board has appointed Lieuteoumt Governor Dorsheimer, Secretary of State Willers and Attor- ney General Pratt to examine existing con- tracts, with @ View to ascertaining wrongs and ting remedies. It must be cuniessed that the purpose these gentlemen have iu view is practical at least in intention, for nothing can be) =omore = important than to an. nul existing contracts i they are fraud- ulent, to recover money unjustiy drawn jrom the State Treasury ana to punish State oie cers who have been in collusion with puclo thieves. the machinery lor investigation that oniy two of the inquiring vodies Lave guy real importaace and that Guese Must Work together if they would at vain the great ovjects of the inquiry—the remeuy jor the {uture ad restitution and puaisbmeat for the past. THE WORK TO BE DONE, Some crude notion o; the immenaity of the work to be periormed by Governor Tilden’s commission and vy the advisiog and assisting committee of the Canal Board may be formed irom waat I bave already said of the nature of the contracts they are to investigate. It is not to be assumed tas the contraciors, However ‘rauduieut tueir contracts, have recklessly piaced tuemseives in the power of the law even under tne Civil Fraud 18 not always capaoie of prool, eveu where it is knowa to exist, and it will be found more dificult to prove collusion betw contractor saa eugineer than to demonstrate the iraud it sell, collusion even where the contract is trauduient OD its face, Let us suppose a case. The engineer estimates that 1,000 yards of uravel and 10,000 Yarus Ol rock are to be excavuted somewhere on the line of the canal, A. 18 @ Contractor and oO fere to do the TOCK eXCavVation at a cent & yard, Dut wants @ doilara yard for the gravel exvava- tion. Bis bid would then stand: ds gravel excavation ds rock oxcavatio: em he would inevitably ov- honest wen were bicdin ices Would swell his vu fit shvulu aiterward turn H@eF's eatimate should have bec the quantity of rock excavation Wake the piace Of the gravel excavation tue con tor would be paid ae iollow: ‘the present ay Under tain the coutracs li Ayaingt him, lor fair above $1,100, ation at $1 per yard. $10,000 jon atl cent por yard... io +. $10,000 Such & case a this 1s not boyond the possivill- Ves, and £ Collusion i NOt & necessary ingre- divut oF WR Tho offer to do rock exeavation at o ceata yard While & douor & yard Was asked lor e: Would be & iraud on 1s sace, but & could nut be gonnectod With it even Oulits Ol Work to be Gone aiterwura WithOUs 6oO8 prools OF Aetual GolinHOD, te from power, and, | @ tt ts | the only Hoard which it was the purpose of | It tuen appears from this hasty giance at | hemedies acc. | Indeed, it May be impousiole to estabiish | have been a stupendous blunder on the part of the engineer; for, to tell the whole truth, every canal letting that ts made in the State of New York is nable to such @ blunder as tls, either figainst the contractor or against the Scate, Such Astate of facts, so remarkavie and so extreme, would probably satisty au lodividual man or most Ihen, but it would not centent a jury unless some otber testimony was addueed bearing upon ile same point, And this is jusc the kind ov! daifenlty that will embarrass the inves- gations of the Canal Commission, espe- cully in the direction of restitution and pun ment, while if these cannot be gamed the pract part of the inquiry willgo for nutaig. The work to be dove 18 almost ulinitaple, both in scope and purpose, and it will require the hughest aoility to keep it within practical cuannels, tract aliowed since 1863 Will come up jor exam- | many-siaed ag one of Mr. Beecher’s ietters. The | Unbalanced prices of open contracts will be the starting point in eaen case, but woen the iraudu- lent character of the agreement has been estab- lished, the investigation, not in one case only, but 1 ali Cases, will Only have begun to ussume lun portance. Proot of collusion between tue con- tractor and the engineers wil! be the next step in the inquiry, and this, to be compiete, must include the reiations of the Canal Commissioners aud the State officers who compose the Canil Board to each particular contract. The awards of the canal sppraisers will have to be inquired into, Under the resolutions, as well a4 the lettings of the Canal Commissione! and thos is opened up another almost boundless expanse for exploration. Besides all tus, corrupt legisiution irom year to yeur has been one of the most impor. tant elements in the canal irauds, and this phase of the question will have to be inquired into with as much tuorougoness a8 any of the otoers, And, finally, as the canal irauas are a growto from year to year, of which the Canal King is only a@ part, and not an acci- dental crop, it will be found necessary to