R E' P L Y
OF THE
TRUSTEES OF UNION COLLEGE,
TO
CHARGES BROUGHT BEFORE THE ASSEMBLY OF NEW-YORK,
March 19, 1850; and before the
senate, on tte- lItl} of 2April, 1851,
BY THE HON. J. W. BEEKMAN.
rhis reply was prepared and nearly all printed previous to the
Meeting on the 1st of March, 1853, of the Commissioners
appointed to examine and report on the charges against
Union College and its officers, and would have been presented to them, had they allowed the CollegB and its officers to
be heard in their defence, previous to the majority sending
in with their sanction to the Senate, the exparte statements
of the accountant employed by them. The resolution appointing them, contemplated such a hearing of the parties
accused; it was twice claimed by the trustees; it was repeatedly promised by the Rev. John N. Campbell, chairman of
the commission, but was, notwithstanding, refused; and a
mass of matter, of which the trustees and officers were
wholly'ignorant and which they never were allowed to examine, was sent forth to the world, to prejudice them and
induce the worst impressions of their official conduct.
A L B A   Y:
CHARLES VAN BENTHUYSEN -PRIWTER.
No. 407 Broadway.
1853.








REPLY
OF THE
TRUSTEES OF UNION COLLEGE,
TO
CHARGES BROUGHT BEFORE THE ASSEMBLY OF NEW-YORK,
March 19, 1850; and before the
enatc, on tilc 12itl of April, 1851,
BY THE HON. J.'W. BEEKMAN.
This reply was prepared and nearly all printed previous to the
Meeting on the 1st of March, 1853, of the Commissioners
appointed to examine and report on the charges against
Union College and its officers, and would have been presented to them, had they allowed the College and its officers to
be heard in their defence, previous to the majority sending
in with their sanction to the Senate, the exparte statements
of the accountant employed by them. The resolution appointing them, contemplated such a hearing of the parties
accused; it was twice claimed by the trustees:; it was repeatedly promised by the Rev. John N. Campbell, chairman of
the commission, but was, notwithstanding, refused; and a
mass of matter, of which the trustees and officers were
wholly ignorant and which they never were allowed to examine, was sent forth to the world, to prejudice them and
induce the worst impressions of their official conduct.
ALBANY:
CIARLES VAN BENTHUYSEN, PRINTER.
No. 407 Broadway.
1853.








THE TRUSTEES OF UNION COLLEGE,
To the commissioners appointed to examine the charges
made by Senator Beekman.
UNION COLLEGE, |
Schenectady, July 23, 1851.
GENTLEMEN, —The undersigned have been appointed by the
Trustees of Union College to attend before you and assist in the
investigation of charges which have been made and extensively
circulated, and which are calculated to impair the confidence of
the public in the institution, and to injuriously affect the reputation
of its venerable and distinguished President. Believing, as the
Board of Trustees do, that these charges have no foundation in
truth, they are anxious that a speedy as well as full examination
of the subject should be had. We therefore request that the
earliest practicable day should be appointed by you to commence
the investigation, and that all the investigating commissioners
should attend thereon. We also desire to be informed of the time
and place of meeting, and that the members of the Senate committee by whom the charges have been brought before the public,
should also have notice, and that they be requested to furnish you
with the evidence upon' which their report was based, and the
sources of information to which you are to apply for evidence in
support of the charges contained in their report.
Permit us to suggest that if the convenience of the commissioners should render it necessary to carry on the investigation at
any place other than the College, tlhat such investigation may take
place during the present vacation, as it will be necessary that
several officers of the College should be present to give the requisite explanations of complicated accounts which have run through




2
more than half a century, and such officers cannot be spared fom
their duties from the College during the collegiate terms, to attend
the meetilpg of the commissioners at any other place without
serious detriment to the institution.
We are with respect, yours, &c.,
R. H. WALWORTH.
R. M. BLATCHFORD.
A. HUNT.
B. R. WOOD.
Revd. Dr. JOHN N. CAMPBELL, PHILO C. FULLER, L. S. CHATFIELD, PH. VAN RENSSELAER, DAVID BUEL, JUN., Esqrs.
Commissioners.
Rev. Dr. Campbell's Letter.
CALDWELL, LAKE GEORGE, |
A/ugust 1, 1851.  5
Rev. Dr. NOTT,
Sir-The commission appointed by the Senate to examine into
the affairs of Union College, and report upon the same to the
next Legislature, have resolved to enter on the duty assigned
them, by the examination of the account books and vouchers of
the College.
Mr. Van Derheyden has been appointed the accountant of the
commission, and is hereby authorized to receive said books and
papers at the State Office in Albany. Be pleased to deliver them
to him on his presentation of this order.
By order of the Commission.
Very respectfully,
J. N. CAMPBELL.
Rev. Dr. Nott's Answer.
UNION COLLEGE),
September 12, 1851.
Rev. and dear sir-I have delivered the books and papers, as
desired, to Mr. Van Derheyden, who has just called for the same,
and have only to regret, in doing so, that thie legal members of
the Board have given it as their opinion, that the examination of




3
the same ought to take place at the College. And considering
that these books contain a statement of the property entrusted to
the care of the Trustees, and considering the irreparable injury
their loss or mutilation would occasion, have also given it as their
opinion, that the Trustees would not be justified in allowing the
same to go out of their possession. In this opinion, with a single
exception, the other Trustees acquiesced.
Still, as no formal resolution was passed inhibiting their delivery, I have not felt under obligation to refuse a compliance with
your requisition. And though I am myself aware that the examination of transactions of sixty years standing, away from the
place where the same were transacted, and apart from all those
who have any knowledge of the said transactions, must be attended
with great inconvenience, and  may  lead  to  unavoidable mistakes,
still, in so far as I have had any connection with these transactions, I am  glad  that this is to  be the case.   I am  quite  willing
to concede to those who have imputed a misapplication of funds,
all the advantage in discovering such misapplication, which the
most rigid scrutiny can afford, even in the absence of the party
concerned.   With  so  much  of these  transactions  as have  been
made matter of complaint, I am familiar. If there be a wrong
here, I am chiefly responsible for it, and shall hold myself in
readiness to respond to any charge which may seem to be called
for by even an ex parte examination.*
Very respectfully, yours,
ELIPHT. NOTT.
Rev J. N. CAMPBELL. D. D.
* During the infancy of Union College it does not appear' that any regular books were opened. Be this as it mav, none were found when the writer of this became connected with the
College. The accounts, however, appear to have been duly audited, and certificates of those
audits have been preserved.
This omission would render it extremely difficult to trace all the transactions which took
place between the College and the many individuals with whom it did business at that early
day. No such difficulty, however, will be found to exist with respect to funds derived from
the State. These have, for the most part, been received at a later period, and full accounts
have been kept thereof in a fund book provided for that purpose, which fund book has, among
other books, been delivered to Mr. Van Derheyden. In this book, separate accounts will be
found to have been opened with each several act in which any grant has ever been made to
Union College. These accounts will exhibit at a single view a full and accurate expose of all
moneys received under each act, with the application made thereof. In the same fund book
will be found a detailed exhibit of the present state of all the permanent funds. So that it is
believed that it will occasion the Commissioners little trouble to ascertain the amount and
application of all the grants ever made by the State, and the present condition of the permanent funds.                                                                  E. N.




4
Letter from Philip S. Van Rensselaer.
NEW HAMBtJRGEH Dutchess Co.,.htlly 28t, 1851.
I-Ion. Messrs. WALTWORTH, BLATCHF)RD, HUNT, W oOD, Committee,
Sfc., Trustees Union College.
GENTLEMEN-I received on Saturday last the communication you
addressed me as one of the comnlissioners appointed by tlhe Sena.te
to " perform  certain duties in relation to the pecuniary afthirs of
Union College," requesting that the investigation should take place
at the earliest practicable day, and apprising me that you l1had been
appointed by the Trustees of Union College to attend before the
commission and to assist in the investigation.
Very fully coinciding Nwith you in tile views you have expressed
as to the propriety of a speedy as iwell as full investigatioln of the
"charges made," and wlhicll 1 need not assure you I trust may
result as you anticipate, I hasten to inform you that I shall by today's mail transmit a communication to the Rev. Dr. Campbyell
apprising him of' my willingness and desire to enter at once upon
the duties assigned to the commission, and at suclh place as nmaty be
most agreeable to the other members of it, witlhout regard to myslSelf.
Very respectfully,        P. S. VAN RENSSELAER.
Letter from David Buel, Jr.
TROY, July 25th, 1851.
GENTLEMN —I have received your communication dated 23rd
instant. I hiave had no communication with any of the gentlemen
appointed by the Senate to investigate the pecuniary affairs of
Union College, and am  unable to namle a time when the colmmissioners will act in the business.
I am under the necessity of taking an excursion with a part of 
my family for the benefit of our healt1h  and expect to be absent
until about the middle of August. On my return I slhall probably
be ready to attend a meeting of the commissioners. I expect to
leave home on Tuesday of next week.
I am with much respect yours, &-c.,
DAVID BUEL, JrUNR.
To Messrs. R. H. WALWORTH, R. M. BLATCHFORD, A. HUNT &
B. R. WOOD, Committee, Arc.
Letter from the Attorney-General's Clerk.
ATTORNEY-GENERAL'S OFFICE, July 24th, 1851.
Hon. R. H. WALWORTH:
Dear Sir —The letter of the committee appointed by the Trustees
of Union College to attend before the committee appointed by the
Senate to investigate the affairs of said College, of' wlhich you are
one, is received. I thought it proper for me to advise your committee, through you, that the Attorney-General is absent from the
city, and is not expected to return until about the 4th of August.
I will call his attention to your communication as soon as lie returns.
Very respectfully your ob't serv't,    W. BAMBER.




REPLY
Of the Trustees of Union College, to the charges brought
before the Senate on the 12th of April, 18.51, by the
Hon. JAMES W. BEEKMAN, and before the public in the
Albany M6rning Express, May 8th, 1851.
To the Hon. the Attorney-General, the Hon. the Comptroller,
the Rev. Dr. CAMPBELL, the Hon. DAVID BUEL, and PHILIP S. VAN
RENSSELAER, Esq. Commissioners appointed by the Senate on
the 28th of June last, to examine into the fiscal condition of
Union College, this memorial of the trustees of Union College'RESPECTFULLY SHEWETH:
That having had their attention called to an article in the
Albany Morning Express, in the words following-" s. report of
the committee" (of the Senate) 4"who examined into the financial
condition of Union College has been left with us for distribution:
persons desirous of investigating a beautiful speculative scheme,
can be accommodated with the material by calling at our office;'
and not having been previously aware.of any examination into the
financial condition of Union College by any committee of the Senate
having taken place, or even heard of the appointment of any such
comnmitttee for that purpose, they requested of' the editor of the
Express to be informed when and where and by whom this examination was made, and by whom this report was left for distribution.
And having done so, they learned that the report in question, in
place of being " the report of a committee who had examined into the
financial condition of Union College," as stated, was merely a gratuitous ex parte report, made on the financial condition of Union College by the Hon. Senator Beekman, on his own responsibility, as
chairman of the literature committee, and unknown to the College.
To the charges contained in this report, and in the article
predicated on it, published in the Express of May 8th, 1851, an
answer was prepared  by the resident trustees, which answer
having been submitted to the other trustees, at a meeting held at




6       CHARGE I. 9C THE TRUTH HAS BEEN CONCEALED.the office of the Secretary of State, June 27th, was by them approved and directed to be published. The publication, however,
was suspended at the instance of the president, who presumed
that the Hon. Senator Beekman would, on the presentation of the
memorial of the trustees to the Senate, make the amende honorable
for so unfounded and uncalled-for an attack on Union College.
The Hon. Senator, however, on the presentation of said memorial,
reasserted the charges previously made; and then as reported in his
published speech, added, That
CHARGE 1.
"He felt it his duty to say, that he knew the half was not yet
told," and that " the truth had been concealed and kept out of sight,
with art and skill, by the managers of the College Fund."
ANSWER.
If the Hon. Senator means by this, that the half had not been
told THE PUBLIC, in relation to the amount and intended application of the fund in question-a fund instituted by the liberality,
and accumulated exclusively by the agency of the President of
Union College, it is readily admitted. And what even now is said
in relation thereto, is said contrary to the urgent remonstrance of
the only donor to said fund, by whom the unnecessary publication
of deeds of charity has not been deemed incumbent on a christian.
But when the Hon. Senator adds,;" the truth has been kept out of
sight, with art and skill, by the managers of this fund," if he means
to assert that " the truth has been concealed by the managers"
(manager, for the President has been the only manager) from the
Trustees of the College, from the successive committees who have
been appointed to examine, from the Hon. Senator himself, or from
any one else who had a right to be informed, then he means what
is at variance with his own published statement at the opening of
his report to the Assembly, March 19th, 1850, entirely at variance
with the published statement of R. H. Pruyn, Esq.,on the same
subject, not only, but also entirely at variance with the facts of the
case.
For the PROOF of this see APPENDIX A. p. 29.
The Hon. Senator has in his possession, documents furnished
him by the president containing a statement of every payment




CHARGE II. "CMISAPPLICATON OF FUNDS.?           7
of every kind ever made by Yates & McIntyre to Union College,
either through its treasurer or its president, and even of every
payment of every kind ever made to the president on his individual
account, with the date and amount of such payment, from May
31st 1823, when the schedules furnished by the Hon. Senator commence to the 15th of December, 1835, when they end. And the
Hon. Senator is now notified, that he is invited to furnish to the
Commissioners a single item ever paid by Yates &' McIntyre to
the President for the college, or to him on his individual account,
not contained in the statement voluntarily furnished by him to
Senator Beekman, and to every other member of that committee to
which he belonged.
The charges made originally by the Hon. Senator, which on the
authority of his report had been spread before the public in the
Express, having been re-asserted, the board of trustees at their
annual meeting in July, referred the answer to said charges which
had been prepared by the resident trustees " to the finance committee, to amend and publish at their discretion."
The finance committee supposed that if an early opportunity
should be afforded for answering said charges before the Commissioners, viva voce, any other answer might be unnecessary';
but as this has not been the case, and as considerable time may
yet elapse before such opportunity can be afforded, the presentation of some documentary information seems at length to be due
to the Commissioners if not to the public. Said committee have
therefore directed the treasurer to furnish each of the Commis,
sioners with a copy of said reply; and that the merits of the
case may be fully and fairly presented, to accompany the same
with the report of the Hon. Senator Beekman, entire, (with notes
and references. (See APPENDIX H. p. 83.)
CHARGE II.
In proof " that Dr. JVott has been in the habit of employing the
funds of Union College in his own private speculations," (it is said,)
" here is an instance of misapplication.  The sum of $17,500 received
from Yates 8 MlcIntyre, was expended, as stated by the treasurer of
the college on Dr. NJott's lands at Stuyvesant Cove."




8                    ANSWER TO CHARGE II.
The discovery of this imnputed misapplication of funds, is stated
by the  Ion. James W. Beeklnan, to hlave been made during a
personal examination into the fiscal condition of Union College, on
the 24th day oi' May, 18419.  (See his report to the Assembly, AJlrclh
19th, 1850; pp. 44 and 48.)  lte.now transfers from that report to the
Assembly, (March 19th, 1850,) to this report to the Senate, (12thl
April, 1851,) this same charge, and reindorses it as having been
found, among otlher cllarges, on re-examination to be "fully sustained by the facts of the case."  Tlius reindorsed, this charge is
transferred fiom  the pages of this report to the columns of' the
Express in tlhe terms above quoted, and published under the sanetion of the same Hon. Senator's name a second time to the world.
And  that without an intimation that its entire incorrectness
had been pointed out by the treasurer of Union College in his
report to the Assembly, April 8th, 1850, —and so fully exposed
that that honorable body declined taking any further notice of it.
Having thus repeated and re-indorsed this charge in the terms
in which it was originally made, and in which it was transferred from  his own report to the columns of the Express, the
Hon. Senator introduces into this same senatorial report, two
letters obtained from  the private correspondence of A. McIntyre,
Esq'r.  Both of these letters, as will be seen, were written long
before the 24th of MJay, 1849, on which day, the Hon. Senator,
according to his own statement, made the discovery that this
"$17,500 received from  Yates f JlMclntyre, was expended on Dr.
Sott's lands at Stuyvesant's Cove."  But neither of these letters
seem to the Trustees," to justify the new phase, which is subsequently put on this transaction, in this same report, as follows:
" It appears to the committee on literature, a somewhat strange
application  of so large  a  portion  of the permanent fund, to
employ $17,500 for the payment of Professors' salaries."  No
wonder that it should appear strange to the committee on literature, that the same $17,500 expended on Dr. Nott's lands at
Stuyvesant's Cove, should all have been employed for the payment
of professors' salaries. Nor will this statement appear less strange
when it shall be known that this $17,500 had not been applied
to either of these purposes, but that the same was, at the time




CHARGE III. "c$802,323.28 PAID UNION COLLEGE.)       9
the senator made his examination, May 24th, 1849, lying as
stated by the Treasurer, on interest in New-York, with Stillman,
Allen & Co., waiting investment, as will appear from the following
affidavit:
" City, County uand State }SS
JN'ew- Yorck:
"I, Robert M. Stratton, of the city of New-York, do solemnly
affirm and declare, that I am a member of the firm of Stillman,
Allen & Co., of said city, owners and proprietors of the Novelty
iron Works, commonly called the " Navelty Works," and that I
have the entire cliarge and management of the financial business
of said firm.': That on the fifth day of May, in the year 1849, I received
from Charles Yates, his check on the Merchants' Exchange Bank
of this city, certified by said bank, for the sum of eighteen thousand
four hundred seventy-two dollars and eighty cents ($18,472.80,)
which sum was received by me on deposit, and placed to the credit
of Union College, of the town of Schenectady, subject to the order
of' the treasurer of said college.
" That there was drawn for and paid by me to the treasurer of
said college, Alexander Holland, previous to the 24th day of May,
1849, the sum of two thousand seventeen dollars and fifty cents.
That on the said 24th day of' May, 1849, there remained in my
hands to the credit of said college, the balance of said deposit,
amounting to the sum  of sixteen thousand four hundred and
fifty-five dollars and thirty cents, all of which was subsequently
repaid by me to said college, with interest thereon.
" R. M. STRATTON."
"Affirmed before me this 20th }
day of August, 1851,
NEIL GRAY, Commissioner of Deeds"
CHARGE III.
It is said to appear 1"from  the books of yoates & McIntyre, that
they paid in cash to Dr. JVott, for Union College, from the 31st
day of J)arch, 1823, to the 15t1h of December, 1835, $802,323.28."




10                 ANSWER TO CHARGE III.
From this it would seem, that in order to ascertain the financial condition of Union College, this committee of the Senate, in
place of examining the books of said institution, examined the
books of Yates & McIntyre; and it must be admitted that they
did so not altogether without reason, for it is a fact, and the Hon.
Senator Beekman knew it to be a fact, that the former treasurer
of Union College, (Henry Yates, Esq.) was sent to New-York
(see Chanc. documents, ~ 92,) by the President, for the express
purpose of guarding his rights and the rights of Union College,
and that while receiving from the college his usual salary as
treasurer and secretary, and from the president, $1,300, and his
travelling expenses, annually, for performing these services, he
entered secretly into partnership with said firm, and shared with
them in their profits. He, therefore, (for he still continued to
keep the books of Union College,) must know what sums were
paid by Yates & McIntyre to the institution, as well as what compensation they paid him in the shape of profits, for acting in this
double capacity;*still, if the books of Yates & McIntyre show
during the years stated, that any such amount as $802,323.28
was paid either to Union College, or to its president for Union
College, then they show not only what is not true, but what is
shown not to be true, by the very schedules taken from their
books, to the correctness of which they have made oath, as the
same are set forth in a bill on file in the Court of Chancery.t
* See APPENDIX p. 64.
tFor the PROOF of this See APPENDIX B. p. 39.' "is an ofset to this," (the great amount stated in said report to
have been paid to Union College,) the article adds} "1 the trustees exhibit property to the amount of $604,350, of which the college buildings and grounds make $296,485.  The actual cost of these buildings
was not, probably, over $60,000."
Now, the old stone college edifice and its appurtenances, chiefly
erected (but not paid for) before Dr. Nott became connected with
the college, cost $66,618; that is, $6,618 more than the entire
establishment is estimated to have cost.
Those gentlemen who have ever visited the grounds and groves
and gardens belonging to Union College, require no other data




ANSWER TO CHARGE Ill.                 11
to enable them to form an opinion of the candor of this estimate,
and the justice of the censure pronounced in the Hon. Senator's
report. To those who have not, the subjoined schedule (taken from
the report of the treasurer of the college to the Legislature, which
report was made the basis of the inquiry instituted by the Hon.
Senator Beekman,) may not be unacceptable.
Buildings.
Three college edifices for the accommodation of students, including six officers' dwellings, the chemical laboratory, three
society halls, college library room, and rooms for three society
libraries.
Two edifices containing philosophical hall, chapel, theological
hall, and three lecture rooms.
An edifice containing the geological hall and museum.
Two edifices, containing each accomodation for a family, a hall
for boarding students, and additional study and lodging rooms,
together with the sites, yards, and outhouses belonging to these
respective buildings.
Grounds.
Four gardens in connection with the officers' houses, containing
over five acres.
An ornamental and botanical garden of about eight acres, for
the use of students in the study of botany, and of the professor
of botany.
Extensive groves, and walks and ornamental grounds, for the
use of students in exercise and recreation, and also for a college
cemetery.
Also a site for an observatory, connected with about forty acres
of grounds, and a dwelling house.
These buildings, gardens, grounds, cemetery, water works, &c.,
&c., amounting to about two hundred and eighty acres, lying in
immediate connection with said buildings, and adjoining the




12   CHARGE IV. "~ PAYMENTS NOT MADE FdOR AMOUNTS CLAIMED
compact part of the city, have cost (irrespective of interest)
$296,485.31.
To calculate interest on one side of an account only, is believed
to be not the most equitable method of making out a balance
sheet.; and yet, in exhibiting the fiscal condition of Union College, the Hon. Senator has charged interest on the amounts
received by the college, but neglected, except in a single instance
to credit interest on the amounts expended.  How correct this
method, of balancing accounts must be, will appear by merely
calculating the interest on this $66,618, the cost of the stone
college, fronm the time it was expended to the present timrle; for
this alone would increase the credit side of the account some
$500,000. Whllat then would be its increase, were the interest
calculated on the numerous other and much larger amounts expended.
CHARGE IV.
The Hon. Senator says, " These payments" (that is, the payments to
the other institutions) "' were not made for the fall amounts claimed by
the college as credits; because in the case of the Historical Society the
discounzt was one-third of the whole sum granted."
ANSWER.
This grant (.whlich it did not occur to the Hon. Senator to state,) was
a, grant made without interest, and was not to be raised till after
all the other grants had been raised and paid.  So that Union College actually paid for this grant, including interest, considerable
more than it was worth by computation at the time.
CHARGE V.
The Hon. Senator further says, that " Union College received
from  Dr. J\ott, without consideration,.J\. Bliss' bond for $75,000,
afterwards exchanged for a deed of one-half of the Stuyvesant Cove
property;  that the other half came into the possession of the college on
their paying the sum of $58,632 in 1838. On the 21st of July, 1848
the whole Stuyvesant Cove property was conveyed by Union College to
Dr..2'ot! Sfr $177,587; and after the introduction of another subject,
and a comment thereon, the report adds,;" the same Stuyvesani Cove




CHARGE V. CHARGED FOR PROPERTY MORE THAN IT COST.   13
property, one-half of which Dr. Nott conveyed to the college for $75,000 in 1834, cost him in 1832 only $17,500. So that he tangferred
to his own college, within two years after its purchase for $17,500, the
sameproperty at a price of $150,000. (see page 97.)
A NSWER.
Was this statement of purchase and sale as entirely correct, as it
is notoriously incorrect, the reproach, which to a cursory reader it
seems to imply, would on examination be perceived to fall quite
powerless on its object. For at whatever time and price this property was purchased by the college for $150,000, if within two
years thereafter it was repurchased from the college for $177,589,
the interest of the institution would seem, even in this transaction,
to have been pretty well cared for.
But with what exactness the facts of the case have been stated,
will appear from the following affidavit:
STATE OF NEW-YORK), 
City and County of.Hlbany, Ss
I, Edward James, of the city of Albany, do solemnly affirm and
declare, that some time previous to the 9th of April, 1833, being at
that time book-keeper for Howard Nott & Co., I was employed in
making up the accounts, and effecting a settlement between Doct.
Eliphalet Nott and Neziah Bliss, Esq. That in said settlement,
said Bliss agreed to execute to said Nott, in part payment for moneys received, a deed for one undivided half of Stuyvesant Cove, and
a mortgage on the other undivided half thereof, which deed was executed on the 9th of April, 1833, and which mortgage was executed'
on the 1st July, 1834, as appears by the records of the city of NewYork. That in this settlement, said cove was valued at one hundred and fifty thousand dollars by said Bliss, at which valuation it
was agreed that said Nott should receive title to one undivided half
thereof, and a mortgage on the other undivided half thereof, and that
said Bliss should receive credit on account to the same amount, to
wit, one hundred and fifty thousand dollars. And further this deponent saith not.
EDWARD JAMES
Affirmed before me this 30th?
day of September, 1851, 
DANIEL W. MILLS, Comer. of Deeds.




14                  ANSWER TO CHARGE V.
The simple truth in relation to this transaction is as follows:The president of Union College, to whom the Bliss bond of
$75,000 (afterwards exchanged for an undivided half of Stuyvesant
Cove) exclusively belonged, intending that the avails thereof,
and of the whole Cove property, should eventually be applied to
the furthering of the interests of " UNION COLLEGE, OR SOME KINDRED
INSTITUTION CONNECTED THEREWITH,'" as stated to its trustees, in
order to guard against the uncertainty of life, transferred this
bond to the institution, and placed the same in the hands of the
treasurer, subject however to his (the president's) control during
his natural life. The other half of the Cove was transferred on
the terms set. forth. It being afterwards, however, stated to the
trustees by Chancellor Walworth that the college could not hold
real estate in trust without a special law for that purpose, and it
being also found inconvenient for the college to furnish the means
for improving this property, or to superintend the application
thereof, the same was reconveyed to the president at cost and interest; being $177,887; since which the president has procured the
passage-of a law authorizing the college to hold such trust.
For PROOF of this SEE APPENDIX C; p. 47.
This transaction, so intelligible and so disinterested, was fully
explained to the committee of the Assembly of 1849, of which the
Hon. Senator Beekman was a member. As, however, the ultimate
value of this property was as yet quite uncertain, the president was
unwilling that any statement should be made to the public in relation to it; and, were his wishes consulted, not even thus much
would now be said. His conduct towards the college has ever
been such, and known by those connected with the college to be
such, that he can well afford to 1" bide his time."
That Senator Beekman did not publish this explanation is no
matter of complaint, for it was given in confidence; but, having
been given in confidence, whether it was right in him to represent
in his report, transactions so entirely disinterested and creditable,
in such a way as to seem to imply a mercenary disposition, if not
a criminal abuse of trust on the part of the President of Union
College, is left for the decision of others.
It is left to the same decision, whether it was proper to transfer
charges from his report to the Assembly in 1850, after the same




i TRUSTEES NO RIGHT TO PERMIT PRESET TO CLAIM $111,343."' 15
had been refuted, to his report to the Senate in 1851, and having
done so, and having thus obtained their reindorsement by the
Literature Committee, to proceed, without giving the college an
opportunity to be heard, or even a notice that any action was
in contemplation, to report said charges as true, and to publish the
same to the world, and this too under the imposing appearance
of an authorized report of a committee who had been examining,
by the direction of the Senate, into the fiscal condition of Union
College, and whether it was befitting to introduce into this senatorial
report of 1851 a document which the committee of the Assembly
of 1850 never saw, and, having done so, to make therefrom the
the following deduction:  "To the minds of the committee on literature, it seems not an erroneous deduction, from the preceding document, that, in the words of the majority report, (.Jssembly Doc. 146,)
the president of Union College did use the funds of said college as his
own interchangeably, as occasion offered,"-especially to make and
publish such a deduction, when, even though said committee had
seen said document, such a deduction would have been then, as it
is now, utterly destitute of truth. For though the Hon. Senator
affirms that, " by the legal document quoted," (the assignment of H.
Nott & Co.,) "it appeared that Dr. JVott was largely indebted to
Union College on account of loans made by him out of the college junds
to H. JVott Sr Co.," precisely the reverse of this was the fact; and
had the Hon. Senator enquired, not of ignorant or prejudiced persons, but of the treasurer of Union College-he would have learned
that in place of the president being in debt to the college, the college was in debt to the president; and in debt even beyond the
amount of the stock transferred, and transferred for a temporary
purpose merely.
CHARGE VI.
The lion. Senator says in his report, " It is extremely doubtful
how far the trustees had the power to.authorize their president, either
to claim as his own so large a portion of the avails of the lotteries as
$111,343, or to permit him to use the college funds indiscriminately
as his own, so as to bring them in debt to their president in the large
sum of $366,177."
This, it must be admitted, is extremely doubtful. But it is not
quite so doubtful whether the trustees had the power to authorize,




16 CHARGE VII. " NO RIGHT TO PERMIT PRES. TO USE COLLEGE FUNDS.))
or whether the president had the right to attempt, if he was willing
to run the hazard of attempting, to save something for the college
or some kindred institution connected therewith, out of the percentage granted by the State for the payment of managers and
other expenses; and this is precisely what the president, at great
peril, has not only attempted, but succeeded in doing.
For the PROOF of this, see APPENDIX' D, p. 52.
CHARGE VII.
4 It is extremely doubtful " whether the trustees had the power to permit their president "s to use the college funds indiscriminately as his own."
ANSWER.
However this may be, it is not quite so doubtful whether he had
the power to use his own funds indiscriminately with the funds of
the college if he was willing to do so, in order to save the institution from impending.ruin.
What sort of indiscriminate use, by the president, of the funds
of the college as his own it was that has called forth this rebuke
of the Hon. Senator, will appear fiom the accompanying correspondence, from which the following are exfracts:
N" N/ew- York, January 4th, 1826.
" Rev. E. NOTT, President of Union College:
" It has become necessary that we should inform you, that snch
have been our losses, that we have no reasonable prospect of being
able to pay the sum stipulated, or even to pay the prizes in the lottery
now pending, unless we can procure immediate pecuniary assistance to
a large amount.  If such assistance can be procured, we are confident that we shall be able to fulfil our contract with the college,
and save ourselves harmless.
" In view of these circumstances, we have thought it our duty to
propose, that you and the treasurer should raise for our immediate
relief, one hundred thousand dollars, together with such further sum
as may be necessary to sustain our credit, until owe can be fully
relieved, by converting our property into money, and collecting the
amounts due to us, which are still good, but merely delayed in
consequence of the general pressure.
"With respect, we are
" Your obedient servants,
" YATES & McINTYRE."




