The Silver Madonna and Other Tales of America's Greatest Lost Treasures

by W. C. Jameson

  During the late 1860s, Dr. Ferdinand Smith drove his family and belongings in a wagon from Frankford, Missouri, to the remote and sparsely settled country of Sevier County along the Cossatot River. Some had written that Smith was looking for a piece of land to farm. Others maintained he was driven from Missouri as a result of the mysterious deaths of some of his patients. Whatever the circumstances, none of this information was known to the few residents of Sevier County, all of whom welcomed the physician. Up until then, they had no access to a doctor and treated their ailments with folk remedies and potions. Smith became popular in a short time, making himself available to the sick and injured, and accepting payment in livestock and produce.

  Dr. Smith had an interest in history, and before long he was soliciting information on what people knew of the area, its earliest settlers, and the Indians who passed through the region from time to time. In this manner, Smith learned a fascinating tale of a lost gold mine located some distance upstream of his farm on the Cossatot River. Eventually, Smith learned even more details of the lost mine from Choctaw Indians who had settled in the Cossatot area.

  Several years before the Choctaws moved to the region, a trading post had been established at the site known today as Lockesburg. The post stocked food, tools, clothing, guns, and ammunition, most of which was exchanged for pelts. The post also served as a gathering place for local trappers and hunters.

  Once a month, a blond, fair-skinned woman arrived at the post on a white horse, accompanied by four young Indians. The woman was described as being clothed in garments of leather and adorned in gold jewelry of rustic design and manufacture. She would purchase foodstuffs and other items, all of which she paid for with gold. The nuggets were described as being of a remarkably high quality. On the few occasions the woman spoke, it was in Spanish. When asked how she had come by the gold she refused to answer. Her Indian companions also remained mute to such questions. Several attempts were made to follow her after her visits to the trading post, but she always managed to elude her trackers.

  Now and then someone would encounter the woman and her companions returning from the trading post along the trail that has since become known as the Old Fort Towson Road. Following one particular trip to the post, she was seen entering Pig Pen Bottoms, a snake and wild hog–infested patch of briars in the dark woods on the floodplain of the Cossatot River. When the observer told friends at the trading post what he had seen, a small expedition was organized to enter the bottoms in search of the source of the woman’s gold.

  The party had a difficult time finding a way into the forbidding area. Once there, they became lost, wandering for hours before making their way out. One man suffered a bite from a water moccasin. They finally returned to the trading post around midnight, exhausted, scratched, and unsuccessful. The incident apparently put the strange woman on guard, for she was never seen again.

  In time, Dr. Smith purchased a parcel of land south of Rolling Shoals Ford on the Cossatot River. Pig Pen Bottoms was located between the ford and Smith’s land. The large, dense thicket appeared impenetrable and resisted all of Smith’s attempts to enter. Undaunted, he hired a group of men to clear the area so it could be placed into production. When most of the tangle of briers and vines had been cut and burned, an entrance to an old mine shaft was discovered in an outcropping of rock. The shaft was nearly vertical. Judging from the piles of rock adjacent to the entrance, it had been extensively worked. Peering into the shaft, Smith spotted several old, rotting timbers that served as bracing. Smith, along with several of his employees, attempted to enter the shaft, but it was almost entirely filled with water.

  According to Smith, there was no recollection among the older residents of the area of any mining in the bottoms. On the other hand, history records that Spanish explorers under de Soto visited the region in search of gold and silver. The evidence suggests that they found some.

  For several years the shaft remained inaccessible because of the standing water. Smith could only dream of the riches that might lie at its deepest recesses, and he pondered ways to obtain them. Before he was able to enter the mine, Dr. Smith passed away, his hopes of retrieving gold from the old mine unfulfilled.

  During the early 1920s, a severe drought struck the area. The Cossatot River dried to a mere trickle. Wells went dry as the water table throughout that part of Arkansas dropped. Around this time, someone noticed that the water level in the old Spanish mine in Pig Pen Bottoms had receded. A group of men decided to make an attempt at entering the shaft.

