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Maps, plates, charts, etc.. may be filmed at different reduction ratios. Those too large to be entirely included in one exposure are filmed beginning in the upper left hend comer, left to right and top to bottom, as many frames aa required. The following diagrams illustrate the method: 1 2 3 Lea cartes, planches, tableaux, etc., peuvent itre filmte A des taux de rMuction diffirents. Lorsque le document est trop grand pour etre reproduit en un seul cliche, il est filmA A partir do Tangle sup^rieur gauche, de gauche d droite. et de haut en bas, en prenant le nombre d'imagas nicessaire. Las diagrammes suivants illustrent la m^thode. 1 2 3 4 5 6 mm. hf' ;< mammm ^^wp t^F'^mm &REAT WESTERN RAILWAY OF CANADA. MR. H. BOWLSBY WILLSOFS REJOINIDER 1\ TO MR. BRIDGES' "REPLY," BEiNG A LETTER ADDRESSED TO THE COMMISSlONBEt OP mQUIRY INTO THE AFFAIRS OF THIS COMPAJBIY. o •«M- HAMILTON, CANADA WEST, im. J' ••:.. w.y &■ ^M, %i /;| o A; •?* w & DEDICATION. To the Eatepayers of the City of Hamilton — the Municipality of which is the oldest, if not the largest, Shareholder in the Great Western Company, and whose subscription undoubtedly led to the construction of the line — the following Communication is most respectfully dedicated. ' ^ > ' It is published in advance of the JSeport of the Committee of Inquiry^ to whose Commissioners it is addressed, and without the writer's being able to anticipate the result of the Inquiry — in consequence of the extensive circulation, in railway circles, of Mr. Bbydges' false and insidious publications and statements — where the writer is desirous of setting himself right at the earliest possible moment. H. B. WILLSON. HAxn/roir, ith October, 1860. 'W'U- ■■riiiiifitiiiiiiii)iiiii-ii liiiiilifiifiirr ,KoiTAr>i(r(T(i 'ani'- "JiiT'.l."'' i 'U_iff7/s»i.- t|( ,;:^irji?«! • ', \ .1 GREAT WESTERN RAILWAY, CANADA. •»> II i i.f.v'i*: To the Commissioners appointed to inquire into the .Affairs d¥ki Majnagermnt of the Great Western Eoilway of Cemada ; ^ : ■ ■ .... .., ,,. ..ii 6B^"TLEMI!N : ^•^sfe- In laying before you evidence in verification of the all^ations contained in a pamphlet, issued by me in London, in March last, I propose to take up the prominent points in detail, and to place before you such evidence as I felt warranted me in publishing the pamphlet in qi estion. In some cases I can only suggest the names of parties, who, I have no doubt, will state the facts to you as I have obtained them. It may be that some of the statements have been exaggerated by those who have given them currency. They, nevertheless, in my judgment^ merit inquiry, with the view to extracting the trutn. The charges whidb have from time to time been publicly made against the Great Western Management, were summed up by me in the form in wfaidi you find them m my pamphlet, in order to afford the proprietors 9Xk opportunity of having them inquired into by a committee, and, at the same time, place it in the power of those responsible for the managemect of the Company's aifaiTs to explain or refute them. T^is Tatter tasik has been assumed laj Mr. C. J. Brtdoes, Mana^ng Director, who has i$sued a pamphlet, entitled " Mr. Brtdobs' Reply to the Pamphlet published by Mr. H. B. WlULSON." ^ iuift u..^-5 fl As the greater part of Mr. Brtdoes' "Reply " consists of per- sonal abuse gainst myself, and matter entirely foreign to what I conceive to be the duties of your mission, I shall «^deavor, in making allusion to it, to notice sudi of his statements only as I think consistent with the objects of your inquiry. Having already frXiplained, in a communication addressed tP Mr. John Youliro, (6/ your Oommiflsion) how it happened that I, who am not 4^ .^jjiare^ holder, catne to lay before the English proprietors facts whldd have traiospired Jn relation to the manaffement of tiieir propwty in this country, I/sWU mke xiof\idh»r flSusion to a niiitteyj, ip itself of ,\ e no importance whatever to those interested, though Mr. Brydoks has labored to work it up into available capital for his defence.* I will take up the various points as they are set down and classified in my pamphlet, from pages 4 to 9 inclusive :- ■ • t • • J t d I. The first classification of charges relates to the premature opening of the line, and to large extra payments made to con- tractors, in order to hasten the work. The sums so paid, having never, as I am aware, been officially stated ; had been variously estimated at from j£60,000 to £160,000 currency, I set them down at the latter amount, partly from information which I received just before I proceeded to England, and partly from a statement made before the late London Committee of shareholders, by a Canadian gentleman then in London, whose name was added to that Committee. As you have had free access to the Company's books and the Engineer's vouchers, &c., you will be able to state the facts with accuracy. It is to be hoped that you will do so, as it has been a matter upon which a great deal has been said. As to the payment of the money in question, Mr. Brydges affirms that only £27,000 was so paid, and that this sum had been agreed upon before he came to the country. I have since my return to Canada, been informed that a large part of the sum mentioned by me, was paid * It may be as well to explain once for all, that the reasons alleged by Mr. Brydges for the publication, by me, of the facts which aroused the indignation of the Engiieh proprietors and directed attention to the manage- ment of their property, are, in all respects, false, and that he knew them to be so. Those who have read his " Reply," will have seen that he puts down my proceedings to his refusal to settle a claim for $15,000, which I made against the Detroit and Milwaukee Railway Company for services. Nothing can be more absurd than such on assumption ; for the very steps which I have taken, and the results which I clearly foresaw would follow, have entirely destroyed my chances of ever getting paid for a year and a half of indefatigable labor and a large outlay of money, iA promoting the interests of this now unfortunate Company. Although my claim had nothing to do with the cause of ray supposed hostility to the Brtboks' dynasty, his refusal to settle it — after giving me his written acknowledgement of its justice— would, according to my ideas of casuistry, fully bear me out in the efforts I have made to procure his removal from aiv office where he has the power without the will to do right. What gave me the first determination to expose the deplorable policy of the Oreat Western Board, was the insolent manner in which the overtures made by me on behalf of certain parties in America to lease the Canadian line, were received b y the Board in London. Hence the violent hostility of Mr. Bbtdobs towards myself. He very naturally felt that such a consumma- tion would cut him short in his extensive private speculations in connection with steamboats, stocks, &e., in which his ambition had involved him. * \ tES 3* nd re m- ly m I a ■s, »d le h a It e Q i /vi on account of damages claimed by the late Samuel Zimmerman, for the stoppage cf the works contracted for by him on the Sarnia Branch, and for giving up the contract for constructing the Toronto branch, afterwards given to Mr. George Wythes, or Riegate, for himself and, I believe, Mr. Samuel Laino. I direct your attention to the facts, as I think Mr. Brtdoes will scarcely deny his share in the responsibility of these transactions. As to Mr. Brydges' denial of the fact alleged by me^ that the then Chief Engineer, Mr. John T. Clark, protested against