New-York tribune., 1871-01-04
THE AMES FAILURE
The Sgriaofeld Republican says tho Oakes

Anes failure srs a business and bankug eeepyy
and oyerAows among the politicians. Though tcarries
down his brothers and nephes IL - really Mis- failure
aone and results purely from the great extension OF hs
credit In railroad and land speouaons all over the
healthy and profitable their shovel factory makes nearly
a. 900 day. and the manufacture Of pows and other
also in profitable progress But with the OF hs
first inyeatncnts IN railroad building III Iowa and in the
Union Pacific Railroad and the great power which such
vast enterprises brought back 10 him, there grew up In
Mr. oakes Ames real passion for gigantG operations
among the material forces OF Our civilization. IL
to bc strong that. ~ he once eoneS5
he could not resist the fascination of brilliant
opening for connecting States or cemenung eohlneh.s
with railroads, founding city, or reconstructng soch
order, With great money gains behind II; dc had r m
South; tho Mobile and Chattanooga Road was nder i8
patronage; he was prime party In sn tor
Virginia 10 the Ohio River and his reel estate In
vosmonts were numerous and large In all parts oi tho
increasing mountain OF debt. Every new sohene locked
up and more means; they gave him great values-
wealth OF lands bonds, and stocks, but from which nc
could not realize at prescnt; and so he came to bc
mcnt and TO renew falling notes new loans Of $4,000
10000 daily. Naturally, lenders became dstrlstfu,
% more aS and more @ da se ad exoasye to borrow and
only untoward circumstance has been wanting for
many months to close the market against him. This
came douby in the Suspension OF Mr. Treadwel of san
Francisco the great dealer Of the Pacific coast in ag-
cultural implements, owing the Ameses, reported
hundreds OF thousands Of dollars and in the decision OF
Mr. Boutwell, and the ttorney;Genera backed ,& Py
Union Pacific managers that the Government should
put It's bonds and their interest back Of ler income
aud landgrant bonds and sockin effect TO surrender
tho Government claim to them entirely-which impaired
the market for all Union Pacific securities, OF which Mr.
Amcs Ia still naturally very large holder.
Thus the crisis came about and well 10 ~ i0r alt
parties that II has been delayed longer The sspen
sion will be only temporary the failure II forced need
not De disastrous. But Will arrest the progress OF tho
disease Mr.. Oakcs hncs for money. for more
worlds n conquer and naugurate the process OF settling
up He and hs partners exhibit total Gfsli oooGco OF
and pOw Adjustments could be sold at once if found
desirable for s2OO0 at least But the rest Of the assets
and sound enough 10 justify an extension Of
credits, provided security can DO gwen that tho
process Of expansion shall stop. This Is what
the suspension VIII naturally result H., haPpliy
In the end for all interes ed There IL every disposition
IN business circles to deal generously with Mr. Alnes,
boil in Judgment and action The value to the
trv I'm thr t,n stricon OF the Union Pacific Railroad
OF those qualities OF his that in their indulgence and
growth, have threatened hs ruin are quite fully nppc-
oat1d he ta friend and patron and savior IN the
hour doubt and need ana body will regret that
he was not content 10 retire with the iaurels ana tho
will he glad to have lin save as much "a possible out ot
tie wreck that LIS greedy passion or more tnph5 Das
certainly threatened, If has not brought .
There was In fact, d0ubt, partly in connection
with this suspension ol the payment OF the January IN
tcrcst on the first bonds of the Union Pacific road The
money had been earned of course but 1t had been used
for building tl" bridge at Omaha and for other pressing
requirements cf the road, and the Aneses large inter
and close connection with the road made jt difficult
10 arrange for meeting tho coupons on Monday But 10
has been done. IL the knowledge Ot tho anxiety,
IL not doubt tj matter that was nc The bott0ti III
the great disturbance of Union Pacific prices in the New
York market last week. Tho charges against hf. Jln
B. Alley, oi the Boston directors, that 80 was wan
tony depreciating tho market for purely speculative
PURPOSES lie sold Out his dOuk the road
early -t Summer, when il at tho highest prices,
ana broke down the market in doing, and has Since
Louglt back 10 whole ar part nj half tie rato3 no s)i
foF. l hc and his iricnd' deny, aud vita reason on
Lhcr SIDE, at he -a-cd contributed 10 tho great
"bcar" nlo'oEs At IN tho securities laat week.