go back Miucn further than 1868 to give the reporc of the commission bistorical compieteness or even to deduce the philosophy which exyiains the exist- ence and growth ol that parasite of caual enter- prise we Cuil by tue name of the Canui Ring. It Will thus be seen that if Governor ‘Tilden intends fighting itout on tne line he gas chosen it will not only take all summer, but require as much time «8 Grant required to go irom Spottwylvania to Appomattox. THE LEGISLATIVE INVESTIGATIONS. There cay be no doudt that the proposed legisla- tive investigations are intended iv cover up we Irauds. Soin inquiries—tnat in the hands ol the Joint committee OF the two houses and that com- mitted to the Senate Committee on Canals— originated with the iriends of the Cauval Ring or With the Ring itseli, Beside, bot committees are in the charge of Senator Cole. a statesman woo bas bever suown an implacabie hostility to the Canal Ring, though constantly in the way of feeling the biandishments of that poweriui organization, His colleagues Irom the Senate on the joint com- | inittee, Jacobs and Booth, are both men of char- part of the Assembly, Messrs. Faulkner, Sherman and Seward, are ail respectavie and worthy gen- viemen, if hot first Class detectives, ‘They are to find out all about canal management ii thirty days—a work that wu reqinre a year at the very least—and Senator Cole is also churged with ex- posing tae Irauds upon shippers perpetrated by rage societies And other organizations which are @ (\QX upon the traffe of our artificial waterways. They Cun vo botuing Whatever that they were Os tensivly appointed to do, and I do not think they Wii seriously attempt to do anything. Taeir ap- polntment is a farce played to tae end, because Senator Lord lost his temper and Speaker McGuire hig head when Governor Tilden sprung nis war on the Canal Ring upon them, Tuoey nade 4 mistake So grievous Shut vhelr committee wouid not dare whitewush the Ring, even 1 it uad & Wish to Wo #0, and bence provaviy sprung we fact that 1% was 80 Constituted thatit could nave no such desire. Solaras the legisiative investi- gations «re concerned appearances will be saved by very littie beiny attempted. GOVERNOR TILDEN AND THE CANAL FRAUDS. There need be gno Jear that Governor Tilden will combat the canal trauds in the future as he has compatted them in the past, His repu- tation depends upon his making no compromises in this matter. he would be disposed to let up easily on the iraud- | own Way, but it must not be forgotten that he 1s a man in whom there is no “let up.” He has put his hand to the plough and will not look back, but he likes a litte dramatic effect, and is likely to make a good deal of noise over the irauus ce- veloped by the imvestigation. ‘rhe long lane of cand] rascauty has got a turning at iaet, and Tilden cannot forget that he was tue man wno Qirst brought the members of the King to their knees, Huving got them in that attiude he will keep them there, both for repentance and pun- ishment, and as their downfail helps him to tue Presidency, it will be ail the more glorious jor Samuel J. Tildev. THE SENATE CONFIRMATION, The Senate to-day confirmed the Governor's nomination of the loliowing tour gentlemen as Commissioners for the investigation of the canal irauds:—Jonn Bigelow, of New York; Daniel Ma- one, of Ogdensburg; Alexander EL. Orr, 0) Brook- yn, and Jono ). Van Buren, Jr., of New York, ‘There 13 a prevailing impression that the invest gation will be & disappointment to tue general pub- lic. Unger tue Civil Remedies bill, recently passed, the Attorney General has ovtained ample power | to Search all irauds, This commission 1s intendea to provide him witn evidence jor tue civil suits. RESCINDED CONTRACTS, The foliowing contracts, let March 17, have just been rescinded oy the Board of Canal Commisston- ers, o& the ground that, bemg below the engineer's estimate, 1t Wus not possible for the contractors to do the work at tue amount o1 their Dias :— For constructing a vertical wali in Kome from James stree:, east, over the Black River Uanal, leone estimate, $3,000. Contract awardea | to Tnomas L, Hopkins, of Syracase, at $1,175. For @ wrought iron bridge at Mawnaw street, Utica. Engineer's estimate, $450. Contract awarded to M, A. Naso, of Fort Edward, at $1,409, For a vertical wall at tne Agricuitural Works, Schenectady. Engineer's estimate, $3,000. Con- tract awarded to James Lewis, at $1,080 70. For a vertical wall between Keayou's and Vole- man’s Locks, Gienn’s Falls Feeder. Engineecr’s es- \imate, $2,300, Contract. awarded to Waniel Candee, of Syracuse, at $795. For 4 vertical wall at Brown's Bridge, Glenn’s Falls Feeder. Engineer's estimate, $2,200, Con- we to Daniel Candee, of Syracuse, at 718 ACTION OF THE At the evening session of the Assembly to-night Mr, Page irom the Canal Committe reported the | canal reform bill introduced ‘by Mr. Divis, of Washington couaty, Pye amendinents embracing the recummendations contained in the Governor's Message. 