the opening of the Great Western Line, when it was in an incomplete and dangerous condition, you will find the grounds upon which I made that statement contained in the following letters addressed by Mr. Clark to Mr. Brtdoes at the time. These letters you will see published in the official report of Messrs. Coffin and Cameron, who were appointed by Government to inquire into the cause of the Baptiste Creek catastrophe : — .'i.r> [Copt] w'' v^Vi Engineer's Officb, Great Western Railway, Hamilton, llih October, 1868. ^ V!»,*a. XIM" , ■■l'*!i*t C. J. Brtdoes, Esq., Managing Lirector. ., , , , „^n • Dear Sir, — Understanding from you that it is your intention to run a train of passenger cars over the eastern division of the Oreat Western Railway, between Hamilton and the Suspension Bridge, on the first of November next, or soon thereafter, I have thought proper to address to you this communication, in order that no misunderstanding may exist in relation to my views in regard to the safety and propriety of such a proceeding. I have heretofore, and previous to the failure of the culvert at Twelve Mile Creek, declared to you my conviction that the attempt to run a train of passenger cars over the eastern division by the first of November next, and immediately thereafter to open Ihat division of the line for public use, would be a premature movement, and, if carried on, would be attended with hazard to life and property. And, now, for the purpose of relieving myself from all respon^^ibihty in a transaction I deem so imprudent and unwise, I desire to inform you in my official capacity, that I do not consi- der the grading or superstructure, so far as it is laid down, in a safe con- dition to be used for public purposes ; nor do I believe, that with all the energy in the power of the Company or ('ontractors to exert^-within the period intervening between this and the first of November next — the track can be extended and the line put in a suitable condition for public traffic. Contingencies now exist which may possibly extend the time for opening the road to the first of January. ■, ; , . . i ,..s , ' .i. Very respectfully, truly yours, (Signed) JOHN T. CLARKE, '» Chief Engineer. tOOPT.] I bii^ in ,iy»i»!id .riia*/ Ifftit Tt.l*|t 'i.^' ''"Engineer's Office, Great Western RAiLWAt, Hamilton, 18th October, 1868. Dear Sib,— I have this moment received your letter of this date, in answer to a communication which I thought it my duty to address to yon, t upon the propriety of opening the eastern division of the line by the first of Novemoer next. It is not my business — nor do I desire — to enter into any discussion about the demand 3 of the publio or the duties of the Directors. I simply gave you my honest convictions as to the propriety of opening the line for public traffic by the time above mentioned ; and, in doing this, 1 was actuated by no motive in the leas^^ injuri^>us to the bests interests of the Company and the public at large, n^r by any unkind feeling towards any person. I am aware of the great importance of opening the line at the earliest Sossible period, and I have laoored assiduously to accomplish an object so esirable. But in doing that, I have endeavored to exercise that degree of prudence whieh circumstances seem to require. The contingencies alluded to — which may possibly extend the time for opening this road to the first of January— are the works at Twelve-Mile Creek. Should the culvert cave in and close up the water-course, thti consequences would be most disastrous. I am, dear Sir, respectfully yours truly, . l 1 , . . -^ (Signed) To C, J. Bbtdgbb, Esq., Managing Jjirector. JOHN T. CLARK, Chief Engineer. The late Mr. Tiffany, then a Director, informed me that he so fully concurred in the views of >Ir. Clark, that he had entered a protest to the same effect in the Director's minutes of proceedings, or had tendered the same. Upon these points I consider th6 testimony of Mr. Clark, who resides at Utica, in the State of New York, as of the utmost importance to the objects of your mission, and I beg to say that I have seen letters from him, in which he says that he will cheerfully communicate all that he knows on this Bubject. He will also bear testimony, as I have reason to believe, to the reckless manner in which the funds of the Company were expended during the time that he acted as Chief Engineer. 1,; ^.ih ^;,>. ■?.• v'' .lU r>\U V.-x AK'n •I-.. Hi ,1 ■' ' As regards the second charge, " that the Managing Director is responsible for the construction of the steamers Canada and Aniefica^ which cost the Company £100,000, and that he sold them for less than £40,000 sterling, taking in ppj . icnt Detroit and Milwaukie shares, at a time when those shares v.<.'.»nessed little, or no market value ;" reference to the publisT;ed reports of the Directors will prove its correctness. I state it as a r*>sitive fact, that I was offered a large amount of those shares, at the time the negotiation was pending, at 40 per cent, of their par value, and a few monUis later, they were offered at a still greater discounf;. j \: '■> i' The person^ who superintended the building of these Steamers, has often told me that Mr. BufDOBs, of all the Directors, was ohiefly responsible for their construction — that other Directors wore desirous to delay their building, and to make use of those already running on the lake, which could be chartered at a mode- rate rate. This gentleman will confirm these facts if now in Hamilton. t • • \, ri i.vu< MTva-it i.i n... i-.,i' »»... The gentleman* who supplied the coal to carry the steamers in question to New York, to tue amount, I believe, of £800 currency, informed me at the time, that in order to secure payment, he attached and detained one of them at Montreal, and would not release her until he was paid ; and that he received in payment a Great Western check, upon their then local Bankers. You can verify this fact by reference to the Bankers. Of the correctness of this information, I do not entertain a doubt, although Mr. Brydgbs says " it is wholly untrue." t\.i i/i With regard to the statements contained under the 4th head of ray pamphlet, relating to the General Balance Sheet, you will already ha.\6 had an opportunity in examining the Company's books and stores, to have formed a pretty correct opinion of the truthfulness of my remarks. r,^ j .^ ,; , 1,:.^^., I take the liberty here to correct some clerical errors in the figures contained in a note which was appended to page 6, of my pamphlet, after it had been revised for the press. I do so because Mr. Brtdges has devoted nearly a page of his " Reply" to critici- sing my qualifications as an accountant, in consequence of these errors. I append the note with the corrections, and direet your attention to the discrepancy pointed out in the Directors' state- ment, which Mr. Brtdoss has failed to explain ; see, page 9 of his pamphlet: vin-.iPt" / * :?;i.f aT Wm " Since the text was in type the Directors' Report for the last half year has been received. In this, the item of rails on hand, Slst January last, is "* "the nainei 6f the ptxtaa were ^applied in the original thror jhdut this commdnieatton. 