ANSWER TO CHARGE VII.                 17
To this the president of Union College responded in such a manner as to call forth the following reply:
" JVew- York, Jan. 2S, 1826.
" Rev. and dear sir-I cannot omit, on the return of Mr. H.
Yates, to express to you my very grateful sense of our obligations to
you for the prompt relief which you have afforded us in the hour of
our difficulty and distress. We were, it cannot be denied, on the very
verge of ruin, and I am now, thank heaven, (if the Unibn Canal
Lottery affords us the least sum we have calculated on realizing
from it,) enabled to believe we are safe, if we pursue a uniform and
prudent course, which I think we are fully prepared to do. We
have had a lesson sufficiently appalling and distressing, to keep us
in very constant remembrance of it during life.
"I am, Rev. dear sir,
"With very sincere respect,
"Your most obedient servant,
"ARCH. McINTYRE."
Within one month from this, as will appear from the following
letter, Dr. Nott procured for the same firm, of Mr. Oakley, of
Poughkeepsie, the further sum of $40,000.
"UNION COLLEGE, Feb. 15, 1826.
" Dear sir —Having understood that Mr. John B. Yates and Mr.
Archibald McIntyre wish to be accommodated with the loan of
forty thousand dollars, for one year, and that you were willing to
make them the loan, but not willing to take the college as security,
I have consented to transfer as collateral security, 179 shares in
the Mohawk Bank; 20 shares in the New-York State Bank; 67
full shares in the Farmers' Bank; 176 do. on which $40 each has
been paid; 2 shares in the Albany Bank; 17 shares in the Manhattan Company, and 150 shares in the Rensselaer and Saratoga
Insurance Company; all standing unincumbered by any lien, in
my own or my wife's right. I have also given a power to H.
Yates, to transfer two bonds amounting to $7,000, which are abundantly secure, and payable at the Farmers' Bank. Mr. Yates, as
2




18                  ANSWER TO CHARGE VII.
treasurer, is authorized to execute the college bond, and I have
authorized him to act for me in the premises, should any thing
further be necessary.
" In great haste, and very respectfully,
"ELIPHALET NOTT."
T. J. OAKLEY, Esq.
This was the commencement of that "indiscriminate use of college funds with the funds of the President," carried thereafter to a
much greater extent, and continued for a great length of time.
For the PROOF of this see APPENDIX E., p. 57.
Still the Hon. Senator has somehow (unintentionally, no doubt,)
precisely reversed the facts of the case in relation to this interchangeable use of public and private funds, and has blended both
together in his reports, and thus given an air of mysteriousness and
complexity to transactions otherwise as intelligible as distinct, and
as disinterested as intelligible. And though the documents in his
possession contain the proof that all the payments ever made by
Yates & McIntyre to the president of Union College, even on his
private account, have been reported to the trustees, and the report
thereof accompanied by an expression of his intention to appropriate
the same to the "1 ultimate use of the college, or some kindred institution connected therewith;" and that the President has long since procured the passage of the requisite laws, and made, under the advisement of Chancellor Walworth and Judge Paige, all the other,requisite legal provisions for securing the ultimate application of
these funds to the charity for which he has intended them, still,
and as if the President were not at liberty to superintend his own
affairs, or as if it were the duty of the trustees to interfere in the
management of property to which they have no right, and over
which they claim no control, and even as if his own duty as a
member of a committee of the Senate extended to the interference
with private property, the Hon. Senator has claimed to exercise
the right of censorship over the acts of. the President in relation
to this property, as though the same were a matter of public concernment.




CHARGE VIII. " ALL PAYMENTS CALLED FOR AS DUE UNION COLLEGE.?) 19
Why the Hon. Senator should have been so regardful of the interests of Union College in relation to payments made by Yates &
McIntyre to its President personally, in consideration of advances
made, hazards run, and services rendered by him in their behalf, to
which payments the college never had any claim, either in law or
equity, and at the same time should have been so regardless of the
interests of the college in relation to payments made to its former
treasurer, Henry Yates, Esq., to which the college had both in law
and equity an exclusive claim, has not been explained.
If it was the duty of the Hon. Senator to inquire at all concerning
payments belonging to Union College which had never been reported, then was it his duty to inquire concerning said PAYMENTS.
For the PROOF of this see APPENDIX F., p. 65.
Without wishing to detract aught from the distinction due the
Hon. Senator as a legislator and reformer, pre-eminence as an accountant is not to be conceded. For however convenient it may
sometimes be to calculate interest principally on the debtor side, it
is not believed that such a mode of procedure is likely to recommend itself to the general favor, or to be adopted very extensively
in the ordinary transactions of life.
The Hon. Senator informs the Senate, (Appencalx, page 99,)
that ('no portion of the grants of the State,. was made to the
President of Union College individually." And he might have
added with equal pertinency that none was made to the Treasurer or the Trustees, or to Yates & McIntyre, or to any one else.
This truism stands in immediate connection with the following untruth.
CHARGE VIII.
" Aqll payments from Yates -.MJlcintyre, were called for as due to
Union College, according to the statement of Mr. Hemingway, the
book-keeper of Yates 8- McIntyre.
ANSWER.
The entire falsehood of this statement will appear from the
written stipulations of Yates & McIntyre-from their written
pleadings in the Court of Chancery-from their written testi



20           THE COMMENCEMENT AND CONCLUSION.
money as a firm-from their written testimony as individuals-.
and from the written testimony of the Trustees of Union College
themselves.
For the PRoor of this see APPENDIX G. p. 75
The Hon, Senator begins his report in the Senate by saying:
4 The committee on literature find that a very brief and imperfect
inspection was made by the select committee of 1849." and he concludes by saying: c" The report of the committee of 1849 seems to be
fully sustained by the Jacts of the case, and the committee on literature feel free to adopt the concluding words of that report as their
own, and to say that the financial condition of Union College is unsound and improper."'
With how much authority this sentence of condemnation was
originally clothed, as pronounced in the report of a committee to
the Assembly in 1850, and how much additional authority it has
derived from this formal review and solemn reiteration thereof in
this report of a committee to the Senate in 1851, will be apparent
by considering the following particulars.
1st. That both these reports were written by the same individual,
the Hon. James W. Beekman.
2d. That no other inspection of the fiscal condition of Union
College had been made since the i" very brief and imperfect inspection" of 1849.
3d, that the result of that inspection, as stated in the report of
R. H. Pruyn, Esq., chairman of the committee who made the
same, was satisfactory; and, as stated in the report of the Hon.
J. W. Beekman, a member of the same committee, was unsatisfactory. That to this report of the Hon. I. W. Beekman the
trustees of Union College replied; and that, so satisfactory was
that reply, the Assembly declined taking any further action in the
premises.
4th. WheleUipon the Hon. 3. W. Beekman, having in the mean
time becOfle a member of the Senate, moved the reference of the
subject to the Compttoller and Attorney-General. The Comp



THE COMMENCEMENT AND CONCLUSION.            21
troller having reported that he had not been able to attend to
that duty, the Hon. J. W. Beekman moved that the report of the
Comptroller be referred to the literature committee, of which he
was chairman; and then, on his own responsibility, proceeded to
review his own former report to the Assembly, reiterating the
charges made therein, adding still other charges, and ratifying
and confirming its sentence of condemnation-and this  without
giving the college a hearing, or even notice that any proceedings
against it were in contemplation, till said additional charges and
the reiterated sentence of condemnation, apparently confirmed
by the new sanctions of a senatorial committee, were published to
the world.. That " the report" of the Hon. J. W. Beelcman of the sAssembly,
1850, should seem to the Hon. J. W. Beekman of the Senate, in
1851, " to be fully sustained by the facts of the case," and that the
same Hon. J. W. Beekman "should feel free to adopt the concluding words of" (his own) "report " in 1850 ("as his own," in
1851, and to pronounce now, as he admits he pronounced then,
on'va very hasty and imperfect inspection,   "THAT THE FISCAL
CONDITION OF UNION COLLEGE IS UNSOUND AND IMPROPER " and that
he should wish to persuade the other members of the committee
to do the same, is quite natural. But how the other honoraable members of that committee should on the ground of " a very
hasty and imperfect inspection," made by a committee of another
body, whose report had not been committed to them, have been
induced gratuitously to endorse the same, and without giving the
college an intimation of their intention to examine its fiscal condition-should " feel free" to reiterate the same unqualified
sentence of condemnation, is only to be accounted for by the
influence exerted over them by their chairman. And though it
is understood that the other members. of the committee did.
nothing more than to meet to hear the report read which had
been prepared by their chairman, and on his responsibility for
the truth of its contents, to affix their names thereto, still, it is
not believed that they will on reflection feel, in doing even this,
that they have treated Union College or its officers with that
courtesy due to a literary institution, or with that even-handed
justice due to all men-especially it is not believed that they




22       COMPARISON WITH THIE SMITHSONIAN INSTITUTION.
will feel thus when they sh!all learn, as learn they will, that they
have lent their names in support of statements which have no foundation in truth.
As if the gratuitous and injurious statements and insinuations
with which this report abounds, might not otherwise prove sufficiently effective, their effectiveness is hightened by comparison.
Hence the Smithsonian Institution is introduced. Concerning this
institution, the lion. Senator thus speaks:
"To show what a proper and judicious administration of such
funds as have been long under the control of the President of Union
College, (for his trustees seem never to have interfered with his
financial designs) it will be instructive to look at the present condition of the Smithsonian Institution at Washington. James Smrithson,
of England, left his entire property to the United States of America,
to found at Washington, an institution which should bear his
name, and have for its object the increase and diffusion of knowledge. The trust was accepted by the United States government,
and an act passed August 16, 1846, organizing the'Smithsonian
Institution.'
"The endowment consists of the original sum of $515,169.00, received September 1st, 1831, which is to remain forever as a permanent fund. The interest of this amount to 1846, when by act of
Congress the funds were placed in the hands of the board of regents,
was $242,129.00.
"A very elegant edifice has been almost completed and paid for,
and the building committee have lately paid back a surplus to the
permanent fund out of the proceeds of the interest set apart for the
building, for the larger endowment of the institution." (Bleport,.Appendix, page 98.)
Much as the trustees are gratified to learn the present prosperous
condition of the Smithsonian Institution, they are quite unable to
perceive the relevancy of a comparison between it and Union
College.
Had the funds of Union College been put out at interest, ke
those of the Smithsonian Institution, during the fifteen years to




COMPARISON WITH THE SMITHSONIAN INSTITUTION.    23
which the comparison extends, in place of being employed as received, and often in anticipation thereof, in the instruction of
hundreds of indigent, but talented young men, many of whom are
now serving their country in places of trust and honor, and diffusing abroad the knowledge thus acquired,-had the funds of Union
College during these fifteen years been thus accumulating, in place
of being thus expended, it might also have been looked upon by the
Hon. Senator with a benignant eye.
On the receipt of this bequest by our government, $500,000'(says a member of Congress) were invested in Arkansas bonds
and some small sums in the bonds of Illinois, Michigan and Ohio;
in 1846, when the subject was investigated by Congress, little, if
any, interest had been paid by Arkansas, and some was due from
other States. And he further says that during the debate on the
bill before the House, J. Q. Adams offered an amendment " instructinz the government to use moral suasion with the State of Arkansas
and such other States as were delinquent, to induce them to pay the interest on their bonds.'"  And adds, " no fund was everworsemanaged.
The Arkansas bonds are quoted as now selling from 53 to 55 per
cent discount."
Be this however as it may, it is obvious that the capital of the
Smithsonian Institution, which as the Hon. Senator states, was
originally $515,169, ought during the fifteen years it was placed out
at interest, to have produced at simple interest $540,000, and at
compound interest $900,000, in place of the stinted sum of $242,129, so boastfully brought forward as the extraordinary product of
that investment,' under" what the Hon. Senator denominates " such
a proper and judicious administration."
Still, and notwithstanding this eulogy on the managers of these
funds, and humble as the estimation in which the Hon. Senator
holds the fiscal ability of the President of Union College, to whom
the control of its affairs are exclusively attributed.; and notwithstanding the pecuniary embarrassments these repeated attacks have
occasioned, especially during the sickness of the President, (now
happily restored to health again;) and notwithstanding the ultimate triumph and prosperous condition in which the Smithsonian




24          MARCY, WRIGIHT AND CUSHiAN'S REPORT.
Institution is at length placed, still and notwithstanding these things,
the trustees do' not apprellend, even under the less approved administration of their President, that Union College, though but one
of the many institutions founded by the Empire State, would suffer
at present, by a comparison of existing funds, or of ultimate prospective endowment with even that proud monument of national regard.
As to the candor and fairness of' the Hon. Senator Beekman's
statements, or the authority of his decisions, whether as originally
expressed in 1850, in his report to the Assembly, or as ratified and
confirmed by the Literature Committee in his senatorial report of
1851, no opinion will be hazarded; still it is obvious to remark
how very different the conclusions were at which the members of
the committee arrived, who personally and carefully examined the
questions now at issue, from the conclusions to which the members
of a committee have been conducted who never personally examined said questions at all. The conclusion to which the members of
a committee have been conducted who never personally examined
said questions at all, have been the subject of the foregoing remarks. The conclusions to which the members of a committee,
to wit, His Ex. Silas Wright, jun., His Ex. William L. Marcy and
the Hon. John P. Cushman, after long and careful personal examination arrived, are as follows:
" In view of the preceding facts, it has appeared to your committee.
"That the embarrassments of Yates & McIntyre, according to
their own statements, arose from speculations entered into by them
apart from the lottery business, and wholly unconnected with Union
College.
"That the President has furnished extensive means, performed
important services, and run great personal hazards for the contractors on their repeated applications, and this evidently without any
sinister motive, without the design of personal gain; but for the
sole purpose of aiding the contractors, and of securing and advancing the interests of Union College, or some kindred institution coned therewith.
" That the course of the President throughout all the novel
and difficult emergencies which have occured in conducting this




MARCY, WRIGHT AND CUSHMAN7S REPORT.          25
whole business, has been marked by fairness and liberality towards
the contractors, and by firmness, sagacity and disinterested zeal for
the interests of the college and of education.
" That the full powers with which he was invested by the trustees, have been exercised with wisdom and success; and'from the
information they have received of his views in relation to this whole
subject, your committee are of opinion that the interests of the
college and of science, require that these plenary powers should be
continued.
" All of which is respectfully submitted.
"W. L. MARCY,
" SILAS WRIGHT, JUN.,
"JOHN P. CUSHMAN,
A" Committee."
It is humiliating to be called on again to reply to charges, which,
whether originating in ignorance or malice, have not, and have been
shown not to have, the slightest foundation in truth; and it is also
humiliating to be required to vindicate an individual from the
imputation of applying the college property to his private use,
while in the act of applying and periling his own property to rescue
the college from the utter ruin to which it was exposed, and in
which, but for his timely and disinterested interference, it must inevitably have been involved.
To persons acquainted with the President of Union College,
and especially to those more immediately connected with the institution, any contradiction of the wanton and injurious reports
which have been recently put in circulation is quite unnecessary.
Throughout this entire circle the utter falsehood of these reports
is well known. How they originated, and from what motives they
were circulated, is also well known. It is believed that the documentary evidence herewith submitted, will furnish abundant proof
to persons neither connected with the college or personally acquainted with its President, that the reports in question are not only not
true, but also that the truth is usually precisely the reverse of what
is stated.




26     WHY REPORTS PERMITTED TO REMAIN UNANSWERED.
Why, then, it may be asked, have these reports been permitted
to remain uncontradicted so long? The reason is at hand.
The ruin to which  Union College was exposed durnig the
threatened bankruptcy of Yates & McIntyre, which the President
had undertaken single handed to avert, rendered the utmost secrecy
on his part indispensable. Not an intimation was even given to
the trustees of the danger till it had ceased to exist.
A soon, however, as it had ceased to exist, the President in
formed the Board of Trustees of the fact and informed them also
how that danger had, by his interference, been averted; what
compensation had been proffered by Yates & Mcintyre for the advances made, hazards run, and services rendered by him in thleir behalf, and how he proposed to appropriate that compensation. And
though he took immediate steps to secure to Union College the
ultimate benefit of whatever he might receive, still however, as
the receipt of anything was contingent, and as much time must
elapse before the amount could be ascertained, he was unwilling
that his intentions should be made known beyond the limits of
the board.
In the meantime he continued (by and with the advice of a
finance committee appointed at his request,) to receive, invest and
manage the funds thus acquired, till prevented by sickness from
personally attending to that duty.
During this sickness, an act of the trustees gave to an individual connected with the College great personal offence. This
act was imputed to the president, though unjustly, for being sick
at the time he was not even consulted concerning it. The aggrieved party threatened to retaliate by placing the college,
through the influence of friends, under the ban of the Legislature. To furnish a reason for legislative interference, a report
(once before disproved) was revived and circulated among the
members of the Legislature, and elsewhere, to wit, that the president had acquired great wealth by using the funds of the college in his private speculations. The real estate managed by his
agents in New-York on Long Island and in Connecticut, and the
stock known to be standing in his name, gave, (in the opinion of




CONCLUSION.                      27
those ignorant of the facts of the case,) the color of truth to this
report. Public prejudice was thus excited, and the threat which
originated in private pique was executed. Legislative visitation
was brought about. In what spirit it was commenced, and in
what spirit it has been continued, the public are aware.
Still, the president, adhering to his maxim, that silence is the
most appropriate answer to slander, and believing also that acts
of charity were by christians rather to be regarded as private
duties than acts to be publicly proclaimed, refused to give; or to
allow his friends to give, any explanation in his behalf.
In this refusal he has persisted, and though finally overruled
by the board of trustees, the explanations now given are given
contrary to his wishes. Nor would they therefore be given, were
it not believed that the good of the college required this, as well as
the good of other individuals concerned.
Though the documentary evidence hereunto appended has for
the most part long since been placed in the hands of Senator
Beekman, the trustees cannot persuade themselves that he has
examined it,and it is confidently expected, when he shall have
done so, that he will be convinced that he has been misled by
information which though perhaps believed at the time by those
who gave it, was founded on a misapprehension of the facts
of the case, and that he has himself, therefore, in his report, unintentionally, done injustice to the Institution, and to the officers
connected therewith. Should they however be mistaken in this,
and should any further attempt be made to establish the injurious and gratuitous charges which have been brought before the
public, all the Trustees have to request, is, that they may have
an opportunity of meeting their accusers face to face, of exam —
ining the witnesses if any can be produced, in support of the
charges in question, especially of examining the author of what is
styled in Senator Beekman's report,) memoranda made by A.
Johnson," which memoranda contain answers to questions imputed to the treasurer of Union College, and appealed to as testimony,
which he avers he never gave, and which were never read to him,
and which were distinctly disavowed by him in in his report of




28                      CONCLUSION.
April 8th, 1850, but which, notwithstanding such disavowal,
have been reproduced as testimony in the Hon. Senator's report
to the Senate April 12, 1851, and also of examining the books
of Yates & Mcintyre and ascertaining whether the $802,322 charged
to Union College in Senator Beekman's report, page 96, (and
on which interest is calculated and charged for 20 years,) is so
charged in the books of Yates & McIntyre-and whether all
payments made to the President of Union College for advances made
and hazards run by him in their behalf, are also actually charged
to Union College in the books of Yates & McIntyre, as they have
been in the report of the Hon. Senator Beekman, and finally
whether the books of Yates & McIntyre contain two distinct and
different accounts with Union College, one from which the Hon.
Senator Beekman has copied his charge of payments made between
March, 1823, and December 1835-another from which their own
sworn schedules of payments during the same period have been
taken-the two differing in the amounts charged to the college by
several hundreds of thousands of dollars.  (As appears to be
the case, page 44.)
All of which is respectfully submitted in behalf of the trustees,
by order of the finance committee.
A. HOLLAND, Treasurer.
UNION COLLEGE, Sept. 20th, 1851.
NoTE. —The subjoined documentary evidence has been collected, arranged and printed by the treasurer, under the supervision
of the chairman of the finance committee,




APPENDIX,
(A.)
" The truth has been concealed," Ac., as stated in page 6.
When —from whom concealed?  Sot from Yates   J.McIntyre.
Even during that critical period when Yates & McIntyre were,
by their own  admission "on the verge of bankruptcy," (and
to sustain whom the President had generously put every thing he
possessed in peril;) those gentlemen at least were made acquainted
with his disinterested intention of devoting the remuneration
proffered him, should the same he received, exclusively to the
advancing not of his own interests, but the interests of Union
College. Hence, in a letter addressed to the President by Henry
Yates, though he admits that he was himself actuated by motives
of personal interest, he repels the imputation that such was the
case with the President.
His words are: "That I, when risking the welfare of myself
and family to the extent of what I have, should be supposed to
anticipate in future some advantages, is not to be wondered at;
but that you should be supposed to do so, individually, astonishes me.
I have never heard it intimated by any one, and I believe it only
rests in the minds of some evil disposed persons, as what they or he
would do in a similar situation." (Chancery Docs. ~ 119.)
In accordance with the views expressed by Henry Yates, are
those expressed by his partner, A. McINTYRE. His words are:
(I But if the College is enriched, I rejoice in it, with the utmost sin_
cerity of my heart; because I wish the success of the College, and
because I wish to see you enjoy that credit you so richly merit, for




30'APPENDIX A. A THE TRUTH HAS BEEN CONCEALED.
your able and unremitting exertion for that institution.  I long for
the termination of our labors, when it can be publicly known what you
have done, and that you can have due credit for producing treble the
amount of the College endowments that its Trustees ever thought of
realizing from  lotteries; you yourself cannot more rejoice in these
results than myself. (Chancery Docs., ~ 360.)
And both A. McIntyre and J. B. Yates affirm under their sign
manual, that "the whole sum taken by the President was avowedly
taken for the benefit and to be paid over to the funds of the College."
It was not concealed from the Trustees of the College. For as
soon as the brightening prospects of Yates & McIntyre gave any
reasonable ground of assurance that their failure would be averted,
the President made the same communication which he had made
to Yates & McIntyre to the Register of the College,' to different
members of the board, and even to the Board of Trustees in session,
as will be seen from the following extracts: (Chancery Docs., ~ 264
to 269.)
"' Though the first payment of per centage for personal services
rendered, and hazards run, under the foregoing stipulation of Yates
& Mcintyre, dated May 30th, 1826, was not received by the President of Union College until the 2d of September, 1829; still it
became apparent to him early in that year, that there was a probability that the apprehended ruin of the parties concerned would not
only be prevented, but that some benefits would arise to the College from the services rendered and the hazards run, by him, in
behalf of the contractors.
" It was, therefore, intimated early in the year, to William James,
Esq., by the President, that the funds of the College would, probably, through his instrumentality, be more or less increased; and
that, as life was uncertain, it had now become necessary for the
Board of Trustees to take measures fobr becoming acquainted not
only with their present property, but also with the nature and
extent of theirprospective and contingent rights, so that in case of
his death they might be in possession of a knowledge of facts, re
quisite for securing the benefits intended to inure to the institu
tion.




APPENDIX A.  T fTHE TRUTH HAS BEEN CONCEALED.     31
Agreeably to  the suggestions thus made, a committee of
finance was, at his instance, appointed by the board, at their
meeting.in July, 1829, which committee say in their relort to
the board:
"' The concerns of the College have become large and multifarious under the auspicious influence and disinterested perseverance of the gentlemen who have heretofore conducted its fiscal
interests.
"'Your committee freely acknowledge, that so far as respects
themselves, they have not such a knowledge of the concerns and
details as would be necessary in case of any adverse iaspensation
should deprive us of the Principal and Treasurer, to continue
and mature their grand plan, without confusion; they therefore
request that such measures may be adopted as may appear to
the board necessary. "
To which may be added the certificate of Jonas Holland.
4 I hereby certify, that on or about the first of August, 1822, I
was appointed by the President of Union College, one of a Board
of Managers under the act to limit the continuance of lotteries,
passed April 5th, 1822, and Secretary of the board; from which
time I have assisted the President in keeping his accounts with
Yates & McIntyre. That during the period referred to in the
foregoing note, the intimation there said to have been made to
William James, Esq., in relation to the contingent augmentation
of the funds of Union College, through the agency of the President, was also made to me; and that what was then intimated as
doubtful, was afterwards, at different periods, distinctly stated as
almost certain; and previous to the stopping of the payment of
the per centage as stipulated for by the contractors, the President
did, on several occasions, call my attention to certain documents relating to the said contingent claims of College from t/tat source
which, should his life not be spared to the close of the lottery, he said
would be found among his papers.
" JONAS HOLLAND;"
" Schenectady, Aug. 1st, 1834."
(Chancery Docs. ~ 264, 265, 266, 267, 268, 269.)




3~2             APPENDIX A. TRUTH CONCEALED.
" In July, 1831, the President of Union College reported to the
Board of Trustees:
"That although contingencies might yet arise that would prove
ruinous alike to the contractors, the college and himself, still they
were apparently so far out of danger as to justify him perhaps, in
communicating. to them what he had previously more fully communicated to their committee of finance, to wit:
"L That he had been obliged, in order to prevent the failure of
Yates and McIntyre, and to enable them to go on with the lotteries, to render in their behalf, personal services, to assume
personal responsibilities, and to raise moneys for their use at different times, and to very large amounts, for which he was entitled
by stipulation to receive a portion of the profits of the lotteries, should
any arise, as there was now reason to hope would be the case, and
perhaps to a large amount; which amount, be the same more or less,
it was, and ever has been (after providing for the services rendered
and hazards run) his intention to appropriate to the use of Union College, or some kindred institution connected therewith.
4 That with a view to this, he had procured the passage of a law
forfounding, in connection with the College, an Institu!ion of Science,
the material provisions of which are asfollows:"
(Clauses of an act passed IJpril 23d, 1831.)
"4. It shall and may be lawful for the senior trustee of the
Schenectady Academy, residing and being at the time in Sche.
nectady, by giving notice to the other trustees, to convene the
same; and the trustees convened on such notice, shall be a board
competent to fill all vacancies, at the time existing, whether occasioned by death, resignation, neglect, or removal of any former
trustee; and that the charter of said Academy be revived and
confirmed, any surrender or non-user to the contrary notwithstanding.
"It shall and may be lawful for said trustees to receive, hold
and use, any additional moneys, or other property that may be
subscribed, bequeathed, or otherwise bestowed for the purpose of
establishing, in the city of Schenectady, in addition to the school
hitherto taught, AN INSTITUTE OF SCIENCE AND INDUSTRY, in which




APPENDIX A. TRUTH CONCEALED.               93
manual labor, at the discretion of the board, shall be combined with
mental application, by all the members thereof, whether preparing
for college, for becoming teachers of schools, or for any other profession or calling in life.
" 6. It shall and may be lawful for said trustees to divide such
institute into such departments as shall be deemed expedient, and
to prescribe the course of studies and system of discipline, as well
as to appoint the requisite professors or teachers in each.
"It shall and may be lawful for said trustees, and the trustees
of Union College, to make provision that the members of said institute shall be so far recognized as members of said college as to be
allowed to attend the lectures and receive books from the libraries
established therein, together with any other privileges granted to
students in full standing, that may be deemed compatible with the
interests of both institutions.
" The President further reported, that he had, with a view to
the carrying the provisions of the aforesaid clauses into effect, purchased of the corporation of the city of Schenectady, the former
stone college edifice for said institute of science, should the same
be established.
(Chancery doe.  ~~ 436, 437, 438, 439, 440.)
In July, 1832, the President having in his report to the board
glanced at the advances he had been required to make, and the
hazards he had been obliged to run, in order to prevent the ruin
of the college by the failure of Yates and McIntyre, added that,
"' while the affairs of the contractors were in the most unpromising state, an act passed the Legislature, authorizing the mixing
of the land prizes in the Albany Land Lottery with the money
prizes in the Literature and Fever Hospital Lotteries, provided
the consent of the institutions interested therein could be obtained.
"This act of the Legislature, in the opinion of Yates and McIntrre, afforded an opportunity for making a contract which, though
attended with the hazard of great loss, held out, as the alternative
th prospect of corresponding gain.
3




34            APPENDIX A. 4" TRUTH CONCEALED.)
"lTo enable them, however, to execute the contemplated contract, the consent and co-operation of the subscriber was necessary as the heavy responsibilities already assumed by hlim, in be,
half of the contractors, must not only be continued,'in case such
contract was to be executed, but still greater responsibilities
must also be assumed, in order to sustain their credit during the
execution of the same.
" To induce the consent and co-operation of the subscriber, a specific share of the profits, whatever the same might be, was proffered
to him by the contractors.'"Though fully aware that they were deeply involved, and
that very large additional amounts must be furnished for their
use, in order to sustain their credit during the prosecution of the
contemplated undertaking, the subscriber in the hope of ultimately
benefiting the College thereby, made up his mind to put every thing
at hazard, by consenting to share with them the responsibilities and
the losses or profits of the enterprise, in conformity to the stipulations
then made and provided.
"c This he did however with the intention, expressed at the time,
and often since repeated, of appropriating, after providing for
the expense and hazard by him incurred, his share of the profits, should any accrue, to the use of Union College, or some kindred institution connected therewith; an intention never relinquished, and which he still purposes to execute, reserving to
himself the right of determining the objects to which said profits shall be applied, and the.time and manner of their applicttion. In conformity to which intention certain expenses have
already been incurred by the subscriber, as others may hereafter
be, in the enlargement and improvement of the College site, or the
buildings thereon erected, or in furtherance of those arts and
sciences which it is the object of the institution to promote."
(Chancery Doc. ~~ 513) 514, 516) 517, 518.)
In 1833, the President reported to the board as follows:
"c As to the additional lottery avails, arising out of the act
authorizing the mixing of the Albany land prizes with the mo



APPENDIX A. ~" TRUTH CONCEALEDoD             35
ney prizes of the other lotteries, passed 1826, little need be said,
as the rights and claims of the respective parties interested therein remain the same, as stated at length in the last report; no
further payments having been since made to the subscriber by the
managers, under the special contract entered into with him,
by virtue of the act aforesaid, for personal services rendered,
hazards run, and moneys advanced.
" Of the several amounts previously received by the subscriber
under said personal contract, held by him in his individual right,
though appropriated to public purposes, in the manner heretofore
stated; the principal part has with the approbation of the Financial
Committee been invested in real estate situate for the most part in the
city of NJew-York and on Long Island or elsewhere, or in bonds and
mortgages, or stocks of some sort and the residue appropriated to
repairs and experiments.
"The old college purchased and repaired by the President,
remains still in his possession; but he has not thought proper to
proceed to the founding an institute on the amended charter of the
old academy, to be connected with the college, as was contemplated,
because it yet remained uncertain whether the amount to be received by him from the source aforesaid will be equal to his former
expectations
" The subscriber is aware that the best devised human plans may
be frustrated, and that uncertainty attends all things future.
He is aware that contingencies may occur, that will not only refite the calculations of profits he has made, but also involve
him, the college, and the managers in one common ruin. Still appearances ate more favorable than on any former occasion; and
even though the residue of the per centage, stipulated to be paid
the subscriber for personal services, hazards and advances, should
not be fully received; still there is reason to hope that something handsome will eventually be realized by the college, from
the investments aforesaid already made, and besides, even though
there should be some deficiency in the final payment of the percentage
stipulated, still the subscriber may, if prospered in some other way,
make up therefor, and this if( in his power, it would afford him
pleasure to do; nor will any thing but necessity reconcile him to




36         APPENDIX A. TRUTH HAS BEEN CONCEALED.
the ultimate disappointment of expectations, which, though not founded on any legal claim, he has contributed to raise.
" All of which is respectfully submitted,
1" ELIPHALET NOTT."
Chancery Docs. ~~ 550, 551, 552, 553.)
THESE REPORTS WERE ACCOMPANIED WITH PRINTED SCHEDULES
(see ~~ 289, 309, 326, 339, 371, 376, 391, 392, &c.,) CONTAINING
THE DATES AND AMOUNTS OF EVERY PAYMENT EVER MADE BY YATES
& MCINTYRE) FOR ADVANCES FURNISHED AND HAZARDS RUN BY THE
PRESIDENT IN THEIR BEHALF.
In all this there does not appear to have been any great'" art and
skill" displayed Adin concealing the truth" from  the knowledge
of the trustees at least.
On the contrary, the whole facts of the case have been presented to them with sufficient frankness, especially when it is
considered that these were transactions of a personal and private nature, concerning which the trustees had no right to seek information, nor was the President under the least obligation to give it; as
neither the College nor the public had any legal or equitable right
threin, as will be seen from the contracts which will be found
under another reference in this appendix. Nor was this truth unnecessarily concealed from others. For the President did not hesitate to communicate freely in relation to the same, whenever in
his opinion the interests of the institution required it, as the following letter FROM HIS EXCELLENCY, Gov. WRIGHT, to Yates & McIntyre,
will show:
" ALBANY, 26th Dec, 1832.
"Gentlemen-To no cause or exertions do you owe the forbearance of the public and the Legislature, so much as to the
manner in which the President of Union College has embarked
his character, fortune and fame, for the sustentation of the managers, both against reproach and against pecuniary embarrassment.
I think I have seen periods when the Legislature, regardless of
other considerations, would have swept these lotteries from existence, had they not known that the doing so would bring ruin




APPENDIX A. TRUTH HAS BEEN CONCEALED.         37
to the private fortunes of Dr. Nott, and deep loss, if not ruin to
other fair business men, whom he had induced to lend their money
and their credit, to prevent disaster in the drawings which had
taken place, and to continue the system until the destined objects
should be accomplished.        *    *    *            
" I am, with great respect,
" Your obedient servant,
" SILAS WRIGHT, JR."
i' Messrs. YATES & MCINTYRE2'"
(Cliancery docs. ~ 528.)
In a letter to the President, after having examined the subject,
the Governor writes:
"WASHINGTON, 15th Jan., 1833.
" My Dear Sir-I sent you, some short time before I left Albany,
a copy of the letter written by me to the managers.     
I have received from them an answer to that letter, and that you
may be in possession of the whole facts so far as I am concerned, I
think proper to send you the answer received. I feel the more
strongly bound to do this, because I wrote to you as a trustee of
the college, as will be seen by the language of my letter, and because
in that capacity I had with you cursorily examined the contract
and the correspondence with them, and from the facts drawn from
these papers, had fully advised you to institute proceedings in chancery against them, in case they should persist in the singular position they had assumed.    *    *    *    *    *    *    *
"I then say, that my impressions, drawn solely from the several
contracts and the correspondence relating to them were, that there
was not a doubt as to the perfect legality of each and all of the contracts, while I have always viewed, and I still view, the lotteries as
a great evil not to be endured, but for the sake of the charities
charged upon them; and seeing from the correspondence that the
managers must have wholly failed, and consequently the lotteries
wholly stopped, but for your exertions, I did think, and do still
think it to be your duty to enforce the contract, that you may, to
the extent provided for by the stipulation, indemnify the community for the evil continued by your means, by the addition to the




38         APPENDIX A. TRUTH'HAS BEEN CONCEALED.
charitable object provided for by the contract which induced you
to use those means. My object in writing to the managers was, in
a purely friendly spirit, to awaken them to a correct moral sense
of the transaction. Having failed in this, I now give you my opinion of your moral duty, and the only condition upon which you can,
in my judgment, excuse yourself from its performance, is that competent counsel shall pronounce it impossible to enforce the contract.
Excuse me for this intrusion upon your time, and believe me,
"Your very respectful,
" And o'bt. serv't.,
" SILAS WRIGHT, JR."
" Doct. ELIPHALET NOTT."
(Chancery docs. ~ 560.)
So much for the imputed a art and skill made use of" " in concealing the truth," as charged page 6.




