Tilden did not strike at once. Treating the matter as he did the Tweed disclosures, he secretly studied the methods of the Ring, examined more than one hundred contracts, and employed a civil engineer to verify work paid for with that actually done. So severe was the strain of this labour that in February he suffered a cerebral attack nearly akin to paralysis.[707] Of the character or purpose of his work no one had any intimation, and guilty men who obsequiously complimented him thought him weak and without the nerve to harm them. But on the 18th of March (1875) he thrilled the State and chilled the Ring with a special message to the Legislature, showing that for the five years ending September 30, 1874, millions had been wasted because of unnecessary repairs and corrupt contracts. Upon ten of these fraudulent contracts the State, it appeared, had paid more than a million and a half, while the proposals at contract prices called for less than half a million. This result, he said in substance, was brought about by a unique contrivance. The engineer designated the quantity and kinds of work to be done, and when these estimates were published by the commissioners, the favoured contractor, learning through collusion what materials would actually be required, bid absurdly low prices for some and unreasonably high rates for others. After the contract was let, changes made in accordance with the previous secret understanding required only the higher priced materials. Thus the contractor secured the work without competition or real public letting.[708]

The Governor recommended various measures of reform, notably a new letting after any change in the proposals for bids. He also suggested an investigation of the frauds already perpetrated, and for this purpose the Senate confirmed a non-partisan commission,[709] who quickly reported that the work of one contractor showed fraudulent estimates, false measurements, and a charge of $150,337.02 for excavations and embankments that were never made. Neither surveys nor estimates preceded the letting of the contract, while in every instance he appeared as the lowest bidder. Eleven additional reports made during the year showed that similar frauds were repeatedly practised by him and other contractors. In each case arrests, indictments, and suits for restitution promptly followed.[710] It also appeared that the auditor of the canal department, a former Republican candidate for secretary of state, had made use of his office to speculate in canal drafts and certificates.

The excitement over these revelations recalled the indignation following the Tweed disclosures. Every voter in every corner of the State knew of them. Furthermore, the arrests of contractors and officials along the line of the canal multiplied evidence of the Governor's courage. He spared no one. Of the principal officials and ex-officials indicted all save two were Democrats,[711] but his administration knew no party and expressed no concern. Such creditable public service made a profound impression, and during a visit to the western part of the State in August, the people accorded him the attention given to a conqueror. From Albany to Buffalo crowds everywhere saluted him with bands of music and salvos of artillery, while his addresses, characterised by plainness of speech, deprecated a reactionary policy.

These demonstrations alarmed Republican leaders. They appreciated that his adroitness and energy in accumulating proof of Tweed's guilt had fixed the attention of the country upon him as a presidential candidate, and that the assault on the canal spoilers made his pretensions more formidable. Moreover, they realised that their own failure to lead in canal reform in 1873, evidenced by ignoring Barlow and his incriminating disclosures, yielded Tilden a decided advantage of which he must be dispossessed. To accomplish this two ways opened to them. Regarding the canal scandal as not a party question they could heartily join him in the crusade, thus dividing whatever political capital might be made out of it; or they could disparage his effort and belittle his character as a reformer. The latter being the easier because the more tolerable, many Republican papers began charging him with insincerity, with trickery, and with being wholly influenced by political aspirations. His methods, too, were criticised as undiplomatic, hasty, and often harsh. Of this policy Harper's Weekly said: "Those who say that the Governor's action is a mere political trick, and that he means nothing, evidently forget that they are speaking of the man who, when he once took hold of the Tweed prosecution, joined in pushing it relentlessly to the end."[712]

