The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1871-06-21
The Power Of railroad Corporations and
the PubIic Issues Ii May Develop.


struction of railroads in this country, and the
consolidation of railroad interests OF late, lead
! people to inquire what is TO follow-what will
| be the effect upon the republic in political,
! material and social point of view? II the
railroad corporations were to unite for any
purpose, or if even few men who control
four, five or six of the principal lines were to
do so, their power would bs enormous. The
State or municipal governments would be to
them like clay in the hands of the potter, and
as easily moulded. Their power would rival
that of the federal government, and would
probably prove irresistible at Washington.
And railroad progress and consolid .tion are
tending rapidly to that state Of things. In
many of the States railroad interests are
supreme. We have seen them to be so in
New Jersey; they are 80 in Pennsylvania;
they were so to great extent in this State
under the old regime of the New York Gen.
trail, and are still. Other States might be
mentioned which are more or less under rail
road influence but the fact is so well known
that it is unnecessary to refer to each State
separately. Legislation for railways is gene
rally shaped according to the wishes of the
railroad magnates or corporations, and with
little regard to the interests of the public.
Though the State Legislatures and govern
ments are more Immediately under this influ-
ence Congress is so, too, in great measure, as
far as the power of that body over railway
matters goes. This has been seen in the stu
H., l., A. l.
in the privileges conceded to railroads. A
great many of the members of Congress, as
well as the members Of State Legislatures, are
directly interested as directors or stock
holders. Then the vast wealth at the CON-
mand Of railroad managers can be used effec-
lively upon trading legislators, lobbyists and
leading politicians Besides, the political in
fuence Of great railroad corporations is
eagerly sought by public men. We see, there
fore, what vas. power the railroad magnates
exercise already, and the still greater power
they can use whenever they wish or combine
for such a purpose.
One Of the latest developments in railroad
combination is seen in the purchase or incor-
poration of the New Jersey roads by the
Pennsylvania Central The works Of the
united companies of New Jersey, which have
been turned over, or leased for nine hundred
and ninety-nine years, to the Pennsylvania
Central, are the New Jersey Railroad and
Transportation Company, the Camden and
Amboy Railroad Company, the Philadelphia
and Trenton Railroad Company, and the Della
ware and Raritan Canal Company. The lines
connected with these by lease, which also go
to the Pennsylvania Central, cover nearly all
the southern part of New Jersey. In fact, it
may be said that that State is turned over to
the neighboring State and the great corporation
that rules them. We talk Of consolidation in
federal governm entail matters, but this
material and political consolidation ex-
ceeds anything attempted by the gov
eminent at Washington. The lines
owned and leased, and chiefly owned,
by the Pennsylvania Central Company at
the close of last year were little
over six hundred miles in length. In addition
to these and those in New Jersey The COM
pany has leased, directly or indirectly, about
two thousand miles of railroads, principally in
the West, and extending to Chicago, Cincin-
natl, ST. Louis, and to most Of the chief
points in that section. 1t will thus be seen
how this giant corporation is aiming to grasp
the trade Of the Pacific Railroad, as we'll as
that by all the avenues possible to and with
New York. The power Of J. Edgar Thomson
and Thomas A. Scott, the two m agnates Of all
this railroad combination over the material
interests of the country, and over the politics,
if they choose, is greater perhaps than that Of
the President of the United States
Similar efforts are made by other great rail-
road corporations or chiefs to seize all the
other loo Il and through lines connecting the
West with the Atlantic seaboard and the gates
Of commerce. Vanderbilt, with his New
York Central, Hudson River and Harlem Rail
roads and their connections; Gould and Fisk.
with the Erie and its ramifcations, and Gar
rctt and his associates, with the Baltimore
and Ohio Railroad and its branches and con-
meeting lines, are working to the same end. 1t
is unnecessary to 60 into the details of what
they are doing for these are pretty well
known, and the above statement with regard
to the Pennsylvania Central Company
is illustrative of the action of all.
Some half dozen men really control
many thousands OF miles of the principal rail-
roads in the country, hundreds Of millions Of
capital, a vast army Of employees, and, in q
great measure, the material interests Of the
largest part of the population of the United
States. Nothing like it is seen in other conn.,
tries. 1t is only on great continent like this
where such state Of things could exist. In
most Of the countries of Europe the railroads
are under government control or supervision,
and although it is not SO in England there
are no such gigantic corporations and CON-
bnations in that country as in this. The day