APPENDIX  B.                                     39
(B. )
"Dr. Nott received for Union College $802,322.28," as stated page 9.
Union College "received from  Yates  - JMcIntyre, $802,323.28."   So
says Senator Beekman in his report April 12th, 1851, (page 96, 97.)
But what say Yates & McIntyre themselves, under the solemnity
of their oaths, concerning the payment made during these same
years, both to the Treasurer and the President?
They say in their bill of complaint, sworn to on the 12th August,
1834, before E. Cowan, " And your orators charge, that the annexed Schedule B, contains a true and particular statement of such
moneys so paid from time to time by your orators to the said
Treasurer of Union College, with the times particularly of each
payment so made; and which statement your orators believe to be
correct and true, the same having been made from their books,
which they believe and charge were accurately kept.
SCHEDULE B.
A  statement of payments made by Yates 4 McIntyre, to the  T'reasurer
of Union College, on the fund denominated the College Fund.
1823. May 31, Cash paid H. Yates, Treasurer,............................   $4,450 60
July 30,    do              do............................    5,365 30
Aug. 2,    do               do............................    4,000 00
Oct. 18,    do              do............................    9,163 00
Dec. 11,    do              do............................   11,662 00
1824. Jan. 22,    do                do............................    8,330 00
Mar. 29,  do                 do........................... 14,543 50
July  4,    do    draft to J. W. Francis,..........................       5,311 00
Sept. 1,    do       II. Yates, Treasurer,............................   17,958 60
1825. April 13,    do              do............................     103,492 72
1826. May  8,    do        draft to D. Boyd.............................        3,000 00
1827. Jan. 31,    do    l)ond T. Gardiner, with int. from 13th April, 1826,.   7,000 00
do        do      Isaac Riggs' note, 10th Jan. 1825...............    1,500 00
do        do     Archer's bond, with interest from the 7th Dec. 1826,   16,000 00
June  5,    do      bond of R. Richardson and wife,.................    4,000 00
Aug. 4,   do        bond of A. B. Shankland........................    4,000 00
Sept. 17,    do     drafts of Levy Bebee,...........................    3,682 00
21,    do         do       do...........................    1,200 00
Oct.  9,   do           do       do...........................        700 00
15,    do         do       do...........................    1,500 00
19,    do         do       do............................    2,000 00
Carried forward,................................... $228,858 72




40                           APPENDIX B. $8029,323 RECEIVED.
Brought forward,...................................   $228,858 72
1827.  Oct.  24, Cash paid drafts of Levy Bebee,.........................                            683 00
Nov. 15,        do            do         do.........................               1,000 00
20,      do            do        do.........................               2,582 00
21,     do             do        do.........................                       2,383 00
25,     do             do        do........................               3,800 00
Dec.  31,       do      Levy Bebee,..................................                        488 25
do          do      note to Terhune, with interest from 14th July, 1827,                2,000 00
1828.  Feb.  11,         do      Levy Bebee,..................................                        329 53
1830.. Feb.   4,         do      note to E. Nott,...............................                    5,525 00
June   4,       do      note to H. Yates, Treasurer,....................                   2,825 28
July  3,   do                       do.....................                        2,841 88
do         do   bond of C. Barrington, and in. due thereon to this day,               18,654 17
do             J. J. V. Schaick,            do              do              1,373 62
do             S. Newell, C. Dyer,          do              do              2,062 33
do             Lyman Paine,                 do              do              8,579 33
do             J. C. Van Dyke,...............  $6,020 00
Less note due 14th July, 1827, and interest......   2,362 00
3,658 00
Interest on Smith's mortgage,.............................                         75 26
Aug.  4, Cash paid note to H. Yates, Treasurer,...................                         2,856,80
Sept. 4,  do                         do....................   2,873 10
Oct.   4,       do               E. Nott,...............................                   5,758 33
18,      do               H. Yates, Treasurer.....................                  2,896 26
Nov. 18,        do                   do....................             2,912 65
Dec. 16,        do                   do....................             2,927 78
1831.  Jan.  18,         do                   do....................             2,944 25
Feb. 18,        do                   do.....................              2,959 46
Mar. 18,       do                    do....................             2,976 00
April 18,       do                   do...................              2,991 31
May  18,        do                   do....................             3,007 93
June 18,        do                   do....................              3,023 24
July  18,       do                   do....................             3,039 05
Nov. 15,        do                   do....................             1,230 43
Dec. 15,        do                   do....................             1,236 27
1832. Jan. 15,  do                            do....................   1,242 11
Feb. 15,        do                   do....................             1,247 95
Mar. 15,        do                   do....................             1,253 78
April  4,       do                   do....................             3,187  58
15,  do                       do....................   1,259 61
May   4,        do                   do....................             3,1.90 68
15,     do                    do....................              1,265 44
June   4,      do                    do....................              3,315 00
15,      do                   do....................             1,271 27
Juily   4,      do                   do....................             3,128 84
15,     do                    do....................             1,277 10
Aug.  4,        do                   do....................             3,332 50
15,     do                   do....................              1,282 93
Sept.  3,       do                   do....................             3,177 88
15,     do                    do....................              1,288 75
Oct.  15,       do                   do....................             1,294 59
Nov. 15,        do                   do....................             1,300 43
Dec. 15,        do                   do....................             1,306 27
Carried forward,...............................                   $365,974 94




APPENDIX B. $802,323 RECEIVrE.                                     41
Brought forward,...................................  $365,974 94
1833. Jan. 15, Cash paid note to H. Yates, Treasurer,....................            1,312 11
Feb. 15,    do                  do....................        1,317 95
Mar. 15,    do                  do...................         1,323 78
April 15,    do                 do               1...................          1,329 61
May  15,    do                  do....................        1,335 44
June 15,    do                 do....................         1,341 27
July  15,    do                 do...................       1,347 10
Aug. 15,    do                  do....................         1,352 93
Stpt. 15,.do                 do....................         1,358 75
Oct. 15,    do                 do....................         1,364 59
NQV. 15,    do                  do....................         1,370 43
Dec. 15,    do                 do...................          1,376 27
1834. Jan. 15,    do                   do....................        1,382 11
Feb. 15,    do                 do....................         1,387 95
Mar. 15,    do                  do....................         1,393 78
April 15,    do                 do....................         1,399 61
May  15,    do                  do....................        1,405 44
June 15,    do                  do....................         1,411 17
July 15,    do                  do.................           1,417 10
$391,902 43
SCHIEDULE B.-Continued.
A statement of interest paid by John B. Yates, on his bond and mortgage
of $55,000, to Union College.
1831.  Nov. 5, Cash paid this day,.......................................    $2,656 50
Dec. 3,    do        do.......................................               1,005 50
1832.  Jan. 4,    do         do.......................................  1,010 50
Feb. 4,    do        do.......................................           1,018 08
Mar. 4,    do        do.......................................,020 50
April 4,    do       do.......................................               1,025 50
May 4,    do         do.......................................  1,030 50
June 4,    do        do.......................................               1,035 50
July 4,    do         do.......................................              1,040 50
Aug. 4,    do         do.......................................            1,045 50
Sept. 3,    do       do.......................................  1,050 50
Oct. 4,    do        do....................,..................             1,055 50
Nov. 3,    do        do........................................             1,060 50
Dec. 3,    do        do.......................................             1,065 50
1833.  Jan. 8,    do         do........................................  2,996 44
$19,117 02
The above schedule of payments, has been made from entries of
drafts made by J. B. YATES, on the house of YATES & MCINTYRE.
The whole amount of payments may not have been included, and
possibly some may have been made on another account of indebtedness. By reference to the Treasurer's books and the statements,
these payments may be exactly ascertained.




42                  APPENDIX B. "$802,323 RECEIVED.
SCHEDULE B.-Continued.
A  statement of moneys paid by Yates 4 McIntyre, for interest on a bond
of the State of New-York, for the College of Physicians and Surgeons, to the New-York Insurance Company, which bond Union College
covenanted to pay, and indemnify the College of Physicians and Surgeons against.
1827.  May 25, One-half year's interest paid this day......................   $600
Nov. 30,      do         do        do........................ 600
1828. Aug. 18,       do         do        do........................ 600
1829. Jan. 5,   do              do        do........................600
June 12,   do    do    do........................ 600
Dec. 7,       do         do        do........................ 600
1830. May 26,        do         do        do........................ 600
Nov. 29,      do         do        do........................ 600
1831. May 23,        do         do         do........................ 600
1832. Jan. 17,       do         do        do........................ 600
June 6,       do         do        do........................ 600
1832. Oct. 27,       do         do        do........................ 600
1833. June 17,        do        do         do........................ 600
1834. Jan.  4,       do         do        do........................ 600
July 15,      do         do        do......................... 600
— $9,000
Summary of Schedule B.
First part....................................................$391,902 43
Second part,......................................         19,117 02
Last part,.....................................................     9,000 00.-.-.    $420,019 45
Thus far iom the sworn bill of Yates & McIntyre.
According to the summing up of this schedule, there has been
paid to the treasurer of Union College, during these years,
only....$420,019 45
But the two last charges in said schedule are for
$19,117.02 interest on J. B. Yates' bond of $55,000
sworn  in  said  bill to  have  been  given  as collateral
merely; and for $9,000 interest on the bonds of the
College of Physicians  and  Surgeons, both.of which
payments were claimed to have been paid in error, and
were actually repaid, and must therefore be deducted,
the two amounting to......................... 28,117 02
Which only leaves to be accounted  for, as set forth in....
the first part of said schedule,.,.$........ $391,902 43




APPENDIX B. " $802,323 RECEIVED.           43
Now there was, (Chancery docs. ~ 58,) when this contract wa,
entered into with Yates & McIntyre, July 30th, 1822, by
Union College, due from the State to said college in its own
right,....................................... $226;476 19
And in the right of the other institutions which Union
College purchased out,.........................   95,780 62
Making.............$...........  $322,256 81
To meet this amount, together with the interest thereon, at the
expiration of twelve years, the college received from Yates & McIntyre, including several payments of interest, only $391,902.43 as
above set forth.
From the mere inspection of the figures, and without employing
a skilful accountant to examine the details and make out an interest
account, it would be sufficiently apparent for the common reader,
that in place of receiving much more, Union College received firom
Yates & McIntyre much less than the principal and interest on the
original grant made to it by the State; and much less than the
principal and interest on the grants to the other institutions which
said college purchased out. But to satisfy the Hon. Senator, that
he has been misguided by Mr. Hemingway, such an accountant
has been employed; and to say nothing of the labor and care which
the supervision of the Literature Lottery occasioned, and nothing
of the hazard to which the absolving of the State from all responsibility exposed the institution; to say nothing of this-that
accountant having compared Schedule B with Schedule D, (see
Appendix K, which contains, as will be seen, the final settlement,)
found that the total payment of principal, between the 30th March,
1823, and the 15th July, 1834, according to the sworn schedules
of Yates & McIntyre, after deducting certain small amounts of interest included therein, in place of being, as stated by the Hon.
Senator, $802,323.28, was only $370,124.50; and that the annual
payments in the abstract furnished by him, were in like manner
exaggerated, as will be seen by the statements hereunto subjoined.




ANNUAL PAYMENTS                                                              ANNUAL PAYMENTS
Of principal, including some small amounts of interest, made Of principal only, according to the sworn schedules of Yates
by   Yate'  JMcIntyre, according  to  the  abstract from                      M' cIntyre,  furnished from   their  own  books by  themtheir booksfurnished by Senator Beekman.                                    selves.
From March 31, 1823, to March 31, 1824,.................         $74,430 40 From March 31, 1823, to March 31, 1824,,...................... $57,414 40
14     1825,390,286 15                                    If' 1824,                                               23,269 60
1824, " 825,....................  23,.269 60
CC  1825,  C      1826.....~........ ~~~ ~     122,414 27         cc      1825,     "       1826......................... 103,492 72 f
cc     1826,      cc      1827,.........................    46,436 60      "       1826,      "      1827.........................   27,500 00
1827,.......1828,..................105,347  8                         127               1......................   30,295 78 t
"C     1828,      cc      1829                                                       1828,             1829..................
(C     1829,    ('        1830,................   70,037 88         C(      1829,    "C       1830,.........................   5,000 00
"      1830,      "       1831,......................... 143,210 31     cc      1830,      "      1831,.........................  65,000 00 ~
cc     1831,      cc      1832.........................  116,548 82           1831,      cc     1832..........................  15,000 00
*~     1832,  a"          1833,.......................  43,186 25           cc      1832,      cc     1833.........................   27,000 00
cc     1833,              1834...........           16340 23                  1833,.........1834..........................  12:000 00 
C"     1834, to June 15th, 1834.......................      4,216 32         cc      1834, to June 15, 1834,....................    4,000 fiO W
Notes given by Yates& M loIntyre, and falling due up to December
15th, 1835,...........................................   20,865 57
$802,323 28-.     370,124 50 5
MR. GILLESPIE'S CERTIFICATE. 
I certify that I have examined and compared the schedules contained in the sworn Chancery Bill of Yates & McIntyre, and thqse in 
their final settlement with Union College,* and have collated the same with their subsequent divisions and sub-divisions of the payments
due, as stated in a volume of Chancery  documents, and find therefrom  that the total amount of the payments therein claimed by said
firm  to have been made to Union College, (irrespective of the2'per cent paid the President for supervision and management, according
to their contract with him, and according to a law of the State,) between' the 31st of March, 1823, and the 31st of March, 1834, (deducting the accumulated  interest on the delayed  payments, and the interest upon that interest, included in said payments) is three
hundred and seventy thousand one hundred and twenty-four dollars and fifty cents ($370,124.50.)                           WM. M. GILLESPIE.
New- York Dec. 11, 1851.
* See appendix K, Page 112, a schedule of the final settlement, appended to the sworn bill of Yates & McIntyre, (being schedule D.)




APPENDIX B. $802,323 RECEIVED.                                 45
But Yates &  McIntyre  further  charge  in  said  bill 4"that they
have also made to the President of Union College other separate
and distinct payments in discharge of their obligation  to pay two
and one-quarter per centum, which payments are particularly
set forth in schedule C, with the time of such payment, and
which schedule C they also charge to be true, and which was made
from their books, and your orators charge the same to be correct
and true."
SCHEDULE C.-FROM SWORN BILL.
A statement of payments made by Yates 4 McIntyre, for the Trustees
of Union College, to the Fund, denominated the President's Fund.
1823. May 31, Cash paid H. Yates, Treasurer.................... $1,309 00
July  30,    do            do.................... 2,754 50
Oct. 18,  do               do.................... 2,695 00
Dec. 11,    do             do.................... 3.4-30 00
1824. Mar. 29,    do            do.................... 6.727 50
Sep.  1,    do             do.................... 6,844 00
1825. Jan. 11,    do    draft to D. Boyd,........................ 9,173 25
Apr. 13,    do    H. Yates, Treasurer,.................... 3,849 75
Aug.  6,    do    draft to D. Boyd.......................  6,844 00
Oct. 10,    do                do....................... 5,148 00
1826. Mar. 18,    do                do.......................      3,079 80
June 18,    do                do....................... 6,936 60
July  3,    do                do....................... 7,000 00
1827. Jan. 31, Bond, J. D. Hammond, (int. from 1st May, 1826,)... 5,000 00
1829. Aug. 4, Cash, paid note to E. Nott,.......................  5,350 00
Sep.  4,      do             do........................ 5,379 16
Dec. 4,       do             do....................... 2,733 34
1830. Jan. 4,       do            do......................... 2,747 91
Feb. 3,       do             do.................. 2,762 50
Mar. 4,       do             do........................    2,777 07
Apr.  3,       do            do........................ 2,791 66
May  4,       do             do........................ 2,806 24
1831.Aug. 6,        do             do...................... 3,099 90
Sep. 16,      do             do........................ 3,009 50
Oct.  4,       do            do........................ 3,149 36
Nov. 4,        do            do........................ 2,024 69
Dec.  4,       do            do........................ 3,170 92
1832.Jan.  4,       do             do.................... 3,078 00
Mar. 4,       do             do........................ 3,048 52
May  4,       do             do....................... 3,078 69
~07           0?...77    09               $122, 798 84




46                      APPENDIX B.
Schedule C exhibits the amount of the per centage granted by
law for the expenses of managing the lotteries, which was, according
to contract, paid to the President of Union College, (Chan. doc. ~ 36:)
to whom the supervision and management of the same was exclusively committed, (Chan. doc. ~ 27.)
The whole amount of principal so paid, as stated by the Hon.
Senator (see his report, page 98,) was $111,343.44. Of this sum
(after paying all expenses,) there remained $54,455.14, as a compensation f6r services rendered and hazards run during the continuance of the Literature Lottery.
If the President was disposed to relinquish his claim to this per
centage, granted. by law as a compensation for services and hazards,
he had a right to do so; but that the State should require Union
College to account for this per centage, paid to the President
according to law for supervision and management, would be sufficiently absurd..Not however, to insist on this; and though to the
amount of schedule B, which, as stated above, was.. $370,124 50
there should be added the entire amount saved by
the President from the 24 per cent granted by the
State for supervision, w!'ic!l amount was......   54,455 14
Still, the entire amount received by Union College
between the 31st March, 1823, and the 15th December, 1835, in place of being $802,323.28, as charged
by Senator Beekman, would be, (even after this
gratuitous augmentation,) according to the oaths of
A. McIntyre and J. B. Yates, only.............. $424,579 64
Of this whole sum received by Union College nearly one-third
belonged to other institutions; so that, including even all the President saved from the percentage granted for management, Union
College never received, by many thousand dollars, as much as it
would have received had the $200,000 granted in 1814 been duly
paid.
So much for the $802,323.28 charged to have been received by
Union College, page 9th and 96th.




APPENDIX C. FRAUDULENT TRANSFERS.              47
(. )' So that he transferred to his own college within two years after its
purchase for $17,500, the same property for $150,000," as charged
page 13.
That these transfers were all necessary, and that they were all
made in furtherance of the President's desire to secure to Union
College the ultimate possession of the property which he purposed'
to bestow upon that institution, will be seen from the documentary
evidence that follows:
That the President purposed to appropriate not only his interest
in the 24 per centage, but also his entire interest in whatever else
he might receive for advances made and hazards run during the
drawing of subsequent lotteries in which Union College had no
interest, is apparent from his report to the Trustees in 1832, in which
he says:
" For whatever profits shall arise from tickets sold in the Consolidated Lottery, over and above the original amount of tickets
in the Literature and Fever Hospital Lotteries, reckoned at their
scheme price, the subscriber will be entitled, by contract, to share
the same with Yates & McIntyre; and whatever the amount so
shared by him may be, it is still, as it ever has been, his design to
appropriate the same in manner aforesaid; a design thus formally
expressed that the Trustees may be induced to take measures for
obtaining any contingent residuary benefits that may accrue to them,
conformably to provisions that will be found in the will of the
subscriber, should his own life not be spared till said lottery is
closed, and a settlement effected between him and the contractors,
agreeably to stipulations formally entered into by them, and which
will be found on file among his papers.
" All which is respectfully submitted,
"ELIPHALET NOTT."
July, 1832.  (~ 522.)
And that he stood ready to carry this provision into effect at the
earliest practicable period, is apparent from the following communi.
cation made to the Board of Trustees from the finance committee:




48           APPENDIX C.  FRAUDULENT TRANSFERS.
"Whereas, Dr. Nott has signified to the committee his readiness
to transfer to Union College, not only its entire portion of said
lands and bonds and mortgages, to be held in its own right, but
also the portion belonging to himself, on the terms heretofore set forth
in his reports to this board for the years 1831 and 1832, as soon as
the same shall be definitively ascertained.   *   *    *   *    *
a And further, that the Treasurer be also authorized to receive
from Dr. Nott in like manner, the remaining portion of said additional amounts which shall be found to belong to him, and enter
the same in a separate fund, to be denominated Dr. Nott's Fund,
and to be held and applied conformably to the aforesaid report
of Dr. Nott to this board, of July, 1831, and that a separate annual
report be made, hereafter, thereon to this board."
I certify the above to be a true extract from the minutes of the Board of Trus
tees of Union College, of a meeting held at Schenectady, July 26th, 1837.
Nov. 28, 1851.                 L. H. WILLARD,.dcting Register.
Why then was the remaining property alluded to, not forthwith
conveyed to Union College? and why was the real estate which
had been conveyed to the college in trust, reconveyed?  The
following documentary evidence will give the answer:
Chancellor Walworth's Certificate.
"I was consulted some years since by Dr. Nott, the President
of Union College, as to the manner of conveying or devising certain
property, to a very large amount, which he desired to give to the
College, in trust, to establish certain professorships, or otherwise,
to promote the cause of education in that institution, which
property had risen from a certain per centage, which Yates & McIntyre had agreed to give him on the proceeds of certain lotteries,
as compensation for his services and risks in raising monies
to save them from bankruptcy. I came to the conclusion that he
could not convey or devise the property to the institution legally,
upon the proposed trusts, which were not such as the revised
statutes authorized.  And as he expressed the apprehension that
he might possibly die before he could get a law passed authorizing the proposed trusts, I therefore advised him to convey the
property absolutely, taking such a wriding from the treasurer or




APPENDIX C. FRAUDULENT TRANSFERS.             49
other proper officers of the corporation that he was entitled to control
or direct the application of: the property at any time during his life;
and that he could, in that case, after he had obtained the passage of
the proposed law, take a reconveyance of the property, and convey or
devise it to the corporation upon the contemplated trust. I also
know Judge Paige was also consulted on the subject, and that he
concurred with me in opinion.
REUBEN H. WALWORTH."
Saratoga Springs, NJov. 21, 1851.
On learning that it was doubted whether the college could
hold property in trust without special law for that purpose, the
President hastened to procure, and did procure, May 14th, 1840,
the passage of such a law, in the words following:
" The People of the State of NJew-York, represented in Senate and
Assembly, do enact as follows:
" SEC. i. Real and personal property may be granted and conveyed to any incorporated college or other literary incorporated
institution in this State, to be held in trust for either of the following pnrposes:
1. To establish and maintain an observatory;
" 2. To found and maintain professorships and scholarships;
" 3. To provide and keep in repair a place for the burial of the
dead; or,
"4. For any other specific purposes comprehended in the
general objects authorized by their respective charters. The said
trusts may be created, subject to such conditions and visitations
as may be prescribed by the grantor or donor, and agreed to by
said trustees; and all property which shall hereafter be granted
to any incorporated college or other literary incorporated institution in trust for either of the aforesaid purposes, may be held
by such college or institution upon such trusts, and subject to
such conditions and visitations as may be prescribed and agreed to
as aforesaid." (See note page 51.)
The following amendment to this act was procured to be passed
by the President, April 21, 1846:
4




50          APPENDIX C. FRAUDULENT TRANSFERS.
"C The People of the State of JV'ew-York, represented in Senate and.Assembly, do enact as follows:
"SEc. 1. The income arising from  any real or personal property granted or conveyed, devised or bequeathed in trust to any
incorporated college or other incorporated literary institution, for
any of the purposes specified in the " Act authorizing certain
trusts," passed May 14th, 1840, for the purpose of providing
for the support of any teacher in a grammar school or institute,
may be permitted to accumulate till the same shall amount to a
sum sufficient, in the opinion of the Regents of the University, to
carry into effect either of the purposes aforesaid, designated in said
trust."
Having obtained the requisite legal provisions, the President
acted in accordance with the same, as will appear from the following certificates:
Judge Paiges' Certificate.
A- I do hereby certify, that after the President of Union College
procured the passage of the act of May 14, 1840, authorizing
literary incorporated institutions to receive grants of real and
personal property to be held in trust to found' and maintain professorships and scholarships, and for other purposes, he applied
to me to prepare, under the advice of Chancellor Walworth, a
conveyance from him to the Trustees of Union College of certain
real and personal estate to be held by the latter upon the trusts
authorized by said act..And I do further certify, that I accordingly prepared such a deed of trust and submitted the same to Chancellor Walworthfor revision and correction, and that the Chancellor
revised and corrected the same; and that such deed of trust, after it
was so revised and corrected, was delivered by me to Dr. E..N'ott.
" Nov. 19, 1851.                          A. C. PAIGE."
A. Holland's Certificate.
"I hereby certify, that President Nott, after having procured
the passage of the act of May 14th, 1840, authorizing literary institutions to hold real and personal estate in trust, did employ
Judge Paige to make out under the advisement of Chancellor
Walworth, a trust deed to Union College of certain real and per



APPENDIX  C.  FRAUDUL'ENT  TRANSFERS.                    51
sonal estate to a large amount, in accordance with the Annual
Reports to the Trustees, made by him in the years 1831, 1832
and 1833; and that such deed was duly executed, acknowledged
and placed in possession of the Treasurer of said College, with
written instructions to deliver the same to the Board of Trustees
on the event of his death; and that such trust deed has been, and
continued and still remains deposited in the office and in the keeping of the treasurer of said College.
ALEX. HOLLAND,
Treasurer of Union College."
JVovember 11, 1851.
It is hoped that the transfers and retransfers complained of (page
12 and 13) will have been, (even in the opinion of the Hon. Senator) by the preceding explanations, satisfactorially accounted for.
(NOTE FROM PAGE 49.)
An act in addition to the " act authorizing certain trusts," passed May 14, 1840.
Passed May 26, 1841.
The People of the State of New-York, represented in Senate and Assembly do enact as
follows:
~ 1. Devises and bequests of real and personal property in trust for any of the purposes for
which such trusts are authorized under the " act authorizing certain trusts," passed May 14,
1840, and to such trustees as are therein authorized, shall be valid in like manner as if such
property had been granted and conveyed according to the provisions of the aforesaid act.




