The Evansville daily journal. [volume] (Evansville, Ia. [i.e. Ind.]) 1848-1862, 1857-03-04

sxrseDwzurExuurxnRAzxay9 G1S = III -
a. nine out Of ten boards Of Directors would
have done. fell into the snare which had been
laid for them and unanimously confirmed
what had already been done and determined
unon bv the President and Vice President.
All ofthis would seem incredible, if We had
not ocular demonstrations af Its truth. 1t IS
no objection to my argument, that this thirty
thousand dollars per mile, securities weigh
ed by you-cuardians ofthe road-against TWEEN
thousand dollars a mile cash, and found want
ing-was composed to some small extent oil
stock. for was it not with that same stock to be
paid out at par, by the road, that you were to
paw for the one million seven hundred and n
teen thousand dollars real estate, at cash
value" which that contract bound the road 10
raise for Willard Carpenter & Co. And could
you expect, after appraising, IN advance your
own stock and this real estate AT sixty
six and two third cents on dollar, that 'ar1n-
ers and land holders were going 10 subscribe
it to your road at "cash value" as called Tor
by that contract, and take your stock IN re-
turn for it at par value? Pray do you know
what is meant inthe language OF q stock mark
eft bv "pe;ting a quotation" 1t is by quo
tation~ that is, an officially reported sale at
the stock board that we judge of the market
value of any given stock. Well sir. yourself
the President. and Mr.. Carpenter, the Vice
President, to say nothing Of the Unanimous
vote Of the Board" by making that contract,
gave us all concerned "a quotation" with
avengeance. That quotation was sixtysix and
two third cents. The sale reported of stocks
and bonds was to Willard Carpenter, and
amounted to two million eight hundred an"
thirty thousand dollars. Two million four
hundred and thirty thousand dollars Of this
was Of bonds, based professedly, on real estate
taken at cash value Now your only means
of acquiring real estate, before and since, was
and has been, TO persuade land holders to sub
scribe lands in return for Your stock, paid to
them at par; you persuading them, that
tho stock was, at least. as valuable as
their land, which You proposed to take
at cash value; but how after this trans
action, shall you persuade them that your
stock is worth par? I should think by this
time--if you did not then--you under
stand what is meant, at the stock board, by
selling Short" Cor no inconsiderable part o
this sale Of stock to Carpenter & Co. came
under that category; that's, you then sold t'
those gentleman two million four hundred ant
fifteen thousand dollars ofsreal estate bonds
To be delivered at request, as the work pro
ance: these bonds to be based on real estate
taken at "cash value" You had then all, tod
real estate subscribed to the amount Of lou
hundred and fifty thousand dollars. All tia
rest YOU "soId short" that is. before you ha,
E, it to sell. You sold one million seven HIM
dred and fifteen thousand dollars of real esstat
or bonds based on (which is the same thin:
before YOU had an acre TO sell; and becaus
real estate holders will not give it for you
stock at par which yon have already contract
ed to Carpenter at 6695 cents, your road i
"cornered."
Thus this contract, stated to the world, b.
you in your annual report as positive and I'm
conditional, is not only conditional, but IA
conditions impossible OF performance, an
which necessarily defeat the whole contract
You state without condition, that the Who'll
road is 10 be completed under this contrac
by December 1857. The present state of tn
work, as well as the contract. contradicts 20
without qualification. So much for your mis-
statement Of the contract
But your statement though not explicit
saving that this contract covers all importar
expenses to be incurred in the construction
this road, would lead non professional railroa
men to suppose that it does. You state ths
this contract Is for building Of the road
will take the liberty to enumerate parts
the expenses OF building the road not therei
provided for Expenses Of engineering. sa
aries, Office expenses expenses, Of the Boar
depot grounds, right OF way and tencln'
none of these are included. The eating cane,
of stock interest paid to all subscribers till Il
road is completed. Interest on bonds Of Il
road-and real estate bonds; and last Of a
and not, admit, pretended to be in the col
tract is the rolling machinery and the m
chinery in shops.
Now sir, / know what attn saying, and a
prepared to prove it. when | say that the
additional expenses reconstruction and equi
ment not included in your contract, cam
DO supplied and incurred for a first class ro
so as to constitute it a finished Road, she
of one million to one million and quart
d, dollars, and that will run the cost of yo
road up to six millions Of dollars. And Il
the worst feature Of this contract is, that
ut erly exhaus (supposing the road to posiC
all the real estate, cat cash value called
therein) all the assets, and all the possi'
credit OF such road to make it ready for {
cars, and then turns it out naked to the VOL
without the necessary tools OF its.trade; no
locomotive or car, or an anvil or LATHE
nothing with which to make its Ewing, a
no money or credit with which to buy tho
things. / know you talk OF, ana behe
have had the temerty already 20 issue,
addition to the $4,000 mile, Road Bon
on the first division to Willard Carpenter
Co, $1,000 per mile, under the same mortga
with which it is proposed to buy locomoti'
and cars &c. shall take notice Of the fat
ity of that expcdient at the proper time, a
mean while. look little further into this IN
unfortunate contract.
TO BE CONTINUED.
Cnucrr.s1oN,I CnRRtrprrnN -Tnc &