10 set down at £6*7,719. This amount shows a reduction in the stock of no less than £14,521. The Engineers' Statement, at page 24 of the Directors' Report, accounts for only 28,199 dols., equal to about £5,700, leaving a balance of nearly £9,000 to be accounted for, according to the Directors' own shewing. Have the Directors been speculating in rails, or have they been so put about for money that they have been compelled to sell £9,000 worth of rails, in order to pay a dividend? What will the Shareholders say, if upon a proper valuation of old and new rails " on hand" it is found that this item of x67,7l9 must be cut down to something like twenty-five or thirty thousand ,? This rail question must be carefully looked into. The proprietors will do well to look over the report of the Chief Engineer, Mr. Bbid, upon whose representations on this head every reliance may bepiaQedt" I.' f ' .'J J> ? J- t The fifth and last chapter of charges contained in my pamphlet and attemped to be explained and justified by Mr. Bbydoks, relates to the unfortunate connection of the Great We • «ern Rail- way with the Detroit and Milwaukee Railway Company. The fact that the Directors caused to be advanced a "large sum of money to this Detroit Company, cannot be denied. As to the prudence of this step, you must form your own opinions from the actual result. The Directors were pledged, by the Resolution of the Great Western Proprietor^5, authorizing this loan, to do so upon obtaining " sufficient security." I now submit, that the advance was made upon entirely insufficient security, and that the whole amount will prove a total loss. In ordinary business transactions, the parties committing such a blunder would, un- doubtedly, be held to be personally responsible, in law, for their want of prudence. Much of what I have stated, respecting the connection, thus established between the two Companies, relates to the effect it has had upon the friendly relations which formerly subsisted between the Great Western and the Michigan and New York Central Companies, the two latter of which are largely composed of the same constituents. Mr. Brydoes denies the correctness of my assertion, that this effect had been to create a serious misunder- standing between the Managers of the Canadian, and those of the two great American Companies. In verification of what I have stated, and as being wholly at variance with the statement of Mr. Brydges, that the friendly relations, between the Canadian and American Companies have never been disturbed, I submit herewith a lengthy communication, addressed by Mr. Brooks, President of the Michigan Central Company, to Mr. Tallman, a shareholder, and by him forwarded to me in London. (See Appendix, No. 1.) This communication, though addressed to Mr. Tallman, was written expressly for my use in England, to vouch for the statements which I bad received verbally, from Mr. Brooks and Mr. Pruyn, Managing Director of the New York Central Company, respecting the bad faith of the Hamilton Board. ■] .)»^ 'S; X. M n Shortly before I left for England, in January last, I addressed Mr. Brooks, asking him for some voucher, to which I received the following reply : — ■"'•''' '/'\ ' '" I • Boston, January 18th, I860. ' Dear Sir, — Your letter of the 11th inet., is at hand. While we are nominally at peace with the Great Western Railway, yuu can readily see the propriety of our not wishing to take sides in any domestic controversy its officers may have. The fact of their conb'^ant violation of their contracts with us, and the protests we have made against their continued warfare upon our interests, are well known to our principal shireholders here, from whom you can obtain any information you may desire, if you should spend a day or two in Boston, without putting us in the delicate position referred to. , , , , < Very truly, yours. H. B. W1LL8ON, Esq., Ontario, near Hamilton, C.W. J. W. BROOKS. .•:'. .■ v Hence Mr. Brooks, considering it of so much importance, that I should be able to back up my own assertions to the English shareholders, in the Great Western of Canada, prepared the accompanying report, setting out all the differences between the latter Company, and the two American Companies, composed, largely as they are, of the same constituents, and consequently to that extent identical in interest. You will perceive that Mr. Brooks refers throughout his report to the " New York Central Companies" — now incorporated into one, as well as to the Michigan Central. I also transcribe a letter which f received from Mr. Brooks, in April 1859, in reply to one I had Written him on the question of forming a Cariadian and American Joint Stock Company, to lease the Great Western line, if the proprietors would consent to do so. I give this letter to show that Mr. Brooks favored the proposed Great Southern line. His allusion to the Detroit and Milwaukee is also an illustration of what I have written on that subject : — The Migbioan Central Railroad Company, .( .' ., . . Prmcfe7i<'« O^ce, Boston, April 6th, 1859. H. B. WiLLSON, Esq,. Hamilton. Dear Sir. — Yours of the 19th ult., came duly to hand. The question you propose, of leasing the Great Western Railway is surrounded with many difficulties. Is the Great Western the best route for the through busi- ness? By many this is doubted, and the level line proposed across the plain, with a uniform guage thought better. The late action of the Great Western, in connection with the Dutroit and Milwaukee, is raising many new questions of much moment in this connection. "■! ^il» uiV " .-, •rtVu'5^,,. Yours truly, •^':■ ' ^'<'\ ■' "'i^'i ij^s \vi >.i\\'t>v • ^ttfjiH !f;l*i5c .--^^fi«v''tiivwir. *• 1;. ..,.-. i.. ■■ ■ ,-•—..' -v J. ^. BROOKS. '■' % ** f TF'" 12 it #■ Mr. Brtdqbs' answer, that a new tragic arrangement has been entered into, which obviates the causes of misunderstanding, if such ever existed, cannot be received as a reply to the past acts of the Hamilton Board, any more than his quoting the traffic receipts of the Great Western and Buffalo and Lake Huron Companies, as he does at page 12 of his " Reply," for a period subsequent to the publication of my pamphlet, in order to show that my statements, having reference to past events, were erroneous. I do not deny that the New York Central may not derive a slight advantage from the Detroit and Milwaukee, as well as the Great Western. What I affirm is the fact, that the business which flows from the Michigan Central, is vastly more important to bothy than that of the D. and M. line. 1 wish, also, distinctly to state, that I have always argued in favor of the D. and M. line, as being of great importance as a feeder to the Great Western, arid always as strongly against the policy of the Great Western, taking it up as a " part and parcel of its own property," as Mr. Brydges has called it. It is needless for me to argue this matter further, or occupy your valvable time upon a question of policy. My views are already fully known to the English proprietors of the Great Western, on this subject, and I believe generally concurred in. I apprehend that no future manager will attempt to follow up the plan of those who have, for speculative purposes, brought the Great Western into such a bad investment. The very best thing for the Great Western Company to do, is to abandon the control of the D. and M. line, securing, if they can, the million and a half of dollars lent the latter Company. So long as it is under the same management, there will be constant causes of irritation, which the new, and in fact no traffic agreement with the Michigan Central can obviate. To illustrate the correctness of this view of these Railway com- plications, I quote the following extract, from a letter addressed to me, by an English gentleman of great respectability, residing in Chicago — submitting the original for your verification. I give the writer's name, with his permission : •Xi \i: if .v.i!»::vvU ,.':i>,i^.