.52      APPENDIX D. C PRESIDENT CLAIMED $111,;343.))
(D.)
"It is extremely doubtful holw far the Trustees had the power to authorize their President to claimp as his own so large a portion of the avails
9f the lottery as $111,343." as stated page 99.
FACTS FURNISHING THE SOLUTION.
On the 13th of April, 1814, an "'Act instituting a lottery for the
promotion of literature," was passed. In this act there was granted
to several public institutions $322,256. 81, together with the interest thereon for six years, within which time it was estimated that
the same could be raised and paid.
Such, however, were the delays and losses attending the drawing
of this lottery, that at tile expiration of eight years, not even the
interest had been paid, and there was no prospect of the payment
of the principal within any definite period.  In this state of things,
and foreseeing that by losses and mismanagement the lotteries
might be perpetuated through another generation, if managed by
the State, the Legislature passed, April 5, 1822, the " Jact to limit
the continuance of lotteries," pxoffering to the institutions the supervision and management of the same.
This act expressly recited, that " all that could thus be saved'would
go to diminish the loss of said institution." But as a clause was
inserted, absolving the State from all responsibility for the ultimate
payment of grants to the institutions, they were unwilling to run
the hazard of accepting Athq same.
The Literature Lottery from which these several grants were to
be paid, was, according to the Deputy Comptroller's certificate,
(See Chan. Doc. ~ 54,) assumed to contain (~ 43 A.) tickets amnounting, at their scheme price, to $4,492,800. And the allowance to
managers for services and expenses, was 2~ per cent on the successive schemes. There was due at this time (~~ 50, 58) to the literary institutions $322,256,81, to wit:




APPENDIX D. PRESIDENT CLAIMED $111,343.         fi
Union College,................. $226,476 19
Hamilton College,................ $45,279 74
Asbury African Church,..............         4,529 30
College of Physicians and Surgeons, N. Y., 33,971 58
Historical Society,................    12,000 00
--       $95,780 62
$322,256 81
As no interest had been paid on these grants for two years, and
as the provision for the payment of interest had expired, the institutions being generally in debt, were greatly embarrassed.
In this emergency, the President of Union College proposed
to purchase out all the other institutions, and having done so, to
run all the hazards incident to the drawing of said lottery, with
no other security for indemnity against loss; or compensation for
expenses and services than the 2: per cent. already granted by
law for that purpose; provided the supervision and management
of said lottery was committed exclusively to him. Whereupon
the Board of Trustees passed a resolution committing exclusively
to him  the supervision and management of the same, and vesting
him with all the powers in relation thereto possessed by the board
itself. —(Chancery Docs. ~ 27.)
And in the execution of this trust the President proceeded, on
the 29th of July, 1822, to approve a contract (~~ 29 to 43) by
which all the right and title of Union College, in their own right,
and in representing the other institutions, in and to the whole amount
of tickets authorized to be sold by virtue of said act of 5th of A2pril,
1822, was transferred to AJrchibald JMcIntyre and J. B. Yates. In
consideration of which transfer Yates & McIntyre agreed to pay
to Union College $276,000, in ten years, together with the interest
thereon; and to deposit in bank to the credit of the President.
after the drawing of each class, for supervision and management,
the same 21 per centage which had heretofore been paid to lottery
managers appointed by the State.-(Chancery Docs. ~~ 29 to 43.)
It is proper here to observe, that $276,090.14, paid down or
paid with interest, is equal fo $393,120, (the sum due the insti



54       APPENDIX D. C PRESIDENT CLAIMED $111,343.1"
tutions) paid without interest in ten years in equal annual instalments, which was the time specified in the contract for the drawing
of the lottery and the payment of the $276,090.14 stipulated.
(~43, 50.)
Such were the circumstances under which the supervision of the
lottery was committed by the trustees to the President, and such
were the conditions of the contract which he approved, for the
drawing of the same.
But in the execution of this contract, owing to a speculation (unconnected with the lotteries) entered into by the contractors without his knowledge, they became involved to such a fearful extent,
that the President was not only obliged to pledge his own private
property, and the property of his wife, but also to implicate.his
friends in very large amounts, to save Yates & McIntyre fiom bankruptcy. As a requital for these personal advances and hazards,
they stipulated to pay him c" such an additional Sum as, together with
the $276,000 which they were holden to pay, should amount to 11 per
cent on the whole amount of tickets sold or to be sold in said lottery."
(Chancery Doc., ~ 80, 81.)
Still, and notwithstanding the peril which this embarrassment
of Yates & Mcintyre occasioned, the advances it required, and the
delay it caused, the entire amount of the grants, (which it was
computed by the Comptroller would require, under the supervision
of the State, eleven years to raise and pay, (~ 50,) and which Yates
& McIntyre computed would require ten years to raise and pay,)
was all, under the supervision of the President, raised, and the
institutions settled with, the 2} per cent deposited to the credit of
the President, and the lottery itself finally closed in less than five
years from the commencement of said supervision. So that however doubtful, in the estimation of the Hon. Senator, the right of
the trustees may have been to place the 2 per cent at the disposal
of the President, (which but for this must have remained at the
disposal of the State managers, who, after eight years, had failed to
pay even the interest,) it does not appear that either the institutions
or the public suffered very materially by the change.




APPENDIX D. (" PRESIDENT CLAIMED $111,343.*"       55
But though, in the judgment of the Hon. Senator, "it is ex~tremely doubtful whether the Trustees had the power to authorize the
President to claim as his own so large a portion of the avails of the
lotteries" as the 21 per cent allowance for supervision and management, (though the act of April 5th, 1822, expressly authorizes
them to do so (~ 20), and though tiis is the precise compensation
the State had previously allowed for the performance, without running any hazard, for the same services,) still, large as this compensation was, in the judgment of the Hon. Senator, (now that the responsibility had been transferred from the State to other hands,) it
was not sufficiently large to induce any of the institutions, though
greatly in want of means, or any of their officers, to run the hazard
which, under existing circumstances, the supervision and management of the Literature Lottery involved.
No Trustee of Union College even cooperated with the President,
or contributed anything towards furnishing the advances required
to purchase out the interests of the other institutions, amounting
(~ 58) to $95,780.62; nor, after they had been purchased out, did
any other Trustee consent to furnish any portion of the large
amount of funds required to be raised, or to share any portion of
the responsibility required to be assumed to prevent the threatened
bankruptcy of Yates & McIntyre, and the ultimate failure of the
lotteries. This whole enterprise, which, by the other Trustees,
was deemed too perilous to be undertaken, was undertaken and
executed by the President alone. He alone, therefore, could rightfully have been authorized to claim this per centage.
But for what purpose did the President claim it, and to what
object did he devote it? This question he has himself answered
in his report to the Trustees, July, 1833.  With respect to so much
of this 21 per centage as remained after the payment of the managers, and of the other expenses incurred, he says:
"In relation to the President's fund, held in trust for the institutions interested therein, and which arose out of the Literature
Lottery, afterwards merged in the Consolidated Lottery, it is only
necessary to observe, that one portion thereof has already been




56       APPENDIX D.,  4 PRESIDENT CLAIMED $111,343.1"
paid into the treasury of this board; another portion deposited
in the Mohawk Bank, and the residue invested in. bonds and
mortgages.
" As to the additional lottery avails, arising out of the act authorizing the mixing of Albany land prizes with the money prizes
of the other lotteries, passed 1826, little need be said, as the rights
and claims of the respective parties interested therein, remain the,ame, as stated at length in the last report." (Chancery Docs.,
~ 549, 550.)
It is hoped that the question so " exceedingly doubtful," as to the
right of the Trustees to allow the President to claim so large a portion
of the avails of the lotteries as $111,343.44, as his own, while acting
as the chairman of the committee of finance, (as stated page 15,) will
have been, (even in-the opinion of the Hon. Senator,) by the preceding explanations, satisfactorily answered.




APPENDIX E.                     57
(E. )
"The indiscriminate use of funds carried to a much greater extent, and
continued for greater length of time," as stated page 18.
" NEW-YORK, Jan'y 23d, 1826.
A" Dear Sir: —Since my visit to Schenectady my mind has been
in a very perturbed state, in consequence of my anxious apprehensions for ourselves and our friends. I am satisfied if we are
sustained for six months, or-at furtheiest for a year, we can save
ourselves, the college and our reputation. Our golden dreams for
ourselves have vanished.
" With respect, I am,
".Yours, &c.,
J. B. YATES."
" Rev. E. NOTT, D. D."
(C/hancery aocs. ~ 90.)' I acknowledge to have received from Dr. Eliphalet Nott, a
check on the President's Fund for fifteen thousand dollars, and
also his endorsement on three drafts on Yates & McIntyre for fifteen thousand dollars, one third at forty days, one third at sixty
days, and one third at ninety days which is to indemnify him of
the payment, and when paid, the check which is delivered to the
cashier of the Mohawk Bank, is to be given up, the same being
done to enable Yates & McIntyre to pay off their lottery prizes.
"Schenectady, July 17, 1828."
(~ 171.)                             HENRY YATES."
NEW-YORK, Sept. 26th, 1828.
Dear Sir:-We are now drawing to a close with our arrangements in consequence of our foolish and temerarious speculations;
and we have entered into solemn written stipulations not to accept or become responsible for another without the consent of all
the partners, nor engage in any purchase or speculation as a
house. All, therefore, we have now to do, is to place our load
in such a shape as not to be continually bearing upon us. I wish
you, with my brother, would try to devise some plan by which




58      APPENDIX E.  C INDISCRIMINATE USE OF FUNDS.))
this can be done. The banks here are getting tired of us. I
think a bold negotiation for a loan with the means you have,
would be a service to the College, as well as ourselves.'You and
my brother Henry are the only persons with whom I speak.
The sooner a state of things is produced by which we mutually
depend on each other, the better. We are now as it were on a
magazine of powder, with a torch in the hand of a man who can
blow us up at pleasure; and if anything happens to stop us, I am
as well assured as I am of my existence, that no other' lottery under
the present grants will ever be drawn in the State of New-York.
"Yours, truly,
"c J. B. YATES."
"' Rev. E. NOTT, D. D."
(Chancery docs. ~ 180.)
NEW-YORK. Oct. 8th, 1828.
" Rev. and Dear Sir:-_  *    *    *    *    *    *    *
I feel most sincerely grateful for the liberal course you have observed towards us. Without that liberal policy adopted by you,
we should probably have been ruined. I cannot now, however,
doubt of ultimate success; and I am well satisfied that your liberality has not only beeh advantageous to us, but in the end, it
will be so to the College, and that you will have great satisfaction
in reviewing what you have done.    *.    *    *    *    *
" Your very obedient servant,
"' A. McINTYRE."
"Rev. E. NOTT, D. D."
(Chancery docs. ~ 206.)
NEW-YORK, Oct. 25, 1828.
" Dear Sir-We duly received from Mr. Brown the money left
with him by Capt. H;,lland, being the avails of the note discounted
by you at the Farmers' Bank, Troy.    *    *    *    *    *
(~ 215.).'"HENRY YATES."
NEW-YORK, Sept 28, 1829.
fMy Dear Sir-We felt confident that we could get along
without troubling you, but unexpectedly the banks have thrown
our paper out, which discourages us extremely, as this is a very
heavy week; we have becoming due the remainder of the notes
assumed of Wood's estate, to the amount of about $12,000, and




APPENDIX E. ~s INDISCRIMINATE USE OF FUNDS.     59
for Albany lands, and in all about $20,000. The brokers are not
able to purchase drafts as usual, so that there is no alternative but
to CALL ON YOU. I do it with reluctance, as we have had five thousand so recently, but since that have paid off a five thousand that
was due in July, at the Commercial, and one of the same amount
at the Mechanics' and Farmers'; we shall want both, and indeed I
cannot see how to get along without.   *    *    *    *
" I would not again trouble you, if I did not deem it absolutely
necessary.
"Very truly, yours, &c.,
"HENRY YATES.
"Dr. NOTT.".(~~ 276, 278.)
NEW-YORK, JVov. 23d, 1829.
"' Rev. Dear Sir,- * *  * * We received this morning from
Mr. Brown $6,844.18, delivered him for us by you. * * * *
"A. McINTYRE.
" Rev. Dr. NOTT." (Chancery Docs. ~ 294.)
" NEW-YORKx Dec. 23d, 1829.
Rev. Dear Sir,-Your Jetter of the 18th only reached me this
morning. The proceeds of the Vail mortgage, which you were so
good as to provide for us, have been accounted for or paid to us by
Mr. Brown. *    *    *    *    *          A. McINTYRE.
" Rev. E. NOTT, D.D."  (Chancery Docs. ~ 304.)
" P. S. Mr. H. Yates returned this morning with the money
you kindly provided." (~ 308 a.)
"NEW-YORK, Jan. 9, 1830, (Evening.)
"Rev. Dear Sir,- *  *  * *  All the sums you kindly provided for us have been duly received, except that to be paid on the
12th, which we shall look for on Wednesday next.
"I did hope and believe that we should be able, by the 1st of
February, to pay Oakley and Wilkinson the whole amount due them,
or at any rate, so much as will get your property released. In
this however I shall be disappointed. But those gentlemen have
been informed by us, that we will discharge the debt in the spring.




60      APPENDIX E. C INDISCRIMINATE USE OF FUNDS.))
Then it must be discharged; sooner it cannot be, which I exceedingly regret. * * *  *  * *              A. McINTYRE."
"Rev. E. NOTT, D. DB  (~~ 316, 317.)
1" NEW-YORK, JMarch 5, 1830.
" Rev. and Dear Sir, —Your letter of the 27th ult. came to hand
yesterday morning, and WE RECEIVED, the day before, from Mr.
Brown, THE PROCEEDS of the two mortgages which we sent you.
The money came most opportunely, for without it, I know not how
we should have got through the heavy payments of this week,
amounting to upwards of $32,000.
" We are perfectly aware that you could invest your funds in
this State AT SEVEN PER CENT, and if there was not a positive necessity for it, we would not ask you to take a transfer of bonds and
mortgages received by us in the course of our business, bearing
only six per cent. You know our situation, and that it is by coistant struggling we are enabled to get along at all. It is well for
us, and for you too, that you take a right view of our concerns, and
afford us all the reasonable aid in your power.  Without that aid we
should have been ruined.
"There is one other mortgage which we expect daily from
Philadelphia, of $3,600, and this also we must send you, relying
on your taking it and paying us for it. I know we shall be in
need of the proceeds.
"- The 1st of May is the time which we allotted for discharging
the debt of Oakley & Wilkinson, and to get your securities released.
We purpose, without fail, to effect so desirable an object to you,
and to us, by that time. It may be that we may, before then,
have bonds and mortgages which we may wish to transfer to raise
a portion of the amount of this debt. If so, we must rely on your
assistance. *    *    *    *             A. McINTYRE."
"Rev. E. NOTT, D.D."  (~~ 335, 336, 337, 338.)
"NEw-YORK, Feb. 2, 1830.
"Rev. and Dear Sir,-The $5,000 which you were so good as to
send us, through Mr. John B. Yates, have been received. * * *
YATES & McINTYRE."'"Rev. E. NOTT D.D."  (~ 322.)




APPENDIX E. C" INDISCRIMINATE USE OF FUNDS2.61
NEW-YORK, -dug. 5, 1830.
"JMy Dear Sir-With the money I procured from  you last
week, and what we could collect firom  our offices abroad,'we
shall scarcely get through this week, having a very heavy week
to meet next week; must therefore ask you to have two more
drafts discounted, so as to have it here before the tenth inst., or
one of $10,000 which Mr. Gregory prefers at 90 days; he thinks
with ordinary success we can meet it. I am very sorry to trouble
you, but I can see no alternative. I have dated the draft on Saturday.
" I am, very truly, your friend
" Dr. NOTT."                          HENRY YATES."
(~ 383.)'s NEw-YoRK, Sept. 11, 1830.
" Rev. Dear Sir-We are favored with your letter of the 9th,
informing us that you had made arrangements for obtaining for
us the $20,000 we wanted for the troublesome madman Vannini.
*    *    k  *                   "YATES & MclINTYRE."
"Rev. E. NOTT, D. D."
(~ 386.)
NEW-YORK, Dec. 30, 1830.
" Rev. Dear Sir-It becomes necessary for us, in the course of
this winter and early part of spring, to pay Messrs. Seaman, Tobias
& Co. $20,000 on account of a debt we owe them, and we are compelled to look to you for aid to enable us to do it.
" Permit us to request, then, THAT YOU MAKE US AN ADVANCE Of
the sum required for this purpose, on account of your share of
the Albany lands. The payment of the twenty thousand dollars
may be made to suit your convenience, either in instalments, or
in one sum, the whole to be received by us, however, before the
1st of April.    *    *    *    *
" Very respectfully,
" Your most ob't serv'ts,
YATES & McINTYRE."'Rev. E. NOTT, D. D."
(Chancery Docs., ~~ 416, 417.)




62       APPENDIX E. C' INDISCRIMINATE USE OF FUNDS.)'
NEW-YORK, Sept. 26th, 1831.
Rev. Dear Sir-     *    *    *    *    *    Tile banks
refuse to discount a dollar for us. We fear, therefore, that we may
be compelled, however reluctantly, to call on you for aid before very
long.    *    *           *     *     *
"We are, Rev. dear sir, with great respect,
"Your most obedient servants,
"C YATES & McINTYRE."
" Rev. E. NOTT,) D. D." (Chancery Docs., ~ 453.)
"NEW-YORK, Oct. 3d, 1831.
" Rev. Dear Sir-We have for the last two months been peculiarly unfortunate, and we may, on this account, again be compelled to look to you for assistance to pay our prizes. We have
several heavy ones now out, and among them one of $50,000.
We shall avoid, if possible, to trouble you, but necessity may
oblige us, and we think it best that you should at once be apprised
of this state of things.
" The necessity of callihng upon you for aid, is greatly increased
by the money pressure now in this city. The banks refuse to discount for us, although we have not been refused before.    *    *
"' We are, Rev. dear sir, with great respect,
"s Your most obedient servants,
" YATES & McINTYRE."
"Rev. E. NOTT, D. D."  (Chancery Docs., ~~ 455, 456.)
"NEW-YORK, Oct. 22, 1831.
" Dear Sir-We find that we will want your aid by the last of
next week. There is more difficulty in getting discounts at the
bank, and our prizes must be redeemed. Annexed I send you
two drafts of $5,000 each; it may be necessary to increase it-if
so, I shall send as soon as it is ascertained.
" Yours, &c.,                " H. YATES."
" Dr. NOTT." (Chancery Docs., ~ 466.)
"NEW-YoRK, Oct. 24, 1831:
" My Dear Sir-I find that the appearance of things to get aid
here so much against us, that I am obliged to ask you to procure




APPENDIX E.  C INDISCRIMINATE USE OF FUNDS.:7     63
for us an ADDITIONAL $5,000, for which I send you a draft. I
hope Mr. Boyd will be able to do it for the Mohawk Bank. This,
with the two drafts for $5,000 each, sent on Saturday, I think
will help us through.
" Very truly your friend,
H. YATES."
" Dr. NOTT.)  (Chancery docs. ~ 467.)
" In addition to $5,000 loaned to J. B. Yates on the 1st Sept.
1827, and $5,000 on the 14th of Jan. 1828, responsibilities were
assumed in his behalf at the Farmers', Troy, and Mohawk Banks,
as will appear forom the following certificates:
" Thomas Shelding,
" To Yates & McIntyre, J..Converse and others.'1829, Aug. 13, due 1830, Aug. 15 —18,............   $963 52
do      do     1831, do  15 —18,............ 1,026 52
do  do  1832, do 15-18............ 1,089 52
" Dr. E. Nott was endorser on the above notes.
"P. WELLS, Teller, F. B.
" Farmers' Bankc, Jtugust 5th, 1834.
" Thomas Shelding-note endorsed,
" J. B. Yates, Yates & McIntyre, E. Nott, I. & I. Converse.
" Three notes endorsed the same.
"One payable 27th Aug. 1830,...................... $945 29
"One    do        do   1831,..................... 1,007 08
" One    do       do   1832,     1..... 068 80
"Said notes were the property of the Bank of Troy, and have
been cancelled upon the books of said bank.
6th.dug. 1834.                        S. W. DAUCHY."
"J. B. Yates' note endorsed by E. Nott, for $12,000 was discounted on the 19th of Jan. 1831, for the benefit of J. B. Yates,
in the Mohawk Bank, and paid on the" V. FREEMAN, Clerk."
(~ 478, 479, 480, 481.)
"It gives me sincere pleasure, that we have been aole at length
to get released your property, which you kindly hypothecated to
raise funds for us in 1286, to save us at a critical moment from




64            APPENDIX F. C"HIS DUTY TO ENQUIRE."'
ruin the papers necessary to give you legal possession of your
property, you will receive herewith. And now that this is accomplished be pleased to accept of my sincere thanks for the
important service you rendered uis in this particular, and be assured that I shall never cease to hold the favor in grateful remembrance.;" I am, Rev.. dear sir,;" With sentiments of profound
c" Respect and esteem, your most ob't serv't,
"'REv.E.NoTT, D. D."  (~ 367.)                A. McINTYRE."
c" So much with respect to the "' indiscriminate use of College
funds."  (Complained of page 16 and 18.)
(F. )
Then was it his duty to inquire as stated at page 19-also page 10.
LETTER OF JOHN A. DIX AND J. P. CUSHMAN TO H. YATES.
"ALBANY, Dec. 3d, 1834.
" SIRp-In obedience to the directions contained in the foregoing resolution"
[a resolution of the Trustees directing their finance committee to take measures
to render available the claims of the College against any of its agents on
account of receipts from the Literature Lottery,] " the FINANCE COMMITTEE
have had the subject under examination; and they perceive that you were
authorised by their resolution of the 24th July, 1822, in relation to the
Literature Lottery, to perform certain acts in behalf of the Trustees of the
College, as their treasurer under the supervision of the president; that you
went in that capacity, with the consent of the president, to the city of NewYork; that while there you received your salary from the College, and that
other allowances were also made to you for your services and expenses.
The committee have recently learned that while acting in that capacity, you
became a partner of the firm of Yates & McIntyre, and interested in their
profits. The committee conceive that among the rights acquired by the
College, are those which have grown out of your proceedings, in becoming
interested in the management and drawing of the lotteries while employed
and acting as the agent of Uunion College; and your participation, while so
employed in the profits of the lotteries, in which the College was interested;
and we deem it our duty to apprize you, that we claim these profits as
rightfully belonging to the College.
"We have therefore respectfully to ask, that you will furnish the committee with a copy of the artibles of co-partnership entered into between you
and the house of Yates & McIntyre, referred to in their bill of complaint
recently filed against the trustees of the College, together with a statement
of all your operations in pursuance of those articles of co-partnership; that
you will also furnish them with a full and detailed account of all moneys,
stock and other property received by you from the profits of said co-partnership, or in any way growing out of said connection; and that you will
also furnish a detailed account of all moneys, stocks and other property, in
which you have in any form become interested, by virtue of your said copartnership connection with said house during your said agency.
"We are very respectfully, yours &c.,
(Signed)                     JOHN A. DIX,
JOHN P. CUSHMAN,
in behalf of the finance committee."




APPENDIX F. 4' HIS DUTY TO ENQUIRE.           65
Immediately after the President had assumed the requested
responsibilities, and assisted in raising the requisite finds for
preventing the threatened  bankruptcy of Yates & McIntyre,
A. McIntyre, one of the partners, writes the President, January
23d; 1826, as follows:(Chancery Docs. ~ 86 and 87.)
" We have had a lesson sufficiently appalling and distressing to
keep us in very constant remembrance of it during life."
" As, however, I am more than ever sensible of the frailty of
human nature, and the uncertainty of all earthly calculations, I
am anxious, above all things in this world, to get through with our
present engagements without ruin to ourselves and our friends;
and I have thought that the presence and advice of Jlr. Henry Yale.
here, for as much of his time as he could possibly spare with us
might be useful. Ile has consented to come, and we shall provide
as liberally as we can for his sacrifice. Perhaps you too can, with
propriety, make him an allowance, on account of the INCREASED
SAFETY OF THE COLLEGE.~
On the same day J. B. Yates, the only other partner, writes the
President as follows:
(Chancery Docs. ~ 90.)
~ I AM SATISFIED IF WE ARE SUSTAINED FOR SIX MONTHS, or at the
furthest, for one year, we can save our friends, the college, and our
reputation.  Our golden dreams for ourselves have vanished, and
with them all the imagined good I thought of doing with it.
Still, a comfortable competence is far from hopeless. I do not
know what further you may have in your power, should it
become requisite. On mature reflection, I am convinced that our
safety requires that I should go south if we continue operating;
and in that event, I KNOW THE PRESENCE OF MY BROTHER, AS TREAS



66           APPENDIX F. " HIS DUTY TO'ENQUIRE."7
URER OF THE COLLEGE, during the whole time, to see to things and
aid with all the energy he possesses, is positively necessary, for
a variety of reasons. Mr. McIntyre and I must now necessarily
both be often and long absent, and often unexpectedly, and we
will need his active aid, besides the beneficial public effect it would
have, that he is known to be here as the treasurer of the college."
"After reflecting upon the contents of the above letters, and
for the express purpose of more effectually guarding the rights,
and  furthering the interests of Union College, the President
employed Mr. H. Yates, at the time treasurer and clerk of the
board, and soon thereafter a trustee, to go to New-York as
agent of the college, and to remain there as much of the time
as practicable, until the close of the Literature Lottery, and agreed
to'continue to pay him during his absence (besides his salary as
treasurer and clerk, which he retained) the sum of $1,30Q
per annum, and also to pay his traveling expenses, &c., while
absent."
(Chancery Docs. ~ 91, 92.)
Why Yates & McIntyre were so desirous to have Henry Yates
sent to New-York to look after the interests of Union College,
AS ITS TREASURER, and how exclusively he devoted himself to the
promotion of those interests, and to what extent he ultimately
contributed to the promotion of the same, will appear from  the
following correspondence:On the 15th of May, 1830, A. McIntyre writes to the President
as follows:'I am sensible that our contracts have had to be varied and
modified from time to time, and that the changes have given you
trouble and vexation, but a change of times and circumstances
rendered them necessary. They were unavoidable, and had you
pursued a less liberal and just policy, you would have disheartened
and ruined us, and inflicted a serious injury on the college. And I
consider the change now asked for of a similar character with
those formerly asked for and granted.  I hope and trust, however,
that this may be the last that we shall ever be compelled to sue for.
I certainly shall never ask for another, unless dire necessity- com



APPENDIX F. ~C HIS DUTY TO ENQUIRE."            67
pels me. I dare not say the necessity may not come. I mean,
however, to say, emphatically, that necessity alone shall ever compel
me to ask any other change or concession.
" Allow me to hope, then, that you will make this one further
change. I entreat that you do."
(Chancery Docs., ~ 362.)
On the 15th of July, 1830, a new stipulation was entered into in
the words following, containing the concession so urgently desired:
(Chancery Docs., ~ 378.)
"Whereas, the claims of Union College against the subscribers,
Yates f JMlclntyre, arising out of their contracts under the law to
limit the continuance of lotteries, passed the 5th April, 1822, have
been fully paid or provided for by notes given August 1st, 1828,
when said contract was cancelled; and whereas, the stipulation
of the subscribers, entered into with Eliphalet J\Aott, on the 30th
JMay, 1826, under the "act to enable the mayor, aldermen,-and
commonalty of the city of Albany to dispose of tickets in a lottery heretofore granted, and to limit the continuance of the same,"
passed April 13th, 1826, was for and in consideration of personal
services rendered, or to be rendered, and hazards run on our account;
and whereas, the hazards are diminishing, while the difficulties
of conducting the lotteries are increasing; therefore, in lieu of
said stipulation, entered into on the 30th MJay, 1826, and of all the
personal demands arising as aforesaid, out of services rendered and
hazards run by said JV'ott for us, in regard to so much of the Consolidated Lottery as shall have been, or to be drawn from and
after the first day of May last, the subscribers promise to pay to
said Eliphalet Nott, within ninety days from the drawing of each
class, drawn as aforesaid, after the first of May last, five per
centum on the gross amount of tickets sold therein,* after deducting
therefrom the contained amount of land, if any, in any of the
schemes: it being always understood that the said Eliphalet
Nott is to take an equal share with us of the Albany lands that
may fall into our hands by purchase or by drawing them on hand
at the price they may cost us, and allowing us interest on the
* In place of 6 31-100 per cent. which they were previously bound to pay,




68           APPENDIX F. IC HIS DUTY TO INQUIRE.))
cost from the time of payment; and also that we are to continue
to be authorized to sell any such Albany lands, when we can do
so, we to be accountable to them therefor.
" YATES & McINTYRE.".New- York, July 15, 1830.
(Chanc. doc. ~ 375.)
On the 27th of April, 1832, Mr. Henry Yates, still treasurer of
Union College, and under pay for attending to its interests, writes
to the President as follows:
(Chancery doc. ~ 482.)
" JMy Dear Sir-We have this morning had a short conversation on the subject of our finances and future operations. It will
be necessary for you to make up your mind not to draw any more
moneyfrom here (except the sum to be paid to-day.) Probably
some of the partners will write to you more particularly, as to
the course we mean to pursue.
"Very truly your friend,
H. YATES."
On the 28th of April, 1832, Henry Yates, Treasurer of Union
College, in connection with two other persons, till then unknown
as connected with the lottery, writes to the President as follows:
(Chancery docs. ~~ 485 to 491.)
" Rev. and Dear Sir —We are obliged, by circumstances, to ad
dress you on a subject that our partners have examined with you,
but in which you and they have had erroneous impressions. We
allude here to the profits on the lotteries. Your calculations in
relation to these profits, however true in theory, have proved
fallacious when tested by actual experiment. It doubtless was one
of the great causes of our partners getting so much in arrears,
in the first three years of their operations under the present system of lotteries.*
* The partners themselves attributed their embarrassments to a very different cause to wit:
to their unwaront utle spou!ltiQs-:




APPENDIX F. Cc HIS DUTY TO INQUIRE.           69
"In Philadelphia the same mistake was made, but the mode
was subsequently changed, and instead of a per centage, an annual stipend was paid, so as to recover from the losses sustained
there, which, with the more advantageous contracts which we
have taken in other States, has enabled us to bear up against difficulties here.
"In consequence of your individual exertions, your enlightened views of the whole affair, and continued efforts to aid the
house, we, or some of us, at least, have heretofore consented to
pay far more than ever could have been contemplated, amounting at least under different heads, to -     (No amount was mentioned.)
"Having done this, we must ask you not only to continue
your friendly aid, but to relinquish any further claim on us.
What is done we shall endeavor not to recall, if circumstances
are such as to avoid it. The last allowance, though large, can
only be considered as a gratuity, and never would be tolerated if
known.
" The step which we now take is not intended for our own benefit, but to provide for the losses which were sustained before
we entered into the concern. So much was lost, and such amounts
paid to the institution for which you acted, that the then managers
owed much more than they had assets to pay. This being charged
to them, will reduce their share of any profits that have been subsequently made, and would possibly reduce what they have yet to
a mere pittance, if anything.
" We consider the full value of a lottery no more than five per
cent. on the sales.*  That sum  we propose to allow  them in
New-York. We deem  that we have purchased both but having
made the institutions an extra allowance, we have determined to
allow John B. Yates and Archibald Mclntyre,t the same for the
* The real value is 15 per cent, that being the per centage deducted according to law.
t The very individuals, and the only individuals who were parties to the contracts with the
College and its President.




70            APPENDIX F.  " I-IIS DUTY TO ENQUIRE.'
time yet to come, particularly as we are satisfied it will be wanted
to make them whole.
Dated at JVew-York, April 18, 1832.
" We are, reverend sir,
" With the greatest respect,
" Your obedient servants,
" H. YATES,
" JOHN ELY, JR.
" JAMES McINTYRE,
"by JOHN ELY, JR.*5
Rev. Dr. ELIPHALET NOTT."
" Whatever the circumstance may have been which led to the
foregoing refusal, it would seem, from the abstract (Chancery docs.
~248,) that neither a diminution of' sales nor inadequacy of compensation, could be among them.
" Though the falling off of the lottery business, so much complained of in the foregoing correspondence, were not contradicted
by the actual returns from  time to time obtained, still it would
be apparent, from the general tenor thereof, that said correspondence was conducted, on the part of the contractors, during the
latter periods, with a view to effect, rather than to a full and
fair exposure of their profits and losses.  For though said correspondence abounds with referendbs to frequent unfortunate drawings, it omits to mention the no less frequent fortunate. drawings,
which must, as admitted by Yates & McIntyre, (Chancery docs. ~ 236
also ~ 328,) have occurred; and of which so much was heard from
another quarter.
" Indeed after the original hope of acquiring fortunes began
to revive in the minds of the contractors, it was deemed needful,
on account of public opinion, for them  to expose, without reserve,
their former losses, and conceal as far as practicable, their progressive gains.
" That they were embarrassed, and sometimes greatly, until
near the time of their refusal to fulfill their engagements, is not
* Mr. James McIntyre is incapable of signing his name at present, having severely sprained his wrist by a fall from a horse. lIc therefore requested his friend, J. Ely, jr., to
sign for him.




