The New York herald., 1869-04-05

"nicu ~ is proven ls the same StrOnS Dox. Inc
balance of the road has been managed some
what differently 1t has been let under con-
tract to Oakes Ames and Davis. The former
is member of Congress and has been working
hard lately to get the company's affairs entirely
removed to the jurisdiction of the District of
Columbia. 1t appears that every stockholder
has an interes. in the Ames and Davis con-
tracts-that is, these men represent the Union
Pacific Railroad, the Credit Mobilier, or the
contractors, or the stockholders. Quiet citi-
zens, who are assessed for taxes, can ''pay
their money and take their choice" The con-
tracts were thus kept in the family.
The great game moved on to fortune. The
stock, for sake Of show, had been assessed
and paid from one pocket into the other by
making enormous dividends from the Credit
Mobler branch of the company. The safe
was not sufficiently large to hold the plethoric
stream which swelled, according to the sworn
statement Of director, to $50, 900, 600 Of
profits.
Here Fisk, Jr., appears on the scene, having
probably scented out the game and determined
to share the plundcr, which looked fatter even
than Erie. He subscribed in 1867 for So, 900, 900
ofstock, and by some means obtained elsewhere
by purchase six shares more. He rendered to
the etreasurer the cash ostensibly paid in on each
share-ffty-five per cent? but the treasurer
refused to accept it, for 1t would have given
Fisk, Jr. q share in ''thirty millions of spois,
which would have restored him his cash with
an enormous existing profit aud still greater
future one. At stockholders meeting they
also kept Mr.. Fisk, Jr., out in the cold upon
his six shares Of stock, and have, even on
this small amount, never let him into the golden
"ring." 'Erie," therefore, declared war
against the Union Credit Pacific Mobilier Com
pany, and on July 8, 1868, made startling
affidavit before Judge Barnard as to the trans
actions of the concern. This resulted in an
injunction against the company, or its two
branches, which has finally been productive of
the litigation which has lately been 50 promi-
nent in our Supreme Court. After hot con-
test among the lawyers, to see if the case should
be removed to the jurisdiction of the United
States Courts or retained in our Supreme
Court, receiver has been appointed, additional
afidavits made and some startling evidence
elected, going far to confirm the statements
above made. Even o United States Commits
sioner is charged with having been bribed with
$25, 900 to accept the last twenty mile section,
so that the plunderers could at once put their
hands on the government loan. 1t is stated
also that large detours have been made in the
road line for the purpose of increasing the
length and thereby swelling the government
subsidy.
The great contest for the past few days has
been TO get possession of the books of the COM
pany, and this has finally been done in part
by ordering the safe Of the company to be
forced open. The evidence elected from them
is as yet meagre. A long and exhaustive
examination will be required to demonstrate
the exact condition Of the company's affairs,
which, from the general mixture of Credit
Mobilier, Union Pacific, contractors, directors
and stockholders, viii give ample food for
hungry lawyers, railroad spectators and
managers. In the list of the stockholders the
name Of Fisk, Jr., appears twice.
Up to the present moment the developments
made are startling, and they show the general
features of the most gigantic swindle ever per-
petrated under the shadow of the law. The great
mistake made in carrying it out has been the
leaving Of o very few Of the minor and unob-
trusive stockholders out in the cold in the
division of the spoils. Hence the assault of
Fisk, Jr., upon their works. In the suit at
law it is doubtful if Fisk, ,.Jr., can prove him
self entitled to more than six shares of stock;
bat those six shares are masters of the princi-
pies involved, and may, If well handled by the
owner and his lawyers, cause the company to
disgorge the millions they have virtually plum
dered from the United States people by their
system Of management in the trust confided TO
them. To increase their gains and pre-
pare for the final grand financial stroke,
as yet unplayed, it may well bc
imagined that, upon thorough engineering
examination Of the road, it will be found that
everything has been sacrificed to the single
desire of distance, for through distance the
public treasury of the people has been tapped
continuously. 1t Is easy to deceive the politi-
cal commissioners with reference to the loca-
tion, gradients, curvature, ditching, width of
excavations aad embankments, quality of cul-
verts, bridgework and general supcrstructure.
The numerous wornout and broken-down loco
motives are the best proof OF the ruinous con-
dition Of the track. All these things tell us
Of the necessity OF rebuilding the road before
1t can carry freight to advantage. The money
required to put the road in order will not per-
nit the payment of the interest on the first
mortgage bonds for some years. The holders
may, in consequence, foreclose the mortgage
and cause the government interest, of sixteen,
thirty-two and iorty-eight thousand dollars per
mile, to disappear. The holders Of the greater