people have gone over this but still didn't explain it.
Smith has been accused of owning the land and trying to benefit from it, although he would benefit more if the dam thing goes through. I have a few questions concerning this...
first: why didn't he use this as a proof that he is innocent and if he just wanted money he would let the dam bill be approved?
second: did Taylor think the whole accusation through? I mean what happens if Smith really backs off then asks for his right when they build the dam since he owns the land?
third: suppose that Taylor can will get rid of the forgery he made in the hall of records so Smith doesn't own anything any more, wouldn't that raise questions as how come Smith would get money from the camp and not the dam since he owns the land anyway?
fourth: according to the accusation that Smith owns the land, doesn't that give him the right to refuse the bill of the dam? after all it is his land and can choose not to sell it to the government. or does the government force the owner to sell in cases like this?
that's all I have to say, however the first question's possible answer is that he didn't think of that at the time because he was shocked by all the accusations being thrown at him. but still all the rest of the questions mean there is a plot hole in this movie.
Nobody panics when things go "according to plan." Even if the plan is horrifying!