The New York herald., 1870-02-28
Raisrssas and Railroad Kngs-Ths Now
Power In the World.

| federal government will be compelled either TO
take charge Of the great railroad lines Of the
| country or to control their management by
law. We foresaw this some time ago. and
have on several occasions given our Views to
the public. Wo notice that the British press
begins to look at the matter In the same light
with reference to both the railroad system Of
England and the United States. The London
Times has an editorial on the subject, by way
| Of comment on Its correspondence from
| America, showing the gigantic strides Of this
new power in the world and the dangers Of it.
Tho writer admits that in England there is
danger as well as in this country from the
growing power of railway corporations, and
that they have felt there some of the incon-
veniences OF allowing cestain companies to
acquire too great authority ''They have, he
says, "divided the country between them
they have become power in Parliament, and
they cannot be said to have raised the tono Of
either house. But with us they have never
| advanced TO point at which they could be
| considered dangerous" But in the United
| States, he remarks, higher destinies have
| awaited the railway magnates; and then he goes
| on to show that Cornelius Vanderbilt, James
Fisk and Jay Gould, John Edgar Thomson,
| Thomas A. Scott, John w. Garrett, and
perhaps few other monarchs of the railways,
have power to control State Legislatures.
| judges, politicians, Congress, as well as the
vast material interests of the country, and
| that it may be questioned if some of them
have not as much power as President Grant
himself.
The public does not always see the power Of
the gigantic railroad corporations OF Of the
individuals who manage them. When the
managers are bold, speculative aud un-
scrupulous they sometimes show their
hands. Sometimes, too, the power Of rail
road monopolies presses 80 directly on the
people that cry is raised. though unavailing,
against them. The Camden and Amboy Rail-
road monopoly affords us case in point
We have seen how the vast power of the Erie
Railroad, in the hands of Fisk and Gould, can
be used to the injury Of the public. But there
are other and still more powerful railway
companies and combinations, the operations of
which are not so generally known nor so di-
rapidly to dangerous control over the in
terests and deatinies Of the country. The
Pennsylvania Railroad, which had originally
only the three hundred and sixty miles from
Philadelphia to Pittsburg, now rules two |
thousand seven hundred miles Of different rail
ways. Most of this enormous extension has
been acquired within year or two. It is
~: -
the terminus of the Pacific Railroad, over
thirteen hundred miles west of Philadelphia.
The New York Central, with its connections |
and the other railroads under the control of |
Mr.. Vanderbilt, represents, perhaps, five |
thousand miles Of road and over three hundred
millions of capital. If this railway king should
get control of the Erie, as il is believed he
will, he win control the most stupendous rail
road system in the world, and one that will
comprise nearly all the roads that centre In
and radiate from the great metropolis Of the
United States. The Baltimore and Ohio Rail-
road is also of these stupendons mo-
nopolies II has line Of connection fifteen
hundred miles, with numerous branches. Then !
there are the Illinois Central, extending |
-
Valley, and the Pacific Railroad, which con-
trolls The whole trade Of the western side |
Of the Continent. A few Give or six) cor
porations, controlled by about as many indi |
viduals hold property estimated at nearly |
a thousand millions Of dollars, and impose |
whatever tariff or restrictions they please
upon the travel and interior commerce of the
country.
Nothing else than Legislation by Congress
can reach the growing power of railroad cor
porations and managers, can prevent far
greater consolidation of their interests and
save the people from the fatal consequences.
The tendency to consolidation increases every
day, and we can hardly imagine to what ex-
tent it may be carried, for the railroad compa-
MES only study their own interests. The whole
of the railroads. under general system of
combination or consolidation, may be con-
trolled by half dozen men or less number.
/ OF course this would destroy all competition
and place the entire public at the mercy Of
hese men. What is to hinder these railroad
managers from watering the stock Of their
companies three or four times over, and making
the people pay double or treble rates for pas
sage and freight in order to get dividends on
such watered stock? We have seen this
watering process carried out on several Of our
great lines, and we can imagine how far it
might be practsed. If the capital stock Of
these companies amounted only to the cost of
| their roads good dividends could be earned by
much reduced tariff of fares and freight than
is now charged. So we see the public suffer
in the end. The State Legislatures are too
much under the influence of great railroad
corporations to provide q remedy. Congress
must do it. The evil is growing to such
| maonit,de that il there were no power Origi-