This was the sentiment of George William Curtis, who presided at the Republican State convention.[713] It also became the policy of the managers whom defeat had chastened. They discerned the signs of the times, and instead of repressing hostility to a third term and dissatisfaction with certain tendencies of the National administration, as had been done in 1874, they deemed it wiser to swim with the current, meeting new influences and conditions by discarding old policies that had brought their party into peril. The delegates, therefore, by a great majority, favoured "a just, generous, and forbearing national policy in the South," and "a firm refusal to use military power, except for purposes clearly defined in the Constitution." They also commended "honest efforts for the correction of public abuses," pledged coöperation "in every honourable way to secure pure government and to bring offenders to justice," and declared "unalterable opposition to the election of any President for a third term."[714] Furthermore, the convention sought candidates of prominence and approved integrity. In the presence of threatened defeat such men were shy. William H. Robertson of Westchester thrice declined the comptrollership, and insistence upon his acceptance did not cease until James W. Husted, springing to his feet, declared that such demands were evidently intended as an insult. Then Edwin D. Morgan proposed George R. Babcock, a distinguished lawyer of Buffalo, who likewise declined. In a short, crisp letter, John Bigelow, chairman of the canal investigating committee, rejected the proffered honour. Finally, the choice fell upon Francis E. Spinner, formerly United States treasurer, and although he sent two unconsenting telegrams, the convention refused to revoke its action. Despite such embarrassments, however, it secured an array of strong, clean men.[715]

A week later the Democrats assembled at Syracuse. They quickly retired an anti-Tammany delegation led by John Morrissey,[716] reaffirmed the platforms of 1872 and 1874, and nominated John Bigelow for secretary of state. Bigelow, well known as a former editor of the Evening Post and more recently minister to France, had always been a Republican. Indeed, Tilden named and a Republican Senate confirmed him as one of two Republicans on a non-partisan board; but for reasons best known to himself Bigelow changed his party in the twinkling of an eye. Associated with him were John D. Van Buren, also upon the canal commission; Lucius Robinson, who won, when comptroller in 1862, great honour in the teeth of much obloquy by paying the State interest in coin; and Charles S. Fairchild, then a young lawyer earning substantial credit, like Bigelow and Van Buren, in the prosecution of the Canal ring.[717] In naming this ticket Tilden had exhibited his characteristic shrewdness. He exaggerated the partisan aspect of administrative reform, and strengthened his candidacy for President by appropriating the glory.

The Republican press, quickly interpreting his purpose, now changed from praise to censure, scrutinising and criticising every act in his long public career. It reviewed his war record, disclosed his part in the convention of 1864, and hinted at uncanny financial transactions. His service as the figure-head of Tweed's conventions, and his passiveness after possessing knowledge of the infamous circular of 1868 to which his name had been forged, also became the subject of severe censure. Though he neither shared Tweed's corrupt counsels nor sanctioned his audacious schemes, Tilden's abhorrence of wrong, it was argued, seemed insufficient to break his silence. But the accusation that cut the deepest, because without palliation, illuminated his declination to attend the great indignation meeting that appointed the Committee of Seventy. This fact, established by abundant proof as well as by his conspicuous absence, created the belief that had the Times' exposure failed fatally to wound the Ring, he would have shrunk from defying Tweed.

In the presence of such a record it was ludicrous to deny that Tilden, although resembling a reformer, was simply an adroit politician, who had cultivated some queer political associates and had countenanced some very shady transactions. Nevertheless, Tilden would not be diverted from the singleness of his purpose. To make the issue a personal one he took the stump and traversed the State from one end to the other, always addressing immense crowds. At Utica the contemporary press estimated the throng at twenty-five thousand persons. With directness and business brevity he sought to arouse the people to the importance and gravity of the issues at stake. "To-day about one-half of the tax contributed by the farmer," he said, "goes to the State to carry on public affairs.... It is in the power of the Legislature and the Executive at Albany to reduce this State tax one-half if you send the right men.... We began this work last winter. It made great conflict and turmoil, the attempt to remove the fungus-growths which had sprung up all over our State institutions, and which were smothering their vitality.... It is not alone the saving of dollars and cents, for you cannot preserve your present system of government unless you purify administration and purify legislation."[718]

During the anti-slavery struggle Tilden's incapacity to measure the moral force of public sentiment had undoubtedly kept him in error. He failed entirely to appreciate the close connection between rebellion and slavery, and in finally yielding to the war-failure resolution at Chicago in 1864 he did not realise how completely abolition and a restoration of the Union were associated in the hearts of the people. But with the advent of the business period, although his bodily presence was weak and the external elements of popularity were wanting, his subtle, strong mind and great administrative capacity brought him irresistibly to the front, and his shrewd, homely appeals, without mixed metaphors or partisan allusions, reduced the issue of the campaign to the attractive one of saving dollars and cents by protecting the treasury against the raid of canal spoilers.