Alexandria gazette. [volume] (Alexandria, D.C.) 1834-1974, 1871-01-16

sm;t6 : That is that a certificate may be issued
saving man has paid 800 on his share. when
he hasn't paid SO. That may be an ''Irregu-
lor;tv'I on the Pennsylvania railroad, put
down here it is n fraud The law requires
that the bonds shall not be sold ut more
than ten DEF cent discount. Now al inc
witnesses agree that the SliO:OOO OF Do'i!o
realized only $43 ,00O-less than oO cents III
the dollar-of which less than S2O,UOo was
maid for work done on the road, the REMAINDER
ncinp appropriated to the private purposes OF
Bodhsh, Mills e. Co.
issued without the consent of the Board OF Pub
lie Works This was not complied with; 1t
further requires that unless one half OF the
conita stock has been paid the company shall
not issue bonds. Here they committed anoth-
er direct violation OF the law :, =,
THINGS 90 on in that way until Il general col
lapsc comes, and nothing is done until 1870,
when another figure appears on the stage,
MIR. George B. Roberts. His character may
be a. pure us any mans outside OF this Case
But do stand here to do my duty with reference
TO his transactions. We know that he had his at
tcntion called to Il railroad to run from Wash
moton TO some point on the Potomac. lie is
the yice-presidcnt of the Pennsylvania Central
road, corporation that has always been look
inc out for the railroads in this country-no
matter how small, and no matter with what IN
significant connections 1t Is not to be be,
lived that Roberts had not heard of this road
before February: 1870.
lie is one of the sharpcst and most intelligent
men in this country, and it is not to DC credited
that he bought this road for $50, Geo without
knowing something about it. No. sir; lie know
everything about the road--whO owned the stock,
towhom flowed money-and hcmust have known
and | would not mako so grave charge II l.
!. ~, -pf all hn
that had been pcrpctratcd by that organization.
| You heard the close of the contract providing
that Lincoln should secure the 'ot an act
by the Legislature legnlizns all the acts under
provision in there after having seen the bonds,
stocks and books? Why. if it was not that he
knew of these frauds? Why should he put that
provision in twice in tho contract if not for his
anxiety To- have these frauds covered over by the
law? Why should,h have had inserted in the
bill now before tho Legislature the same provis-
ion if it WAS not because he knew it required an
enabling act of the Lcgslatureto make him safe?
What did Roberts pay SSO,G? Tor? There
were $40 600 in bonds out and in addition to
p that stocks, SC, wlfeh fthcy had been bona lidc
would have made the whole sum at least $780,
600, if the transaction took place under and ac-
cordng to the laws Of Virginia. If it had been
unpaid stock it would have boon different, but
/. Roberts plumcs himself that he received stock
certified by the officers of the road to have been
paid up in full. That transaction alone convcts
him of knowing of these frauds. Could he have
thought that any person would pretend to sell
him bonds and stock upon which the sum of
$500 600 had been paid for the sum Of SS0,0O?-
. He. sharp Pennsy lvania railroad man? 1t is
taxing crcdulity too far to ask any one to believe
that.
The fshwomcn Of Rockets might meet and
pass rs legal resolutions rs are in that book of
minutes-the most extraordinary book / ever
saw; book that contains what was not done
and does not contain what WAS donc-procccd-
and
the president rs secretary, and sometimes by no.
!, body
There have been two or three suits in Virginia
about this road but in all of them the question Of
the legality of these bonds and certificates have
been kept out of view. 1t would be the last thing
in the world that Stewart or Lincoln Roberts
would do to attack their legality. 1t was to the
interest Of all the parties to these sultsplalntlS
and defcndantS-tu IIluintuin the legality of the
organization. The strong hand of Virginia, by
her writ of QUO warranto, can test this question,
and whenever it does come up the decision must
be that the company having no power to issue
the bonds they are illegal, even in the hands Of
IN innocent holder for value
1t is claimed that the act of June, 1870 makes
legal all the acts under the old charter.
Roberts required of Lincoln that he should OBJ
t,n an act Of the Legislature legalizing the old
organization and the acts done under it. Lin
coin, in pursuance of his contract with Roberts,
attempted to do so in June last, but failed.
There was Il lion in his path: Carter DraXton
was there, and urged that if this was done the
creditors of the old company would have no re-
dress The act of June, 1910, in the ID section,
amended the Alexandria act so rs to make it re-
qusitc that 2 GOO shares of stock should be sub
scribed and 10 per cent. paid thereon before the
organization should be empowered to net. The
Legislature of 1870 so far from throwing any
legal mantle over these irregularities" inserted
in their law special provision that the terms Of
; the charter should be complied with. They said
to Lincoln, if you comply with the law, you can
60 on as an accredited corporation, and not be-
fore 1t renewed and rcaffrmcd what the Alex
!, andria Legislature of 1864 had enacted.
What is next in the order Of programme? As
soon us the Legislature meets again We find bill
coming from Pennsylvania railroad organiza-
ton the first line Of which attempts to egaliZe
the very thing that the Legislature had refused
to do. 1t reads that the company 'as now or
ganizcd'-that is, rs organized in Roberts peck
cts, with all tho frauds that have been proven
1t asks the Legislature to rctraco their steps, and
to declare by the law-making power of the land
that l. Geo. b. Roberts, am Il legal corporation:
| am afraid Of the courts. | can't show that |
have complied with the laws of 1861 and $50
L know | haven't done it. L cannot maintain
tho legality of this organization in a legal forum,
and, therefore, | bcsecch you, as the omnipotcnt
authority in this State that you will declare what
the courts have not the power to do That is
what he says, gentlemen. We, on our part, ask
you to send him away again. Tel him. rs you
said in 1870, go and comply with the law, and
then come ifyou choose and ask for q charter
for a road from Fredericksburg to Richmond,
, and We will consider it.
The Fredericksburg road earnestly desires an
, al-rail line to Washington, and is building ten
miles of road to Quantico creek to connect with
any road built to that point to meet it. The
Fredericksburg Company it is known, keep their
promises, and they promise to finish it by August
next What have Roberts & Co. done since the
act of June 1870? These men who were going
to put one thousand men on the Alexandria and
Fredericksburg railroad. What havothcy done?
Why, what they have done may be designated
! almost by zero. What guarantee have you that
ifa charter Is granted for road from Frcdericks-
burg to Richmond that they will do any better?
Judge Marshall closed the argument, going
over the testimony of Mr. Roberts, chiefly to show
that whatever irrcgularity there may have been
in the original organization, Roberts and his as
sociatcs had no knowledge of it. and the Lcgsla-
turc should not make an innocent party suffer for
} illcgalitcs under the old charter
The investigation then closed, and the COM