1¢ acolishes tue ofice of Canai Superio- tendent, to take effect on the 1st Of January next; provides for the appointment of three paymasters, one for eack division; iimits coutracts to pro- posais, bat allows the Canai Board in cases of necessity to extend or lacrease contracts to tne extent of ien per cent of tue amount of the cootract; but in case the adaitional cost exceecs ten per cent the contract must be Closed and re | let. | Mr. Sage reported adversely on the bill extend- ing the powers oi the Oanal Board conceraing | Taliroad ireights. | Mr. Suatiucs Opposed this report, but it was | agreed to. ‘Aigo Javorably on the bill providing for the levy- | ing of @ tax of seven-eigutns Of @ will for extra- ordiuary repairs ou tue canals. CANAL JOINS INVESTIGATING COMMITTER The joint Cunat Luvestigating Committee neld its first business meeting tais aiteruoon ut tne Au- ditor’s ofics, Auditor Francis 8 Thayer was the first witness He said the present system of ordinary pairs is under the superintenaing system. The tem began Jauuary 1, 1874 Ali the oid repair Miracts expired Decemoer ul, 1873. He said the Superintendeuts make up ao estimate of wnat it will cost to keep their sections in repair tor two he estimate is for material aud lavor. | timates are submitted to tue Canal Com- | in charge, Who examines them and ou approval they are iorwardea to the The Auditor ¢ gives tue HOUSE. m: their Auditor's odlce. Superintenaeat autaority te draw ou the estimates and at tb bmitte: d of everytwo montas vouchers are | No account with a superiutendent is | ever closed by petting the amount of materials | Wihict he may é on hand at any one tins e when there is achange 0! superiutenaen: rue men on the works are employed vy tue superin- tenaents. Their cot nsaiton is Axed vy the Vanal Commissioucrs. The estimates made by the su- periutendents are paid out of the revenue of the canal. lu auswer to @ Question if he knew any objection | to the present system the Auditor replied tnat he thought it would be an improvement 1! the pay- ments were made by paywusters and not by tle intendents, jess Was then interrogated in regard to | He said that a great many Imseried by the Lezis- of the whole and not by rd Wwe by authority of the Legis- latare. Toe A thought that the accuracy aud truthvulness of all work periormed in cons | jormity Wit contracts Was known by tue Assist- | | ant Eugineer alone. The man who makes the origiiul estimi ant Engineer ars | the only ones Ougut to ve oF | ie done, The Division Kogineer swears to the | compleion of the work but has only a general | knowledge of it. He must rely almost exciusively | On the cogineer in charge. The Auditor explained the manner ia which estimates were received aod the moueys paid to contractors. Wien money Was avauavle it wae paid, but w the appropria- uon was delicient DO appropriativns intenued jor O\hber work Were imvaded, although it may nave been done in exceptional cases, it had pot been | gone cone th mM vi Office of the preseut in- cumbent. When a specific appropriation had oes Mace for & particular piece Of Work and it is not foaod suilic.ent, the amountadditional required is taken irom & general appropriation, The Auditor did hot Know by What authority this transier of funds Was made by tue Canal Board; never heard OL @ Case Where the Work required was aone lor less tao the amount appropriated, wily every | coutractor has @ bli for extra Work; it is paid at the fuai adjast Ot, ANG Goes Not come in ou ile monthly estimates, | Counsel then apnounced the examination of Auditor Vhayer finished with tne exception of a | Jew questions, the were to which would re quiea ron of th » He thereiore wrove | adjourned, to meet at the came | morrow alterno The Whole | ni were prowent, wit fh abo bie We Pedwenine ipation, and ail of them will be found to be as | acter and ability, and the three members on the | ‘There has been a conjecture that | ulent contracturs il they ullowed nim to;nave his ; bvery con- | | | | | | Huis. THE RING SUITS. TWEED'S REAL ESTATE ATTACHED—THE PROP- ERTY AFFECTED. The following notice of action was filed against William M, Tweed yesterday in the office of the County Clerk, Wiiliam Waish. The list ot property embraces everything known to be In the possession ot Tweed at the time of the exposure and which he passed ito the bands of otuer parties. Counr—City and County of New ti f the State of New York against William M, Tweed and the Mayor, Alder- men and Commonaity of the city of New York. Notice is hereoy given that an aciion