APPEWI)IX F. "HIS DUTY TO ENQUIRE.;         71
doubted. How should it be otherwise? Neither of them were
in independent circumstances when the oiiginal contract was
entered into. On the contrary both were known to be embarrassed. And yet after making that contract, besides stock to a
very large amount in the Welland canal, the Union canal, the
Morris canal, the Arcade, Philadelphia, and Utica Insurance
Company, and sundry other incorporated companies, they purchased real estate in the city of Washington, in the State of Pennsylvania, to a large amount in the State of New-Jersey, and in the
city of Albany to a large amount, and in the city of New-York to
a still larger amount, where large sums were also expended in
building.
" All these purchases required to be paid for out of the avails
of the lotteries; and being paid for, (as they have been to a considerable extent, with a portion of the profits belonging to the
college,) they have left the contractors, exclusive of other gains
in the possession of a great estate.
(Chanc. doc, ~~ 492 to 496.)
Dr. Nott to Yates & McIntyre.
W" WAY) 10th JMay 1832.
" Gentlemen-A communication expressive, as it seems to me,
of a determination on the part of THIRD PERSONS to interfere with
our reciprocal rights and duties, has been received. Nothing
but an apprehension, either that I have misunderstood the import and design of this communication, or that the persons making
it were at the time laboring under some strange delusion, either
having forgotten, or not having previously known, that every material fact stated is disproved, and every opinion expressed refuted,
oy indisputable evidence in my own possession, could render any
answer on my part consistent with self respect.
" It is my design to send to you a copy of this (to me) unaccountable communication, together with the reply thereto, should
any reply, on reflection, he deemed requisite, as soon as I am able.
" At present I am travelling for my health: I shall, however,
I hope, he home in a week or ten days, by which time, I trust,




72              APPENDIX  F.  "HIS DUTY  TO ENEUIRE."
the  regular returns will be made out and  forwarded, that there
may be no further delay in  the payments stipulated  to be made,
as the same become due; for which  I shall draw  as usual, unless
you prefer to deposit the amount to my credit in the Manhattan
bank, and give me notice thereof; which you are hereby authorized
to do.
"Very respectfully,
"E. NOTT."
"Messrs. YATES &  MCINTYRE."
(Chancery Doc., ~ 497.)
Yates & McIntyre to Dr. Nott.
NEW-YORK, JMay 15th, 1832.
l" Rev. Sir —Your letter of the tenth was received last evening.
The communication to which you allude, is that of a portion of
the house of Yates & McIntyre, not of third persons,* and although' not the direct act of the whole house, yet the purport of
it was communicated to all, and all acceded to its being made to
you.
". The simple truth of the matter is this: All the members of the
house have uniformly been very willing to sanction and give full effect to your views of the arrangement between us (except J]Mr. J. B.
Yates) however contrary such acquiescence might be to what they
considered their legal rights. They did so with the sincerest pleasure, and would probably have continued  to do so until the conclusion of their lottery labors, were it not that on a more correct
and narrow view of our concerns, connected with THE CERTAIN
AND EARLY CLOSEt of our business, they can plainly see that they
e So it is now admitted, and by a bill in Chancery afterwards proved, that the treasurer of
Union College, Henry Yates, Esq., on going to New-York, July 1st, 1826, as the paid agent
of the College and its President, to protect their rights, immediately entered into partnership
with Yates & McIntyre; and that he has ever since continued to act in the double capacity of
treasurer of the College and partner in said firm. and now, with two other persons, like himself unknown to Union College as partners, comes forward, a self-constituted umpire, and decides that the per centage promised to be paid by Archibald McIntyre, and his brother J, B.
Yates, to Eliphalet Nott, for moneys advanced, hazards run, and services rendered by him in
their behalf, shall now be taken from the said Eliphalet Nott and given to the said Archibald
McIntyre and J. B. Yates, who originally promised to pay the same to said Nott.
t Mr. J. B. Yates having just concluded an agreement to close the lottery with the year 1833.




APPENDIX  F.   It HIS DUTY  TO  ENQUIRE.?                       73
will end with  a  scanty  remuneration; and  this they think  would
particularly be the case with the two first wh/o engaged in the
business.
"Those two  (J. B. Yates  and  A. McIntyre)  suffered  appalling
and ruinous losses, in acquiring that knowledge and experience* in
the business which was so necessary to  its  successful prosecution
afterwards. They may be said to have lost all, if not more than
all, they had made.
" The other partners (Henry Yates, John Ely, Jr., and James
McIntyre), lately began to perceive this state of things, and it
gave them pain and distress to think that the two first partners,
who had been subjected to the severest losses, responsibilities,
labors and anxieties, should after all be left with very little for
their remuneration. What was to be done was the question with
those three gentlemen who sent you the communication of which
you complain.
" They were fully  satisfied  of the  legality, as well as equity,t
under the circumstances of withholding what had been cheerfully
given gratuitously to a meritorious and public spirited man, for
a valuable public objects so long as they entertained the opinion
that necessity did not require another course. Now, however,
* The present Yates & McIntyre, including Henry Yates, Jr., John Ely, Jr., and James
McIntyre, attributed the losses of A. McIntyre and J. B. Yates, the original Yates & McIntyre, to a very different cause from that to which they themselves attributed it at the time
of those losses, and when the cause was fresh in their memory.
In Sept. 29, 1828, they say in a letter addressed to the President" We are now drawing to a close'with our arrangements in consequence of our foolish and
temerarious speculations." (Chancery does. ~ 151.)
And even Mr. Henry Yates assigns, again and again, the pressure of the Welland canal
drafts as the cause of their embarrassments, never their want of experience in the lottery business, a business, in which Mr. J. B. Yates had been engaged years before this contract with
Union College was entered into.  (Chancery docs. ~ 138.)
t The opinion of the present Yates & McIntyre, seems to have undergone a material change
in relation to the claims of honor and equity, since they applied during the continuance of their
embarrassment, to the President, for one more concession, granted in the very stipulation, the
payment promised in which, they now repudiate.
Then they spoke doubtfully of their own legal rights, but admitted the equitable rights of
the President to be unquestionable. In relation to this, Mr. Archibald McIntyre, in a letter
addressed to him, May 15th, 1830, says:
"You are aware, I believe, that although we may have a legal right in the lotteries drawn
or to be drawn, subsequent to our first contract with you, that your right to a participation in




74              APPENDIX F.  " HIS DUTY TO ENQUIRE.?"
having satisfied themselvs that the.situation of the two first partners imperiously demanded what is now claimed for them, they
deemed  it their duty to communicate to you their intentions in
the manner they did, at the  same time informing the other two,
(J. B. Y. and A. McIl.) that they  claimed  no part of what yet
might be saved in  the way proposed, but generously  offered to
apply it to making up, in  part, the losses sustained  in the early
part of the business.*
a "With these views of this subject, we hope you will see abundant reason  for concurring  in  the  course determined  in.   The
measure was not hastily, nor without reflection, adopted.
" We trust that you will believe us, when we assure you that it
gives us great pain to think that any difference of opinion should
take place with you, a man whom  we so much revere and respect,
and that it is now our. most anxious wish, that on a full review
of the matter, you will be able  to see it in a very different light
from that in which, by your letter, you seem to have done.
"We are, with sincere respect, Rev. Sir,
" Your most obedient servants,
YATES & McINTYRE."
" Rev. E. NOTT, D. D."   (Chuan. Docs. ~ 500 to 507.)
So much as to the consistency of enquiring after payments made
the President for personal services, all of which had been reported
to the Trustees, and forbearing to enquire after payments made the
Treasurer, none of which had been so reported, as stated page 19.
their avails, is at least questionable. But however this may be, I declare most unequivocally
that I have not the remotest idea (nor do I know that any one else has) of setting up such a
construction, or of getting rid, itn any'way, of all that is in honor and equity yours. We
have gone on, hand in hand, and obtained extraordinary rights by dint of talent, management,
prudence and perseverance; and the exertion of your talents and management, were undoubtedly most efficient in the obtainment of these rights. Hence every principle of honor and
justice requires that you should fully partake in the benefits; I certainly wish you should.
Indeed, I could not, if permitted to do it, think of asking more than to participate equally
tvith you i~n the benefits thus obtained. (Chanc. doc. ~ 365.)
* The generosity of taking this live per cent. from the President, to whom it was promised;o be paid, and giving it to A. McIntyre and J. B. Yates, who promised to pay it since it cost
the donors nothing, ivow about equal to its justice.




APPENDIX G.                       75
(G.)
Documents shewing the entire falsehood of the statement that " all payments from  Ya;es 4- McIntyre were called for as due to Union
College," as stated page 19.
First. — What say Yates & McIntyre themselves?
" NEW-YORK, JMay 30, 1826.
Rev.,Sir, —In order to bring all the lotteries of the State of
New-York to a close, within the time for closing the Literature
and Fever Hospital Lotteries, the Legislature have passed all act
holding out strong inducements to the subscribers to accept of the
conditions of the same, entitled "An act to enable the mayor,
aldermen and commonalty of the city of Albany, to dispose of
tickets in a lottery, heretofore granted, and to limit the continuance
of the same," passed 13th April, 1826, under which act the subscribers have made a contract'in the execution of which they hope
to be able to indemnify themselves for the heavy losses they have
heretofobre sustained; which contract, however, they cannot execute
without your consent and co-operation, as it will require a further
continuance of the heavy personal responsibilities assumed by you on
our behalf. And on condition that such consent and co-operation
is granted by you, we hereby STIPULATE AND ENGAGE that, (after
having drawn for the college $2,004,099 worth of tickets, reckoned
at their scheme price, of actual sales, and $1,654,497 worth of actual sales, fbr our own benefit, as assignees of the Fever Hospital
Lottery,) we will, within ninety days after the drawing of each
subsequent class, after the drawing of said two sums, deposit to your
credit, in such bank as you shall designate, SIX AND THIRTY-ONE
ONE-HUNDREDTHS PERCENTUM on the gross amount of all tickets
actually sold therein, together with the interest accruing thereon
from the day of drawing."
(Signed.)                  YATES & McINTYRE."
(Chancery Docs. ~ 259.)




76            APPENDIX G. " ENTIRE FALSEHOOD.)
" UNION COLLEGE, June 10th, 1826.
4 Geztlemen, —To the written propositions submitted in your
letter, dated May 30th, in regard to the contract you have made
under an act entitled " An act to enable the mayor, aldermen and
commonalty of the city of Albany, to dispose of tickets in a lottery
heretofore granted," and to limit the continuance of lotteries,
passed April 13th, 1826, I hereby communicate my acceptance;
and you will consider this as the evidence of my consent, and the
pledge of my co-operation granted on the terms contained in tile
proposition submitted.;" Very respectfully, yours, &c.,
E. NOTT."
" Messrs. YATES & MCINTYP.E.") (Chancery Docs. ~ 116.)
"And this I do the more cheerfully, as the trustees of the
College are not made parties to the contract under the aforesaid act
of April 13th, 1826, and will not therefore, be considered responsible for the hazard which may arise from proceedings had under it.
" Very respectfully, yours, &c.,
E. NOTT, as President."
"4 To YATES & MCINTYRE."  (Chancery Docs. ~ 117.)
Yates &  McIntyre to E. Nott..
"cWhereas, the claim of Union College against the subscribers,
Yates & McIntyre, arising out of their contracts under the law to
limit the continuance of lotteries, passed the 5th of April, 1822,
have been fully paid, or provided for by notes given JAugust 1, 1828,
when said contract was cancelled; and whereas, the stipulation of
the subscribers entered into with Eliphalet XWott, on the 30th May,
1826, under the "Act to enable the mayor, aldermen and commonalty of the city of Albany to dispose of tickets in a lottery
heretofore granted, and to limit the continuance of the same,"
passed April 13th, 1826, was for and in consideration of personal
services rendered, or to be rendered, and hazards run on our account;
and whereas, the hazards are diminishing, while the difficulties
of conducting the lotteries are increasing: therefore in lieu of said
stipulation, entered into on the 30th May, 1826, and of all the
personal demands arising as aforesaid, out of services rendered
and hazards run by said Nott for us, in regard to so much of the




APPENDIX G. ~d ENTIRE FALSEHOOD.            77
consolidated lottery as shall have been or be drawn from and after
the first day of' May last, the subscribers promise to pay to said
Eliphalet Nott, within ninety days after the drawing of each class,
drawn as aforesaid, after the first of May last, five per centum on
the gross amount of tickets sold therein.
"YATES & McINTYRE."
J.New-York, July 15, 1830. (Chancery Docs. ~ 378.)
Though the overture for obtaining assistance was made by
Yates & Mcintyre during the drawing of the Literature Lottery,
which was the only lottery in which Union College had any
interest, neither of these stipulations were entered into till this
lottery was fully drawn, and a final settlement made with the College
in relation thereto. Under the latter stipulation, Yates & McIntyre
continued to account until the 25th January, 1832, when they
refused to do so any longer; in consequence of which the President filed his bill of complaint, in which, without the consent
or even knowledge of the Trustees, he joined the College as
plaintiff.
To this bill Yates & McIntyre filed a demurrer, assigning as a
cause, " That it does not appear that the Trustees of UnioL
College have any interest in or title to the relief sought by the said
BILL, or any equity which entitles them to any discovery from these
defendants."  In this demurrer they say: — "The consideration
of the written contract of the 10th of June, 1826, formed by the
overture of Yates & Mcintyre, and the letters of E. Nott, if any
there was, flowed exclusively from  E. Nott, in his individual
capacity. The letter containing the pledge of his co-operation, is
expressly alleged in the bill to have been written by him in his
individual capacity. The corporation was to do nothing, and to
risk nothing; and consequently was to receive nothing, more
than the moneys previously engaged to be paid to it. The per
centage of 61-3  was not to commence until after the filll amount
of those moneys, and of the Fever Hospital grant should be paid,
and from its commencement, it was to be deposited, not to the
credit of the Treasurer, like the 83 per cent, nor to the President
of Union College, like the 21 per cent, but to the credit of;" your
orator, Eliphalet Nott," in such bank as he should designate. So




78            APPENDIX G. (C ENTIRE FALSEHOOD.
far, therefore, as the written agreement of the 10th of June, 1826,
secures the payment of the per centage now claimed, (and it is
only in this respect that it is at all material in the present suit,)
it was evidently intended, and is so represented in the bill, for the
personal benefit of E. Nott as an individual."  (See Yates t' JMcIntyre's
demurrer, page 27.)
" The acts done by E. Nott, and by him and Yates & McIntyre,
in reference to the moneys now in controversy, and more especially
the subsequent modifications of the contract of June 10th, 1826,
are all of the same character. They proceed on the assumption,
that the present and absolute title to all the moneys agreed to be
paid by Yates & MlcIntyre, as a per centage on the contingent
remainder of the Consolidated Lottery, was vested, by the contract,
in E. Nott, in his individual capacity, and that the Trustees
of the College had no interest in, or control over, such per centage."  (Demurrer, page 29.)
"The per centage of $6_3TL, is treated as one in which the
College had no interest, and over which it had no control. It is
to be paid partly in money deposited to the individual credit of E.
Nott."  (Demurrer) page 30.)
With respect to "' E. JVott's agreement with McIntyre to accept
for the future five per cent, and the paper subsequently sent by him
in the execution thereof,' the same remark as before is applicable; to
which it may be added, that the agreement and letter both proceed
on the assumption, that the affair to which they relate was purely
a private one between Yates & McIntyre and E. Nott."  (Demurrer, page 31.)
To all which may be added the words of Mr. McIntyre himself,
which are as follows:
c" I have not the remotest idea, (nor do I know that any one
else has,) of setting up such a construction, or of getting rid, in
any way, of all that is in honor and equity yours.  We have
gone on, hand in hand, and obtained extraordinary rights by
dint of talent, management, prudence and perseverance; and the
exertion of your talents and management, were undoubtedly




APPENDIX G. CC ENTIRE FALSEkOOD."            79
most efficient in the obtainment of these rights.  Hence, every
principle of honor and justice requires that you should fully partake in the benefits; I certainly wish you should. Indeed I could
not, if permitted to do it, think of asking more than to participate equally with you in the benefits thus obtained.  (Chancery
Docs. ~ 365.)
Thus EIr Yates & McIntyre. Much more might be added if more
were necessary.
Secondly. —What say the Trustees of Union College as to their
claiming all paynments from Yates & Mcintyre?  They say:(Extracts frorm Correspondence with Hanilton College.)
To B. W. DWIGHT, Esq., Treasurer of Hamilton Colleze:
Dear Sir,-In reply to your communication we beg leave to
make a brief statement of facts.
The amount due to the several institutions from the Literature
Lottery was $322,256.81. The President of Union College borrowed funds, and bought out all the other parties in interest.
By the original indenture of Yates & McIntyre, to whom its entire
interest was sold, said College was, (if paid in advance, and thus
protected against loss, as the other institutions had been,) to receive
$276,090.14, estimated with itterest by Yates & McIntyre in a bill
subsequently filed against the trustees at $393,120. In the execution of this indenture, however, they met with losses, and became
reduced to the verge of ruin.
To prevent their f~ailure, the president of Union College raised
funds for them  to a large amount, in consideration of which,
Jan. 24th, 1826, they stipulated to vary the terms of their original
indenture, so as to require the payment of eleven per cent on
$4,492,208 worth of tickets, a supposed contingent residue of
$456,489 worth, to remain subject to a. new contract.  Soon after
this an act was passed authorising the mixing of the Albany land
lottery with the Literature and Fever Hospital lotteries. To enable
Yates & McIntyre to execute a contract under said act, they applied to Dr. Nott for his consent and co-operation, stipulating




80            APPENDIX G. C" ENTIRE FALSEOOD.)
May 31st, 1826, in consideration thereof to pay to him a certain
per centage on all the subsequent classes drawn.
After the whole of the $4,948,597 worth of tickets assumed to
belong to the Literature lottery, including the supposed contingent
residue, had been drawn, and the drawing of the Fever Hospital
lottery commenced, a settlement was effected with Yates & McIntyre,
to wit: on the first of August 1828, under their original indenture,
as modified by their stipulation of Jan. 24, and May 31, 1826, in
which Yates & McIntyre agreed not only to pay the per centage
due to the College under their original indenture on the whole
amount of tickets then supposed to have belonged to the Literature
lottery, but also to pay the additional amount stipulated to be paid
Jan. 24, 1826, fbr monies advanced by the President to enable them
to meet the payment of certain prizes.
Yates & McIntyre, after commencing the drawing of the Fever
Hospital lottery still continuing embarrassed, applied repeatedly
to Dr. Nott for pecuniary assistance to very large amounts, for
which they stipulated to pay a certain per centage on the tickets
thereafter to be drawn, which per centage, after being paid for
some time, was ultimately refused.  For the recovery of which
Dr. Nott filed a bill in Chancery, in which the Trustees of Union
College, without their consent, or even knowledge, were joined as
plaintiffs.
To the bill filed by Dr. Nott, Yates & McIntyre demurred on the
ground that the stipulation was entered into with him after the
Literature lottery was closed, and that the same was for personal
advances, services and hazards only, in which the College had no interest, which was, indeed, the case.
And the lottery question having been referred to the Attorney
General, (see Assembly Doc., vol. 4, p. 10,) by the Legislature, he
reported that the whole amount of tickets contained in the Literature lottery, in place of being $4,948,597 worth, as had been
supposed, was only $3,693,800 worth, making a difference of
$1,254,797 worth of tickets in the lottery, and of $138,027 in the
amount of percentage to have been paid by Yates & McIntyre.
Whereupon Yates & McIntyre filed a bill in Chancery for the




APPENDIX G. CC ENTIRE FALS       EHOOD."     81
recovery of this excess of percentage, claimed to have been paid
in error.
After considering the report of the Attorney General, and perceiving if said lotteries contained only $3,693,800 worth of tickets,
that there was no contingent residue when the stipulation of the
24th Jan., 1846, was entered into, and of course that the stipulation
of May 31, predicated on such residue, must be invalid; a negotiation was, by advice of counsel, opened with a view to effect an
amicable settlement, and thus prevent a protracted and expensive
litigation, when it was found that Yates & McIntyre would, on their
part, agree to cancel their entire claim. against Union College for
all payments made in error, provided the College would surrender
to them certain evidences of debt amounting to $126,037.57, and
further, that they would agree to pay $150,000 in ten years, ili
instalments, provided the claim against them for the payment
of percentage under their stipulation entered into July 15th, 1830,
with Dr. Nott, for personal advances, hazards, &c., was cancelled,
and it was also found that Dr. Nott would, on his part, also agree
to cancel said stipulation on said terms.
Whereupon an article of agreement was entered into between
the trustees of Union College and the President, setting forth that the
$150,000 to be received from Yates & McIntyre, was to be received
on account of the stipulation aforesaid entered into with him for
personal advances, &c., and for the recovery of which, said suit
had been commenced, and that the same was to be accounted for to
him on a final settlement.
After which a tripartite agreement, on the conditions above set
forth, was entered into between Yates & McIntyre, the Trustees
of Union College, and the President of Union College, in which the
parties severally agreed, not only to discontinue the suits which
had been commenced, but also to relinquish all cause of future
suits, arising out of said lottery transactions.
The President of Union College, having by greatpersonal exertions
and at great personal peril, (in which no other Trustee was found willing
to participate, and which all considered in him rash and evenpresumptuous,) succeeded in purchasing out the interest of the other Institutions,
amounting to $95,780.62, and in sustaining the credit of Yates &
6




82            APPENDIX G. "C ENTIRE FALSEHOOD.
Mcintyre till the entire Literature lottery was drawn, and r,&wing
also succeeded in securing from said lottery, after paying all expenses, a considerable surplus to be divided between the colleges,
it was felt that Union College, whose interest had been so gratuitously and greatly promoted by hazards assumed by him in its own
behalf, would therefore come forward with an ill grace to claim to
share in the avails, if any there should be, of hazards subsequently
assumed by him in behalf of others. And however frequently the
Trustees of Union College may have expressed their sense of the
indebtedness of said college to its President for his interference as
aforesaid, still they deem it proper distinctly to state, that they have
neither received, nor claim to be entitled to receive, the compensation
stipulated to be paid to the President of said college in the form
of per centage for monies advanced or hazards run by him in
behalf of Yates & McIntyre, after the Literature lottery closed.
In behalf of the finance committee,
Very respectfully, yours, &c.,
J. P. CUSHMAN,
A. C. PAIGE.
Schenectady, Feb. 23, 1840.
To B. W. DWIGHT, Esq., Treasurer Hamilton College.
So much for " all payments being called for as due to Union College," as asserted, page 19 and 99.




APPENDIX H. SENATOR BEEKMAN S REPORT.         83
(H. )
STATE OF NEW-YORK, 
No. 71,
IN SENATE, A.pril 12, 1851.
REPORT
Of the Committee on Literature on the Condition of Union College.
The committee on Literature, to which was referred the reply
of the Comptroller, dated February 7th, 1851, to a resolution
adopted by the Senate, in relation to the condition of the funds
bestowed by the State upon Union College,
REPORT:
That the Assembly of 1849 appointed a select committee under a
resolution passed April 11th, 1849, in the words following, namely:
Resolved, That the committee on colleges, academies, and common schools be directed, during the recess, to examine into the
financial condition of Union College, and into the situation of the
various funds bestowed on said institution by the State, and the various transfers of the funds and property of said college, that said
committee have power to send for persons and papers, and report
to the next Legislature.
That a majority of said committee, consisting of four members,
reported on the 19th day of March, 1850, (Assembly Doc. No. 146,)
" that the financial condition of Union College was unsound and
improper," and that the remaining member, the chairman of the
committee, dissenting from the majority, presented his adverse
report, dated March 23d, 1850, (Assembly Doc. 147.)
That on the 8th day of April, 1850, Union College, by Alexander Holland, its treasurer, submitted a report of six printed lines
to the Legislature, in the words following, viz: (Assembly Document No. 190.)
" That no change had been made in the securities in which the
avails of the grant under the act of March 30th, 1805, (required




84         APPENDIX H. SENATOR BEEKMAN S REPORT.
by the act to be annually reported to the Legislature,) have been
invested, since the date of his report, submitted April 5th, 1849, in
which report a schedule containing said securities is furnished."
All of which is respectfully submitted.
(Signed,)                ALEX. HOLLAND,
Treasurer of Union College.
Schenectady,.April 1, 1850.
To this report was appended a document entitled "reply of
treasurer to majority report," extending throughout fourteen printed
pages, and signed by him, which, accompanied by extracts from
correspondence with Hamilton College, and from the reports of the
majority and minority of the select committee above named, occupies seventy-two printed pages.
The committee oil literature find THAT A VERY BRIEF AND IMPERFECT INSPECTION WAS MADE BY THE SELECT COMMITTEE OF 1849. The
examination as set forth in appendix E, to the report of the majority, (Assembly Document No. 146,) although merely claiming to be
memoranda made by A. Johnson, secretary to the committee,
appears to throw considerable light upon the financial management
of the College.
Although the treasurer complains that several" misstatements
of facts, erroneous deductions, unfounded imputations and insinuations," have been introduced through some oversight, into the
report of the majority, and regrets that the statements made
therein, "should, through the errors in their own minutes, have
been so confused, contradictory, and variant from the facts of the
case," the memoranda referred to, appear to be a true record of
testimony so far as they extend.* That a witness should contradiet himself at different points of the same investigation is neither
unusual nor surprising; nor is it more remarkable that conclusions
drawn from such "statements" should be unsatisfactory to the
parties examined.
The treasurer affirms (page 4 of Assembly Document 190,) that
$17,000 more was actually paid for the purchase of the several
grants made in the lotteries to other institutions, than would:* Hdow ~o they thus appear, having never been read or assented to by the Treasurer.




APPENDIX H. SENATOR BEEKMAN)S REPORT.       85
have been paid on the principle of the usual rebate of interest,
predicated on the time required for completing the lotteries as fixed
by the Comptroller, but in his answer to the 24th question, (page
55, Assembly Document No. 146,) he stated under oath, that " the
$12,000 granted to the New-York Historical Society was sold for
$8,000 to Union College, and the other grants were discounted on
the usual rule of rebate and premium."  (Explained p. 12.)
At page 14 of the minority report, (Assembly Doe. 147 of 1850,)
it is stated that "'the bond of Yates & McIntyre, mentioned in
schedule 6, had been paid at the time of said examination, and the
amount except $2,000 had been deposited in New-York, to the
credit of the treasurer and bearing interest." The President stated
to the committee that he proposed, after giving satisfactory security, to borrow the balance so deposited, for the purpose of improving property belonging to him in New-York, known as the Stuyvesant Cove property, (see same page 14.)
The treasurer states, (Assembly Doc. No. 146, page 47,) under
oath, that the bond of Yates & McIntyre, mentioned in schedule 6,
with the mortgage collateral thereto, has been paid, and the moneys
received. therefrom with the exception of about $2,000, which had
been paid for interest, debts and expenses of the college, is deposited in New-York, to the credit of the treasurer of the college,
and is on interest.
In reply to question 12, (Assembly Doc. No. 146, page 53,)
which is in the following words, " the $17,500 of the Yates and
McIntyre, due with interest, belonging to the permanent fund
of $50,000 granted by the act of April 13th, 1814, for the assistance of indigent students having been collected May 5th, 1849, how
has it been invested?"
The treasurer answered-" It is not invested, but will be by bond
and mortgage."
To Question 13, (of same Doe.)-" The Novelty works being the
private property of Dr. Nott, for what reason has that money been
employed to enable Hezekiah Bradford to make a dock there?"
The treasurer answered, "IT IS NOT EMPLOYED AT THE NOVELTY
WORKS BUT ON THE LAND)S AT STUYVESANT COVE.") (Refuted page 9.)




86         APPENDIX II. SENATOR BEEKMAN S REPORT.
To Question 14-1, (of same Doc.)-Doctor Nott having stated that
he is empowered by a resolution of the trustees of Union College to
direct the application of funds as he may think fit, that he often
uses the funds f'or various purposes, but that he always replaces
any moneys belonging to the college which he may take, with some
security; what security has he given in place of the $17,500 so
employed by him, at Stuyvesant Cove as aforesaid?"
The treasurer answered —" It is not yet employed, but it is in the
hands of the treasurer."
The contradiction between the replies to the last two questions,
and the statement of the President in the minority report, although
claimed to be an error, by the reply of the treasurer (at page 7,
Assembly Doc. No. 190) only shows a discrepancy of statements,
which the following letters perhaps, may assist in explaining:*
( Copy. )
UNION COLLEGE, Schenectady, Feb. 10, 1849.
A. MCINTYRE) Esq., Albany:
Dear Sir, —During my absence to Albany yesterday, Mr. Charles
Yates called at my office and left word that he hoped to be able to
make the first payment within the next ten days, and requested
that the accompanying statement of the account with the bond
should be sent to you. For ten days we will endeavor to struggle
on without the money; but I see no possible way of waiting
longer; we are two quarters in arrear to the officers of the college
for salaries; which is their only dependence, and for which they
cannot be asked to wait longer. Besides this we have other unavoidable payments to prepare for, within that time. I mention
these private matters to show more strongly than the mere general
mention of the want of money, how we are situated, and to show
that the money must be raised.
Very respectfully,
(Signed,)                       ALEX. HOLLAND.
* No such answers as are here imputed were ever read or assented to by the Treasurer.
(See page 27.)




APPENDIX H. SENATOR BEEKMAN S REPORT.            87
(Copy. )
UNION COLLEGE, Schenectady, 30th JMarch, 1849.
ARCH. MCINTYRE, Esq., Albany:
Dear Sir,-Owing to recent calls on the College for the payment
of large sums of money, which calls were submitted to the financial
committee, I have been directed by them to inform Mr. Charles
Yates that they would require, within a very few days, the payment
of the balance of the bond of Yates & McIntyre and others,
amounting, with interest, to over $17,500.
I have written Mr. Yates to that effect, and the object of this
communication to you is to say, that in the event of having to proceed to collect this amount by a course of law, the committee decline
resorting to the slow process of foreclosing the collateral mortgage
of J. B. Yates, and would deem it their duty to look for it to the
makers of the bond, any one of whom, on payment thereof, could,
if desired, have said mortgage transferred to them.
Very respectfully,
ALEX. HOLLAND, Treasurer.*
It appears to the committee on literature a somewhat strange
application of so large a portion of the permanent fund of $50,000
granted by the Legislature for the assistance of indigent students,
to employ $17,500 for the payment of professors' salaries, then two
quarters in arrear.t  Perhaps, however, this is only a discrepancy
or error on the part of the treasurer, or one of the " unfounded
imputations and insinuations " so feelingly and indignantly spurned
by him in his reply to the majority report.
The report of the minority is spoken of in terms of satisfaction
by the treasurer in page 16 of his reply, (Assembly Doc. No. 190.)
Now it is claimed at page 21 of the minority report, that by a resolution of the board of trustees, the entire management and control
of the funds of the College have for many years been placed in the
hands of the finance committee, of which the President of College
is the chairman; " and the President mainly is entitled to whatever
credit or liable to whatever censure may attach to the management
of the finances of the College." The treasurer in his reply to
question 7, at page 52, Assembly Doc. 146 of 1850, answers: "' In
* Mr. Yates having repeatedly neglected to meet his acceptances for monies due, the Finance Committee directed the collection of that entire debt.    t Refuted page 9.




