My interview with Mr. Thomson took place at his house in Philadelphia, and as I rose to go he laid his hand upon my shoulder, saying: 

“Remember, Andy, I look to you in this matter.  It is you I trust, and I depend on your holding all the securities you obtain and seeing that the Pennsylvania Railroad is never in a position where it can lose a dollar.”

I accepted the responsibility, and the result was a triumphant success.  The Union Pacific Company was exceedingly anxious that Mr. Thomson himself should take the presidency, but this he said was out of the question.  He nominated Mr. Thomas A. Scott, vice-president of the Pennsylvania Railroad, for the position.  Mr. Scott, Mr. Pullman, and myself were accordingly elected directors of the Union Pacific Railway Company in 1871.

The securities obtained for the loan consisted of three millions of the shares of the Union Pacific, which were locked in my safe, with the option of taking them at a price.  As was to be expected, the accession of the Pennsylvania Railroad party rendered the stock of the Union Pacific infinitely more valuable.  The shares advanced enormously.  At this time I undertook to negotiate bonds in London for a bridge to cross the Missouri at Omaha, and while I was absent upon this business Mr. Scott decided to sell our Union Pacific shares.  I had left instructions with my secretary that Mr. Scott, as one of the partners in the venture, should have access to the vault, as it might be necessary in my absence that the securities should be within reach of some one; but the idea that these should be sold, or that our party should lose the splendid position we had acquired in connection with the Union Pacific, never entered my brain.

I returned to find that, instead of being a trusted colleague of the Union Pacific directors, I was regarded as having used them for speculative purposes.  No quartet of men ever had a finer opportunity for identifying themselves with a great work than we had; and never was an opportunity more recklessly thrown away.  Mr. Pullman was ignorant of the matter and as indignant as myself, and I believe that he at once re-invested his profits in the shares of the Union Pacific.  I felt that much as I wished to do this and to repudiate what had been done, it would be unbecoming and perhaps ungrateful in me to separate myself so distinctly from my first of friends, Mr. Scott.

At the first opportunity we were ignominiously but deservedly expelled from the Union Pacific board.  It was a bitter dose for a young man to swallow.  And the transaction marked my first serious difference with a man who up to that time had the greatest influence with me, the kind and affectionate employer of my boyhood, Thomas A. Scott.  Mr. Thomson regretted the matter, but, as he said, having paid no attention to it and having left the whole control of it in the hands of Mr. Scott and myself, he presumed that I had thought best to sell out.  For a time I feared I had lost a valued friend in Levi P. Morton, of Morton, Bliss & Co., who was interested in Union Pacific, but at last he found out that I was innocent.