uas been commenced in this court upon a complaint of the above named plaints against the above namea defendadts ior wrongtully Obtaiping and receiving money and property belonging to tue county of New York and tor wrongiuily converting such money and property while boiding a public onice, in which acuion the piainuifls demaud judgment thereuvon for the sum of $6,198,957 88, ald that a Warrxit of attachment order, title 7, part 2 of Code of Procedure, was, on the 6th day of April, 1875, duly issued 1n this action against the detend- ant, William M. Tweed, by this court, and directed to the Sherif of the county of New York and de- livered tu him for execution, whereby the follow- ing real property 1s intended to ve atfected:— Duane street, north side, 100 feet east of Broad- Way, 125X75X105x25x 20X50. Kingsoridge road, west side, about 1134 acres, Fort Washipgion, Kingsbridge road, adjoining above, llacres, Fort Washington. Broadway, northeast corner of Twenty-first street, 102,5x123.11%08.9x96.9, Ninth street, north side, 100 feet west of Third avenue, 75x92, Nibch street, south side, 829 feet west of Second avenue, 21x79, Tweuly-tnird street, south side, 2560 feet east of Fourtn avenue, 25x98.9. Twenty-fourth street, north side, 260 feet west of Third avenue, 44x98,' Fortieth street, south side, 150 feet east of Madi- son avenue, 25x98.9, Filty-ninth street, northwest corner of Grand circle, runs west 34,3x nurth 75,5x east 25x south 25X east 17.7 to Grand circle X southwest, 51.2 to beginping. Fitty-eigehth street, soutn elde, 375 feet west of Ninth avenue, 60xX10).5, Fifty-seveuth street, north side, 275 feet west of Ninth avenue, 100X100,5, Forty-second street, south side, 126 feet west of Eighth avenue, 25x98.9, Sixty-third street, north side, 126 feet west of Eigath avenue, 125x100,5. Seventy-fourth street, south side, 200 feet east of Eleventh avenue, 25x148x25.9x153, Seventy-lourth street, south side, 350 feet east of Eleventh avenue, 50x140,9xX50,1x142.11, Eighty-fourth street, south side, 175 feet east of Ninth avenue, 258x 34 biock, Highty-third street, north side, 175 feet east of Ninth avenue, 250x}4 block. lusth street and 109th street, Boulevard and Old Bloomingdale road, the entire block, luvth street, south side, 100 1eet west Fourth avenue, 40x99. 1, Sixty-third Tard avenue, southeast corner street, 60,5X105, Fourth avenue and Madison avenue, Sixty- eightn to Sixty-ninth street, block, Fourth avenue and Madison avenue, Sixty-ninth to beventieth street, block. Fourth avenue, southwest corner 129th street, 99. 11x100, Vourth avenue, southeast corner 105th street, 100.11x250. Firth avenue, south side, $2 feet 2 inches north of Kightyetourt reet, 20x125, Eighth avenue, northwest corner of Fifty-eighth 00 leet X north 100.5 feet x east street, Tuns wei 25 eet X nortn 100.5 feet to Filty-ninth street x | east 14.10 eet to Grand circle x south east Thirty. third street, 33,2 ieet x souta 68.10 to centre of block X east Forty-tittn to west side Grand circle South-east 122.9 to west side of Kightn avenue x ath 40.8 eet. Eighth avenue, west side, 125.5 feet south of Seventy-first street, 253100 1¢ Eigoth avenue, west sid Street 50.5 feet x 100, ‘Fiith avenue, east stde, 82.2 feet north of Highty- fourta street, 20x225 feet. Fifth avenue, southeast corner of Porty-thirad Street, 6211x123 feet. Forty-tnird sireet, south side, 123 feet east of Pita avenue, 10x100,5 te > Futeenth Street, north sige, 370 Jeet east of Seventh avenue 20x103.3 { Oliver str ass side, 65 feet north of South street 40x50 Mercer ea east tag 25 feet south of Bleecker str X25X1 DAVID PRATT, Attorney General, Plaintd’s Attorney. Dated New Yorks, April 8, 1875, WASHINGTON. GENERAL WASHINGTON DESPATCHES, WASHINGTON, April 8, 1875. THE BLACK HILLS PROBLEM—THE GEOLOGICAL EXPEDITION TO BE ATTENDED BY AN ASTRO- NOMER AND A TOPOGRAPHER—SIOUX CHIEFS EXPECTED IN WASHINGTON. The Secretary of the Interior has to-day author- ized the Commisstoner‘of Indian Affairs to add a topographer and an astronomer to the Black Hills geological expedition. This action is based primarily on a suggestion made by Walter P. Jenney, the mining geologist, already appointed, that as the rate of progress must be necessarily slow, there will be time enough to have the topo- graphy of the country quite accurately deter- mined and a reliable map made showing both the topography and the geology of the Biack Mr. Jenney therefore iecommendea appoistment of a topographer to take the compass bearings of the more prominent land marks, sketch in the general features of the country, and, if provided with tne necessary instruments, to determine the boundary between Wyoming and the reservation. Commissioner E. P. Smith, of the Indian Bureau, in transmitting this suggestion