88         APkESDIX H. SENATOR BEEKMAN'S REPORT.
reply to that branch of the question demanding,'does not the
President use th'e funds of tlie College as his own, interchangeably
as occasion arises?' He never has done so to my knowledge."'
How thoroughly'conversant the treasurer was with the financial
management of tlihe College funds is evident frorn. a legal document,
dated December 20th, 1:836,* and purporting to be made between
Howard Nott and Benjamin Nott, of the city of New-York, manuifacturers and merchlantsdoing business under the firm of H. Nott & Co.,
parties of the first part; and James Brown of the firm of Brown,
Brothers & Co., James Hall of the firm of James Hall & Co., and
John Delafield of New-York, parties of the second part; from which
instrument extracts are herein immediately after given, so far as
applicable to the points of this investigation. And this instrument,
among other matters, witnesseth, that whereas the said parties of the
first part have been engaged for some time past in an extensive
business, principally'consisting of the manufacturing and sale of
stoves, steam engines, and articles and machinery constructed from
iron and other metals, and have now on hand a large quantity, of
materials in said line of business,.portions whereof-:are in an imperfect and unfinished state, and require considerable expense,
)utlay, and some additions, to be rendered saleable in market, and
are also possessed of other property to a considerable amount;
and whereas, they have become embarrassed in their said business,
and are unable to carry it on and meet their debts, liabilities, and
engagements, due and owing, and which are  to become due
and owing, by said firm; and whereas, some of said liabilities
have arisen anad been incurred under circumstances which require
from them full and prompt payment and satisfaction; now this
indenture witnesseth that the said parties of the first part, in
consideration of the above, and in further consideration of one
dollar to them in tand paid by the said parties of the second part,
at. or before the ensealing and delivery of these presents, the
receipt whereof is hereby acknowledged, have sold, conveyed,
assigned, transferred, granted, and set over, and by these presents
do sell, assign, convey, transferI, grant, and set over, unto the said
parties of the second part, and the survivor of them, their heirs,
* That the Treasurer was quite as conversant as the Hon. Senator will appear from
page 15.




APPENDIX H.. SENATOR BEEKMA.NIS REPORT.,89
executors, and administrators of such survivor, all their joint oi
partnership estate, as in said indenture further set forth; to have
and to hold, take, possess, receive, and enjoy the said estatesproperty, and effects as therein set forth, in trust, to take possession of;
recover, receive, and collect such property, and every part thereof,
and to sell, convey, dispose of, and apply the same, as in the said
indenture set forth. And, among other trusts, to redeem twentyfive thousand dollars in the capital stock of the Mohawk Bank at
Schenectady, pledged to John Delafield, or the Phoenix Bank of the
city of New-York, with the note or endorsement of Doctor Eliphalet Nlott to secure the note of the parties of the first part for that
sum. Also to redeem eleven thousand dollars of the capital stock
of said Mohawk Bank, pledged to the Farmer's Loan and Trust
Company. Also, to redeem ten thousand nine hundred dollars, or
thereabouts, of the capital stock of the Farmer's Bank of Troy,
pledged to Prime, Ward, King & Co., or R. M. Blatchford of NewYork. The stocks above named were the property of Union College, Schenectady, except $1,000 of Mohawk Bank stock, which
was the property of Alonzo Potter; and said stocks, together with
the aforesaid note or guarantee, were received by the parties of the
first part, and applied to their use and accommodation, and ought.
to be returned to the parties to whom they belong. In case the
said stocks cannot be redeemed, then the parties hereto, of the
second part, are to furnish or pay to the trustees of Union College
and Alonzo Potter an equivalent in money or stock. In the fifth
place, to pay a note of said firm of H. Nott & Co. for twenty thousand dollars, or thereabouts, now or formerly held by the Delaware
and Hudson'Canal Company, and to secure the payment of which
note said company received the note of Jonas Holland, Treasurer
of Union College, endorsed by Eliphalet Nott, upon payment of
which said debt the said note of Jonas Holland, Treasurer of Union
College, to be delivered up to him, or his successor in office, it having been used for the accommodation and benefit, and not constituting any part, of the property of H. Nott & Co. And whereas,
the firm of Howard Nott & Co. made a negociation with the Phoenix
Bank, or John Delafield, on or about the fifth day of December
instant, for obtaining from said Delafield or said bank the sum of
fifteen thousand dollars, and, as security for the payment of that




90        APPENDIX H. SENATOR BEEKMANIS REPORT.
amount, deposited with said Delafield notes and acceptances, the
property of H. Nott & Co., to the amount of $8,000 and upwards;
also, the note of Doctor Eliphalet Nott, bearing date the said fifth
day of December, for $15,000; also, a bond and mortgage, executed
by said Eliphalet Nott, conditioned for the payment of $10,000,
which said note and bond and mortgage of Eliphalet Nott were
borrowed. In the sixth place, to pay the balance of said $15,000,
or as much as is chargeable upon said negociation, after the application of the said $8,000 of' notes.
And whereas, Eliphalet Nott, President of Union College, has
from time to time placed in the hands of H. Nott & Co., certain
funds, part whereof was the property of Union College; and
whereas, from the mode in which the transaction took place, there
may be difficulty in tracing the specific funds of said College into
our hands, the same hav'ing generally passed through the said
Eliphalet Nott, and for which he is answerable to said institution;
and whereas, we have this day accepted E. Nott's order upon us to
pay to the trustees of Union College the amount which we owe on
both accounts, to the extent of his and our indebtedness to said
College, as the same shall be found on the adjustment of the accounts relative to said funds.
In trust, seventhly, to pay the trustees of Union College so much
of the existing indebtedness of H. Nott & Co., whether the said
indebtedness be to the said Eliphalet Nott, individually, or to Union
College, as will pay the amount for which the said Howard Nott &
Co., or Eliphalet, are found indebted to said College, for funds
received from said College, or "on an adjustment of the accounts
relative to said funds," and after the insertion of other clauses and
provisions of trust, " signed and sealed by Howard Nott, and Benjamin Nott," and " signed, sealed and delivered in the presence of
Dudley Selden," and duly acknowledged before F. R. Tillou, commissioner of deeds, on the 22d day of December, 1836.
To the minds of the committee on literature it seems not to be
an "erroneous deduction" from the preceding document, that in
the words of the majority report, (page 52, Assembly Doc. No. 146,)
c" the President of Union College did use the funds of said college
as his own, INTERCHANGEABLY AS OCCASION DID ARISE.) J
* The untruth of this deduction shown pages 16 and 57.




APPENDIX H. SENATOR BEEKMAN7S REPORT.           91
Another " discrepancy" invites attention. The treasurer's reply
(Assembly Doec. of 1850, No. 190, p. 5,) contains the assertion that
an item of $25,000, and another of $1,500 had been "erroneously"
represented in the majority report to have been added by the treasurer as an afterthought to the amount stated by him to have been
received by the college. These sums are recorded in the minutes
of testimony,* and are recollected by Mr. Beekman and Doctor
Button, members of the committee; and in this connection it is
fitting to state that Mr. Disosway authorised the signing of his name
to the report of the majority, in the following letter:
Monday, 7 S.. AM.) March 18, 1850.
Dear BEEKMAN-The day is too inclement for me to go to the city
this morning; I regret it. If I had been well I should have visited
Albany and met the committee there. It is hardly worth while
for you to visit me, as you can say to the Doctor and to Mr. Johnson
that you are authorised to sign for me any report that you three
can agree upon. Let it be a just and righteous one.  "Fiat
justicia, ruat ccelum." I still hope to visit the capitol before the
session terminates.
With kindest regards to yourself and your associates,
Yours, &c.,
(Copy.)                  GABRIEL P. DISOSWAY.
Mr. Disosway had previously interchanged views very fully with
the select committee, and the report of the majority, when published,
so far from exciting any regret on his part at its " discrepancies,"
or " unfounded insinuations " or " oversights," as suggested in the
reply of the treasurer (page 5, Assembly Doc. No. 190,) has met
his entire concurrence, as he now personally assures the committee
on literature.
It is claimed in the reply of the treasurer that the total sum
granted by the State to Union College (page 10, Assembly Doc. No.
190,) is $331,612.13, and this is the sum stated in the minority
report, (page 3, Assembly Doc. No. 147,) always " irrespective of
interest." By several statements from the books of account of
Yates & McIntyre, the managers of the lotteries, it appears that
they paid in cash to Dr. Nott, the following sums:
* No such minutes of testimony were ever read to the treasurer or received his assent.




92        APPENDIX H. SENATOR BEEKMAN7S REPORT.
Abstract of amounts received yearly by the Trustees of Union College
and Rev. E. XJVott, from Yates r JlIclntyre.
From Mar. 31, 1823, to Mar. 31, 1824, $74,430 40  1st year.
1824,   do    1825,  39,286 85 $113,717 25
1825,   do    1826, 122,414 27  236,131 52
1826,   do    1827,  46,436 60  282,586 00
1827,   do    1828, 105,347 78  387,915 90
1828,   do    1829,
1829,   do    1830,  70,037 88  457,955 78
1830,   do    1831, 143,210 3i  601,166 09
1831,   do    1832, 116,548 82  717,714 91
1832,   do    1833,  43,186 25  760,901 16
1833,   do    1834,  16,340 23  777,241 39
Mar. 31, 1834, to June 15, 1834,   4,216 32
Notes given by Yates & McIntyre, and
falling due up to 15th Dec., 1835,...  20,865 57
$802,323 28*
Int. at 7 pr. ct. to Mar. 31, 1825, being 1 year,....   $5,210 13
do      do       1826, "  1  "....    7,960 20
do      do       1827,  "  1  "....   16,529 20
do      do       1828, " I    "....   19,801 02
do      do       1829, "  1  "....   27,154 11
do      do       1830, "  1  "....   27,154 11
do      do       1831, "  1  "....   32,056 90
do      do       1832, "  1  "....   42,116 26
do      do       1833, "  1....   50,240 04
do      do       1834, "  1  "....   53,263 08
do      do       1835, "  1  "....   54,406 89
do      do       1851, "' 16  "....  870,510 24
do      do       1851, " 16ys.9m.16ds.    4,944 84
do      do       1851, " 15ys.3m.16ds.   22,359 99
$1,233,707 02
Mr. J. B. Yates states that the amount paid to Union College and
Doctor Nott, was $837,284.13.
* For the refutation of this, see pages 9 and 39.




APPENDIX H. SENATOR BEEKMAN7S REPORT.            93
As in addition to this sum, derived wholly from the profits of the
lotteries, Union College admits (Assembly Doc. No. 147, p. 2,)
the receipt fiom the State alone, not from lotteries, bf seventy-six
thousand six hundred and  twelve dollars and thirteen cents,
"Cirrespective of interest," and from  other sources, not lotteries,
forty-one thousand six hundred thirty-seven dollars and twenty-nine
cents, (Assembly Doc. No. 174, p. 16,) all irrespective of interest,
amounting to,.................................. $920,572 64
Union College, however, assumed to pay, and has discounted at heavy rebates to other institutions, and
repaid Yates & McIntyre sundry sums; amounting,
(Assembly Doe. No. i47, p. 18,) without deducting
the discount, to.............................. 207,229 09
Leaving a balance, "irrespective of interest," of.... $713,343 55
According to the minority report, (Assembly Doc. No. 147, page
19,) no interest is computed on sums received or sums paid since
1820; and the report of the minority has certainly made an 1" erroneous deduction" in assuming that this is sufficiently accurate for
the purposes of the inquiry with which the committee was charged,
although there would be great difficulty in stating an interest
account since that date, which should be consistent with the views
of financial skill, which the minority report sets forth, and extols
with so much complacency. To show how essentially the account
WOULD CHANGE FRONT,* it will be sufficient to compute simple interest
at 7 per cent. on the sums paid by Yates & McIntyre, as herein
before stated, from the time of payment, to the present year; and
there will result a sum of interest amounting to $1,233,707.02,
which, added to the balance above shown to have been received by
Union College and Doctor Nott, amounts to the large aggregate of one
million nine hundred and forty-one thousand seventy-nine dollars
and fifty-two cents. As an offset to this, the trustees exhibit (page
63, Assembly Doc. of 1850, No. 190):
* How this account, when brought to the test of truth, does change front will be seen
page 44.




94         APPENDIX H. SENATOR BEEKMANS REPORT.
College buildings and grounds valued at cost....... $296,485 36
Library and apparatus,................$32,817 39
Furniture, horses, tools, &c.,............  2,000 00
34,817 39
(See page 56 of last mentioned Document.)
Fund for support of president and professors,....... 43,573 38
Fund for support of professors...................   35,170 00
Fund for indigent students,......................  50,005 92
At the disposal of trustees,....................... 144,288 56
Total,............................... $604,350 56
Deducting this amount from the sum of $1,941,078.52, which
includes simple interest upon the funds received from Yates & McIntyre alone, there is a difference to be accounted for of $1,336,738.96. Were a strict interest account to be stated with the ordinary accuracy of pecuniary operations, THE INTEREST THEREON WOULD
BE YET MORE FORMIDABLE.*
The above computation has been made without taking account
of the incomes from 300 acres of real estate, or of the receipts
from tuition fees, room rents, and other charges derived from
students.
From this difference, however, must be deducted the moneys
claimed to have been paid by the college to other institutions and
to Yates & Mclntyre,Emounting to $207,229.09. These payments
were not made for the full amounts claimed by the college as credits, because in the case of the New-York Historical Society, the
discount was one-third of the whole sum granted t and in the other
cases, there was a rebate of interest. But there being no dates of
payment before this committee, an accurate calculation of interest
becomes impossible. By a liberal estimate, however, assuming that
the net payments actually made amounted to $200,000, which is
improbable, and averaging the interest to have run twenty years,
the aggregate would be $480,000, which being deducted from
$1,336,738.96, leaves still a difference of $856,738.96.
The current expenses of Union College were, in 1850, $20,850,
and they do not appear to have materially varied from that amount
* How much more formidable will be shown page 12.  t For the answer, see page 12.




APPENDIX Il. SENATOR BEEKMAN:S REPORT.           95
for a long series of years.. During twelve years, from 1837 to 1848,
the interest from the permanent fund was annually reported at the
same amount precisely, viz: $13,734.20. The tuition fees varied
from $8,077 to $5,804.43.  The average yearly income for the
twelve years was $20,578.59, as reported; while the yearly interest on the monies received from Yates & McIntyre alone, would
have amounted, in 1833 to $54,406.89. The college buildings
were finished as early as 1819, and then occupied, while the very
first payment from Yates & McIntyre was made in 1823.
It is claimed for the trustees of Union College (page 63, Assembly Doc. 190, of 1850,) that they exhibit an investment by a summary statement there made of $604,340.56, and upon this claim
that sum has been deducted as aforesaid, as principal money, but
from this amount it is proper to notice that there should be again
deducted for debts owing by Union College, (Assembly Doc. No.
147, page 12,)................................... $29,675 51
Bonds and notes taken from graduates for advances
made, to enable them to complete their education,... 18,366 86
Book accounts against graduates for similar advances, 25,082 47
Mohawk Bank stock, (Assembly Doe. 190 of 1850, pages
7, 83 9, 10,) worth only 50 per cent.,.............. 16,700 00
Total deduction to be made,.............. $89,824 84
which, taken from the sum claimed as invested by the trustees,
leaves the whole available property, real and personal, in the keeping of the trustees of Union College, on the most liberal construction only $514,515.72.
It is fair to state that none but an experienced accountant can
fully unravel the intricacies of the money transactions of Union
College. Your committee are satisfied that a critically correct balance sheet would show more ASTONISHING RESULTS than those now
set forth.* There is little doubt then, that after the most liberal
allowance for errors, the present balance against Union College,
and for which the trustees of that institution are justly accountable,
is very large, thus:
* How astonishing will be seen page 44.




96         APPENDIX H. SENATOR BEEKMAN S REPORT.
Rteceived from the State, otherwise than by lotteries, (Assembly
D)oc. No. 147, page 2,) granted previously to 1803,   $76,612 13
Interest thereon for forty years only, on the assumption that the money was not immediately paid
when granted,..........................   214,513 96
$291,126 09
RECEIVED FROM YATES & MCINTYRE,.............    802,323 28
Interest thereon as above..                      1,233,707 02
Funds received before the State grants were
made, viz:
Schenectady patent,................ $28,357 98
Difference on sale of old college......  21,399 00
Sale of old academy,................     571 89
Original subscriptions,..............   2,707 42
53,046 29
Interest thereon for thirty years,...........   111,397 20
$2,491,598 88
The college is entitled to credit by,
1st. Payments to other institutions and
cash repaid Yates & McIntyre,.....$200,000 00
Interest for twenty years,............ 480,000 00
2d. Property of every kind now claimed to be in the possession of the
trustees........................ 604,340 56.....-   $1,284,340 56
$1,207,258 32
The items making up this property valued at $604,340. 56, were
acquired at dates so widely spread, the latest being March 24, 1849,
(an item of interest then due on investments,) and the earliest
probably about 1815,* that it is impossible to make even an approximate estimate of the interest to be allowed. A fair deduction,
however, for this cause, would still leave several hundred thousands of dollars unaccounted for.
By the legal document hereinbefore quoted, it appears that
Doctor Nott, was largely indebted to the Trustees of Union College oh account of the loans made by him as President, t out of the
* How probable will be seen page 12.  t How largely will be seen page 15.




APPENDIX H. SENATOR BEEKMAN S REPORT.          97
College funds to the firm of Howard Nott & Co., before the 20th
day of December, 1836. The college had previously received, or
Dr. Nott had received for its account, from Yates & McIntyre,
$802,3123.28. It is stated in the majority report, (Assembly Doc.
No. 146,) Appendix C, that Union College received from Dr. Nott
without consideration, N. Bliss' bond for $75,000, afterwards exchanged for a deed of one undivided half of the Stuyvesant Cove
property, that the other undivided half thereof came into possession of the College on their paying the sum of $58,632.15, in 1838.
On the 21st July, 1848, the whole Stuyvesant Cove property was
conveyed by Union College to Dr. Nott for $177,587.06. Hunter's
farm was purchased by the College for $104,800. Both these pieces
of property (Minority Report, Assembly Doc. No. 147, page 20,)
were conveyed under a resolution passed July 22, 1848, to the
president to cancel any cash balances that might be due the said
president on a final settlement with him, and after such conveyance,
the treasurer states that a balance still remained due Dr. Nott of
$41,340.57. These transfers and this indebtedness are certainly
hard to understand and harder to explain in any of the ordinary
modes of transacting business. The same Stuyvesant Cove property, one-half of which Dr, Nott conveyed to the college for $75,000
in 1834, cost him in 1832, only $17,500. So that he transferred to
his own college within two years after its purchase for $17,500, the
same property at a price of $150,000.
The trustees in July 1848, admitted an indebtedness to Dr. Nott
of $323,727.63.
These transactions between the president of a college and the
guardians of its property, although the treasurer appears to have
regarded them as "erroneous deductions" and 1" unfounded imputations," appear in the judgment of the committee on literature
entirely indefensible.*
To show what a proper arid judicious administration of such
funds as have been long under the control of the president of
Union College, (for his trustees seem  never to have interfered
with his financial designs) it will be instructive to look at the
present condition of the Smithsonian Institute at Washington.
James Smithson, of England, left his entire property to the United
*How indefensible will be seen p. 14 and 47.
7




98         APPENDIX H. SENATOR BEEKMAN7S REPORT.
States of America, to found at Washington, an institution which
should bear his name, and have for its object the increase and diffusion of knowledge.  The trust was accepted by the United States
government, and an act passed August 16, 1846, orga.nising the
"Smithsonitn Institution."
The endowment consists of the original sum  of $515,169.00,
received September 1st, 1831, which is to remain forever as a permanent fund.  The interest of this amount to 1846, when, by an
act of Congress, the funds were placed in hands of the board of
regents, was $242,129.00.
A very elegant edifice has been almost completed and paid for
and the building committee have lately paid back a surplus to the
permanent fund out of the proceeds of the interest set apart for the
building, for the larger endowment of the institution.*
It is asserted in Assembly Doe. No. 190, quoting the minority
report, that the property of the college, including losses, exceeds
the amounts derived from the grants by the. State, by the sum of
$303,403.82.
Those amounts from the lotteries alone, irrespective of interest,
have been shown to be $802,323.28, and with simple interest as
stated above $2,036,030.30. After making the most liberal allowance fbr sums paid other institutions and repaid Yates and McIntyre, with interest thereon, as also stated, it would appear
that, instead of the property exceeding the grants by the sum
of $303,403.82, the college has to account for many hundred
thousand dollars over and above the present property of the insti
tution as now held, good, bad, and indifferent.t
The committee recommend that a skilful accountant be employed
under the direction of the Comptroller, the Attorney General
and Rev. John N. Campbell, of Albany, one of the Regents
of the University, to investigate the books of the college, and of
Yates & McIntyre, and to report an accurate balance sheet to the
next Legislature.
It is extremely doubtful how far the trustees had power to authorize their president either to claim as his own so large a portion
of the avails of the lotteries as $111,343.44, or to permit him to
* For the pertinence of this comparison and the justness of this eulogy, see page 22.
t For the answer, see page 44.




APPENDIX H. SENATOR BEEKMAN'S REPORT.            99
use the college funds indiscriminately as his own while chairman
of the finance ccmmittee, so as to bring them in debt to their president in the large sum of $366,177.63, which had at various times
been received in money or lands from Doctor Nott, without consideration, (see appendix C, page 37, treasurer's reply, Assembly Doc.
190,) while the professors' salaries were unpaid for two quarters
about the same time.*
No. portion of the grants of the State was made to the president
of Union College individually, and all payments from Yates & McIntyre were called for as due Union College, according to the
statement of Mr. Hemminway, the book-keeper of Yates & McIntyre.t
Your committee consider that the present very inadequate results
from the means furnished by the State to this institution, call for
legislative investigation in a thorough manner as a warning to
future financial presidents of learned institutions, and for the purpose of preserving, so far as possible, what may remain of the
intended benefactions of former Legislatures.
The report of the majority of the select committee of the Assembly of 1849 seems to be fully sustained by the facts of the case,
and the committee on literature feel free to adopt the concluding
words of that report as their own, and to say "that the financial
condition of Union College is unsound and improper."T
All of which is respectfully submitted.
JAMES W. BEEKMAN,
THOMAS B. CARROLL,
SAMUEL MILLER.
* For the reply to this, see pages 52, 18 and 57.
t For the utter falsehood of this, see page 75.
$ For the pertinence of this deduction, see page 20.




100   APPENDIX K. SUMMARY OF ACTS) CONTRACTS AND DOCUMENTS.
(K.)
REPORT OF THE TREASURER.
In which so much of the several acts passed, and contracts entered
into with Yates S Jliclntyre as relate to the lottery transactions, are
presented in the order in which they took place; together with thefinal
settlement of the College with that firm, as set forth in their sworn
bill of complaint; and the final action of the trustees in view of the
whole transaction.
"4 AN ACT INSTITUTING A LOTTERY FOR THE PROMOTION OF LITERATURE, passed April 13th, 1814.
" Whereas well regulated seminaries of learning are of immense
importance to every country, and tend especially, by the diffusion
of science and the promotion of morals, to defend and perpetuate
the liberties of a free State; therefore,
"~ 1. Be it enacted by the people of the State of N.ew- York, represented in Senate and AJssembly, That there shall be raised by lottery, in successive classes, a sum equal in amount to the several appropriations made by this act, together with the simple interest accruing
thereon, till the same shall be raised and paid by the managers appointed to superintend the same: Provided however, that this provision for the payment of interest shall not extend to interest whllich
may accrue on either of the provisions contained in this act for more
than six years from the time of passing the same.
" ~ 2. SAnd be it be itfurther enacted, That one hundred thousand
dollars be appropriated, to be paid out of the avails of the said lottery in manner aforesaid, towards the completion of the edifices
already commenced by the trustees,of Union College, and for the
erection of such other edifices as may by them  be deemed requisite.
"~ 3. sqnd be further enacted, That thirty thousand dollars be
appropriated as aforesaid, for the purpose of paying a debt already
contracted by the said trustees.
" ~ 4..lnd be it further enacted, That twenty thousand dollars be
appropriated as aforesaid, for the purpose of increasing the library,
and also the philosophical and chemical apparatus belonging to said
institution.
" ~ 5. AJnd be it further enacted, That the sum of fifty thousand
dollars be appropriated to augment the small charity fund heretofore granted By the Legislature of this State, the same to be invested by the trustees of Union College, and the avails thereof to
remain forever sacred to the relief of indigent students, while
prosecuting their studies in said institution.
*C     *l      *       L *     *       *      * 




APPENDIX K. SUMMARY OF ACTS) CONTRACTS AND DOCUMENTS.  101
" ~ 8. And be it further enacted, That the sum of forty thousand
dollars be paid to the trustees of Hamrilton College, to be by them
applied as the interests of said college may require.
" ~ 9. And be it further enacted, That four thousand dollars be
appropriated to,the mifiister and trustees of the Asbury African
Church, in the city of New-York, for the purpose of enabling them
to discharge a debt contracted in the purchase of their church, and
to establish a school under their direction.
" ~ 12. AJnd be it further enacted, That thirty thousand dollars
be appropriated as atbresaid, to the College of Physicians and Surgeons in the city of New-York, for the endowment of said college.
" ~ 13. J.nd be it further enacted, That it shall be the duty of the
trustees of said colleges, to account annually to the Regents of the
University, for the expenditure of the money herein appropriated
for the use of said colleges, and that said Regents report the same
from time to time to the Legislature.
" ~ 14. AJnd be itfurther enacted, That the person administering
the government of this State, be and he is hereby authorised to
appoint four managers, who are hereby empowered to-form such
plan for the said lottery as may appear expedient, to dispose of the
tickets and to superinteInd the drawing of the same.
" ~ 15. J.nd be it further enacted, That the managers appointed
as aforesaid, shall hold their appointment subject to the future pleasure of' the Legislature, and that they shall hlave the powers and
be subject to the regulations, restrictions and directions contained
in the act entitled, "an act relative to the managers of lotteries,"
passed April 13th, 1813.
-" ~ 16. And be ii further enacted, That no ticket in any class of this
lottery, shall be offered for sale till the lotteries heretofore granted
by the Legislature of this State shall be drawn.
"~ 17. alnd be it further enacted. That two classes of this lottery, as well as of the lotteries heretofore granted, may be drawn in
each and every year, until the whole be completed."
It being understood if two classes were drawn in a year, that
the managers could raise and pay the several grants made in said
act, in six years, interest was granted for six years, and no more.
Such lmwever, were the losses and delays which occurred, that at
the end of eight years not even the interest on said grants had
been paid.
To prevent further delay and relieve the institutions from the
embarrassments occasioned,
"A AN ACT TO LIMIT THE CONTINUANCE OF LOTTERIES, was passed April
5th, 1822, as follows:
"~ 19. Whereas, the public institutions to which grants were
made originally, in the lottery instituted April 13th, 1814, for the




102   APPENDIX K. SUMMARY OF ACTS, CONTRACTS AND DOCUMENTS.
promotion of literature, have already suffered materially by delay
in drawing the same; and whereas, it is believed, that said lottery
might be managed withl greater economy and less hazard, by tile
institutions interested in its success, than it has hlitherto been, or
can hereafter be, by the State; and whereas all that could be thus
saved, by greater economy in the management of said lottery,
would go to diminish the loss of' said institutions; and whereas, by
such an arrangement, the State would be relieved from'the hazard
of future losses; therefore,
4 ~ 20. Be it enacted by the people of the State of,New-York, represented in Senate and alssembly, That it shall and may be lawful
for said institutions to assume conjointly or to appoint one of their
number to assume the supervision and direction of said lottery, and
from time to time to appoint such and so Mnany managers thereof, for
the conducting the same, and to make such contracts in relation to
the said lottery, as to them  may seem proper,' and to receive the
avails and hazard the losses, and be responsible for the payment of
the prizes oJ said lottery for a limited time; in lieu of and as an equivalent for the several specific grants to them  therein made; provided, they will accept thereof for any limited time, less than the
time in which the State can raise and pay said grants, at the rate
moneys have been heretofore  raised and paid, or can, in the
judgment of the Comptroller, be calculated, with safety to the State,
to be hereafter raised and paid; which time shall be determined
by that officer, from the ficts and information in his possession, and
a certificate thereof filed in the office of the Secretary of this State
immediately after the passing of this act.
(~ 21. Jind be it further enacted, That whenever said institutions
shall have severally accepted in writing of the provisions contained
in this act, in lieu of, and as an equivalent for, the grants to them
severally made in said lottery, and shall each of' them file such acceptance in the office of the Secretary of this State, it shall
be lawful for them  to assume the management thereof: provided however, and be it further enacted, that from  the time such acceptance is filed, the State shall be absolved from all responsibility to
provide for any loss or losses that may occur on any future class or
classes of said lottery, and also from all obligation to pay any prize
ticket or prize tickets drawn therein, out of any moneys belonging
to the people of this State.
4"And whereas the object of this act is not to increase the grants
made to the said institutions, but to contract with them for assuming
the responsibility and running tho hazard, and taking the management
of the literature lottery, and thus to place them  in a situation to
save in all filture classes of said lottery, by more prudent contracts,
and more careful management, whatever can be saved out (f that indefinite amount that is liable, on the present plan of conducting said
lotterys to be raised and absorbed by the recurrence of losses and the
payment of masnagers; thlerefore,
"4 ~ 24. JInd be it enacted, That, the annual average amount of
tickets, according to their 6clerme price, in all lotteries hereafter to




APPENDIX K. SUMMARY OF ACTS, CONTRACTS AND DOCUMENTS.  103
6e drawn under this act, during the term of years fixed by
the Comptroller, shall not exceed the annual average amount
of tickets, according to  their scheme price, in the lotteries
already drawn within this State during the five years immediately preceding the first day  of January, one thousand eight
hundred and twenty-two, which amount of tickets shall be ascertained by the Comptroller, and a certificate thereof filed in the office
of the Secretary of this State; and said institutions shall furnish the
Comptroller a certified copy of the amount of tickets, at their
scheme price, in all classes hereafter to be drawn, that the same
may be also filed in the office of the Secretary of this State; and
so soon as the whole amount of tickets) at their- scheme price, authorized by this act shall have been sold and drawn, the authority herein
granted to said institutions shall cease, though the time fixed by the
Comptroller, in his certificate may not have expired.
"~ 25. And be it further enacted, That said institutions shall apply the avails of said lottery (after deducting the expense of managing the same) PRO RATA, according to the provisions of the original act,
in which said grants were made, and make report thereof, annually
to the Regents of the University, as said act directs.' ~ 26. snd be it further enacted, That if said institutions shall
accept of the provisions of this act, then and in that case it shall
be their duty to raise and pay the grant made by lottery to the
Historical Society in the same proportions as the other grants are
raised and paid; and in consideration thereof, the limitation of
time contained in the first enacting clause of this act, shall be
proportionably extended."
The foregoing act (as will be seen above ~ 20,) authorized the
institutions or the institution who should assume the supervision
of said lottery, to appoint such managers and make such contracts
for the drawing of the same as shall be deemed proper. And it
provided (~ 25.) for the payment of the expense of the management,
and required the residue of the avails only to be paid over, pro rata,
to the institutions interested. Still, as it also provided (~ 21,) that
from the time such supervision was assumed, the State should be
absolved from all responsibility for the payment of any of the claims
against said lottery, none of the institutions interested could be induced to accept of the supervision and management of the same.
In this emergency, the President of Union College proposed to
purchase out all the other institutions, and having done so, to run
all the hazards incident to the drawing of said lottery, with no
other security for indemnity against loss, or compensation for expenses and services, than the 21 per cent. already granted by law




