, 1870-12-23
UNION PACIFIC RAILROAD.

Letter from Edward AtkkRB0ns E1qs
To the Editor er he Bs.tan Dasly Adss,t.ser:
Holders OF the securities OF the Unlua pacN:
Railroad and uiher1 10 which advanccA OF govern
ment honds have been made. hAvd hid the vAue
Of their pfppetty materially cnanxe1 within taM
upon officers OF the road. and BY tMpusaaoaa Of
defauft IN the psyneAE OF lltercst upon 4nSn Ruv-
efnment bords. II tkere has been default, ne
holders OF securities must tAkt tee consequences,
even though they afe entirely tnnoceut pafaea:
but kuch change In the value Of property, now
verylafgely held hJ trustees md othen naslnS 70
c0tEol over the mAraKtfneut OF the ro2ns ou&nt
not TO be fcatefed or promoted by the pfrsa, ex-
ceLt upon &hSofute certainty.
Ir the case Of The Par!nc Railroad, she.c hts
been not OILY no ut Iaur in The 0Ptn1on ana belief
ef lts IlctFe, but IN the opiniou Of most entnent
etuosel, hardly IN opportunity for de1aun hAs %.
en.ts sna 90 casoSs to1 rs ~ NJ ans
thtm to DO more than the government n1a tAc
ahxo.ute poHeF to DO, and actually ha1 dana Tor
ii government transportation, and app1,iux III
asne owAld reimbursement for oooda &9snted 70
The rcAf.
is cue 10 the tact that the Eorernucnt has graft
ed bon'Iz 10 theae nsad2- Inesa bonds cAs;y upon
their tace certain promise 70 pay money AID H.
teri It 70 whoever to!ds them. They were grant
ed 10 the road ia ala OF It's con3uucunD upon cef-
tain conditions: but among thcss cuudiuonsth
1x cot one that Implies tnat ,he roads nndesaook
all the conditions Of the band llse!E. The Donds
Hete thlLgs granted to be used, and the coudi-
tlons OF reimbursement are contained In the act
whereby they wtfc granted ana caanok DC coz
ii il this act, with It's conditions, which consti-
tutes lien upon the rota aud lts apput1ena1cs4,
and not aoy mortgage executed ~ me roadr c1n.
taluiDE 0tlcr and d10tfcnt provisions. The
whole obligation OF the foaus toward the EoseFn-
mtnt artes fro1n the acceptance OF the franchise,
The land, and the bonds. upon Certain conditions
c0utAilled IN the zct or Aria
The conditions as to psyme 1t are rousalned IN
one Ecetlon Of tho original act and one Section OF
~ yrbt rafn IN 1HChaNrtAd nhffDp{ FOAs1A
10 ppy the government b1nta - al n uatuft5. that
IL, nj the expiration OF thirty years from their
i isnit ran an be possible until suss mssurs:y. The
hecoLd obligation ia that The rpads snau do the
government business At fatr tA'es. This has been
iha! 1ns government nss, 81 the use Of she roads,
aave far more than the interest upon III the 1nda
granted, Which possibility OF sAstnE WIS one OF
The Le1i condition Is the only oae tn whica The
rsyment Of the interest upon the government
bous is imposed upon the roads At all, and Il pre-
sc.tbea the manner OF such payment in the follow
thR terms: IAN compensation for BerT:cea ren.
defed for the government shall be applied 70 he
| payment Of SAID bonds and tnttrsst uutil ths
the smepdment 50 rs 10 provide That only Hone
hal! The compensation s1ond y % appaed."
The l2st condition H. that Aftef tho road should
be completed. Until the bonds and interest were
fully pa1d, NJ least per ccutum Of the net re-
re.pts should be applied to snch payment, but al
The Cnion Pacloc, Vi leaai, has moi been acceptrt
I AZ QQiaQE{1, <UE O1uAUA UCE4 U4HVG 4LVE1 I'LL
conGtlGu, and when 1t Is II Will he met.
l. Tnst II was the ihtenEuu Of tha fEantrs Of tha
| law TO limit the Obligations Of the company u
m hnnua1 applt st1on OF one-hs1f the charge 10
government transportation, and per centau
Of Tho net receipts .ow1rd the payment o
bonds and interest IA clearly indicated By tn
fact that an amendment W18 offered fnp0snI
urou me roads the aemlanuuai payment OF III
tcYrtt a. 1t me.ured, and this amendment VA
! voted dowu Moreover II this Obligation va
unop them. tito ob'icat1f, to apoly q per ceutuu
81 the net receipts 10 .he payment thereof, that
tn esy OF hnf,tis ard tnteres{, WIS yufplusaxe an
al no ctfect. pecapse the Interest peI93 met upde
! lie reuetal Obligation. nofhluz more could poi
| tIhlv be psid unttI me principal should mt1u,.
| and thera n no gIun of sny ptoyaAion that such
/ ner ceftu,n wss d, fDfm 4 ainrjnV fond
4 sTIojders NJ land rr1nt borfi have no cAuse
b 1iisrr,rfed n II II rcfsiiy EtInnatet1 that ID
Htn nj the uuyern1nent sbsji triy apnjy 70 IanJ
| rerns,ntno n inr oWnershin of tnn Fnad4 at h
fttnn ~ Scfnnft ana ~ thr Jnfnn raflf1r RSiirH,
| ~. oniv one ~ ~hn,n tand vesnt bond . hEvn hff
issne1 trnsYerTed ia tits sr narfe win ia r,
eyxh,n 10 The trnafees n the laDd ornnt bor1d,
nrteT IN nnke the iasne AZ iand nrsnx bor,tfa po
sihie Ike rnyefmmenr. even In rssa al prnyed d
SsnI, ~ The rnsds IN haired fTnnn enf,,rrinr i
i.r rnor -" 1he ,sniia Tne1 ara nnT nrneH ~ Il
Tna1ees r. ~ acid far ihs na1mnnt NJ the Iay
1rtnr f,onre ana nn,r ms anr1n;ns II anv' TtJ r
| ETc-1 to the rnsd f'
1hs rrsf n,ovsg. "a bonrx unon the rnsd are
n,ens ir.s n,nrrseoe nv eynreTs nfovts an In ii
| sa~ond srf Nn,f ;He onrernmrnt ran nniy tni
nnsst sstnn sntiect tn tf1at iirn Sipokholdsra 4
r. csn,fe xnnitet IN Mi c.nttnvencfrs md ri1h;
| - alnoa +nAr AIor+ VIA IN rats = Whn xrn fr,nrd