says:—''The im- portance of such topographical survey is ap- parent, and, in order to locate any results which may be arrived at by the geological survey, it is also necessary to ovtaim the exact position of this couctry because of the question which will arise as to whether it is in Dagota, and thua delongs to the Sioux, or is im Wyoming and a part of the public domain. From the best existing information the boundary line is supposed to run near tne centre of the Black Hills country.” Finding upon inquiry toat there are very few experts who are botn topograpners the | and astronomers, and that therefore it will proba- bly be necessary to employ two persons for the service indicated by Mr. Jenney, Commissioner Smith proceeded to request authority to engage such service, adding that be was informed tnat such parties can probably be procured ata salary Of $125 to $150 per month and necessary expenses, ty Delano thereupon granted the authority requeste It 18 expected that tne Sioux Chiefs Will be here to negotiate for the sale of this re- | Servation about tue ist of May. THE MEXICAN AUTHORITIES AND THE KICKAPOO INDIANS. The Secretary of the Interior to-day sent to the ) Department copies of the two reports recently received irom Special Commissioner Atkinson fn regard to his negotiations and arrangements for the removal of the Kickapoo Inaians from Mexico back to the United States, These oficial reports, it will be remembered, exhibit the existence of a very strong opposition and the commission of many overt acts on the part of the Mexican local authorities against the consummation of the proposed removal, aithough it bas been formally determined upon by the gen- eral government of both countries, im transmit+ ung Commissioner Atkinson’s reports Secretary Deiano submits to the Juagment of the Secretary of State the propriety of communicating the inior- | Mation contained im them te the Mexican govern meut. CHANGES IN THE JUDICIARY DEPARTMENT— BESIGNATION OF ASSISTANT ATTORNEY GEN- BRAL HILL—THE APPROACHING RETIREMENT OF JUDGE PECK. The Attorney Genera} has just received from Mr. Hil his formal letver resigning the office of As- sistant Attorney General. He will retire adjournment of the present session of the Su- preme Court in next M: The Department of Justice bas no information concerning the re- ported intention of Judgo Loring to resign his seat on the Court of Claims Bench during the next | summer. A vacancy, however, is soon expected on the Bench of that Court by tie retirement of Judge Peck, who bas nearly reached his sev tiett year, and bas long been incapacitated by sickness trom ocoupying his seat, General Pi Qf Wisconsin, and Oo) issioner Dougiass, nh: been mentioned by their respective friends as likeiy to succeed to the prospective vacancy; but the question of a suecessor to Judge Peck will not ‘aa ee ee occur, t south of 113th | Iter the | | said one of them to me —TRIPLE SHEET. ROW ARKANSAS WAS ROBBED. SIX YEARS OF PLUNDER. | Interesting and Amusing Incidents. A RECONSTRUCTION CONSPIRACY. Litree Rock, March 2, 1875. The State of Arkansas celebrates to-day a great deliverance. By proclamation of Governor Gar- land this day ts kept as one of thanksgiving tor | the action of Congress which, it 18 hoped and be- lieved, restored the State to permanent and peaceful self-government. Here, in the capital, the day has been singularly quiet. Banks and shops were mostly closed; many people went to church; there was turkey for dinner; and there were, among the older and substantial citizens, nota few heartfelt words of gratitude tor quiet and peace, and the hope of prosperity. And that, 80 far 23 one could see, was all. The streets were not crowded, though the day was as long asa June day with us; I heard absolutely no Political discussion either im streets or hotels; Poker Jack's arrival in the moraing did not create even a ripple; and thougn there sre probably a good number of disappointed men among the ad- herents of Brooks, tt looks here very much as though both parties were glad to see the battle ended. Indeed, there 1s no doubt about the matter, for everywhere throughout the State re ports show that the general settlement 13 ac. cepted ag final, and industry 1s reviving. More cotton and grain are being planted than in pre- vious years; houses and fenc re being repaired ; fewer men are idle; there is a notable and sudden decrease of street loungers, biack and white, in Little Rock, People are going to work again, It 18 creditable to both parties that, so far as I hear and bave been able to observe, there ts no bitterness of teel- ing, no resentment. ‘The victors are too weil pleased to be anything but good-humored, and the vanquished take their defeat in yood part. One of the most zealous, and, during