The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1856-01-11

In direct route and about haka doesn branches sA1G
t. the most barren and most remote sections Of The S
Into company under the Of the New York Osa-
trial Consolidated Railroad Company" It cost absut
hundred thousand dollars to get that scheme through ~
Legislature. The immense political influence forty -
lions Of capital gives that company at Albany, ia suA
Client guarantee ths Of any project -
ssature almost p0werless in the hands q that pea
cerous moneyed corporation. bin to consolidate Ill the
railroads In the State at their full cost would wiiAssk
much doubt pass and whatever scheme the Managers e
the Central RAILROAD Company may have for their ind
yidual ACKNOWLEDGMENT be carried through BY vrnD
of the influences which have heretofore been -
potent.
Forty millions OF dollars concentrated in company,
ia power not to be tried WITH and Legislators
nothing more than flesh and blood with all the weak
of the human Species should not DO surpreA
at anything In view Of the short time that has elapsed
since the last grand consolidation and the euormiy <
that swndle would think that It was . little tos
early to before the Legislature with another Pre-
ject OF similar character particularly whom the pesa
MARY purpose Of the projectors apparent It s WEI
known that the Hudson River Railroad Company never
has paid the current interest its debt and its current
operating expense-thst its stock Is actually worthless.
and that the smallest dividend is utterly out Of the que
tion In the face Of these facts appears upon the
authority above quoted, that the stockholders
of the New York Central Railroad Company to ~
ssddled with the dead weight Of this outside in
solvent concern that bonds and stock to abes
twelve million Of dollars be incorporated with the
present issues Of The Central Company and come In Tor
payment Of interest and it's portion Of net earnings.
After all this has been accomplished, and in proper time
the ogdsnsburg line will, without doubt be taken aP
and find its way into the consolidated company. II
would be very difficult to tell where this company win
stop in its absorption of railroads. but 1t is not dr.
cult to tell where it stop its financial II in
easy enough to incorporate dozen lines Of railroads
half productive and half unproductve, and by the an
pusl increase in construction account pay dividends On
the whole batch; but is Impossible to make half dozen
unproducve lines actually productive by merely assoo
atng them with paying lines. 1t is impossible to male
bad egg good again by putting 1t in the basket
with good one. Construction account . mulu
tude Of sins in railroad Management and long that
account absobs portion of the operating expsnsoa,
there will be difficulty in paying good dividends.
Within the past twenty mine months the New York Cen
trail Company have added about six and half millions II
dollars to its construction account and it would puzzle
any one of the managers, its superintendent any
In the companys employ, 10 tell how, show where.
half that had been expended the road The rut
is, not hsf of that amount has been expended
the road in construction account portion Of It has
gone to pay dividends portion to pay two and haR
per cent commission the President purchases for
side lines portion for damages from collisions por
ton for losses steamboat property, and portion Tor
the renewal Of roadway and The construction
count will increase at this rate long the company
pays In dividends than its sctual net earnings.
The PLlseelpbis Ledger of the 10th inst says:-
The modern fashion of companies making dfviAends
wi little or no money in hand, aud while floating debts
maintained at and u per cent month; or, in
the of Il Navigation Company half year ahead Il
time, not the least OF the evils Of present financial
manseement, and well calculated to destroy conf
dence works thus controlled The old fashioned way
Of dividing profits only when they In hand
more in accordance with fiankness and trus
policy. 1t is quite time that the discreet Of
practical busness should take the control of worries
OF great importance to the trade and business city
into their keeping. Stock specaators hold too d.
rect an influence in many OF Philadcphias most import
ant enterprises and by resort to acsse and
fattering stockholders with profits purchased -
double interest is quite time that this suicidal policy
should be abandoned That it il improbable and rid-
culous NO rational thinker deny We have Eecensv
been put in possession of allegations relative ths
private speculations Of Of company managers
in which large private gains sought at company ri
and expense, that humiliatpg they dr.
creditabe.