The Evansville daily journal. [volume] (Evansville, Ia. [i.e. Ind.]) 1848-1862, 1857-03-10
NUMBER l9l
GBt Gully yournal,
TUESDAY MORNING::::::::::::::MARCH 10
IFor the Journal.l
An Expose.

IFor the Journal. .,.-.
An Expose. as 81,
tContinued from last weeks Journal.i f.r
10 OLIVER II. SMITH, ESQ.,, President of tie 3.
l. f. c. S. L. Railroas Company.
What then, hss been the effect of this new
policy upon your operations in the field
1t is due. to Mr.. Carpenter, to say, ths. 20
has been untiring in his exertions, that ne has
worked night ane lay, that he has been eY-
erywhere; where he supposed his services were
needed, that he has acted in every capacity,
from that Of serving summones on witnesses,
in suits for rights Of way. to that OF financia,
agent of the company ani the contractors, tool
in the cities, Of New York, Hartford, and
Boston.
But. it all wouldn't do. He had in that
contract, Undertaken an utter impossib,lty:
and his Herculean labors have proved useless.
Your lettings made more than three years
ago, and before this Objectionable contract,
after all this lapse of time. are still lettings"
The first division (the cheap division,) then
reported all under contract is yet, not all
graded, and bridges there are none.
The mortgage bonds Of the road to the
amount Of SlO.UOO per mile, to buy iron, pay
duties, &c, have been in the market accord
ing TO your own reports. moro than year.
And, you and Mr.. Carpenter. have told us
over and over again that they cannot be de-
pended on, for that, or any other purpose:
and that they are worthless, so far a
present help is concerned. IL you do not tell
US so. what DO you mean when you ask us
for the last dollar Of our city subscription in
violation Of three agreements to enable you to
pay duties on rails. Every man acquainted
with American Railroad history, and your
route, knows that you can't buy iron, or in-
deed, any thing else with your mortgage bonds
on your lst division. without the immediate
Of the completion Of your whole
road but, still We would rather have the
evidence Of the fact from your own mouths,
anil We have now got it. .-.f.t.,
Then, sir, what have you told us. IS 70 the
present position and credit Of your road;
why, simply and truly this: Your diminished
stock subscription, not SO large in March 1856
~ in March 1854 by near hundred thousand
dollars, and the most important branch Of it.
the cash subscription, not solsrge by 100000,
shows conclusiveIy, irrsfragibly that, your
road as corporation has no credit At home.
And your mortgage bonds which you an-
nOunced in your last report, as issued aud da.
ted the lst OF January, 1856, ard on the
market, having been now faithfully tried fer
twelve n onths, or more, without svail, and
your repeated demand Of one poor SlOOUo
Of city bonds, pro(essedly to pay duties.
show equally clear and conclusively, that
your corporation has no credit abroad.
This is the dismal state Of affairs, which
you yourselves show; and, we admit you are
good witnesses on these points.
And, tins sir, charge TO be the effect Of
your new policy on your operations in the
field
And now permit me, briefly, to recapitn-
late. have shown that you and Mr.. Car
penter, not u.s. but ou and he. started this en-
terprise, four years ago. That the high char
acter of yourself, your intimate knowledge Of
the subject, and your energy and the high
position, known financial ability, wealth and
untiring industry Of tir Carpenter, induced
US, as individuals and municipalities to take
stock to the amount Of Ia lion in your pro-
ect.
That, the undertaking was, to complete .
great through road OF unbioken gauge, from
Evansville on the Ohio, 70 Cleveland on Lake
Erie. through Indianapolis, our State CapitsI,
md open to Evansville the fertile valley al
VII, K yer.
That, IN fact all that was required to accom-
,lish this work was to construct railroad from
to indianapolis LAID down by you
IS one hundred and fifty miles at furthest.-
That YOU represented the cost 0f this road,
With the most expensive rail-the continuous
every thing up to the rolling
at fifteen thousand dollars per
nile. That You laid down your policy or plan
# operations in construction, to which We full
y agreed, which was to consider the road as
tab ral- ali D1@ Al
speedily locate the whole road, and solicit
stock only to prepare the roai for the rails,
md when enough for this purpose should 10
obtained, to put the road under contract from
10Th ends, or all at once, and first prepare TIC
Whole line for the iron, and then purchase
hat on the credit OF the work done, by ..
mortgage of the road.
That we subscribed and voted you stock
on the faith Of this wise policy.
That, you adhered 10 this agreed policy
near year, and prospered and pro!essed TO bs
Eat SIZED with your success.
That, you then under specious psetences,
without consulting stockholders. but to their
great alarm, openly departed from that policy
AMI at the same time introduced and have
ever since maintained q system Of conceal
ment from stockholders, Of Whatever Of I'M.
nortance has been done in the Board or on the
field. under which system, up to this day, no
Engineers report, or report Of letting has ever
been published.
That, when you abandoned your original
policy. you, as President, entered into q con-
.ract with Mr. Carpenter. till that moment
Vice President 'and Co.," to bulld the roa =.
n rhout near competing IT, at dou,.s d price.
y hich you told us it would Cost, aud bouni
he road to furnish hm all the means to do it
xith That YOU most unacountatly and un.
necessarily put an otter On has part into
nat instrument, to do the same work for two
hlrds the price IN cash, or the whole price in