the winter, ferocious Brooks men, @ colored man, said to me to-day, “What we need now is men and capital; we have peace secured; we are done with politics for a while, and willall go to work in earnest to recover our losses and make the Stato rich, Give us only a good crop this year and we'll be out of the wooas.’” WHY THEY ABE THANKFUL. ‘The truth is, it was time for strife toend. No- body of either party who had anything, even nis labor, to lose, could any longer afford it Here are a few fgures which prove It. Arkansas has less than 650,000 people. It has about 120,000 voters, These owed in 1868, when reconstruction began in this State, about $3,500,000 and had $319,000 in cash in their treasury, ‘The debt was State debt. The counties owed little or nothing. To-day, after seven years, the State owes at least $15,700,000, and most of the counties have debts of their own sufficient to make them bankrupt. And jor this huge indebtedness, which amounts, for State, counties, town and school dis- tricts, to probably $20,000,000, the people have nothing to show, except some mules of railroad, on which they must pay for their passage whenever they travel. Tuere are no new pubdiic building: neither science nor the arts have been advanced; the old State House look: dilapidated as when the reconstruction began, and has been changed in nothing except having its door lintels mutilated that a Brooks cannon might ve squeezed into the hall; the schools are almost all closed because the school fund was stolen, and Little Rock is un- paved, though the conquerors of 1868 issued nearly shinplasters enough to have all the streets hand- | somely paved, and bonds enough besides to make ary crossings at the corners, ‘The State debt alone amounts to-day te more than $115 for every voter. State, county, town- ship and scrool debts, inclading scrip of all Kinds, would probably bring the votersin debt $175 a head. And the waole of this prodigious burden has been laid upon an impoverished and never very prosperous people in seven years, HOW IT Was DONE. Arkansas waa, in 1868, a tempting prize to specu- lators, It had @ trivial debt, a handsome little sum in cash im the Treasury, bardly auy raliroads and a people singalarly innocent of political wiles. | ‘The young and enterprising men who then flocked in and seized @ power and who heid it so many years nad had some experience in what we call ‘politics.’ “We showed them some new tricks,” he damned fools didn’t know a thing about organization. They just went around the State makiag stump speeches and thought that w politics, But that thing's played out.” ‘The new régime framed @ constitution admir- ably suited to their ends, of wuich I shall speak surther on. of pluncer with an act granting State aid bonds to ratiroads to the extent of $00 miles, at $15,000 per mile, or $10,000 for suca roads as had also land grants, Under this law 271 miles of road were built, of which the Fort Smith road is well built and well piaaned for 1u0 miles and 1a to be completed. It has received $1,000,000 of ponds, The Memphis and Little Kock Company butit 45 miles and recived $1,200,000, or $750,000 more than it should nave got. The Ouachita Com- Pany built 28 miles and got $600,000, or $180,000 more than it should have got. The Arkansas Ce tral built 38 miles and got $1,850,000; under the | Jaw it was entitied to but $570,000. This was Sen- ator Dorsey’s road. The Pine Blam batit 70 miles and got $1,200,000, or $150,000 more than its share. The whole issue of railroad did bonds made by the State in less than four years amounts to $5,350,000, Many of the roads were not needed; all but the Fort Smith and the Memphis are uofin- | ished and will for some time remain 80; $1,110,000 | More bonds Were issued tham even these frag. ments of roads were eatitied to; the roads we: to pay the interest, but of course did not, and the State now owes the whole sum, and when it can must pay the interest as well as the principal. Citizens of Little Rock point out to a visitors number of pleasant residences at the new or court end of the straggling town, which, they say, were ballt by the men who handled these bonds. LEVEE BONDS. Next, in 1871, were i 1d $3,005,846 In levee bonds. The law authorizing this tasue proviced that no lev: should be built except on the appii- cation ofa majority of the property holders to be benefited, and then only in & specified way, and the land benefited was heid for the payment of in ¢ and principal ofthe bonds. Regular surveys were to be made and competent engineers were to decide, after all, Whetaer tne levee should be butt, In prac tuce, one or two engineers and half adozen con tractors made a Ring aod built levees wherever they pleased; no tormai petitions were required, no proper