  Using ropes, two men were lowered into the mine. Each carried a lantern and a shovel. As they descended into the mine, they noticed rotting timbers all the way down that had once served as mine supports. Undoubtedly, a considerable amount of work had gone into the excavation of the shaft. During his descent, one of the men found a large, heavy hammer that had been lodged between the wall of the shaft and a timber support. It was later identified as having been cast in the town of Seville, Spain, during the early part of the sixteenth century, thus providing greater evidence of the presence of Spaniards there.

  At nearly one hundred feet into the shaft, the two men encountered water and were forced to return to the surface. Following two more descents into the mine, it was determined that it would be impossible to reach the bottom unless the water could be removed. In early 1927, another drought struck the region, and the water table was even lower than it had been during the earlier dry spell. Yet another group of men familiar with the tale of the lost gold mine made plans for a descent. This time when they reached the bottom at 120 feet, there was no water. They did, however, encounter a deep layer of sediment that had been deposited, sand and silt undoubtedly carried into the mine by floodwaters during previous years. Believing the sediment was far too deep to penetrate in order to reach the vein of gold, they abandoned the project. Thus, the deepest recesses of the shaft remained unexplored.

  The drought continued, getting worse with each passing week. A group of boys who had heard the story of the lost Spanish gold mine decided to make an attempt to reach the bottom of the shaft. After descending 120 feet into the mine, they encountered the deep layer of silt.

  For days, the boys labored to remove the silt, hauling bucket loads to the surface at every opportunity. As they carried the fill to the surface and worked their way deeper into the shaft, they noticed that it grew narrower, suggesting they were nearing the vein of gold. By this time they had excavated several tons of dirt. In the process they found more old Spanish mining tools, thus fueling their optimism that a fortune in gold was near at hand.

  Then the rain began to fall. The excavation of the shaft was halted as the boys were forced to wait out the weather. Luck was not with them, however, for the rains did not abate for days. In fact, it was the beginning of a series of thunderstorms that struck most of the state of Arkansas that year, eventually giving rise to the Great Flood of 1927 that placed much of Arkansas and Louisiana underwater. The Cossatot River, carrying a heavy burden of sand and silt, rose and overflowed its banks, spilling over into the floodplain where the mine was located. Crops were ruined, but the farmers tried to content themselves with the notion that the fresh deposits along the floodplain would result in a more fertile bottomland. They were already planning for next year’s planting.

  When the rains finally abated and the floodwaters retreated, the boys returned to Pig Pen Bottoms to evaluate the status of the digging operation. The flood deposits obliterated all traces of the shaft, and it was only after several years of searching that the entrance was finally found again, located beneath two feet of alluvial deposit.

  During successive years, several parties attempted to re-excavate the sediment-filled shaft, but none were successful. Water in the shaft remained the ongoing problem. No sooner would some progress be attained relative to removing the tons of silt than the spring rains would arrive, bringing more floodwaters. In addition, for years the local water table had been rising, causing the shaft to fill to with
in a few feet of the surface. All attempts at pumping the water out failed.

  Today, the old Spanish gold mine lies undisturbed in Pig Pen Bottoms. Though the regrowth of briars and brush has partially concealed the location, a few residents of nearby Gilliam, Arkansas, claim to know where it is. There is little interest among them relative to making another attempt at digging into the shaft. They have seen and heard too much about the difficulties of previous attempts. They are also familiar with the unpredictability of the Cossatot River.

  Most of them are convinced that a fortune in gold remains at the bottom of the old mine. Some are optimistic that it can be reached using modern methods. Others, however, are certain that no one will ever get to the gold because the forces of nature will conspire to foil their quest.

  13

  The Lost Treasure of Skeleton Canyon

  During the latter part of the nineteenth century, a gang of Arizona and New Mexico based bandits organized a raid on the city of Monterrey in the Mexican state of Nuevo Leon. While robbing the bank and sacking the town’s church, the robbers were confronted by a small contingent of Mexican soldiers and police and a battle ensured, during which several of the soldiers were killed.