> '.' Chicago, May 11th, 1860. " Dear Sir. — Mr. has just called upon me, to ask me to write you about a circumstance that has IjRtely come to the knowledge of the agents of the Michigan Central Railroad here. " It appears that goods billed at New York, to roerchants in Chicago, via Suspension Bridge, have been sent over the Detroit and Milwaukee Road, and shipped by Lake from Grand Haven here. Four cargoes hav* arrived in this way. 'The merchants here are perfectly up in arms about it, and 96 of them signed a requisition yesterday, to the agent of the New York, Central, to have their goods shipped at Buffalo by water for Detroit, thus cuttifM off the troMc from the Great Weatem altogether. " Via the Suspen- sion Bridge" had always been considered an " all rail" mark, and it seems v^V^- *,*!' w '^m a perfect outrage that Brtdoes should mis-direct the Traffic that was mani- festly intended to go over the Michigan Central Road. Nothing can be more suicidal than this action of Mr. Brtdgbs, as is shown from the fact of the merchants here having ordered their goods to be shipped, so as to avoid the Great Western altogether. ■ ■ Yours, very truly, ; ' '■' ■ "'-"'-' ^''f-" -■' -■ ' ^' , , -";•'• T. a BURTON. ■-'' -» ; : ■ The quantity of .freighting businsss which has thus been lost to the Great Western Railway Company, cannot be estimated, but it must be very large indeed — and its diversion, you will perceive, does not in the least injure the interests of the New York and Michigan Central lines, whilst it benefits some of the Managers of those lines to the same extent that it injures the Great Western. Mr. Dean Richmond, of Buffalo, is considered the most influen- tial Director in the New York Central, and har, the reputation of controlling its policy in regard to its Western connection, as Mr. Corning does at the East, or Albany end of the line. The former is the owner of a great number of freight screw steamers, on lake Erie, which form a daily line between the New York Central freight station at Buffalo, and the Michigan terminus at Detroit. The proceedings of these 96 prominent merchants at Chicaga, therefore, exactly meet the views and interests of Mr. Richmond. ******* * * * The enclosed advertisements, from a Detroit paper will furnish the English shareholders with the means of estimating in some degree the extent of competition their line is subjected to by Lake Erie, and how their friends in the New York Central are interested in the matter. You will perceive, first, that there is a daily, or rather nightly line of splendid passenger steamers, plying between Detroit in connection with the Michigan Central lino, and Cleveland. Secondly, that there is a daily line of first class steam freight boats, plying between Detroit and Buffalo, called the; " New York Central Railway line." It is foreign to my duty at pres- , ent to refer to the " complications" in which the wisdom and sagacity of the Great Western Managers have involved their trusts, in respect of the Grand Trunk and Buffalo and Lake Huron lines. The Great Western, in connection with the New York and Michigan Central lines of railway, form, in my judgment, the best and most economical route for both passengers and freight, between tide water and Chicago, the great centre of western in- dustry and commerce. But to give them the full advantage of their natural position, it is indispensible that they should be operated with the utmost harmony. I have shown you, I trust, sufficiently clear, how these advantages are sacrificed, by the personal interests of their respective managers — and how, in consequence, the pro- prietors of the several lines are the sufferers. m. B r m 1 1 ,1 ^ 14 With regard to the building of the steamers Detroit aad Mil- waukee, at the cost and upon the credit of the two English Direc- tors at Hamilton, Mr. Brydges' own explanation of this matter is 80 lame — so condemnatory of the transaction — that I shall offer only a few remarks upon it, and those mostly in relation to Mr. Bry ass' assertion, that he and Mr. Reynolds undertook the large responsibility for a Company, which they knew to be bankrupt, purely "out of zeal for the interest of their employers." Now I think but few business men will differ with me when I affirm, that men in the position of trustees, who will rashly incur ruinous embarrassments out of zeal for their employers' interests, are not the |)njdent careful men who can be safely entrusted with the management of a gre«t propyl v. Whether, therefore, it was out of zeal for the interests of the English [>ropriet<)rs that these gentlemen hsive ruined theniselves, or that they embarked in the speculation for private purposes, and afterwards, finding it a bad affair, have endeavored to get out of it by turning the boats over to the bankrupt Company, getting one of themselves appointed receiver in order to insure payment, the act admits of no justifica- tion, and proves their unfitness for so important a trust. If — as the facts warrant us in believing — the steamboat transaction was embarked in as a private speculation, Mr. Brydges will be a lucky man to get back the $300,000, which they are alleged to have cost. You will have little difficulty, I apprehend, in obtaining conclusive evidence that they are, and never were worth over $200,000.* I beg here to direct your attention to what I conceive to have been a wilful and deliberate misrepresentation on the part of the Great Western Board, in their circular issued last November, in England, in order to obtain a further loan, by the issue of pref"** ence shares, tor the Detroit and Milwaukee Company. In tne circular, signed by the London Secretary — which accompanied the Directors' prospectus as well as in the latter itself — the share- holders ai\d public are clearly led to the conclusion, that the loan called for (£260,000) would extinguish the floating debt of the Michigan lino. Since my return from Engla»id, in May last, I have leArned that the " floating debt " was, at the time referred to, not less than £400,000 sterling, or about ?2,000,000. Mr. Bhtdges' great anxiety to procure the loan evidently arose from his desire to pay himself, and Messrs. Reynolds and Movius, for th^ steamers. Tho following copy of a letter, which I received * See more about this eteamboat speculation in Appendix, No. 2. It may be asked how it happened that Mr. Julius Movius, the Oreat Western Com- pany's chief ticket agent in the United States, a well kuown German Jew, shonld also have so much " zeal for the interests of his employers," as to induce him to embark in this enterprise with the Managing and Financial Directors? Only think of it ; three such extraordinary instances of men offering themselves as sacrifices for the " interests of their employer* t" Cf m' yi I! » > iii iM>i i> i iji< M from Mr. , a high legal authority, in Michigan, in May lai9t, will confirm what I here state : — "Dbtboit, May 5tii, 1860. " Mt Dear Sib,— Your esteemed favor of the 4th instant is this moment received from Mr. Cbawfobd, who waits for my reply. I have only tiir.d to say that the Trustees (Bay does, Retnolds and Bekohbb) to whoLi the Detroit and Milwaukee Company mortgaged their road, Ac., in 1858, (two mortgages, one dated January 1st, the other, Novem- ber 12th, 1858) for the benefit of the bondholders under said mortgages, have filed a bill of foreclosure in the Circuit Court of the United States for this district, (at Detroit) to pray for a sale of the whole property for the payment of the bonds, amounting to $1,250,000. They obtained, on filing the bill— ant? by the consent of the Solicitor of the Company — an order for appointing a Eeceiver of all the property, income, i&c; and the Court, by like consent, appointed