surveys made; jogs and timber, and even flour and bee! barrels were crammed into the bank, and meantime the Levee Commissioner, Benjamioa Thomas, issued bonds whenever any- body whom he knew as! for them, and actually kept no books to show to whom, for what work, or when they were issued. The first iresnet ‘washed most of these levees away, and of those that stood, many were so misplaced that planters wore Tutmed because the levees, intended to keep the Water out, only keptit in. Ger in bonds; the swindle was too grows, and the vonds fell in value till they sold in the market for | six or eight cents on the dollar, and can now be 1 in the | bougut for that. The planters r courts the payment of interest demanded of tnem, and So carelessly had the whole work been done that the courts have heid them exempt, because the most simple forms oi law had not been com | pied with, dnd it is believed that the Levee Ring failed to get rieh by its plunder, but t) Owes On these bunds still. SCRIP OR SHINPLAUTERS. Next ‘came the issue of scrip, The taxes and bonds Were not enoagh jor these monstrous rob bere, They beman to Wane State, county, wwn And then they begin the real work | Fortunately the con. | | tractors and swindlers took their pay and plun- corporations, some interest bearing. They issued State scrip at such a rate that by May, 1874, $3,240,000 of this stuff hd been taken up and de- stroyed, and there is supposed to be $1,600,000 of it adoat now. AMUSING MINOR PRAUDS. But these big thefcs are not nearly as amusing as the smaller ones, One Tankersley, Speaker ef the Assembly, for instance, got the people of Clark county to issne $100,000 in bonds to the Ouachita Valley Railroad, of which he was pres dent, He jound a broker in New York who offered him eighty per cent for these bonds, on condition that he would get a responsible bank to guarantee the payment of the interest for five years, He deposited witha bank $39,000, which was the tne terest for five years at six per cent; received at once $80,000 for nis bonds, and pocketed $50,000 by this pretty transaction. The town of Camden, im Ouachita county, subscribed $50,000, which ne | also pocketed; and he ran tn debt jor the listle work he did on the railroad, and when he had got his money ran away himsell to Colorado. {u 1873 Faulkner county was formed out of frag. ments of surrounding counties. This making new counties was @ custom of the reconstructors, They thus created new oMices. The new Faulkner county had no debt. It had no pubite buildings, and has none yet, except an elght-by-ten Court House given it by & Methodist church. It contains 7,000 people and has a property valuation of about $900,000. Two young New Yorkers, Benton Turner and Charles Landers, were appointed Sherif and County Clerk by the Governor, They collected the first year about $40,000 in taxes, and this being insufficient for their uses they issued county scrip for $50,000 more. Trey collected the taxes in greenbacks and turned them im in depreciated State scrip, some of which they bought at thirty-five cents on adollar, They sold oftices, released prisoners, engaged in fraudulent registration, and Anally they departed with their plunder, and the State knows them no more. In Little Rock the Collector of Taxes openly engaged in brokerage, took out a federal license as @ broker, and then drove a thriving trade with the citizens when they came tq pay their taxes, You must understand that all State and county scrip was receivable at par for taxes. Ifa citizen had to pay $50 for taxes, he might buy scrip at thirty cents and pay it at par. But the Coliector bought scrip beforehand, when the market was low, and made his own bargain with the citizen, 1t is said he made his office wort! $100,000 a year. His way was to demand @ moiety of the tax, butin greenbucks. For thia he gave a receipt in fall, Then he kept the green- backs, and turned into the treasury the scrip be haa bought ap cheaply. This atcocious torm of swindling became so universal that! have been told only one county tax collector in the whole State has uniformly turned into the treasury the same money which he received; and this when tne al- lowances of the assessors and collectors were so great that insome years it cost twenty per cent to collect the State revenue, The reconstructors were wise in their geaera- tion. They not ouly robbed at wholesale and ree tall, but they took care to preserve their own su- premacy. The constitution of 1868 gave the Gove ernor the appointment of almost ali the local offle cers, even to the justices of the peace and registrars of elections, Tne Governor, of course, selected | nis own adherents, and did not scruple to send them ‘from Little Rock, sometimes a huadred miles away into a sirai @ county. So