  Packing their booty consisting of gold and silver coins, diamonds, and golden crucifixes, chalices, and other valuable religious artifacts onto a number of stout mules, the outlaws fled Monterrey, heading northwest toward a remote and seldom-used pass through the mountains far to the northwest and near a point where Mexico, New Mexico, and Arizona share a common boundary.

  At the time of the robbery, it was estimated that the value of the loot exceeded two million dollars. It consisted of one million dollars’ worth of diamonds, thirty-nine bars of gold, dozens of bags of gold and silver coins, and an undetermined amount of gold statuary taken from the church. The journey from Monterrey to the pass was almost a thousand miles long, wandering over poor roads and trails. The outlaws were pursued for several days, but the soldiers were no match for their weaponry and marksmanship. Eventually, they abandoned the pursuit and returned to Monterrey.

  Weeks later when the party crossed the international border in southeastern Arizona, they wound their way through a little-known canyon. Here, intrigue and double cross led to an ambush that resulted in the deaths of at least a dozen men and the burial of a substantial portion of the treasure. Since then, the pass has been known as Skeleton Canyon.

  In 1891, a small gang of bandits led by a man believed to be the notorious outlaw Curly Bill Brocious terrorized stagecoach shipments and travelers in the vicinity of Silver City, New Mexico. According to some researchers, Brocious was killed by Wyatt Earp during a gun battle near Tombstone. The claim is based almost entirely on a statement by Earp. However, Brocious’s body was never found. According to some, the outlaw fled to New Mexico where he continued his life of crime holding up stagecoaches.

  For months, Brocious and his gang plied their outlaw trade, but by the time the spoils of the robberies were divided by the five men, the rewards were slim. Curly Bill wanted to move on to bigger, more lucrative targets, but remained unsure how to go about it.

  One evening the five outlaws met at Brocious’s cabin located not far from Silver City. The gang members included Jim Hughes, Zwing Hunt, Billy Grounds, and Doc Neal. Several years earlier, Hughes had killed three people during a stagecoach robbery in Texas. He was nearly caught by law enforcement authorities but succeeded in escaping across the border into Mexico. He fled to Monterrey, where he lived for a year. During his time there he grew proficient in Spanish and also learned of various riches found in that city.

  When Hughes decided to leave Monterrey, he traveled westward, ending up in the Mexican state of Sonora. Here he fell in with José Estrada, a feared Mexican bandit and killer. Hughes proved to be a competent and fearless member of the gang, one of thirty to forty members, and he remained with the bandit leader for several months. Following a series of raids, the Estrada gang was pursued by a Mexican army patrol, forcing them to take refuge in the Sierra Madres close to the border of the United States. At this point, Hughes bade his friend Estrada good-bye and told him he was going to head back toward home. A short time later, he joined Curly Bill’s gang in Silver City.

  While Hughes was meeting with Brocious and the other outlaws that evening, he related stories of his time in Mexico, and in particular, Monterrey. Intrigued, Brocious suggested they travel to that city and raid it. The other outlaws agreed, eager for the wealth they knew they would realize from such an escapade.

  Hughes thought the idea good, but explained that a gang of Anglos riding into Monterrey would arouse suspicion. Besides, he said, five men were not enough. They needed a small army. Then he offered an idea. He would contact his friend Estrada and enlist his aid in conducting the robbery. He would explain to Estrada that disposing of the loot in Mexico would be a problem, and that if he transported it to the United States, he and Brocious would arrange for its exchange, converting the gold and gems into cash and making him and his gang members all rich men. Hughes had a plan, and it involved double-crossing the greedy Estrada.

  Hughes said he would accompany Estrada and his men to Monterrey. After the raid, he would then lead them back to the United States to a specific location. Once Estrada’s gang and all of the loot were within the confines of the canyon east of Sloan’s Ranch, explained Hughes, Brocious and his gang would ambush them and take the treasure. Hughes’s plan appealed to the gang members and they agreed to send their companion into Sonora to find Estrada and explain the proposal.