Mr. Bbyooes the Receiver, he giving security in the sum of only $25,0001 AH this is by the consent of the present Board of Directors, the three oom- Elainants being three of that Board, and having the proxies of the three directors residing in London, (England.) " The objects of this proceeding are, — "1. To cut off and utterly destroy all the stock of the Company ; that is, to render it worthless in the hands of the present stockholders " 2. To evade and avoid the payment of the whole of the floating debt, amounting to about $2,000,000. " 8. To organize — under a recent Act of our Legislature, procured at their instance, through the active interference of Mr. Emmons, the Solicitor (at all times) for the Detroit and Milwaukee Company— a new and distinct corporation, based wholly upon the sale under s ' the mortgages, that is, upon the money lent to it, so as to consti- ',-' stute the veud<3es the stockholders of the new corporation, who are to appoint new officers, and thus completely to annul the old corporation and establish their own on its ruin. '- . <> " I am employed as Counsel for the stockholders to resist this cut-throat proceeding, and shall do so to the best ot ray ability. ****** "Yours truly, " H. B. WiLLSON, Esq.. ** Ontario, Hamilton, O.W. - i '" ' I have omitted to state in the proper place, the ftsseition I have made, that the loss sustained by the Great Western Goriipany in consequence of the nnsiinderstaniiing with, and jeal(»u«iy on the part of the Michigan Central Company, was equal to !fe 10,000, or JB2000 stg. a week, was made upon the authority of Mr. Brooks. Ihat gentleman said, in my presence, at Albany, that he consider- ed the loss caused to the Canadian line, by its bad faith, as amount- ing to that sura. The Hamilton Board having now thrown them- selves entirely into the hands of the two American Companies, the latter of course ask for nothing more. If you look closely into the lew traffic arrangement 1 apprehend you will find that the ! Great "Westeru has got the worst of the bargain. They have /\ f n 16 Albany, or BuSo Th A "^^^' ^'^ ^^^ New W fW i /*'" after being draSai^' 1 ^^^^^^^^ ^«r Canada is aH 1? ^'' ^^°°^ room s c^Jip^^^^^ by porters across the floor .f ?^^" ''"*' ^nd During the autumn of last v.-. r PnurN, the paid Managing bYJoI ^ ''TT^ ^'^^ Mr. J. y L the Erie «n^ n f^^""^' "« ^^ke Ontario ""Xh- v'""^ ^^ ^^'^vvay S,7™»^«'' personal matter of i/lf^ '" *'"' *»« Mr. sirDGEs that ,„ J856 I ^as the first to Jate i' "«»"•"«. «s he also aHeZ Western and itsprotee^thVn^JiP^-^^^aster to the GrI. '-receives .Uu! mf^^'/,^: ^ ^.SS^^which, {^^ certainJy did write the first 1 fi. ■•-- have only md passen- to see this eliver and each Com. ^en a pas- 'tral, from out, and e baggage over the examined stination. delay, as J. V. L. ■ Central i difficul. This referred 'RTDGES, ies. ith how theD. of that I must ? says, nenced This is ing of n, and liiway wn as 3stern under I, as I upon irose lithe DOES Jges, ion. nate and reat 3ld, irst 17 letter to Mr. Brtdqes, but it was at the strong solicitation of Mr. MiNOATE, who had conveyed to me Mr. Brydoes' desire for a reconciliation. • --^ ••; .1 !'•'. •>' i -lii .• r/;?; n If it can be said that I had a quarrel with any body about the purchase of the Erie and Ontario line, which Mr. Brydgbs so warmly advised, it was with the Buchanans, who were then supposed to give a policy to the Company. But even this assump- tion is not warranted by any remarks which I made, or anything that I did. Until long after their expulsion from the Board by the very man whom they had placed in power, 1 had been in the habit of imputing the series of blunders made by the Hamilton Board to the Buchanans. Hence it was, that I was the first to congratu- late Mr. Brydoes upon their removal. This letter, though a private one, Mr. Brydoes has published at length, at the end of his pamphlet. Here is an extract from his reply : — , . ... J,.. , ._,.,, Great Westebn Railway, '•,,:.., Managing Director's Office, Hamilton, C. W., 11th Nov., 1856. Dear Sir, — I think all true friends of the Great Western must feel gratified at the complete overthrow of the Buchanan dynasty, and I think it is a matter of congratulation on public grounds, because their connection with the undertaking was injurious also to the interests of the country which it traversed. My connection with the company commenced when the Buchanan influence was at its height — and as they introduced me into Canada, I was naturally at first mainly led by their opinions. I soon had reason to be surprized at Isaac's course.and he led me into many proceedings, which subsequent and more intimate knowledge of the country and the people led me greatly to regret. For the last two years there has been a growing divergence between them and myself, until it culminated in the Southern Line Madness. *»**»» Unfortunately the Great Western has been looked upon with distrust, by a large portion of the community, owing to the acts of thos« who controlled its operations. ****»»» , , I am. Dear Sir, yours very truly, ; :, ,,; ,, ,; r . O.J. BRYDGES. H. B. WiLLBON, Esq., : jt .,; , ; -j^., ; vi London. .■\-':\ ;»._•'- v v.^^ :;^i^.r .';: -^. ,:-».. ■ .• • l-t -.■-,: .ii-xaiin-itu The continuation of the same reckless policy, up to the present time proves how much I was mistaken in putting the blame upon the Buchanans. What Mr. Brydges says about my claim for services rendered to the Detroit and Milwaukee Company, in introducing it to the parties through whom the funds for building the line have since been raised, and for acting a year and a-half as that Company's agent in England, is grossly false. He says that my claim was referred to the old members of the D. and M. Board, and they reported that it had not the slightest foundation. If such a reference ever took place, I Was never notified of it. The truth is that the old members of the Board, as well as Mr. Brydg . and M. states as INGTOK, 867. ^1 a year as agent others, Qterestfl, state of lat they the lioe in Eng- it made n pay. ^ried to verhiaX Jooked truth, onora- times, ueiand Dizing basis, :ether n the I the hare- iated later 19 has thns far been carried out ; and f Ithough I can prononnoe no opinion upon any claim you may make, 1 should be glad to near that the Detroit and Milwaukee Co., had, when their present great difficulties were sur- mounted, considered your past services in a spirit of liberality. '■', ( , , I remain, Dear Sir, , ; ,, ■ ' ' ' " * Yours faithfully, ' ■ ■"'•' ■' ' ■"'■' ■'■:!''- ^''''^•'' SAMUEL LAING. H. B. WaLflON, Esq. ' '^ <■■• ' ■^■■' •■'■'"' ■'■■•> ■- Both Mr. Brtdges and Mr. Laino have stated the nature of my claim correctly, and the assertion made by the former in his pamphlet, that the case had been decided against me, by the Court iif Queen's Bench, in Canada, where I commenced an action, is an unmitigated ai.d willful falsehood. The court simply decided that they had no jurisdiction over a foreign corporation, and 1 never pressed the suit in the courts of Michigan, because my counsel advised me that the Company was bankrupt, although they were paying off claims made by the friends of the Directors. I had prepared this much of my statement in support of the pamphlet which you have invited me to sustain, when I received a communication from Detroit, which induced me to visit that city, in order to confer with several parties who had, from time to time, afforded me information. The result of this visit I give you in an appendix. Meantime I shall bring this communication to a close, by refut- ing Mr.BRTDGBs' willful and deliberately false statement that I " am *' concerned, with several other speculators, in a monstrous claim " against the Detroit and Milwaukee Company, for compensation " for occupying some barren sandhills at Grand Haven in the con- " struotion of the terminus there. For the land for which Mr. Willson " and his confederates have endeavoured to levy black mail on the " Company, we are advised by our counsel that we hold a good " title, and Mr. Willson has been told that his claim will not be " recognized. If his position, in this matter, had been an honest " one, he would long since have endeavoured to enforce it in a "court of law." . r.i,r J^y ..