ed that a sub-committee, consisting of
Messrs. Ewing, Hartzell and Crittenden, had been in correspondence
with leading bankers, financiers and capitalists, and that information
had been obtained which led to the conclusion that I had derived
profit from the negotiation. It was said that the committee proposed
to interview me upon the subject of my recent syndicate operations,
that the syndicate would get about a $750,000 commission, which
could have been saved had outsiders been permitted to buy the bonds,
that the committee had summoned members of the syndicate and bankers
who were not admitted into the syndicate, but who wanted to be
allowed to buy bonds without any commission, that the allegation
was so well supported that a resolution was prepared authorizing
the committee to investigate, but that this was unnecessary, as
the resolution authorizing the banking and currency committee to
make inquiries concerning resumption conferred authority to inquire
into this matter. The only sign of the alleged investigation was
an inquiry from Mr. Ewing, which was answered by me as follows:

"Treasury Department, April 19, 1878.
"Hon. Thomas Ewing, Acting Chairman Committee on Banking and
Currency, House of Representatives.

"Sir:--In compliance with your request of the 18th instant, I
inclose herewith a copy of the contract recently made with a
syndicate of New York bankers for the sale of four and a half per
cent. bonds. The only previous correspondence on this subject was
a letter sent to said bankers and one to the presidents of certain
national banks, copies of which are inclosed.

"In response to your question as to the amount of accrued interest
that will be allowed to the syndicate at each payment on account
of such sales, I have to reply that no accrued interest is paid to
them, but, as you will see by the fourth paragraph of said contract,
they are to pay the United States the amount of interest accrued
on the bond up to the time of payment for it, in addition to the
premium of one and a half per cent. The interest on the four and
a half per cent. bonds accrued on the 1st of March, and therefore,
the interest is added from that date to the date of payment for
the bonds.

"The amount of commission to be paid is fixed by law at one-half
of one per cent., but out of this the associates are to pay all
expenses incurred by them in the sale, and reimburse the United
States all expenses incurred by it as stated