Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1869-08-12

| chased, but also defeated the exercise o
ordinary prudence in looking into tn
character of the articles purchased, ant
the prices stipulated to be given. As an
instance Of this, the bond you hold wa
given for various items, one Of which il
the enormous sum of 1891, $50 for articles
denominated railroad supplies" L send
you copy of purchase bill marked B
That there was valuable material thus re
presented, we do not pretend to deny, bui
that there was large debris of unsuitable
and unserviceable material, which the Of
ficers of the road took through fear Of moi
securing the possession of their road, we
have been informed, and from such infor-
nation conclude that one-half of the
amount, or $197, 900, is as much as the
Government could have realized from the
sale of these supplies by any means ex-
cept ex.parte assessment.
Another item is that of $I0S,000 for
buildings erected by the Government.
Now, in order to the erection of these
buildings, which are of frame, the Govern
ment tore down the brick buildings of the
Company, ample for ali the purposes oi
the road, but too small for the purposes OF
the Government, and erected these instead,
and contrary to the spirit of the 7th arti-
Gle of the order of the Secretary of War,
Of August 8, 1855, almost forced" the
road TO take these buildings. (See depo-
sition Of NJ. Burns, President, page 279, in
report of affairs of Southern Railroads.
also deposition of Colonies Innis and
Yates, pages 2S7, SO and s9.) Besides the
GOvarnmauf 4 &c h,,;Ik aoroe of fba.o bo,,aas
upon the vacant ground Of other people,
and these had to be removed at the ex-
psnse Of the Company. Now, while the
enormous sum Of sos, 900 is charged to
the road for these houses, they are dear to
the Company at almost any price, for be-
ing of frame, the company is heavily tax
ed, say about $4,000 annually, for watch
men TO guard these buildings TO prevent
the loss Of property in them by fire, be-
sides the heavy insurance Of 5000 per
annum on property in them, in view Of
their being frame, and nowhere is it pro-
posed to pay the Company for the brick
houses the Government took down, and
cold or used the materials, worth 5
Also, there is charged to the company
locomotives and cars to the amount Of
1896, 404, at about the following prices:
For each locomotive, average SIS, l66 IS;
for each car, including box, Hat and stock,
1929 10, upon an average, according to
the sums total. Now, while we do not
desire TO eritiCise unnecessarily the assesses
ments made, and for which the bond was
given, it is we'll known and almost uni
versally admitted fact, that the assessment
was made according to war prices, and
that the value of first class freight loco
motive before the war was about 50, 600,
perfect, and. made to order and for service,
and since the war from about ST., 900 to
$4,000; but these were aud are the prices
for Rew locomotives Of first class design
and construction. The locomotives re-
ceived by the company from the govern
ment were not new, good design,
or first class construction, with
few exceptions; and what has been
said with reference 10 locomotives, will
apply with equal or greater force to the
Cars received from the government. 1t is
a fact, not known probably to the govern
ment, that the road never got the locomo-
tives and cara which its officers and agents
had selected; many of these were turned
over to other roads by the officers of the
government, and far inferior and useless
machinery substituted in their stead; be-
sides. there was scarcely an engine pur~
chased that was at all adapted to the
road, ironed 10 many places as it had been,
during the war, by the government with
light rails, in the place Of the u iron,
which it had previously taken up; at the
time that the government took possession
Of the road, it was in good order. (See
deposition of Cols. Innes and Yates, pages
2S7, So and SO in Affairs of Southern
Railroads.' The whole machinery pur-
chased by the road was put down to the
company at valuation of more than one
third above its actual value, its real value
being about - az from Information
deemed reliable, we believe. Even at a
very early period, after the assessment
was made, we find railroad property
of the government selling at only about
one-half of its assessed value, by the
fairest test-public auction-after great
publicity had been given to the sale, by
widely extended advertisements (See
deposition of Col. Crilly, page 147 in
affairs of Southern Railroads.")
Suppose the officers of this corporation
had not lin their hurry TO get possession Of
their road) accepted the government prop
erty at its assessed value: the property
would have been sold at auction, at about
one-half of its assessed value according to
the testimony of Col. Chilly, and he fur
Their states that large quantities were sold
at auction after all of the railroads had
been supplied at the time the govern
ment took possession of this road, il was
we'll laid with iron. See deposition
of Cos Innes and Yates, page 297, 88 and
80, in "a fairs Of Southern Railroads.
much Of the iron then was removed, and
replaced by light fragile rail, incapable
of sustaining the engines subsequently,
sold to the company. These rails thus re
moved were sold 10 railroad companies
and other parties, and the road is nowhere
credited with the amount. And worse
still, that portion Of this iron remaining
unsold TO other companies or parties vas
actually resold to the company, amounting
to 81, 927 90, aud which amount consti.
tutes a part of the bond. OF the item DE-.
nominated wood, cross.ties, etc, sup'
plies" and reckoned in the bond at 1872.
900, consisted mostly, say SS7, 900, Of wooG
lying along the line of the road in de-
caying condition, and put down at 29,05;
cords, which by careful measurement it il
believed, would have proven much less.
There was also sold to the company Z
double station engine, valued at SIG, $50
| This engine, II IS claimed, belonged TO ;
\ private corporation in the city of Nash
willie, had been seized by the military, ant
removed to the depot, and was sold to thi
| company--now a suit is impending VI
denying our title; much of the iron pu
down on this road by the government, (ir
| place Of the iron of this company, takeI
up and sold by the government was take
by the government officers from neighbor
ing roads, and placed upon our road an
charged to us, these companies mo-
threaten Us with suit, for the value of tn
iron thus taken, if we do not pay them
this amounts, as we are Credibly informed
to about s. -. / believe that hav
passed through nearly all the materis
items Of the bond, and herewith submit a
abbreviated tabular statement of its item
corrected, and reduced as in justiee the
ought TO be. .-t .tl.t
| Er paTte assessment of rolling stock
bond was gwen. -- 5s7. 517
From which we do not deduct SlOS. .
00O 90 on account of assessed Value
| on frame buildings, believing
| $4,000 % full valuation in view
Of the premises. But only for as
sessed value ofiron rail belonging i.
| to the Company TesOld to them'..-.' 72,9H
| sl.5l4.zO
Ono half of which amount being s757.1i5 I
The real value indicated By the
deposition of Col. Chilly. under
whose immediate direction and /
attention all of this government
property at Nashville was dis
posed Of Amount for which 1he
bond should be given.....-..-....,.-., s75I, IL
/ ...I o.. CREDIT, .... ... r
By cash received from
! private freights and
| passengers. in add
ton to all govern .... "a
ment troops and sup .trF
| plies, over the road,
L -