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Thaddeus McCallum had attained the rank of sergeant major in the U.S. Army. Upon his retirement, he joined the Pinkerton Detective Agency, and after a decade of distinguished service, made enough money to purchase a ranch in New Mexico. Fortunately for Thad, he met Pedro Peralta, a Mexican-American who had had years of experience breeding, breaking, and selling horses. The two formed a partnership and succeeded in building up a notable business.