I asked him if the contract had been awarded, and he told me that it had been given to the Chicago House Wrecking Company before they adjourned at 7 o’clock on the evening of November 30.  I went back to the hotel and told Mr. Krug and Mr. Ranstead that the deal had been closed and that the contract had been given to the Chicago House Wrecking Company.  I asked him for what amount the contract was closed and he refused to tell me.  I came back to Chicago the next day, December 2.

While we were in the salvage committee room talking about the bids I asked President Francis for a list of all the property to be disposed of, so that we would know what to figure on and make an intelligent bid.  He said that they were not furnishing lists to anyone; that they were only giving out the specifications, and that we could go out on the grounds and gather our own data.  I never saw, by the papers or otherwise, that new bids were requested after I was informed that the first bids had been rejected.

I consider the manner in which the bids were handled very irregular, in that the bids were opened in secret, and not in public, as demanded by a majority of the bidders, and as is customary on large contracts.  The manner in which the bids were handled was not in accord with the way the Government and the city handle bids.

I have had a great deal of experience in the past thirty years in figuring on specifications for the construction and wrecking of buildings, and never before saw specifications drawn up in the manner in which these specifications were drawn up.  They required such a large deposit to accompany the bid and made the time limit too short, namely, three months.  The usual amount required to be deposited with a bid runs from 5 to 10 per cent of the amount bid.

I have seen a list of the property acquired by the Chicago House Wrecking Company under the terms of the contract, and will say that I consider the market value of all the property at the time it was turned over to the Chicago House Wrecking Company, on November 30, 1904, to have been at least $1,000,000.

I will say further, that had the Exposition Company properly advertised the sale of the property, and had disposed of same in piece lots, they would have realized at least $1,200,000.

It was very apparent to me that the Chicago House Wrecking Company was being furnished inside information, and it was also evident that they were being favored in the deal.

I consider the awarding of the contract to the Chicago House Wrecking Company for the sum of $450,000 was detrimental to the interests of the United States, the city of St. Louis, and the stock-holders of the exposition.

JOHN M. DUNPHY.

Subscribed and sworn to before me this 28th day of March, 1905.  My commission expires on the 15th day of October, 1905. [SEAL.] HARRIET A. DUMAS, Notary Public.

APPENDIX 3.