loosely was busi- ness conducted that when the new county of Howard was creaved, in 1873, one Hawkins, aa illiterate carpenter of Littie Rock, being appointed County Clerk, began bis career by having county scrip printed before he even went down to take up bis office, and issued the first of this scrip in | Little Rock in payment for an ambulance to tax¢ his family to Howard county. Serip of this county | ts now worth from ten to fifteen cents—and n¢ wonder. Again, in Little Rock the merchants got alarmed Bt the ovor issue of scrip in 1869, and took the plotes from which *these shinpiasterd were printed from the Mayor's office and destroyed them. But presently it was dis | cov ‘ed that no account bad been kept by tue Mayor of the quant.ty printed and issued, and to this day, thougn $10,009 worth of tne stud has | Deen redeemed, more comes in, and no man can | tell how mucn remains benind. There is a small bridge in Eagie township, near Little Rock, which cost to build it $600. Jace Agery, & colored man, was engaged to make some repairs on it. He brougnt in @ bill jor $900; scrip ‘Was then worth ten cents, and he received his pay in 1t—$900, which the county must some day ree deem at par. | Sam Mallory, formerly engine driver on the Erie Ratiroad, became here a general of militia and | State Senator ta 1871; was laser made Commis | sioner to audit old militia bulls, and among the accounts allowed by him and paid was one .oF coffee mills at $17 apiece. Meantime taxes rose, unttl in Pulaski county, of which Little Rock is @ part, they were at five per cent, and in some counties seven and three-tenths, Pulaski coanty serip went down to ten cents, school Warrants were bought at six, and some are | even now worth no more. Other counties were | but little better off, acd the bookkeeping has | been such that it is impoasible to tell how much is really owed. In Pulaski county nm the register of bonds has been, @ pudlic advertisement in today’s paper says, “lost or stolen,” and the | bondholders are now reqaested to come forward and register their bonds before the coupons shail be paid. To return to the railroads, Where their em | bankments would serve as levees they were alk lowed levee bonds in addition to tne aid bonds; 4nd, not content with this, im one case tweaty | miles of track baving been laia on & road, ac | cepted and the bonds received, the iron was taken | up and removed to another road, woere it sufficed tooptain from the treasary dnother $300,000 in bonds, Why did not the people turn out these knaves! ‘This I will try to explain to you in my next ieties CHARLES NORDAOFF. |THE ENVOYS AND THE CARDINAL HOW THE PAPAL MESSENGERS ARE TO BE Ew TERTAINED—THE CARDINAL'S EQUIPAGE. The envoys from the Pope to Uarainal McCloskey | Rave now achieved tueir mission. Count Mare. | fosehi nas given into the nanas of the Cardinal | the bigletto and zuocetto with which ne was ine trusted by the Holy Father, and Mgr. Roncetti nae in proper form told His Bmineace that the scarie’ verretia is Waiting to be delivered to him when he | shall cnoose to receive it. The eavoys would seem to have no more to do than to participate ia the celeoration of the mass, during woloh Arch» bishop Bayley will confer che derrattina rosa upom His Eminence, It has been announced that thie Would occur om the 22d inst.; but Father Pariey, the secretary to His Eminence, informed th¢ writer yesterday that circumstances may cause | itadate to be cianged. However long the cere mony is deferred tne Papal euvoys will remais here until it is over. In the meantime they will | undoubtedly fare very pleasantly. All the wealthy | Catholies of the city are desirous to ram | them, and will spare no effort to make the | period of their stay in New York am epoch | in their lives, They bave already received | numerous invitations to private dinners, | some of which they bave accepted. Yesteruay aivernoon tne envoys visited the home of Majo® | seap Be. Keitey, dr, Where they met a select party at dinner. | During yesterday Cardinal McCloskey remained at Nome antl avout hali-past four o’ciock, at | Which time the writer met him leaving bis real | dence Sione to atiend to some business. Except, | perhaps, to ride through the Park with the ene Voys, Uardioal McCloskey will take mo active entertainment of bis guests outside of nia "THE CARDINAL'S RQUIPAGE, je coach which has been pre for the as@ | of Bis Emineace will ve sent to his stable tu-day, precedes by ateam of magnificent horses. The Care WHICH Was Used In selecting tuese guimals is id to be well repaid ita results 10 Ly 4 orm pirit. They are sti coata, mn | Boye bccn ittee oF ihe gen’ ay mma subsoribed toward the purchase of the team and coaun Wii visit His fnence and juest bam te aocept the ‘n@ comm! 4 Al