The Placer herald., 1857-01-31
AUBURN, JANUARY 81, 1857.
Cornorations.

lative corruption in the older States of the
Confederacy has arisen from the power to
pass special acts of incorporation. Where
this authority is possessed and exercised it
gathers about the Legislative walls, Bank
Stockholders, Presidents and directors, all
who are interested in Railroad Stocks, as well
as crowds of spectators who have some
scheme to subserve by procuring the passage
of their favorite measure. These monopolies
when once life is breathed into them become
powerful and then they beseige the Legis-
lative halls with money and influence to per-
petuate their existence.
The trainers of the Constitution of Califor-
MIA seem to have been determined to guard
against these dangerous tendencies. In Sec
ton 3lst of Article fourth, they have prov-
ded, that "Corporations may be formed under
general laws but shall not be created 10y
special act, except for municipal purposes"
The same section further provides that "alI
general and special acts passed pursuant to
this Section may be altered from time to time
or repealed"
Under this clause the Legislature has from
time to time, in 1850, 81, 80 and SO, pas
sed general laws, allowing corporations to be
formed for the purpose Of mining, manufac-
turing, building Plankroads, Railroads. &C.
and among other things for the purpose Of
navigating the waters of this State by steam
Under the provisions of the latter portion
of this act number Of gentlemen some four
years since, incorporated themselves with an
enormous capital, some two millions we be-
lieve, for the term of fifty years for the pur-
pose of navigating the waters of this State
with steam. They commenced operations
by placing lines of steamers on the Sacra-
mento and San Joaquin rivers and on all the
bays adjacent to San Francisco. The profits
were enormous, and the corporation soon
aspired to complete monopoly of the waters
of the State. Whenever by private enter
prise boats were placed on any of the routes
they would forthwith reduce the rates of pas
sage and freight on the particular route to a
mere nominal sum, and by this means com
pei the owners Of the opposition boats to
abandon the enterprise, or sell out to the
corporation at a ruinous sacrifice. Thus, this
monstrous monopoly has from year to year
swallowed up all opposition until at length
it has obtained the complete control of the
waters Of the State. Not keel can plough
our rivers or bays without their consent
where opposition cannot be driven away they
open their Golfers and buy it of, In one in
stance, in 1855, a gentleman who had been
engaged in steamboating Oh the Ohio and
Mississippi Rivers, shipped fine boat from
the Atlantic States to San Francisco, for the
purpose of navigating the Sacramento.-
When the vessel containing the material ar
rived in San Francisco the corporation paid
the owner the entire expense of freight, DC,
from New York around Cape Horn and back
again, and twenty-five thousand dollars be
side, to take back the boat to New York
without unloading it.
This corporation not satisfied with the
power they have thus acquired, seem hereto
fore to have exercised great influence over
the Legislature and judiciary. In 1856, one
Captain Brown started an opposition boat
on the Sacramento, and on the application
of the corporation, the Judge of the sixth
judicial district granted perpetual inunc-
ton, Restraining him from landing with his
stermer at the levee in Sacramento opposite
the business portion of the city.
Corporations are souless. Give them
power and it is exercised for selfish purposes.
The steamboat company of which we speak
is not an exception to the rule. They have
kept up the price Of passage and freight at
enormous rates. The agricultural and min
ing region Of the State are their tributaries.
If we travel we are at their mercy. If we bring
up provisions, mining utensils, or anything
else we pay their own prices. A half dozen
directors meet in secret council and tax us
at pleasure What that pleasure is, is mea-
sured only by their avarice. If opposition is
to be bought off they have only to add lit
tie to our burthens. From the chamber
where the directors meet will 90 forth an
order to add five dollars a ton to price of
freight, or dollar per head for carrying
passengers. So overgrown and wealthy has
this monopoly become that it can afford to
have half million of dollars worth of boats,
which it has bought of, lie rotting at the
levees.
In 1855, an act was introduced into the
Snnata of tbic Ctoto o,,or1;,o. H. oo,,,,...