Vermont phÅ“nix. [volume] (Brattleboro, Vt.) 1834-1955, 1856-02-23
RAILROAD swINDLING---TnE VT.
CENTRAL.

Everybody has heard of the unfortunate
Vermont Central Railroad, and its singular f.
nancial history. There is probably no railroad
in the country in which so large sum Of
money, nearly ten millions of dollars, has been
invested, with 60 faint prospect of the stock
and bond holders ever receiving single pen
ny in return The road has, from the first day
on which the cars commenced running, been
crowded with business il has never lacked
patronage. and has usually been kept in good
condition, at least whea the peculiar nature Of
the country ihroug h which it is built is taken
into consideration the engineers, conductors
and all the Uorking men on the line have al
ways been capable, sober aud, we think, hon
est officers.
The public some four years since inquired
with considerable anxiety why the Vermont
Central didn't pay, or al least begin to pay
something. But for some time past even spec
uation and inquiry have ceased the bonds
have deprecated to rdiculuusly low figure
and the Vt. Central Railroad has heen the laugh
ing stock and Jest of broker aud iinancier. To
cap the climax ofdisasier, the whole road with
all its rolling stock and fixtures, was delivered
over 10 the possession oflhc Vermont and Can
ada Corporation, on account Of the non-pay-
ment of interest due from the Ccntral to the
Canada, and thus the former road having cost
nearly ten millions was given up, because una
bic to pay debt of S97, 600! The reasons
for this singular state of affairs have Till now
been carefully kept from the public; whenev-
er the unfortunate stockholders have attempted
10 investigate the affairs Of their own road,
they have been baiilcd and blinded by the ma
neuvers of the Trustees and others having
charge Of the road, so that they have never
been able to find out what had become of their
money
Now, however, we seem 10 get at portion
of the truth. Mr.. ]. II Stark, of Boston, a
member of the Investigating Committee ap-
pointed by the second mortgage bond holders,
has published in the Boston Chroaicie, long
report which he says he was offered a bride of
$500 to suppress. 1t is the most remarkable
document of the kind that we have ever read ,
and if its statements are true, and we know
some Of them to be so from our own personal
knowledge, they exhibit most shameful his
tory Of mismanagcment and fraud on the part
Of the chief officers entrusted with the man
agemeni of the w. Central Road.
Mr.. Stark shows by extracts from the books
Of the Trustees that they have wasted immense
sums Of money in various ways have given
secret and fraudulent mortgages and bonds /;
have made various contracts in which they them
selves or their relatives were interested, and in
short have done all they could to ruin and rem
der valueless the property which they were bound
to protect
We take from an exchange the following
succinct summary of the operations Of these
guardians OF other peoples property
'Suflice it to say that the managers of the
Vermont Central Railroad Company have for
long time past been the actors in species
Of tragedy aud comedy mixed, (what is called
tragic-comedy,) which has been at one and the
same time more funny and melancholy both than
anything that was ever put upon the stage
Secret motgages Of the whole Central road, G.
quipments, depots and all, labelled permanent
contracts Of transportation, original modes of
bookkeeping taught in none Of the mercantile
academies, more puzzling than satisfactory
gifts Of one thousand dollar clocks TO rural par
ishes in Vemont-subscripion to 4lh of July
fireworks and picnics-hnae faes paid To- a,,ar-
neys at law-huge incidental expenses of all
kinds-directors Of the Vermont Central road
filling the office of directors of the Vermont and
Canada road olso, and filing bills of complaint
against themselves in Vermont chancery courts
the Vermont and Canada road sucking the
life out of the Vermont Central, like q huge
parasite and constricior--97, geo shares Of the
Vermont Central put up at auction in back
village of Vermont, aud bid in for S97 under a
curious law of that Stale in regard to corpora
tion creditors very favorable to the designs Of
dishonest directors-cars of the Vermont Cen
trail road loaned and scattered all over the coun-
try"
Mr.. Stark urges the stockholders and the
holders of the mortgage bonds to seek redress
in the Courts of law.
Such fnanciering and swindling would GER
tainly seem to demand legal investigation, aid
we have little doubt that il an impartial and
thorough investigation could be had, it would
show history of corruption and magnfcenty
great rascaliiy without parallel iu the annals
of railroad experiences Worcester Transcript.