The weekly Ottumwa courier. [volume] (Ottumwa, Iowa) 1857-1872, 1871-02-09
MoInlIll.opoly,. 3.

0PsOHon DOtUW eu0 PIOuuuCl9-
mento Of Rufus Hatch 10 regard to
railroads, chiefly relating 70 their
| great power in tho land, and the i'm.
menss fortunes made from the water
ing Of stock. Wo bespeak for It .
careful perusal from III our readers :
"There are now in the United
States SO, 600 miles Of railroad. The
cost of these works exceeds o3, 900. !.
OO0, 900. Their annual earnings OK
ceed 4400, 600, 600, and equal 70 e1I
per head for our entire population -
They. transport annually 125, ,00O, 900
tons of freight, or over three tons 70
each person, assuming our entire pop.
nlation to be 40, ,OO0, 600. The value
of their tonnage, at the low estimate
Of 410o to the ton, equals 5000 per
head. and an aggregate sum of ei2,.
SOC, ,OO0, ,000--a sum six times greater
than their cost. Every mile Of road
constructed adds Eve times lts cost TO
tho aggregate value OF the property
OF the country.
GAIL this vast commerce and wealth
are wholly creations OF railroads, and
within the short space of twenty
years. Such results are possible only
in = country like our own, the mar
ket Of whose staples, whether for
heme consumption or exportation, 10
within . narrow belt lying immedi-
ately upon its northeastsrn coast line,
and more than one thousand miles
from the great seat Of its production.
Wheat, the most valuable of our
cereals; will not bear transportation
over ordinary earth roads more than
$50 miles; over railroads it will bear
transportation $500 miles. These
works consequently ARE the only ones
that have given, or can give, q oom-
meroial value to the products Of the
interior. They increase tho value Of
these products just in ratio as the
cost Of transportation is reduced
But for them many Of tho most
denscly inhabited, wealthy and pros
porous portions Of the country would
have remained a. wild and uncultiya-
tod 40 they were one hundred years
ago.. But for them, our commerce,
considered in reference to its vast
|6Dngnitude. would hardly have had
&8existence. They lie at the foun-
dation of and sustain all tho varied
interests Of the country. Il.
"It was inevitable that the posses
zion of such works---the most potent
agencies for good ever yet devised BY
the ingenuity of man--shoud BE-
sought by the q asping and selfish,
for the purpose Of turning, - far -
possible, into their own pockets, and
at tho expense Of tho nation, the
wealth they create. The common
mode is to add, by watering, TO their
nominal cost. Upon such increase,
dividends are secured by the imposi-
tion of rates far in excess Of the cost
Of transportation. The difference
between charge and cost is the meas
ure ofJhe gains. These spoliations
have been carried to such an extent
as to embarrass most seriously, tho
industries and commerce Of the cOun.
try. Unless they can be speedily
corrected, oil its material interests
will shortly be in the hands of . few
great paper money Barons, and
welded wholly for tho purposs iof
adding to their present enormous
possessions.
"Take the case of the New York
Central and Hudson River roads,
they occupy the necessary route
of q vast commerce. commerce
that cannot we'll pass over any other.
The value of the absolute control OF
this route-oftheu unrestricted power
of levying tolls over every pound Of
merchandise passing over IL, can
hardly be estimated. Mr. Wander.
bilt was not slow in seeing and in
turning such an immense advantage
to hiU own account. Hisgreat wealth
enabled him 10 got possession Of
both roads. As soon - they were
fairly in bis grasp, he commenced .
series of swaterings' ofa magnitude
20 vast a. to be, for o time, really In
comprehensible. Their brilliancy
gave an air OF statesmanship to .
most iniquitous conspiracy against
tho rights Of the people. Ono mar
der makcs viliain--thousands .
hero;' and MIR. Vanderbilt became
the idol and the hero OF the hour.
"The first act in this great drama
WAS .he doubling, in 1867, of the
capital stock, then $1,000, ,OO0, of Che
Hudson River railroad. Upon this
stock only 50 per cent, was called mp;
the transaction, consequently, nettcd
the modest sum of $500, 600. -
Taught by such instruction, Mr..
Vanderbilt, in 1868, declared q scrip
dividend of 80 per cent, upon tho
| share capital Of the Central railroad,
then S28,73O,OOO. This dividend
produced s25, ,O36, 900 hut these vast
sums by no means satisfied the nav
Of this financial giant. He contriyed
the union of tho two roads, and
made it the pretext for another stock
dividend Of ~ por cent. on the Con-
trail, which produced. with q small
1 addition thereto of alleged surplus
earnings, tho sum Of $8,524, 400. At
tho Same timoa . dividend was de-
clared upon the share capital, in
creased at the time to e16,O20, 800,
Of tho Hudson river. This dividend
produced the sum of Sl3, 3,623, 800,