^i ■;■ ■ . • > •''•'-•'•..'■•^ J'-*' ■- ^^r,-;^;.'*! ';id The facts are these : an undivided one-half of a tract of land, comprising about 600 acres, at the mouth of the Grand River, known as Grand Haven, in Michigan, was sold to several gentle- men in Canada, some years ago, by Nelson P. Stewart, Mr. Brydgbs' friend and colleague, and another person in Detroit, upon a false and fraudulent representation that it was a fine tract of land, and that the Detroit and Milwaukee (then Oakland and Ottawa) Company, would require a portion of it for station grounds, &c. 1 was present when the late Mr. Tiffany, one of the purchasers, made his bargain wjt,h Mt. Stewart, who was a' Director of the O. and O. Co., and can testify positively to the factis. \ h 90 Mr. Stkwart informed Mr. Tiffany, as an inducement to pur- ohase at a large price, that the Company would pay a fair and rea- sonable consideration for what they required for station grounds and right of way. In October, 1858, the proprietors of this lh.';d, residing in Canada, were surprised to learn that the D. and M. Company had, without any intimation to them, taken possession of about two miles of the water or river front, and several acres out of the most valuable part of the land in question, for the pur- poses of the Company, and that they were laying their track, erecting station buildings of great magnitude, and constructing extensive docks upon their land. I was professionally employed by the owners to visit the locality and endeavor to get a settle- ment for the Canadian joint owners, one of whom accompanied me to the locus in quo. When we reached Grand Haven, we found that the information which my clients had received was entirely correct, and that the tract of land, except about 70 acres and the river front, was what Mr. Brydges has represented it, composed of "barren sandhills." We also found that the Company had seized possession of the greater part of the river front, which is of great value, for docks, without any regard to the interests of either party concerned — the owners, or the railway itself. In order to ascertain whether the D. and M. Company had acquired title be- fore my clients, or had in any way, without their knowledge, done so subsequently, I searched the Register Office at Grand Haven, and procured an abstract, demonstrating that the Company had not a shadow of a title or right to occupy my clients' property. The next day, when I returned to Detroit, I retained the ser- vices of two of the most eminent legal gentlemen in that city, viz : the Hon. Attorney General Howard and the Hon.G.V.N.LoxHROP, and requested them to endeavor, upon a representation of the facts to Mr. Bbydgbs, then in Detroit, and the other members of the Board, to procure a fair and equitable settlement with the Com- pany. There was no attempt made " to levy black mail," nor were my clients of the class of " speculators," insinuated by Mr. Brydg£'«, as being capable of such an act. They are men of posi tion in this country ; and you can satisfy yourselves of the baseness of Mr. Bbydgks' conduct in thus denouncing them as scarcely less than swindlers. You will see their names in the notice which was served upon Mr. Brydgbs whilst the D. and M. Board was sit- ting. The Engineer of the Company, and two legal gentlemen," shortly after waited upon me, and expressed their willingness to enter into negotiations at a future day. I need not occupy your time with details of this transaction. Although it forms no part of the subject matter of my London pamphlet, I have felt it to be proper to allude to the matter, in consequence of the prominence given to it by Mr. Bbydqus in his defence, un.}. .0/}fii% xjim'tid i i ai The following is the provest of Messrs. Lothrop and Howard referred to : — Detroit, Nov. 12, 1858. To the Board of Directors of the Detroit and Milwaukee Railway Company, , Gentlemen, — The undersigned have been retained in behalf of Messrs. James Adam, of Hamilton; John O. Heward of Toronto; Thomas Kirkpatrick, of Kingston ; Jas. William Thompson and William Proudfoot, of Hamilton, Executors of the late Geo. S. Tiffany ; William Youell, James Adam and William Little, Assignees of James Little, of Canada, and Myron Harris, of Tallmadge. These gentlemen are, (with the exception of a small undivided interest in part) the joint owners of Lots Nos. 1, 2, 3, 4 and 6, in Section 17. Lot. No. 6, in Sec. 16. Lots Nos. 1 and 3, in Section 19. Lot No. 1 of Sec. 20. The S. i of N.W. i, (of Lot No. 2) and the S. W. fractional J, North of Grand River, (or Lot No. 8) of Sec. 20 ; and the S. W. i of the S. W. i of Sec. 20, all in Town 8, N. of Range, 16 West, being at, and North of the mouth of Grand River in this State. Your Company, it is understood, without any right or authority what- ever, have entered upon said premises, and are now proceeding to con- struct its Railway and terminal Depot therfton. The owners above-named are perfectly willing to enter into a negotiation with the Railway Company, for a sale to them on fair terms of so much of said property as the Company may find it necessary to acquire. And Mr. H. B. Willson, who is empowered to act for said owners in the premises, ier now in the city at the Biddle House, and may, should you desire, be conferred with on the subject. But in the mean time said owners cannot acquiesce in your taking possession of said premises, and proceeding to construct your works thereon. You are therefore requested to withdraw all your agents, servants, and all others under you, from said premises, and to desist from any further acts and work thereon. The owners do not desire any difficulty with the Company, but a regard for their just rights will compel them to insist strictly on the terms of this notice ; and they trust that the sense of justice of the Company will relieve them from the necessity of any unpleasant proceedings. We remain, Very truly, your obed't Servants, J. M> HOWABD, of Counsel. GEORGE V. N. LOTHROP, Atfy, All of which is respectfully submitted, by yours, very respectfully, H. B. WILLSON. Hamilton, 81st August, 1860. T .•Hi "a i.^ -i,. , , / i ' ' '" "''V 'I .V *'^^^^■ ' ■'■\ ' ■ ; .if-s? ■: : ^ ri;f' ,, ' ' t '-<•■.■ . i i - . •) ." .. ,!> n'iV---, .i.' ill fi'ViJ-' ■■;■■■, .: , V. ;^ ■ -> i. . ,-': Z^L.r.'f^ .y^.,ti',. ■-: V, ■>;; : ..; ^ ^y'fi*_'« :s*H»'^ ■! HI ; '■•■•- 1 -iii'Jv-. .' : < ■>, »? .. I I , ' ■( /, .■•■>i •/.'' >.i, ii i 1 a y.'C! i»/:i ' ». APPENDICES. .■•<,ti .". I. J;/' ,\li:\. APPENDIX NO- V . v; -1. : ,i'ii'. .>'-if .•t\t '■■■'■] t' • 1, •'t • f. ]Hi\^ . I- i *>;•<,■ ;u "i t ,!