Vermont phÅ“nix. [volume] (Brattleboro, Vt.) 1834-1955, 1871-04-28

which they had no claim save by the lease
in question. .
At length, when seven years back inter-
est was due to the Stockholders of the YER
mont and Canada Stockholders, and when
the stock of the road, par at 500, with SO
per cent accrued interest, was selling at 20
cents on the dollar, the decision of the court
was rendered confirming the validity of the
lease, and the trustees commenced paying
the back interest.
BY this time many of the original hold
ers of the Vermont and Canada stock had
parted with their shares at low figures. A
short calculation will show what good
speculation purchasers of the stock at 20 per
cent made of it-an outlay of $4,000 would
purchase $4,000 in stock, carrying with 1t
SIS, 600 back interest and an annual income
of $1,000. The art of "free2ng OUT outside
stockholders was never more completely
exemplihed even in Nevada mining COM
pany.
Meanwhile the bondholders, for whom
the trustees were supposed 10 be acting,
dissatisfied with their management, en-
deavored to have the mortgage foreclosed,
and the property thus taken out of the
trustees hands. Permission TO foreclose
the mortgage was, however, refused by the
court of chancery. The foiled bondholders
then applied to the Legislature for relief,
and bill was passed authorizing the ma
jority, in amount, of the bondholders of any
railroad on their written demand to remove
any trustee or trustees, and appoint others
in their place. This was done by the bond
holders of the Vermont Central first mort
gage bonds, and they called upon the old
trustees to resign their trust to the new ones
The old trustees were, however, equal to
the occasion; they refused TO relnquish
their trust, and carrying the question into
court obtained u decision in their own favor
on the ground of their vested rights in the
trusteoshp. Their position now seemed
secure, but to strengthen it they commence
ed cultivating political influence. To this
end prominent lawyers in differ ent parts of
the State were retained by them in the in
terest of the road their care for those inter-
ests being largely shown in the manipula-
ton of the nominating conventions. The
efforts of those legal gentlemen, aided by
the local force of the different roads under
tic Npilli VI VI lliutllNt VI lnt lllNt
proved so successful that at present no can
didate for State office, unacceptable to the
triumvirate, would have much chance of
nomination, and still less of election. The
control of the Legislature is thus secured
to them.
By the constitution of Vermont the judges
are elected annually by the Legislature. 1t
would be difficult almost to hopelessness
for lawyer who had taken prominent
part against the trustees of the Vermont
| Central Railroad to get elected judge, and
judge who should take strong ground
against them would have small chance of
reelection. The United States Senators,
elected by the Legislature, feel the same
overshadowing influence, which alike af-
fleets the choice of Congressman, and the
nomination of Governor of the State. 9th
| er great railway chiefs must at least 20
through the form of consulting their stock
or bondholdcrs; must account to them an
nually for their trust and be reelected by
| them. The trustees of the Vermont Cen
trail Railroad are under no such necessity.
Holding their Office by virtue Of mutual
appointments and hereditary descent, (for
two of the present are sons of one of the
original trustees,) and confirmed in their
power by the decision as to vested rights,
they fear TO criticism, and defy all oppose
| ton.
True it is that they must periodically pre-
| sent their accounts to and have their acts
confirmed by one of the Judges elected UNI
! the influences above described. This check
offers no serious impediment to their free
| action.
In all, however, that they have done or
are doing, it is improbable that the trustees
of the Vermont Central Railroad have ever
exceeded their strict legal rights or violated
a single state or national law They are
men of Il far different stamp from the Fisks
and Goulds who have disgraced New York.
Yet it may well be doubted if the existence
of this respectable triumvirate docs not do
more to sap the foundations of political lib
erty than all the excuses of Prince Eric or
the corruptions Of Tammany.
Year by year they enlarge the sphere of
their operations and strengthen their hold
on the country. Their leases extend beyond
the State of Vermont into New York and
Canada. They control M, re miles Of rail
way than any corporation in New England,
and plans for larger development are I'M
derstood to be nearly ripe.
They are already practically above the
law and can mould legislation to suit their
purposes. How then can their dangerous
power be checked? DEVON.