104 APPENDIX K SUMMARtY OF ACTS; CONTRACTS AND DOCUMENTS.
for that purpose; provided the supervision and management of
said lottery was committed exclusively to him.
Whereupon a resolution of the trustees was passed in the words
following:
Resolved, That the treasurer of this board be authorised, by and
with the consent of the president of the college, to accept, under the
seal of this board, of the provisions of the act to limit the continuance of lotteries, passed April 5th, 1822. And that the said treasurer be further authorized, under the seal of' this board, to assume
such responsibilities, and to give and take such securities, and
to make such contracts relative to the lottery instituted for the
promotion of literature, or any part thereof, and to pledge or alienate such property belonging to this board, in carrying the same into effect, as the president of the college shall approve, to whose supervision the same is hereby committed, with authority to exercise, in
behalf of this institution, all those powers vesting in it by virtue of
the aforesaid act to limit the continuance of lotteries."  (Chancery
Docs. ~ 2.)
In conformity to said resolution the president immediately proceeded to purchase out, in behalf of Union College, the entire interest of all the other institutions.  This interest amounted to
$95,770.62, (Chancery Does. ~ 58.) for the whole of which he became personally responsible. He also sanctioned a contract, conveying, after said purchases, to A. McIntyre and J. B. Yates, the
entire interest of Union College in said lottery for $276,090.14,
which contract was in the words following:
ORIGINAL CONTRACT WITH A. MCINTYRE AND F. B. YATES.
" Whereas by an act of the Legislature of this State, entitled' an
act to limit the continuance of lotteries,' passed April 5, 1822, certain powers were vested in the several public institutions interested
in the lottery instituted for the promotion of literature, on their
acceptance of said act: and whereas certain of said institutions
have empowered the trustees of Union College to act in their behalf, in accepting and executing the provisions of said act; and
whereas the other institutions may empower the saidt trustees of
Union College to perform in behalf of said institutions the same
acts; now therefore, in case all the requisite powers vesting in said
institutions jointly, on1 their acceptance of the conditions of said
act, shall become vested in the trustees of Union College, so as to
enable them legally to act in the premises, this indenture, made the
twenty-ninth day of July, in the year of our Lord one thousand
eight bundred and twenty-twAo, betkween the said trustees of Union
College, in their own bilia.lf, and in bellalf of the other institu



APPENDIX K. SUMMARY OF ACTS, CONTRACTS AND DOCUMENTS. 105
tions, for which they are now or may herefter be authorised to act,
of the first part, and Archibald Mcintyre and John B. Yates, ot
the second part, WITNESSETH, that the party of the first part, for
and in consideration of' the sum of' TWO HUNDRED AND SEVENTYSIX THOUSAND AND NINETY DOLLARS AND FOURTEEN CENTS, to thlem
in hand paid, or secured to be paid with interest annually, and
also in consideration of the covenants herein contained, doth covenant and agree to transfer to the party of the second part, all the
right and title of the said party of the first part, in their own right,
and as legally representing the aforesaid institutions, in and to the
whole amount of tickets at their scheme price, authorized to be
sold by virtue of the act aforesaid.
" And it is further understood and stipulated between the parties, that this contract shall not become obligatory on the party of
the first part until the party of the second part shall have executed
to the party of the first part, a bond with sureties to the satisflaction of the treasurer of Union College, in the penal sum of seventy thousand dollars conditioned for the true and faithful perform.
ance of the stipulations contained in this contract.
"And it is further stipulated that all the classes of said lottery
shall be drawn by or under the direction of the board of managers,
or such other persons as they shall appoint or approve. The said
board of managers to be appointed by the President of Union College. In witness whereof Henry Yates, Junior, treasurer of Union
College, in virtue of a resolution, hath hereunto affixed the common seal of the college, and signed his name; and the parties of
the second part have affixed their seals and signed their names.
{   SEAL    HENRY YATES, Jun.,
of                     Treasurer of Union College.
Union College.         ARCHWD McINTYRE,
-J. B. YATES.'" Duplicate acknowledged by Archibald Mcintyre and John B.
Yates, in presence of                   WILLIAM  JAMES.
" Having examined the within contract, I consent to and approve
of the same.                           ELIPHALET NOTT.
" SUPPLEMENT.
"Whereas an agreement has this day been executed by the trustees of Union College of the first part, and Archibald McIntyre
and John B. Yates of the second part: Now therefore, this agreement, made on the twenty-ninth day of July, one thousand eight
hundred and twenty-two, between the aforesaid parties, Witnesseth, that it was understood and agreed between the said
parties to the aforesaid agreement, to which this agreement is
a supplement, and is to  constitute a part as of one instru
ment, and it is expressly stipulated in this agreement that the
said party of the second part shall pay, and the said party of the
second part do therefore covenant to pay,for supervision and manage
ment, the same per centum on each class immediately after the draw




106   APPENDIX K. SUMMARY OF ACTS) CONTRACTS AND DOCUMENTS.
ing thereof, as has heretofore been paid to managers appointed by the
State, which payment shall be made by depositing in the JMohawk
Bankc, or such other bank as may be designated, to the credit of the
President of Union College, such per centum, of which payment the
certificate of such bank shall always be a sufficient voucher.
" And whereas events may occur that shall'prevent the party of
the second part from paying their note of TWO HUNDRED AND SEVENTYSIX THOUSAND AND NINETY DOLLARS AND' FOURTEEN CENTS, given as
one of the considerations of this agreement, at the time the same
is stipulated to be paid: It is, therefore, further agreed, that if before the end of the year eighteen hundred and twenty-three, the
said party of the second part shall elect to pay said note in annual
installments of thirty-nine thousand three hundred and twelve dollars, commencing fiom  the day the interest commenced on said
note, and continue until said note shall be fully paid, said party
shall be allowed to do so.  In wllicl event, said party sllhall immnedately after the drawing of each class deposit to the credit of the
treasurer of Union College for safe keeping, in the Manhattan
Bank, or such other bank as may by him he designated, suclh part
of the afP)resaid annual payment as shall bear the same proportion
to the whole annual payment, as the amount of tickets in said
class reckoned at their scheme price, shall bear to four hundred
forty-nine thousand two hundred and eighty dollars, a. certificate of,0which deposit shall be sufficient evidence of the receipt thereof
by the treasurer afo)resaid, and the amount of the several receipts,
shall on the last day of every year, reckoned as aforesaid, be endorsed; or if not endorsed shall have the effect of an endorsement
thereof on the aforesaid note.
And it is further stipulated, that the said party of the second
part may at any time anticipate the payment of the stipulated annual
payments as aforesaid, by depositing the same to the credit of the
treasurer of Union College, as aforesaid, on' or before the first day of
the year, commencing as aforesaid, in which such payment would
otherwise be made, in which case, a rebate in the amount shall be
made equal to the amount of interest that would accrue on such payment during the whole time the same is anticipated, except six months;
and though such rebatement be made in the deposit, the full sum of
thirty-nine thousand three hundred and twelve dollars shall be en..
dorsed therefor, on the aforesaid original note, at the close of the
year, reckoning as aforesaid, in' which the same would otherwise
have been fully deposited or if not so endorsed, the deposit shall
have the effect of' such endorsement.
" And it is further stipulated by the party of the second part, to
sell on the first four days of sale, in each class, at the scheme
price to adventurers, and to the several licensed lottery dealers in
such proportions as may appear discreet, and to such amount as
may be required, except that the said party of the second part may
always retain one-third part of each class for their own use, and
such other and larger proportions as may from time to time be
consented to, either by the President of Union College, or by




APPENDIX K. SUMMARY OF ACTS) CONTRACTS AND DOCUMENTS.   107
the board of managers appointed as aforesaid.  In witness whereof, Henry  Yates, Jr., treasurer of Union College, hath hereunto
affixed the common seal of Union College, and has signed his
name in virtue of a resolution; and the parties of the second part
have affixed their seals and signed their names.
SEAL             HENRY  YATES, Jun.,
ofEAL                     Treasurer of Union College.
Union College.            ARCHIBALD  McINTYRE,
J. B. YATES.
" Interlineations being made before execution, and all acknowledged in my presence by Archibald McIntyre and Jolln B. Yates.
WM. JAMES.
" Having examined the above contract, I consent to and approve
of the same.                              ELIPHALET  NOTT."
The aresaid 2  per cent grant granted by law  to lottery  managers,
for services and expenses,* was uniformly paid by the State to the
managers of the literature lottery till, the supervision and management thereof was, under the act to limit the continuance of lotteries, transferred to Union College.
This same supervision and management was by said college tranlsferred to its President, and with that transfer this same 2.1 per cent.
was, as appears, placed at his disposal, as set forth in the above
contract; and'this not only in consideration of his assuming personally said supervision and management, but also in consideration
of his becoming personally responsible (a responsibility  in which
no other trustee was found willing to participate,) for the payment
of $95,780.61, to other institutions, for the extinguishment of
their claims against said lottery; and in consideration also, of his
becolning personally  liable for those other indefinite contingent
claims to which he must be exposed in consequence of the State's
being now absolved from all responsibility. But though this great
additional responsibility was assumed by the President in assuming
the supervision and management of said lottery, it appears from his
report to the trustees, to have ever been his intention, after providing for expenses, services and hazards, to appropriate his entire
interest in whatever remained of said per centage (usually styled
* An Act relative to the managers of Lotteries, passed April 13, 1813.
SEC. IX.;" And be it further enacted that on the settlement of the accounts of the several
lotteries hereafter to be drawn in this State, the Comptroller shall allow 15 per cent on the
sum raised by each lottery to the said managers, in lieu of all compensation for services and
expenses in conducting the draWings of the same," 15 per cer:t on the amount raised in a
lottery, being 2.1 per cent on the amount of the tickets, at their scheme price, contained therein.




108  APPENDIX K. SUMMARY OF ACTS) CONTRACTS AND DOCUMENTS,
the President's fund,) to Union College, or some kindred institu
tion connected therewith, as well as his interest in $8,500 drawn t'
a lottery ticket, which though private property he had long sinc,
caused to be placed without consideration in the hands of the
treasurer.
Under this contract, Yates & McIntyre having elected to pay the
sum stipulated, with. interest, in ten equal annual payments continued to operate successfully till the 4th of January, when in consequence of their extensive speculations, they became exposed to
bankruptcy, and applied for assistance to the President of Union
College in the words following:
APPLICATION OF YATES & MCINTYRE TO E. NOTT FOR ASSISTANCE.
Rev. E. NOTT, President of Union College.
Sir: We have stipulated, as you are aware, to pay the trustees
of Union College the sum of two hundred and seventy-six thou
sand dollars, -within ten years, with interest, annually, for and in
consideration of their transferring to us their rights in the grants
made by the act to limit the continuance of lotteries. It has become necessary that we should inform  you, that such have been
our losses that we have no reasonable prospect of being able to pay
the sum stipulated, or even to pay the prizes in the lottery now
pending, unless we can procure immediate pecuniary assistance
to a large amount. If such assistance can be procured, we are confident that we shall be able to fulfill our contract with the college
and save ourselves harmless.
*   In view of these circumstances, we have thought it our duty to
propose that YOU AND THE TREASURER SHOULD RAISE FOR OUR IMMEDIATE RELIEF ONE HUNDRED THOUSAND DOLLARS, TOGETHER WITH
SUCH FURTHER SUM AS MAY BE NECESSARY TO SUSTAIN OUR CREDIT,
until we can be fully relieved, by converting our property into
money, and collecting the amounts due us, which are still good,
but merely delayed in consequence of the general pressure. And
in consideration thereof we are WILLING TO STIPULATE TO PAY YOU
SUCH ADDITIONAL SUM AS SHALL, TOGETHER WITH THE $276,000'FOR
WHICH WE ADMIT WE ARE NOW HOLDEN, AMOUNT TO ELEVEN PER CENT.
ON THE WHOLE AMOUNT OF TICKETS SOLD, OR TO BE SOLD BY US) UNDER
SAID ACT; the same to be paid estimating the per centum  on the
tickets sold at their scheme price in each class, and in all the classes
hitherto drawn) as well as those hereafter to be drawn, under said
act, imimediately after the drawing thereof:
" With respect, we are,
" Your obedient servt's,
"c YATES & McINTYRE."




APEPNDIX K. SUMMARY OF ACTS, CONTRACTS AND DOCUMENTS.  109
The relief solicited by Yates & McIntyre, to the extent of $100,000, was at once provided, and a short time thereafter $40,000
more was provided by the president, (Chancery Docs,. ~ 98.) togeth
er with other and subsequent sums to a very large amount.
Having been thus sustained, Yates & Mcintyre prosecuted successfully the drawing of the literature lottery (the only lottery in
which the college was.interested,) to its close. This close took
place Nov. 10th, 1827, (Chancery Docs. ~ 170.) The accounts for a
final settlement with the college and the president were made up
by Yates & Mcintyre themselves to the 1st of August, 1828,
(Chancery Docs. ~ 204.) and a final settlement was effected on the
6th of December, 1828, as follows: (Chancery Docs. ~~ 229, 230.)