/ i. < » * i 'Al^ \\~ 1 ^ Dntorr, 28th August, 1860. [ The notes of my visit to Detroit, handed to the Commissioners, are necessarily much abbreyiated in this publication.] Obtained from Mr. , duplicate copy of the following letter, addressed to me in England, last spring : — , „ ■. i.i [OUPLIOATI.] ir ).. (OonfidnUial.) I BiSDLi HocsB, Detroit, Mich. March 21, 1860. Mr DxAB Sib. — ^There are a Uvr thinn transpiring here, interesting to both of us, in a pecuniary point of view, to say nothins further, that I think it well enough for you to know. Pray dont think 1 '* extenuate, or rut down aught in malice," for that is not my intention or desire. What state however, I beg you to rely upon. A meeting of shareholdors of the D. and M. Railway Company was held in this house on the evening of the 19th instant, to take into consideration the acts and doings of the parties in power on the road. After a full discussion of the matter, in which it was shown that Mr. Brvdois and Mr. RcTNOLDS, through Mr. Bmxoms, had proposed to repudiate the debts of the Company, amounting to some Two Millions of dollars, (more or less) and the stock of the company, by foreclosure of the third ^nd fourth mortgages, which act the meeting deemed entirely unnecessary, wrong, dishonest, and dishonorable. A Committee was appointed, consisting of ten of our most respectable citizens and largest shoreholders, to employ competent council and cell a general meeting of the shareholders, to take measures to remove the present Managers of the Company, and substitute others, who would respect the rights of all concerned, and protect tbe road from the extravagance and waste that has characterized its mansg ement, for the past two years. Further, this Committee will call this meeting on as early a day as possible, authorized by the charter (18 days) and will remove Messrs. Brtdoes and Rktnolds from the management of the road. The proceedings of the above-named gentlemen were very severely criticized at the meeting ; particularly those characterized as " useless and extravagant expenditures, misstatements to the shareholders of the Great Western Railway, a^i to the indebtedness of the road, " corruption in the employment of steamers crossing lake Michigan," and many other items. AS to the steamers, whidi exhibit-^ a very pretty example in the catalogue : — The steamers it appears, were built bv Messrs. Brtdobs, Rbtnolds and Movius, on private account, at a, cost of $210,000 dollars, on a long credit, * Appendix No. 1, consisting of Mr. Bboou' Report, ii omitted owing to its great length. s 11 APPENDDC. ^\ which increased the cost about 80,000 dollars. They were then put into a Joint Stock Company, for 800,000 dollars, of which Company Messrs BaYDOES and Reynolds were the managers, as well as owners, (L'r. B., the President). Mr. BnYDCdb, the President of the Joint Stock Company sells the steamers to the D. and M. Company, of which he is also President, for 300,000 dollars, payable three years from September, 1859, with 52,000 dollars per annum, interest ; 2*7,000 dollars per annum, insurance ; with every expense of running repairs, and of every name and nature. By thi3 transaction you will perceive that these gentlemen pocket 62,000 dollars per annum, for three years, and 90,000 dollars at the expi- ration of that time, without incurring one penny expense, or risk to them- selves, as the Company's bonds are believed to have been given as security for the payment of the cost of the boats. It appears that there is a large amount of shares in the old Detroit and Pontiac Railroad Company, and also of the Oakland and Ottawa Company, the holders of which never consented to the consolidation of these roads, and have never surrendered their stock, which, if it becomes necessary to carry out the views of the committee to protect the interests of all par- ties interested, will be used by the holders for the purpose of breaking up th<9 consolidation of the Detroit and Pontiac and Oakland and Ottawa Compaiiies, as the best counsel in the State have advised, that the law au- thorising the consolidation is unconstitutional, illegal and void. One of the features of reform, as advised by those most deeply interested in the road and its future success, is to increase the capital of the road, including stook, bonds and floating debt, to six millions of dollars, on which the business of the road, with proper management, will undoubt- edly pay seven per cent., and divide the same pro rata amongst the bond and shareholders and creditors of the Company. ' Another important feature is, to separate immediately the steamer inte- rest from the road interest, and place the former in the hands of private individuals and men of enterpriee to manage, satisfactorily to themselves and the direction of the railway. There are responsible parties ready and willing to undertake the service on lake Michigan. In connection with the foregoing remarks as to the validity of the con- solidation of these two roads, I would beg to call your attention to the following extracts from the Constitution of this " sovereign" State : — " Corporations. - ;..•.. ■ .,.,',,":,;,:;■.'.•;■'.'.;. *'Artide u. -■.■....., ■• • •; '■'''■■■■ ' • ■ ' ■ "Section 1. " Corporations may be formed under general laws, but shall not be enacted by special act, except for municipal purposes." .tt'Ji:i^i i'j .(.i(j;i >vi(ui,i /Section 8. Same Article, ^ii'tiui. .i-t-f.^W :>iu.,i:,, ;' "I'he legislature shall pass nolaw altering or amending any act of incor- poration, heretofore granted, without the assent of two-thirds of the members elected to each house, NOR SHALL ANY ACT BE RENEWED OR EXTENDED." ,, , • , ', , . . ' . Th6 law allowing the Directors to vote by proxy, was passed by a majoriiy vote only. A- I write advisedly on this subject. L is an opinion and fact that cannot be controverted. ,.,; There are other and vital defects in this organization, that are not 'necessary here to mention. In conclusion of this long letter, permit me to say, that o very' one at all conversant with the management of the road, and interest d in its APPENDIX. Ill auxioess, are ready and willing to co-operate in any Bystem, or in any measures calculated to bring about the desired result. Wishing you health, happiness and prosperity, and a speedy return, and assuring you of the pleasure I shall have in hearing from you. I am very respectfully and truly yours, Hugh BowLBBT WiLLsoN, Esq., .. , ,,, London, England. '' The names of the movers in this meeting are N. P. Stewart and H. N. Walker, two of the Directors and colleagues of Brtdoes and Reynolds, whose acts they denounced, and E. B. Ward, now Brydoes' security for $25,000, ui" '«ir the decree in Chancery ap- pointing him Receiver of the D. and M. Railway Company. Stewart, and two of the parties to these proceedings, employed Mr. , a, distinguished lawyer, shortly after, to take measures to remove Mr. Brydges from his Receivership. A petition to the Chiaf Justice (Wilkins) of the Supreme Court of the United States, (who granted the injunction appointing the Receiver) was pre- pared. This petition sets out, as I learned, a long series of extra- judicial and i.igal acts corimitted by the Brydges' party, and charges them with fraud, extravagance and general misappropria- tion of the Company's funds, and prays for his removal. It was sworn to by Stewart and the other parties to it. When it was ready to be filed, Mr. Emmons, one of Mr.BRYOGEs' lejL'al emissaries, was notified of the steps about to be taken ; not, I believe, by Mr. , who, I think, acted purely in a professional capacity, but by his clients. This brought about a parley between Brydges' agents and the petitioners, and a proposition to settle was recently entertained and referred to Mr. Brydges. Three legal gentlemen proceeded to Hamilton about ten days ago, and the terms of a settlement were agreed upon. As to Stewart, I learn that he is to be paid a sum in cash, and is to have, in addition, a large amount of the preferred stock pro- posed