THE FINANCIER 
legislation. The secrets of the President and the Cabinet, 
as well as of the Senate and the House of Representatives, 
seemed to be open to him. Grund had been about, years 
before, purchasing through one or two brokers large 
amounts of the various kinds of Texas debt certificates 
and bonds, which, as Frank's father observed, other gov- 
ernment officials of that time were also doing. The Re- 
public of Texas, in its struggle for independence from 
Mexico, had issued bonds and certificates in great variety, 
amounting in value to ten or fifteen million dollars. A 
scheme had been on foot to make Texas a State of the 
Union, and a bill was finally passed providing a contribu- 
tion on the part of the United States of five million dollars, 
to be applied to the extinguishment of this old debt. Grund 
knew of this, and also of the fact that some of this debt, 
owing to the peculiar conditions of issue, was to be paid in 
full, while other portions were to be scaled down, and there 
was to be a false or prearranged failure to pass the bill 
appropriating the five million dollars at one session, in 
order to frighten off the outsiders who might have heard 
and begun to buy the old certificates for their own profit. 
Grund knew of this. The Third National knew of Grand's 
knowledge through him; and Cowperwood, as teller, was 
also informed in some way. He told his wife about it 
afterward ; and so his son, in this roundabout way, heard it, 
and his clear, big eyes glistened. He wondered why his 
father did not take advantage of it and buy some Texas 
certificates himself, but the latter was too honest, too 
careful. So this was the way money was made. Men 
schemed and planned, and then they reaped big profits. 
Grand, so his father said, and possibly three or four others, 
had made over a hundred thousand dollars apiece. It 
wasn't exactly legitimate, he seemed to think, and yet it 
was, too. Why shouldn't such inside information be re- 
warded? Somehow, Frank realized that his father had 
never been involved in any way in these, to him, won- 
derful operations. Why? Why didn't his father make a 
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