There were other sources of basis than those already referred to, being deficits in fractional townships, filings that had been made under the Donation, Homestead and Pre-emption Acts, where settlers had gone onto the school sections prior to survey of the township, amounting- practically to 20,000 acres, and making a grand total of fully 150,000 acres in round numbers.
After an exhaustive research, Jones and myself managed to find about 10,000 acres of base that had been overlooked. It consisted principally of fractions ranging from 10 to 100 acres in different sections and townships. There were probably 40.000 acres of the 150.000 acres remaining for use by the State, but as McCornack had "dummy" applications on file in the State Land Office covering the whole, nobody but himself was entitled to use it. according to the peculiar regulations then in force. Whenever anybody wanted to make an indemnity State selection, he was compelled to pay tribute to McCornack to the extent of from $1.25 to $2.50 an acre, according to quantity desired, and in this manner the lieu land shark profited to the extent of about $250,000.
Jones and I continued to deal in State indemnity until friction arose between us. and we dissolved partnership. The trouble was caused by Jones insisting on paying Clerk Davis 50 cents an acre on all lands selected by us. He had conceived the idea that there were great possibilities of securing large quantities of additional base through the creation of new reservations within the State, and by taking Davis in as a full-fledged partner, we could monopolize the whole indemnity land business, thus shutting out McCornack, Jack D'Arcy and W. T. Rader completely, they being the only ones aside from ourselves operating in State lieu lands. I objected to paying Davis such a large commission, and besides 1 considered it rather doubtful about our ability to shut McCornack out. To adopt such a course, in my judgment, was liable to result in shutting us all out of the State Land Office, as the others were not likely to quietly submit to any such proposition. Jones, however, did not agree with me, and declared that rather than jeopardize his personal interests, he would prefer to go it alone. The fact of the matter is. that Jones simply adopted this as a subterfuge to get rid of me. as himself and Davis had a clear-cut understanding that when this was done they would operate together independently of me.
From this time on I had to fight for everything I wanted to get through the State Land Office, as Davis blocked me at every possible turn. However. I managed to hold my own, and succeeded in getting away with most of the basis in cases where homestead and pre-emption filings had been made on school sections. As a great many settlers had located on these tracts before survey, I generally kept a close tab on the surveys, and as soon as the township was thrown open to entry, would make it my business to see that the settler filed either a homestead or pre-emption on his claim. As soon as this was done, the State was intitled to indemnity for the loss thus sustained.
The rule in vogue at the State Land Office in those days was that the first applicant for this base was entitled to its use. The information that the base was subject to use usually came in the form of a telegram from the local United States Land Office where the homestead or pre-emption claim had been filed. This system resulted in much confusion, there always being considerable rivalry to see who was entitled to use the base. By way of illustration. I will cite an instance to show how the thing was worked.
When the time came for certain townships to be thrown open for entry, I would arrange with some local attorney in the district where the land was situated to attend to the filing of the different claims. After doing so he would immediately wire me at Salem the particular tract covered by the homesteader or pre-emption claim. There were always a lot of land attorneys hanging around the various United States Land Offices, and some of them would have a similar arrangement with Jack D'Arcy and McCornack, one of whom would be stationed at the telegraph office in Salem awaiting the notice. As a rule D'Arcy would post himself in the Western Union Office, while I patronized the Pacific-Postal. At
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