S C H E P U L E ])..-FINAL SETTLEMENT WITH YATES & MCINTYRE. 
[From  the sworn bill of A. McIntyre and J. B. Yates.]
Dr.                     Trustees of Union College.                                             College Fand, (83 per ct. on each scheme.)                Cr.
_.                              I~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~V
Int. at 7 peri CLASS                                   8 per ct. on Int. at 7 per 
PAYMENTS.   cent to 1st  when                                                     cent, to 1st
each scheme.
Aug. 1828. drawn.                                                   Aug. 1828.   W
1823,                                          Tesr1823,
May  31 To Cash paid Henry Yates, Treasurer..........$4,450 60   $1,609 46 May  20 By Literature Lottery, -1 class,...   $4,581 50    1,666 77   rI
July  30"  do  paid by A. E. Brown.....     1,035 30       362 50 July  23 "       do             2  "          8,575 00    3,014 59       l,, ",    do           do...........    4,330                   "    261"  Albany,           1 "           1,065 75        374 02
Aug.  2"  do  paid Treasurer, $1,000-3,000,...............        4,000        2,915 50 Oct.  151  Literature Lottery, 3              9,432 50    3,165 64
Oct.  18"  do            do...............    9,163 00    3,069 86 Dec.  3"           do             4...   12,005 00    3,916 96    y
Dec. 11"  do             do................   11,662 00    3,786 80 1824, 
1824,                                                                                     Jan.  7         do             5'...    8,575 00    2,741 14    O
Jan.  22    do...............    8,330 00    2,638 53 Mar.  17I"        do             6'...   14,971 25    4,582 10    i
Mar. 29"  do................   14,543 50    4,417 17 June 16            do             7 "...   23,954 00    6,912 06.
July   4"  do  d'fttoJ. W. Francis........................    5,311 00    1,514 96 Aug.  18              do             1, 1824,..   14,971 25    4,142 48
Sep.  I 1"  do  remitted I. Yates,.......................      17,958 60    4,923 63 Oct.  20"         do             2 "...   14,971 25    3,961 97    o
1825,                                                                                     Dec. 15"        do             3"...   14,971 25    3,801 24
Apr. 13"   do            do...........................  103,492 72   23,886 66 1825, 
~~~~~~~~~
1826,                                                                                     Apr.  6 "       do             4 "~         14,971 25    3,475 81 
May   8"' do  paidH. Yates...............................         3,000 00       486 41 July  20,"       do             1, 1825,..   23,954 00    5,081 58    q
1827,                                                                                     Sep.  20"'      do             2  "c.      20,020 00    4,009 55      W
Jan.  31";  T. Gardiner's Bond and Mort. dated,...............    7,000 00       735 00 1826,'"  Isaac Riggs' note, due 17th Feb...................  1,500 00       157 50 Jan.  19         do             3  "...   49,665 00    8,807 26 
"~ Archer's Bond and Mort. with int. fr. 7th Dec., 1827,   16,000 00     726 98 Feb. 22"         do             1, 1826,..   11,977 00    2,040 09' 
May  25"  Three Bonmds of   oll. ofus, with  t. fr. 2th Oct. 1826. ns 20,000 0            Apr.  5"        do             2...    8,982 75    1,458 43
payt  assumed by us, owith int.P   a    u              00        1,656 66 June   1          do            3...   14,971 25    2,270 32
June   5"  Bond and Mort. of Rob't Richardson,................    4,1)00 00   322 78 July  19'        do             4            11,977 00    1,704 72
Aug.  4"'  do            do    A. B. Shankland,..............     4,000 00       277 66 Aug. 30          do             58,982 75    1,206 91 
"    15 "  D'ft of L. Bebee, due 17th Sep........... $2,500                          Nov. 29"        do             6 (or Con. 
IC do           do   "        ".........   1,181                               1827,                           1, 1826,)   23,516 50    2,752 73
"  do          do   "  21st  "I..........  1,200                                Jan. 31   New-YorkConsol. 2"...   11,539 50    1,213 90
Sep.  6"  do             do        9thOct.,.........    700                               May  23         do             1, 1827,..   14,271 25    1,187 67
"  do          do   "  15th..  1,500                               June 1           do.        2 "...   11,736 37          931 08'  do          do   "  19th  "........   2,000                                  "    271"      do             3...    8,484 52      648 35?' do            do   "  24th  C..........    633                                July  181"     do             4  "...    8,462 65        613 63




Nov.  1 "  do           do   "  25th Nov..........00                                   Aug. 15 "       do        X...    8,462 6     3 569 34'C do          do   "  20th "..........   750                                 Sep.   5 "c    do              6 "...   12,759 60         806 33
"  do          do   "  "..........   550                             C"  26"         do             7     "      10,851 75       641 46
"  do          do'"  "........     582                             Oct.  171"      do             8"... 10,676 75             580 59 
"  do          do   "  15th'".......... 1,000                                Nov. 10|"   do                 9 "... 18,665 94            943 67    M
I"  do         do   "  20th"..........    700 
"  do          do."  21st  ".......... 2,383                                    P
" do           do'"  25th".........   800
-      19,530 00    1,025 22
Dec. 31 c"  26 per ct. on $19,530 paid L. Bebee,...............    488 55        19 93
1823,
Feb. 11   Cash paid L. Bebee, bal. int. due 25th Dec.........      329 53        10 69  
O1827,                                                                                                 8T per ct. on $4,948,597.. $433i 002 23  $79,231 39 
Oct.  15' Bond and Mort. of John B. Yates................      55,000 00    3,052 81                    
Dec. 31' Our note to A. Terhune, due 14th July, 1827.......    2,000 00         146 52          By Balance, Princip...........   115,877 73
" Balance,.........................................  115,877 73   12,506 16                        Interest,...........    21,506 16
$433,002 23l $79,231 39                                                        $137,383 89
h'1                                           i........_.........-  0
1(eceived notes for the above Balance, according to the annexed list, which when paid, will be in full of all demands against Yates and McIntyre, arising out of    3
their original contract with the Trustees of Union College, made on the 29th day of July, 1822, us der the act to limit the continuance of Lotteries, passed April 5th,    Q
1822; and also, out of a special stipulation by them made, to provide for the payment of prizes in the class No. 3, for 1825, of Literature Lottery, drawn 19th January, 1826, and in consideration of the personal responsibilities to be assumed by the President and Treasurer of Union College, in order to sustain the contractors in the    o
further performance of their contracts.                                                                             (SIGNED.)    ELIPHALET NOTT.
For the College Fund.          Notes giveiin —dated  1st August, 1828.
$5,000  with interest to 1st Feb. 1830,     18 mo's $525    $5,525         $5,000 with interest to 1st April, 1831         32 mo's    933 33  $5,933 33    r
5,000      "         1  Mar.   "           19  "    554 16 5,554 16'    5,000          "       1  May,  "'  cc                        9632 50   5,962 50 
5,000      "         1  April,  "          20  "    583 33 5,583 33.       5,000       "       1 June,  "                 34  "       991 66   5,991 50    t
5,000      "         1  May,  "            21  "    612 49 5,612 49        5,000       "        1  July,                  35  "     1,020 83   6,020 83 
5,000      "         1  June,  "           22  "    641 65 5,641 65        5,000       "       1 A        cug    "        36  "     1,050       6,050,, 10A~g.,,',',   i oo                   6,oc
5,000      IC        1  July,  C           23  "    670 82 5,670 82        5,000               1  Sep.   "                37  "     1,079 16   6,09 16
5,000      "         1  Aug.  "            24  "    700     5,700          5,000       "       1  Oct.    "               38  "     1,108 33   6,108 33
5,000      "         1  Sep.   C           25  "    729 16 5,729 16        5,000       "       1  Nov.'                39  "     1,17 50    6,137 50    X
5,000      "C        1  Oct.               26  CC   758 33 5,758 33        5,000       "       1  Dec.   "                40  "     1,166 66   6,166 66
5,000      cc        1  Nov.  cc           2 "    787 50 5,787 5..                                                                                            4
5,000     I"         1  Dec.   "           28  "    816 67 5,816 67   $115,000                                                                               cn
5,000      "         1  Jan. 1831,         29  "    845 84 3,845 84    22,383 89               1 May, 1828,               45'    5,875 80  28,259 69
5,000      "         1  Feb.  "            30  "    875     5,875 
5,000    I"          1  Mar.  "            31 "    904 17 5,904 17   $137,383 89 Prin. and Int. to 1st Aug. 1828.                 $25,329 89 $162,713 78 
-.= _. —~  =;-                                                                                                            -r  r R    - _    y ~-K_ T-|i



i-i
S C H E D U L E D.-FINAL SETTLEMENT WITH YATES & MCINTYRE.-(Continued.)
Dr.                                 Trustees of Union College,                                       President's Fund.
Int. to Aug.                                                     2A per ct. on  Interest.      W
18yments.  1528.                                                Classes.
1822, May 31 To Cash.............................. $1,309        $473 42 1823, May 20 By Lit. Lotery, 1st Class.............    $1,178 10    $428 58
July 30 To do...........................             304 50       106 63       July 23 By do            2    c"...........    2,205             775 18
c   o do..............................    2,450              857  97       c    26 By do Albany,........... 274 05                        96 19 
"   "To  do.. 2,450  857 97.     26By  do Albany,  1...27405                    96 19
Oct. 18 To do..............................    2,695     902 891   Oct. 15 By do              3    "...........    2,425 50          813 85
Dec. 11To do.............................    3,430              1,113 79       Dec.  3 By do            4    "...........    3,087          1,007 23    <
1824,Mar. 29 To do..............................        2,450           744 11 1824, Jan. 7 By do             5    cc...........    2,205           704 86   o
c To do..............................    4,277 50    1,299 171          Mar. 17 By do            6    ~"...........    3,847 75   1,178 26    i
Sep.  1To  do..............................    6,844            1,876 39!   June 16 By  do             7...........    6,159 60   1,778 59
1825, Jan. 11 To  do............................        9,173 25    2,283 13        Aug. 18 By do            1    "for 1824,            3,849 75   1,065 17
April 13 To do..............................    3,849 75  888 28      Oct.  20 By do           2...........               3,849 75   1,018 78 
Aug.  6 To do..............................    6,844              1,430 571    Dec. 15 By do             3...........    3,849 75         977 59
Oct. 10 To do..............................        5,148         1,012 01 1825, April 6 By do           4...     3,849 75       893 76 
1826,Mar. 18To  do..........................           3,079 80       510 81       July 20 By do            1    " for 1825,          6,159 60   1,306 70   z
June 18 To do................................    6,936 60    1,029 10          Sept. 20 By do           2    "..........           5,148       1,031 07
July   3To  do..............................    7,000            1,018 11 1826, Jan. 19 By do            3...........   12,771          2,264 72
1827, Jan. 31 To do..............................               5,00    525          Feb. 22 By do            1    " for 826,           3,079 80       524 58
April 5 By do            2    "...........    2,309 85          375 02
June I1 By do           3    cc...........    3,849 75          583 88
July 19 By do           4    "...........    3,079 80         438 38
Aug. 30 By do           5    "...........    2,309 85         310 32   b
Nov. 20 By do           6...........    6,047 10        707 82
1827, Jan. 31 By N.,Y. Con'd 2    "...........    2,967 30          312 13    0
May 23By do             1    " for 1827,          3,669 75       305 39   0
June 12 By do           2...........     3,017 93       239 42
June 27 By do           3    "...........    2,181 74        166 62    j
July 1S8By do           4    "...........    2,176 11         157 81   t
Aug. 28 By do           5    "...........    2.176 11         150 61`3
Sep. 5 By do            6    "...........        3,281 04       207 34
Sep. 26 By do           7    "...........    2,790 45        164 94




Oct. 17 By do           8    c".......     2,740 45:Nov.10 By do           9...........    4,799 81         242
70,791 40    16,071 391                                                       $111,343 44  $20,378 48    d
3lafBnce.................    40,552 04    4,307 09 o 
_ao.........._[Balance Principa...............  $40,552 04
$111,343 44  $20,378 48                   do    Interest..................       4,307 09
I" -$                 i_ _Interest on Notes, added thereto.......    4,321 49
Total amount of  Notes...........              $49,180 62
Recd New-York, December 6, of Yates & McIntyre, their nine several Notes of hand to me, dated 1st August, 1828 according to the annexed List thereof and 
amounting to forty-nine thousand one hundred and eighty 62-100 dollars which when paid will he full of this account current.           ELIPHALET tOTT. 
LIST OF NOTES,
Given to Dr. Nott, dated 1st of August, 1828, for the  President's Fund, viz:
Principal,                                                                               Interest,           Amin't  otes.
$5,000 with interest to 1st June, 1829, 10 months,...............................    $291 66              $5,291 66
5,000                  1  July,        11..............................        320 83              5,320 83                           U
5,000                  1  Aug.         12     c...............................        350                 5,350
6,000                  1  Sept.        13    cc.............................. 379 16                      5,:379 16                          o
6,000                  1  Oct.        14   "'..............................         408 32              5,408 32.
5,000                  1  Nov.         15    "........................     437 49              5,437 49
5,000                  1  Dec.         16..............................    466 66                  5,466 66
5,000                  1  Jan. 1830,  17    cc..............................         495 82              5,495 82 -~
4,859 13               1  Jan. 1832, 41    ".......... 1,171 55                 6,030 68
$44,859 13                                                                            $4,321 49            $49,180 62
_                                              ~ -~




114 APPENDIX K. SUMMARY OF ACTS, CONTRACTS AND DOCUMENTS.
In this settlement, the entire amount paid in behalf' of Union
College and the other institutions under the original contract of
July 29, 1822, exclusive of interest was $276,M90.14. It Awias as calculated by Prof. Gillespie, (p. 44,) including interest $414,367.
The additional amount paid under their stipulation of January 4th,
1826, with the president, as above set forth, including interest,
was $104,143.89. The total amount paid under both contracts was,
as appears from receipt, $512,233.62. (Chancery Docs. ~ 229,)
This settlement was made under the assumption that the literature lottery contained $4,492,800, worth of tickets, (Chancery
Docs. ~ 228a.) which was, however, afterwards adjudged not to be
the case.
During the drawing of the literature lottery, an act having been
passed for the sale of ticket in the Albany land lottery, an overture
was made to Dr. Nott, in the words following: (CGhanc. Docs. ~ 111.)
OVERTURE OF YATES & MCINTYRE TO PAY SIX AND THIRTY-ONE
ONE-HUNDREDTHS PER CENT.
NEW-YORK, JMay 30th, 1826.
REV. SIR: In order to bring all the lotteries of the State of NewYork to a close, within the time for closing the Literature and
Fever Hospital Lotteries, the Legislature have passed an act hold,
ing out strong inducements to the subscribers to accept of the conditions of the same, entitled "an act to enable the nlayor, aldermen, and commonalty of the city of Albany, to dispose of tickets
in a lottery, heretofore granted, and to limit the continuance of the
same," passed 13th April, 1826, under which act the subscribers
have made a contract in the execution of which they hope to be
able to indemnity themselves for the heavy losses they have heretofore sustained; which contract, however, they cannot execute without
your consent and co-operation, as it will require a further continuance of the heavy personal responsibilities assumed by you on our
behalf. And on such condition that such consent and co-operation
is granted by you; we hereby STIPULATE AND ENGAGE that, (after
having drawn for the college $2,001,099 worth of ticlkets, reckoned at their scheme price, of actual sales, and $1,654,497 worth of
actual sales, for our own benefit as assignees of the Fever Hostital
Lottery,) we will, within ninety days after the drawing of each
subsequent class, after the drawing of said two sums, deposit to your
credit, in such bank as you shall designate, SIX AND THIRTY-ONE
ONE HUNDREDTHS PER CENTUM on the gross amount of all tickets
actually sold therein, together with the interest accruing thereon
from the day of drawing.
(Signed,)                    " YATES & McINTYRE."
(Chancery Docs. ~ 259.)




APPENDIX K. SUMMARY OF ACT$S CONTRACTS AND DOCUMENTS. 115
To which the following answer was returned: (Chancery Docs.
~116.)
" UNION COLLEGE, June 10th, 1826.
"GENTLEMEN: To the written propositions submitted in youi
letter, dated May 20th, in regard to the contract you have made
under an act entitled'an act to enable the mayor, aldermen and
commonalty of the city of Albany to dispose of tickets in a lottery
heretofore granted,' and to limit the continuance of lotteries, passed
April 13th, 1826, I hereby commmunicate my acceptance; and
you will consider this as evidence of' my consent, and the pledge
of my co-operation granted on the terms contained in the proposition submitted.
"' Very respectfuly yours, &c.,
"' E. NOTT."
" Messrs. YATES & MCINTYRE."' And this I do the more cheerfully, as the trustees of the college
are not made parties to the contract under the aforesaid act of
April 13th, 1826, and will not therefore be considered responsible
for the hazard which may arise from proceedings had under it.
"Very respectfully yours, &c.
" E. NOTT, as President."
This stipulation was modified May 31, 1829, and again modified,
uIly 15, 1830, as follows: (Chancery Docs. ~ 378.)
STIPULATION OF YATES & MCINTYRE TO PAY FIVE PER CENT.
" Whereas, the claims of Union College against the subscribers,
Yates & McIntyre, arising out of their contracts under the law to
limit the continuance of lotteries, passed the 5th of April, 1822,
have been fully paid, or provided for, by notes given August 1,
1828, when said contract was cancelled; and whereas, the stipulation
of the subscribers entered into with Eliphalet Nott, on the 30th of
May, 1826, under the "act to enable the mayor, aldermen and
commonalty of the city of Albany to dispose of tickets in a lottery
heretofore granted, and to limit the continuance of the same,' passed April 13th, 1826, was for and in consideration of personal services rendered, or to be rendered, and hazards run on our account;
and whereas; the hazards are diminishing while the difficulty of
conducting the lottery are increasing therefore, in lieu of said
stipulation, entered into on the 30th of May, 1826, and of all
the personal demands arising as aforesaid, out of the services
rendered and hazards run by said Nott for us, in regard to so
much of the consolidated lottery as shall have been or be drawn
after the first day of May last, the subscribers promise to pay to
said Eliphalet Nott, within ninety days after the drawing of each
class, drawn as afbresaid, after the first of May last, five per centum
on the gross amount of tickets sold therein.
"YATES & McINTYRE.
C" JVew- York, July, 157, 1830."




'1 16 APPENDIX K. SUMMARY OF ACTS, CONTRACTS AND DOCUMENTS,
Though the overture for obtaining assistance was made by Yates &
McIntyre during the drawing of the literature lottery, in which alone
Union College had any interest, neither of these stipulations were
entered into till this lottery was fully drawn, and a final settlement
made with the college in relation thereto. Under this latter stipulation, Yates & McIntyre continued to account until the 26th of
January, 1832, when they refilsed to do so any longer; in consequence of which the president filed his bill of complaint, in which,
without the consent or even knowledge of the trustees, he joined the
College as plaintiff.
To THIS BILL YATES & MCINTYRE FILED A DEMURRER, assigning
as a cause, " That it does not appear that the trustees of Union
College have any interest in or title to the relief sought by the said
bill, or any equity which entitles them to any discovery from these
defendents." In this demurrer they say, " The consideration of the
written contract of the 10th of June, 1826, formed by the overture of Yates & McIntyre, and the letters of E. Nott, if any there
was, flowed exclusively from E. Nott, in his individual capacity.
The letter containing the pledge of his co-operation was written
by him  in his individual capacity.  The corporation was to
do nothing, and to risk nothing; and consequently was to receive nothing, more than the moneys previously engaged to be
paid to it. The per centage of 6-3A'- was not to commence until
after the full amount of those moneys, and of the Fever Hospital
grant should be paid, and from its commencement, it was to be deposited, not to the credit of the treasurer, like the 83 per cent.,
nor the President of Union College, like the 21 per cent, but to the
credit of' your oratqr, Eliphalet Nott,' in such bank as he should
designate. So far, therefore, as the written agreement of the 10th,
of June, 1826, secures the payment of the per centage now claimed, (and it is only in this respect that it is at all material in the
present suit,) it was evidently intended, and is represented in the
bill, for the personal benefit of E. JVott as an individual."  (See
Yates S JMcIntyre's demurrer, page 27.)
" The acts done by E. Nott, and by him and Yates & McIntyre,
in reference to moneys now in controversy, and more especially the
subsequent modifications of the contract of June 10th, 1826, are




APPENDIX K. SUMMARY OF ACTS, CONTRACTS AND DOCUMENTS. 117
all of the same character. They proceed on the assumption, that
the present and absolute title to all the monies agreed to be paid by
Yates and AMcIntyre, as per centage, on the contingent remainder
of the' consolidated lottery, was vested, by the contract, in E.
Nott, in his individual capacity, and that the trustees of the college
had no interest in, or control over, such per centage." (Demurrer,
page 29.)
"The per centage of $6 -30-' is treated as one in which the college
had no control. It is to be paid pmartly in money deposited to the
individual credit of E. Nott. (Demurrer page 30.)
With respect to "E. Nott's argreement with McIntyre to accept for the future five per cent, and the paper subsequently sent
by him in the execution thereof, the same remark as before is applicable; to which it may be added, that the agreement and letter
both proceed on the assumption that the affair to which they relate
was purely a private one between Yates & McIntyre and E. Nott."
(Demurrer, page 31.)
The treasurer cannot present what followed more intelligibly to
the board than by transcribing a portion of the reply of the committee appointed on the part of Union College to confer with Hamilton College on this whole subject.'; The lottery question," (as appears by their statements,) "having been referred to the Attorney-General, (see Assembly Doc.,
vol. 4, p. 10,) by the Legislature, he reported that the whole amount
of tickets contained in the literature lottery, in place of being
$4,948,597 worth, as had been supposed, was only $,3,693,800
worth, making a difference of $1,250,797 worth of tickets in lottery,
and of $138,027 in the amount of per centage to have been paid
by Yates & McIntyre. Whereupon Yates & Mcintyre filed. a bill
in Chancery for the recovery of this excess of per centage, claimed
to have been paid in error.
"After considering the report of the Attorney-General, and perceiving if said lotteries contained only $3,693,800 worth of tickets,
that there was no contingent residue when the stipulation of tl e
24th January, 1836, was entered into, and'of course that the stipu
lation of May 31st, predicated on such residue, must be invalid;
a negociation was, by advice of counsel, opened with a view to
effect an amicable settlement, and thus prevent a protracted and




118  APPENDIX K. SUMMARY OF ACTS) CONTRACTS AND DOCUMENTS.
expensive litigation, when it was found that Yates & Mcintyre
would on their part, agree to cancel their entire claim  against
Union College fir all payments made in error, provided the college
would surrender to theni certain evidences of debt amounting to
$126,037.57, ant further that they would agree to pay $1 50,000 in
ten years, in installments, provided the claim against them for the
payment of per centage under their stipulation entered into July
15 5,1830, with Dr. Nott, for personal advances, hazard, &c., was
cancelled; and it was also found that Dr. Nott would, on his part,
also agree to cancel said stipulation on said terms.' Whereupon an article of agreement was entered into between the
Trustees of Union College and the president, setting forth that the
$150,000 to be receivedfrom Yates S JMlcIntyre, was to be received on
account of the stipulation aforesaid entered into with him for personal advances, S'c., and for the recovery of which, said suit had been
commenced, and that the same was to be accountedfor to him on a
final settlement.
" After which a tripartite agreement, on the conditions above set
forth was entered into between Yates & McIntyre, the trustees of
Union College, and the president of Union College, in which the
parties severally agreed, not only to discontinue the suits which had
been commenced, but also to relinquish all cause of future suits,
arising out of said lottery transactions.
"' The president of Union College having by great personal exertions
and at great personal peril, (in bohich no other trustee was found willing
to participate, and which all considered in him rash and even presumptuous,) succeeded in sustaining the credit of Yates and AlcTntyre,
till the entire Literature lottery was drawn, and having also succeeded in securing from said lottery, after paying all expenses, a
considerable surplus to be divided between the colleges, it was felt
that Union College, whose interest had been so greatly and gratui
tously promoted by hazards assumed by him in its own behalf,
would therefore come forward with an ill grace to claim to share in
the avails, if any there should be, of hazards subsequently assumed
by him in behaulf of others, and however frequently the trustees of
Union College may have expressed their sense of the indebtedness
of said college to its president for his interference as aforesaid, still
they deem it proper distinctly to state that they neither received,
nor claim to be entitled to receive the compensation stipulated to
he paid to the president of said college in the form of per centage
for moneys, advances or hazards run by him in behalf of Yates and
McIntyre."                                 J. P. CUSHMIAN.
A. C. PAIGE.




APPENDIX K. SUMMARY OF ACTS, CONTRACTS AND DOCUMENTS. 119
To which may be added what follows from the report of the
select committee:
c" It has appeared to your committee
" That the embarrassments of Messrs. Yates and McIntyre, according to their own statements, arose firom speculations entered
into by them apart from the lottery business, and wholly unconnected with Union College.
" That such was the nature and extent of their embarrassments,
that they would have been ruined, but for the timely and efficient
and continued aid afforded them by the President of the College.
That the contracts made by themi with the president, were upon
adequate and full consideration; and that the frequent changes
complained of by Yates & McIntyre, were in fact made at. their
urgent request; and that the repeated modifications have invariably been in their own flavor. That the president has furnished
extensive means, performed important services and run great personal hazards, for thle contractors on their repeated applications,
and this evidently witltout any sinister motive, without the design of
personal gain; but for the sole purpose of aiding the contractors,
and of securing and advancing the interests of Union College, or
some kindred institution connected therewith. That the course of
tilhe president thlroughlout all the novel and difficult emergencies
which ]lave occurred in conducting this whole business, has been
marked by fairness and liberality towards the contractors, and
by firmness, sagacity and disinterested zeal for the interests
of the college and of education.  That the full powers with
which he was invested by the trustees, have been exercised with
wisdom and success; and from the information they have received
of his views in relation to this whole subject, your committee are
of opinion that the interests of the college and of science require
that these plenary powers should be continued.
" Your committee therefore recommend, that the present treasurer
of Union College he authorized, by and with the advice of the
financial committee, to perform hereafter, in any transactions springing out of the supervision of the lotteries, all the acts that the former treasurer was authorized to perform. That by and with the advice of the financial committee, he receive from the president any
bonds and mortgages, or other property, taken by him during the
supervision of said lotteries; and co-operate with him so far as
may be, in the investment and management of any funds that have
been or may be hereafter received by him in consideration of per



120  APPENDIX K. SUMMARY OF ACTS, CONTRACTS AND DOCUMENTS.
sonal services rendered and hazards ran; but which funds are intended for the ultimate benefit of Union College, or some kindred
institution connected therewith.
o "All of which is respectfully submitted,
W. L. MARCY,
SILAS WRIGHT, Jr.
JOHN P. CUSHMAN
Committee.
"All which is respectfully submitted,
ALEXANDER HOLLAND, Treasurer.
Schenectady, July 26th, 1852.




WHEREUPON THE FOLLOWING RESOLUTIONS. WERE ADOPTED.
I. Whereas the 2- per cent granted by law, and uniformly paid
to lottery managers for services and expenses, was by contract,
placed at the disposal of the President, in consideration not only
of his assuming, personally the supervision and management of the
Literature Lottery, but in consideration also of his becoming personally responsible for the payment of $95,780.61 to other institutions for the extinguishment of their claims against said lottery, and
in consideration also of his assuming personally, in behalf of the
institution, other and greater responsibilities, as hereinbefore set
forth: See p. 104 and 109.
And whereas it appears from his reports to the' Trustees that it
has ever been his intention, after providing for expenses, services
and hazards, to appropriate to Union College or some kindred institution connected therewith, his entire interest in whatever remained of said per centage, as well as his entire interest in $8,500
heretofore drawn by a lottery ticket, which though private property,
has been deposited, without consideration, in the hands of the Treasurer of this Board: See annual report to Leg: April 19th, 1823, p. 7.
"Therefore, resolved, That all amounts arising from  either
of the aforesaid sources, or otherwise, which have been deposited
with the Treasurer, by the President, without consideration; be
passed to his credit in the books of the college, and accounted for
to him by the Treasurer with the assent and concurrence of the two
other members of the finance committee on a final settlement, that
the same may be included in the special fund instituted by him in
conformity to his reports to this board, July 1831, 1832 and 1833;
(see pages 32, 33, 34,) in conformity to an act of the Legislature,
passed 14th May, 1840, authorizing certain trusts, and an act passed
May 26, 1841, amending the same; and in confbrmity to the resolutions of this board, passed July 26th, 1837, and July 27, 1841.
(Book of MJinutes JV'o. 3, page 122.)
II. Whereas the only stipulation ever entered into by the President of Union College with Yates & McIntyre in which the college wqs
made jointly responsible, and therefore entitled jointly to share in
the profits, if any, was that of Jan. 4, 1826, (Chan. Doc. ~80,) p. 108,
modifying the original contract with said firm, of July 29, 1822,
(Chancery Docs. ~29;) and whereas Union College has not, and never
had, any interest in or control over the Fever Hospital Lottery, the
Albany Land Lottery, or any other lottery drawn after the 10th Nov.
1827, when the Literature Lottery closed; (Chancery Docs. ~170:)
And whereas the above recited stipulation entered into by Yates &
McIntyre, May 30, 1826, to pay to Eliphalet Nott, 6 -30-l per cent;
(Chancery Docs. ~259,) and also the above recited stipulation of July
15, 1830, substituted for that of May 30, 1826, to pay to him 5 per
cent out of profits of lotteries to be subsequently drawn, were in consideration of advances made, services rendered and hazards run by
him personally in their behalf, in which the college had no interest;
and whereas, the said E. Nott, has nevertheless signified, in his re



ports as President, heretofore made to this board, that it was his
intention, "after providing for expenses, services and hazards, to
appropriate the residue of the avails of said stipulations to Union
College, or some kindred institution connected therewith:" p. 114
and 115.
Therefbre resolved, That any payments arising out of said stipulations that have been, or may hereafter be received by the Treasurer of Union College, be also credited to the President, and accounted for to him by the Treasurer, with such assent and concurrence in said final settlement, that the same may also be included
in said special hind instituted by him as aforesaid, in conformity to
the resolution by this Board passed July 26, 1837. p. 48.
The resolutions referred to above are as follows," Whereas, Dr. Nott has signified to the committee his readiness to transfer to Union College, not only its entire portion of
said lands, bonds and mortgages, to be held in its own right, but
also the portion belonging to himself, on the terms heretofore set
forth in his reports to this board for the years 1831 and 1832, as
soon as the same shall be definitively ascertained.   *    * 
"And further, that the treasurer be also authorized to receive
from Dr. Nott in like manner, the remaining portion of said additional amounts which shall be found to belong to him, and enter
the same in a separate fund, to be denominated Dr. Nott's Fund,
and to be held and applied conformably to to the aforesaid report
of Dr. Nott to this board, of July, 1831, and that a separate annual report be made, hereafter, thereon to this board."
I certify the above to be a true extract from the minutes of the board of trustees of Union
Cpllege, at a meeting held at Schenectady, July 26th, 1837.
Nov. 28, 1851.                     L. H. WILLARD, Acting Register.
In conformity to the above resolutions, and that the balance,
when ascertained, may be carried to the special fund in question,
for the use of Union College, as set forth in said report of Doctor
Nott, the subjoined account has been made out as directed by the
board of trustees, July 26, 1852.




DR.            Dr. rE. YJott in account for special deposits made with Treasurer of Union College.     CR.
1819.
July  8. By cash,....................      $8500 00
By interest to July
22,1845......  $15,493 13
1830.
Nov. 15. By cash,........                  42,000 00
By interest,......   37,292 72
1834.
July 2. Stuyvesant Cove,*
(mort'ge on half,)              75,225 32
No interest.
1837.   By cash on Yates'
July 27.   & Mcintyre's Ely
& McIntyre bond
rec'd on settlem't
of suit comm'ced
by E. Nott, for
balance due him
fiom  said  firm
under stipulat'n
of July 1, 1830.
(See stipulation,
page 115,).                     10,000 00
Carried forward, $52,785 85 $135,725 32.* See page 48.




DR.    Dr. E. JVott in account for special deposit made with Treasurer of Union College.-(CONTINUED.)    CR.  A
1837.      Bro't forward,.  $52,785 85 $135,725 32
July 27. By interest,......    5,588 33
Dec. 9. By cash on bond,.                10,000 00
By interest...       5,333 61
1838.
Jan. 10. By cash on bond,.                 5,000 00
By interest,......    2,636 67
May 24. By cash on bond,.                  5,000 00
By interest,......    2,506 39
July 16. By cash on bond,.                3,033 00
By interest,......    1,496 71
Nov. 1. By cash on bond,.                  5,000 00
By interest,......    2,353 75
"  27. By Stuyvesant Cove
(unpaid on half,)              16,367 85
No interest.
1839.
Aug. 1. By cash on bond,.                 17,557 50
By interest,         7,343 36
"  24. By cash on bond,..                     1 76
By interest,...... 70
1840.
Aug. 1. By cash on bond,..                21,840 00
By interest,......    7,605 78
1841.
Aug. 2. By cash on bond,,..                6,860 00




By interest,......    1,908 45
Nov  4. By cash on bond,..                 6,000 00
By interest,......   1,561 00
1842
Aug. 3. Bycash onbond,..                   6,538 24
By interest,......  1,360 66
Dec. 22. By cash on bond,..                2,000 00
By interest,.....      361 67
1843.
Jan. 11. By cash onbond,..                 1,481 02
By interest,           262 35
Mar. 1. By cash on bond,..                 1,478 71
By interest,......     247 53
Aug. 5. Bycashon bond,..                   6,277 21
By interest,           862 94
1844.
Feb. 10. By cash on bond,..               59,007 19
By interest,.        5,989 23
1845.
May  1. By cash on bond,..                 1,025 20
By interest,...       17 94
Interest on acc't,..          100,222 92
1845..
July 22. Balance carried forward....... $410,415 92                                            $410,415 92,_




DR.    Dr. E. JV'ott in account for special depostts mnde with Treasurer of Union College.-(CoNTINUED.)    CR.    M
1846.                                                    1845.
June 5. To Stuyvesant Cove,*.......   $1 50,225 42   July 22. By balance brought forward,.... $410,415 92
To int. from Nov.                                        By interest to July
27,1838, to July                                         31, 1852,...... $201,822 03
31,1852,on$58,-                               "  28. Bycash onbond,..                       800 00
632.15,......   $53,400 85                            By interest,......      406 00
July 21. To Hunter farm,..                 100,000 00   Aug. 8. Bycash onbond,.                       1,335 67
To  interest from                                        By interest,......     652 65
Nov. 21, 1838, to                                "  31. Bycashonbond,                         680 36
July 31, 1852,....   97,611 06                           By interest,......     329 40
1848.                                                   Dec. 31. By cash on bond,..                    733 48
Sept.21.  To cash,.........                 41,340 57              By interest,......     338 02
Int. to July 31,'52,   11,173 42                1846.
- -...              Apr. 13.  Bycashonbond,..                    1,261 75
Interest on acc't,............  162,185 53            By interest,......      556 43
1847.
June 2. By cash on bond,..                   4,021 31
By interest,....-.    1,452 81
Nov. 1. Bycash on bond,..                    3,998 70
By interest,.         1,329 57
1848.
Sept. 2. By cash on bond,..                  4,286 86
By interest,......    1,174 49
Nov. 1.  By Mohawk Bank
stock, estimated
value including




dividends declared,...........                25,000 00
1849.
May 5. By cash on bond,
balance in full,.             19,873 79
By int. from Sept.
2, 1848, to July
31, 1852......   5,353 20
1852.
July 31.  Balance carried down,.........  232,070 92              Interest on ace't,...........  213,414 60
$685,822 44                                            $685,82'2 44
1852.
July 31. By balance brought down,       $232,070 92
See Dage. 48.
CITY AND COUNTY OF NEW-YORK, Ss:
Alexander Holland, of said city and county, being duly sworn, deposes and says, that the several amounts which
the Treasurer of Union College has, by the direction of the Board of Trustees, received from the President, to be accounted for on a final settlement, and the existing balance in his favor, are, according to the best of his knowledge
and belief, correctly stated in the above account.                                 ALEX. HOLLAND,.lugust 19, 1852.                                                                            Treasurer.
Sworn before me, this 20th day of August, 1852.
WM. H. SPARKS, C(om. of Deeds.




128
RESOLUTIONS OF BOARD OF TRUSTEES IN RELATION TO
TRUST FUNDS, under the aforesaid acts of May 14, 1840, (page 49,)
passed July 21, 1840,. with special reference to the Trust Fund in contemplation from President Nott.
Whereas, by a statute of the Legislature of this State, entitled "an
act authorizing certain trusts," passed May 14, 1840; and by a statute
entitled "an act in addition to the act authorizing certain trusts, passed
May 14, 1840," which last mentioned statute was passed May 26, 1841,
real and personal property may be granted, conveyed, devised and bequeathed
to any incorporated college, or other literary incorporated institution in this
State, in trust; 1. To establish and maintain an observatory; 2. To found
and maintain professorships and scholarships; 3. To provide and keep in repair a place for the burial of the dead; or 4. For any other specific purposes
comprehended in the general objects authorised by their respective charters; which trusts may be created subject to such conditions and visitations
as may be prescribed by the grantor or donor, and agreed to by the trustees, and are to continue for such time as may be necessary to accomplish
the purposes for which they were created.
And whereas, it is desirable that the terms and conditions on which the
trustees of Union College will receive such grants, devises and bequests of
real or personal property for the objects above specified should be known, to
the end that enlightened and benevolent individuals disposed to promote any
of the said objects, may feel assured that their designs will be faithfully and
strictly executed, therefore,
Resolved, That this board will accept the conveyance, devise or bequest
of real or personal property, in trust, for the endowment of a professorship
in any of the sciences, arts or professions, provided such property shall be
sufficient to produce an income of at least one thousand five hundred dollars
annually, upon the following terms, conditions and stipulations:
1. The donor shall be entitled during his life to nominate to the trustees
a proper person to fill such professorship, and if the same be not concurred
in by them, to make other nominations until some one shall be accepted and
agreed to by the said trustees; and any vacancy that may happen to be
filled in like manner.
2. The donor may in the instrument creating the trust, or in any other
writing signed by him, appoint a visitor or visitors to act either in his stead
during his life time, or after his decease, who shall have authority, and whose
duty it shall be to see that the property transferred is safely and prudently
invested and managed, that its income is faithfully applied to the objects of




129
the trust, and that the incumbent of the professorship duiy fulfills all the
duties appertaining thereto.
3. The donor may provide for the appointment of such visitor or visitors
as often as vacancies may happen, in such manner as he may deem expedient; but in case no such provision be made, or the same be not executed
within one year after any vacancy, the trustees of Union College shallappoint
such visitor or visitors with all the privileges and authority, and subject to
all the duties of his predecessor.
4. The visitor or visitors, after the decease of the donor, or during his
life time if authorised by hiMl, shall be entitled to nominate an incumbent to
the professorship in the same manner as herein provided in respect to the
grantor.
5. All nominations of a professor shall be in writing, and shall be made
within one year after the occurrence of a vacancy; and if none be made
within that time, the Board of Trustees may proceed to appoint a profes,
sor without any nomination.
6. The donor may prescribe the name.of the professorship: if not prescribed by him the trustees will give it the name of the donor,
Resolved, That this board will accept the conveyance, devise or bequest
of real or personal property, in trust, for the endowment of scholarships in
Union College, provided such property shall be sufficient to produce an income of at least one hundred and fifty dollars annually for each scholarship,
upon the following conditions:
1. The donor, and such individuals or public bodlesas he may designate,
shall have the right to designate the persons who shall enjoy the benefit of
the scholarships; such persons, however, to be subject to the ordinary discipline of the college, and to suspension and expulsion in the same manner as
other pupils.
2. In case a scholarship shall be vacant for one year, in consequence of
the omission of the donor or those authorised by him to designate a person
to fill it, such vacancy may be supplied by the Board of Trustees.
3. The persons designated shall enjoy all the opportunities for instruetion and other advantages offered by this college to its pupils, and shall receive their board in the commons provided by the trustees, free of all
charges and expenses.
4. Unless otherwise directed by the donor, the scholarships shall be designated by his name.
At a meeting of the Board of Trustees held July 27, 1852, it was
Resolved, That a sum less than $25,000 will be received in. trust by this
Board, as a foundation of a professorship, provided it is understood that the
same shall be allowed to accumulate before said professorship is filled, until
principal and interest together shall amount to twenty-fve' thousand dollars.




130
Resolved, That the fouffder or the visitor or visitors, of funds given for
the foundation of professorships, scholarships, an observatory or cemetery,
shall have free access to the books in which the same are kept; and provided
the founder of a professorship shall waive in his own behalf, and in behalf of
the visitor or visitors appointed by him, the exclusive right of nominating the
candidates for filling the professorship or professorships so founded, he, or
the visitor or visitors appointed by him, shall be entitled to meet with the
Board of Trustees, and to vote on all questions in relation to the filling or
vacating of said professorships, or in relation to the use and management of
said funds.
I certify the foregoing resolutions are correctly copied from the ltecords
of the Board of Trustees.
LEVI WILLARD, Iegister.
RESOLUTIONS OF THE SENATE.
Resolved, That the Comptroller, the Attorney General and John N.
Campbell, one of the Regents of the University, have power to employ a
skillful accountant, and send for persons and papers, to examine into the
pecuniary affairs of Union College, and report upon the same to the next
Legislature.-( Senate Journal 1851, page 526.)
Resolved, That the commission appointed by the Senate on the 12th of
April, 1851, to employ a skillful accountant to examine the pecuniary
affairs of Union College, and to report upon the same, be instructed, themselves, or a majority of them, personally to visit the College, and re-examine the proceedings heretofore had in relation thereto, and to investigate and
report to the next Legislature upon the following subjects connected with
said College:
1. Whether the funds granted by the State to Union College have been
duly applied to the objects specified in the respective grants:
2. Whether the permanent funds so granted remlain entire, and are safely
invested;
3. Whether any funds belonging to the College have been applied to any
personal purpose by the president, or any other officer or person;
4. Whether any and what losses have occurred in the management of
the College, and the causes of such losses;5. Whether the president or any other oiiicer has, while in the employment of the College, participated individually in the profits of any loteries
which were appropriated by the acts granting such lotteries to Union College; and that the commission appointed by the resolution referred to, or a
majority of them, be empowered to employ some person authorized by law
to administer an oath to persons examined by such commission.
On motion of Mr. Babcock, amended by adding the following:
Resolved, That David Buel and Philip S. Van Rensselaer, two of the
Regents of the University, be added to the persons appointed by the Senate
on the 12th of April last, to perform certain duties in relation to the pecuniary affairs of Union College




A.
Act of April 13th, 1813, relative to managers of lotteries,.... 107
cc     "  13th, 1814, granting literature lottery,.... 100, 52
cc     "   5th, 1822, to limit continuance of lotteries, 101, 52
cc    c" 13th, 1826, to enable the Mayor of the city of
Albany to dispose of land, &c.,...................  75
Act for founding an Institute,.......................   32 to 47
Act for holding trust funds,.......................... 49, 50
Acceptance of E. Nott to overture of May 30th, 1826,.... 115
Agreement between President and Trustees of Union College, 81
Agreement, tripartite,.................................  81
Amount granted Union College,....................    100, 104
Amount due the institutions when bought out,.......... 55, 79
Amount paid Union Cojlege for lottery by A. McIntyre and
J. B. Yates,............................  52, 79, 114
Amount paid E. Nott under stipulation of Jan. 4, 1826,..... 114
"    "' by Yates & McIntyre for lottery,.......... 44, 53
"s'        c "          "  supervision,........  45
Amounts provided by E. Nott to purchase out institutions,....  53
or    L"  "   "    to save Yates & McIntyre, 16, 17, 54
Amount paid institutions by E. Nott,....................  53
Amount provided for Yates & McIntyre by E. Nott, 16, 17, 57 to 64
Answer to charge 1, "The truth has been concealed,"...... 6, 62
"   2, Misapplication of funds,.............   8
3, College has received $802,320........  9, 39
"   4, Payments not made for am'ts claimed, 12
5, Charged$150,000, for wha.tcost $17,500, 12, 47
6, $111,000, wrongfully claimed,..... 15, 52
7, Use of college funds indiscriminately as
his own,.   O................. 16, 57
8, Duty to enquire after payments made to
treasurer,............... 19, 65
"(    4"  8, All payments called for as due Union
College,......................    19, 75
Application to E. Nott for assistance,.................... 108




132                         INDZX.
B.
Bought out institutions,..........................        53, 79
Bound in honor to pay,................                   78, 79
C.
Certificate of R. M. Stratton.......    9
" " Edward James,..............  13
c  " J. Holland............,    31
cc"  " Professor Gillespie,.......................  44
"c 6" Chancellor Walworth,............. 48
"     " L. H. Willard,.....................   48
t c"   Judge Paige,...................... 50
"     " A. Holland,..........................   50
"c    ": Attorney-General,....................          80
Com'ment of lit. lot., 1st period, Jan. 26,'23, (Chan. Doc. 63, 118.)
Close      "   "        "cc    May 31,'26, (Chan. Doc. 118.)
Comn'ment "   "   2d period, consolidated, April 5,'26,
(Chan. Doc. 170.)
Close      "   "c       c            c        Nov, 10, 1827,
(Chan. Doe. 170.)
Com'mnent of Fever Hos. Lottery, 3d period, Nov. 10, 1827,
(Chan. Doe. 248.)
Close      "                                  June 2d, 1829,
(Chan. Doe. 248.)
Contingent residue, com'ced, July 15,'12, (Chan. Doe. 95, 96.)
College, Hamilton, correspondence with,............. 79, 117,
College, old purchased,..                                  33, 35
College and sites, cost of;...............................  10
College, Union, joined as plaintiffs without their consent or
knowledge,....................                          80
Commencement and close of Senator Beekman's report,...         20
Comparison with Smithsonian Institution,                       22
Compensation allowed by law to mauagers, 24 per cent.,....   52
Contract, original, with Yates &  McIntyre............  53, 104
for personal services, Jan. 24, 1826...........      54
"        " "    May 30, 1826,............    75
" -s c'   "              July 15, 1830,..........       76
Concession, many lhave been granted, one more wanted,...    67
D.
Demurrer of Yates & McIntyre,.................... 77, 78, 116
F.
Fund, President's.....................................  45
Fund, Dr. Nott's,..........................      48
H.
Honor, bound in, to pay,.........................  78, 79




INDEX.                        133
Indebted, Dr. Nott, largely,........................... *  15
Institutions bought out by Dr. Nott,................... 53, 79
Institute, act authorizing the same,................ 32 to 47
L.
Letters, Buel, Judge, to Chancellor Walworth,............    4
Campbell, Rev. J. N., to Dr. Nott,................  2
Ely, John, about refusal to pay..................  68
McIntyre, A., preliminary to stipulation,.... 66, 67, 75
-s       thanks for aid, -a............. a   58
cc       desires H. Yates to come to New-York
as treasurer,.................  65
-e       longs for the time when it can be known
what E. Nott has done,........ 29, 30
c-....bound in honor to pay,......... 7, 879
wants one more concession,........  66
-r....reasons for refusing to pay,.         72
Nott, E., concerning refusal to pay,...............  71
" to Rev. Dr. Campbell...............    3
Van Rensselaer, P. S., to Chancellor Walworth,...   4
Walworth, Chancellor, to Commissioners,.........   1
Wright, Governor, to E. Nott,............        37
"C      t"      Yates & McIntyre,..........  36
Yates, H., sent to New-York as treasurer,.......... 66
"    " entered into partnership, Tuly 26, 1826,..  72
"    "L writes for money,................. 57 to 63
" preliminary to refusal to pay,.........    68
~"    " refusal to pay,.............       68
[Yates, J. B., if sustained can pay,.................  57'"    "   temerarious speculations............  57
C"    "   desires H. Yates as treasurer to come to
New-York.............         66
Yates & McIntyre, reasons for refusing to pay,.....  72
"4'"    preliminary overtures to stipulations)............ 16, 66, 67, 75
moneys advanced by E. Nott,
16, 17, and 53 to 64
Longs for the time when what E. Nott has done can be
known....................................... 29, 30
Lottery, Literature, commenced Jan. 6, 1823, (Chan. Doc. ~ 63.)
c"    Albany land, mixed June 1st, 1826, (Chancery Doc. ~ 170.)
"     Literature, closed Nov. 10, 1827, (Chancery Doc. ~ 170.)
"c    Fever hospital and Albany land, commenced Nov. 28,
1827, (Chancery Does. ~ 257a.)
"       " c         closed June 2, 1829, (Chan. Does. ~ 257a.)
c"    Assumed amount of; $4,948,597,........... (80
Real amount of, $3,693,800,.................... 80
C"    Amount repaid Yates & McIntyre by U. Col., $1 6,037, 81




134                         INDEX.
M.
Managers appointed, J. Holland,....................... 31
"   "  L[H. Yates,...........................  66
N.
Nott, E. proposed to purchase out institutions,.........  53
4"  authorized to assume supervision,................  53
4"   provided funds for Yates & McIntyre, 16, 17, 54, 57 to 64
accepted of offer of Yates & McIntyre of 6 1o3 per cent, 76
P.
Payment, first of 6-1-L made E. Nott, Sept. 2) 1829, (Chan.
Doe., ~ 264.)
Payment more than 12 years after lit. lot. closed,...........  43
Payments to E. Nott on private account, reported to trustees, 36
Preliminary overtures to E. Nott,................ 16I 66, 67, 75
Purchased out institutions,.................6..........   53
R.
Refusal to pay,.............     68, 72
Repaid Yates & McIntyre, by Union College, $126,037 excess, 81
Reply of E. Nott to offer of Yates & McIntyre,...........  76
Report of Attorney General on lotteries.........0...... 
finance committee,..................  31
"  Marcy, Wright and Cushman,............. 24, 119
"C    Cushman and Paige,....................    117, 118
Reports, President Nott's Annual............ 32, 33, 34, 35, 47
"    Treasurer,...............*...................   100
"    E. Nott's, of amounts received for personal services,
advances, &c.,...........................  36
Resolution of trustees vesting E. Nott with full power,... 53, 104
concerning trust fund,.............  48
" CC   in extenso, p. 121.  (See book of minattes of trustees No. 3, p. 1l2.)
S.
Settlement with Yates & Mcintyre, Dec. 6, 1828.......... 110
Stipulation for personal services of E. Nott of Jan. 4, 1826,...  54
cc       cc         "4       C"  AMay 30, 1826, 75, 114
" "    July 15, 1830, 76, 115
Sworn schedule of Yates & McIntyre,....................  40
T.
Tripartite ahgreement,..................................  81
Trouble which change of contracts gave.............    66












UNIER~lY F MCHN