  After weeks of planning and travel, the raid was ready to be launched. Telegraph wires were cut, and mules were procured to transport the booty. The bank and church were sacked. Much to the surprise of the bandits, a fortune in cut diamonds was found in the bank vault. During the raid, four Monterrey police officers were shot and killed, along with at least a dozen soldiers. Three hours later, the bandits rode out of town with gold and silver bars and coins, priceless golden statuary from the church, and diamonds. The booty was packed into sacks and saddlebags and lashed to the mules.

  The outlaws fled due west, following the wagon road to Torreon. Occasional firefights erupted with their pursuers, who eventually turned back. Near Torreon, the party turned northward and made their way along a snaking road through the Sierra Madres that eventually took them to an old smuggler’s trail that led into Arizona.

  Once across the border, the weary bandits made camp in a narrow canyon near the confluence of what are now Skeleton Creek and the South Fork of Skeleton Creek. By this time, most of Estrada’s gang members had been paid off and sent home. The treasure was now guarded by the Mexican bandit leader himself along with a dozen handpicked men. Hughes told Estrada he was going to ride ahead and make the arrangements for the transfer of the treasure and would return in a few days.

  Several days later, Hughes returned to the canyon with Grounds, Hunt, and Neal. For reasons not clear, Brocious remained in Silver City. Early one morning, Hughes led his partners to a point about two miles north of Estrada’s camp where they set up an ambush. At this point, the canyon was so narrow that the mules and riders would have to pass through single file. The Mexicans would be easy targets. When his men were positioned for the assault, Hughes told them to open fire at his signal, which would be a pistol shot. Then he rode back to Estrada’s camp.

  Hours later, Estrada’s men loaded the treasure onto the mules and doused the campfires. The riders mounted and prepared for travel. Hughes told Estrada they were to ride to Silver City where the treasure would be exchanged for cash. Following the transfer, there would be a celebration. It was late afternoon by the time the treasure caravan entered the narrow part of the canyon. Hughes was in the lead, with Estrada riding behind him.

  When the line of riders and pack animals was strung out in the narrow defile, Hughes turned in his saddle and shot Estrada in the head. At this, Grounds, Hunt, and Neal opened fire with their rifles, and within seconds, all of the Mexi
cans were dead.

  During the slaughter, the pack mules carrying a portion of the treasure panicked and bolted. Unable to overtake and control them, the riders decided that the only way to stop them was to shoot them. All save two were downed before they could escape the canyon. One was shot just outside of the canyon entrance and the last was finally overtaken miles away near Geronimo’s Peak.

  With the killing of the mules a problem arose. Now there was no way to transport the greatest portion of the Monterrey loot to the designated hiding place. Neal volunteered to ride to Silver City and secure more mules. Grounds and Hunt were to remain in the canyon to guard the treasure. While discussion ensued, Hunt asked why Brocious was to get a share of the treasure when he did nothing to help obtain it. Eventually, it was decided to leave Curly Bill out of the split. Hughes would ride back to Silver City and tell Brocious that Estrada escaped with all of the treasure. If Brocious acted suspicious, Hughes was to kill him. Hughes would then return to Skeleton Canyon with the necessary mules where he, Grounds, Neal, and Hunt would load the treasure and transport it to some safe location.

  Within hours after Hughes rode away, Grounds, Hunt, and Neal decided to keep the treasure for themselves. With Brocious and Hughes nowhere around, they could divide the fortune three ways, each of them receiving a greater share than under the previous plan. Doc Neal was elected to travel to a nearby ranch and purchase some oxen to carry the treasure. Taking a pocketful of the gold coins, he rode away while Grounds and Hunt set up camp.

  Once Neal was out of sight, Grounds and Hunt gathered up the treasure that had been carried by the mules, excavated a deep hole not far from the campsite and about one mile from the massacre site, and buried most of it. According to some estimates, the two men buried, in 1890s values, approximately eighty thousand dollars’ worth of the loot. Some researchers quibble with this figure, claiming it could be as much as one million dollars or more.