to be issued by the new Company to be organised upon the ruins of the present D. and M. Company, when the sale takes place. In fact, the petitioners having succeeded in extorting a large and valuable pecuniary interest, or the promise of it, from che Brydges' party, ordered Mr. — — to discontinue proceedings against them. * What Mr. Ward is to receive, I am not advised, but all these may be ascertained if the Commissioners of Investigation into Great Western affairs are disposed to sift them. * Since the text was written, I have been informed that the lawsuit was settled by Mr. Brydges agreeing to pay Stewart $17,000 for a fraudu- lent claim set up by him against the Company, and that he is doing so out of the earning.': |of the D. <& M. Co., over and above the sums which he (Brtdqes) is allowed by the Court to pay himself on the steamboat account. ¥7 1/ IV APPENDIX. I I also learned from Mr. , that N. P. Stewart had received some time ago, perhaps two years, two notes of $20,000 each, from Messrs. Brydoes and Reynolds, having several years to run from date. That Stewart had sold these notes, and that one of them was held by a person in Detroit, (a Mr. Litchfield) and the other in Canada. Query : What were these notes given for % Some say in payment of $200,000 D. and M. Railway shares ; and others for an interest in the Port Huron and Milwaukee Railway Co., of which Mr. Brydgbs had become trustee, under a mortgage to secure the payment of two millions of dollars of bonds. It may be mentioned, in connection with this matter, that $300,000 of these were sold through the instrumentality of Mr. Brydoes and Mr. Samuel Laino, in England. That in order to induce parties there to buy them, it was solemnly certified by Mr. Brydoes or some other high official, that three hundred thousand dollars had been bona fide paid up on the share capital, when in fact not one dollar had been so paid. That Stewart, being Pre- sident of this swindling concern, was also the beneficial contractor ; as he had been both Managhig Director and Contractor on the D. and M. line, he paid himself, or pocketed all the funds so raised on these bonds. The actual amount expended on the Port Huron line, is said by those having a large interest in getting it built, to be about $90,000, for the greater part of which Stewart is now indebted to contractors, mechanics and labourers. ' Messrs. Brydoes and Reynolds are said to have undertaken to pay $40,000, towards the capital stock of the Company. Has this been paid out of Great Western funds 1* I have caused an examination to be made into Mr. Brydoe*s Report, to the master in Chancery, of the receipts and expenditure, on account of the Detroit and Milwaukee line, since his appoint- ment, and am informed by my Attorney ' re, that he has appro- priated about $50,000 of the receipts, to the payment of his own claims against, or liabilities on account of the Company — mostly for the purchase money of the Steamers Detroit and Milwaukee. ^£\i\B,application of the Conrpanys' funds is declared by the lawyers with whom I have conversed, to be illegal, and fraduient, although provided for in the order of Chancery. It is certainly in contra- vention of the intcjrests of the Great Western Company, for whom he is acting as trustee under their Mortgage, to say nothing of the prior bond holders whose coupons for interest have not been met. . * The writer learns that it has, and a good deal more besides. Since this letter to the Commissioners was written, he has been a second time at Detroit, and has obtained the evidences of this swindle, which he has for- warded to England. Stbwart paid up $500 on the stock, and a few dayi after drew the money out of the bank for his own use I . 4, : .. • i ■., i> '¥ 4 r f 4i> APPENDIX. f* I am also informed by Mr. of Tallmadge, on the authority of Mr. Innes, formerly resident engineer of the D. and M. Co., at Grand Rapids, that when the work of grading, laying track,building docks, station and freight houses at Grand Haven, was to be done in 1 858, he was instructed to advertise for tenders. That a number of first class contracters accordingly sent in tenders, that he, as was his duty, opened them and made an abstract, which he sent to Mr. Brtdoes, at Hamilton, that he received a request to send the tenders to Hamilton, which he did, and that in a few days Mr. S. T. RiDLBT came to Grand Haven with a contract for the entire works in his pocket, at a rate greatly above any of the tenders put in, although he (Mr. Ridley) was not one who tendered. I learned what is a notorious fact at Detroit, that the " Brtdoes' dynasty " has not only paid retainers to nearly every lawyer of eminence or who might become available against them, in that city, but has likewise subsidized the whole press, so that nothing adverse to their policy can possibly be made public. Seventeen lawyers are said to have had their mouths shut by " retainers," when the bill of foreclosure of the D. and M. Railway recently came up for a hearing. This system of controlling the press has been most successful in Canada. Not one of the papers which were so loud in their denunciation of Brydoes' management in Canada, before the Committee of Inquiry was appointed, has given currency to a fact derogatory to the " powers that be," since that eyent. H. B. W. APPENDIX P 3. Mr. Brtdges, somewhere in his pamphlet in reply to mine, says that my object in attacking him is to get him removed in order to get his place. If he had drawn a little upon his memory, he would remember that I advised, in my former pamphlet, the doing away with the office of Managing Director in this country, and administering the Company's affairs through a practical Su- perintendent. This would save the Company half his salary, or • n-IV I' /I M.| ,■':/ Vl APPENDIX. ft; V. ■ u JSIOOO sterling a year, and £1500 a year for a Financial Director ' sent out to watch him ; and — as in the case of the present occu- pant of the latter position — to be bought over by a partnership in general railway and steamboat speculation. • • ''ifjftii br'.Bn^) In order to prevent so great a \5alamity happening to the' pro- prietors, as my appointment to the managership of the Great Western Company, Mr. Brydges warn^ them, at page '-iO, to " beware lest, in addition to his other objects, Mr. Willson is not also acting in behalf of those who would be only too anxious to open the wedge, into which the future construction of the Southern Line, by the Great Western, might be driven." This sentence conveys a novel idea, which I cannot pass over without remark. The wedge I have always been taught to regard as one of the five mechanical powers used in splitting or cleaving rocks, wood and other substances. The idea of " opening the wedge," in order to drive into it " the construction " of a railway, is, I apprehend, a new one, for which Mr. Brydqes is clearly entitled to a patent from Government. But, to treat this Southern Line bugbear of Mr. Bbydgbs seri- jOusly, I beg to state it as a fact susceptible of legal demoniStration, that Mr. Bkydges, in 1865, entered into a negociation with the con- trollers of that route, and an arrangemetJt was actually settlSit upon, by which he undertook to resign his position in the Great Western, with the view of taking up and building the Southern Railway — not as an adjunct to the Great Western, but as a rival, which would have been utterly destructive of the interests of his employers, for which he suddenly after became so zealous.' ' , Esq., of Hamilton, was the negociator, and will no doiibt state the facts as above. H. B. W. ■^^ :i ''A mmviK ^ i-.^