The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1871-01-06

| uU ulVfueulS, DeCdusc Iucy were Entcu up Wy
those parasite fast freight lines. Ihaye seen
on that road 10 cars of the Empire (fast
freight) line to of the company cars. The
allowing Of them to run Is confession ofthe
railroad officers of their own inability to
manage the carriage Of freights on their
roads. These two modes of transportation
subject the people to paying for tFo sets Of
officers and managers, for the money comes
out of the people at last. The Baltimore
and Ohio Railroad Company runs fast
freight lines over their road, but they own
the lines and the profits 60 into the COM
pany's treasury. The witness cited q
case. In which some coal dealers
wished to transfer coal over the Northern
Central road. They applied to the Presi-
dent of the road for transportation with the
drawback. They were referred by him to
Don Cameron, the controller of the fast
freight line, but were told at the same time
that if they would ship at one time several
hundred thousand tons the railroad COM
pany would carry it, and they would be en-
| titled to the drawback. It has always been
| the public impression that the railroad off,
cials were in some way connected with the
fast freight lines. 7.~ St.
For the purpose Of testing the system, I
ordered some freight from the:West to be
sent to Philadelphia in the Pennsylvania
Central cars proper. It came in 81 days,
and in damaged condition. I afterwards
ordered some by the fast freight line. and
I IN Iouo of HIGHER
cost. No merchant nor shipper expects,
nor can rely upon, the receipt at certain
time of goods shipped in the cars of the
railroad company, and he is driven to the
express or fast freight lines.
MIR. Thurman, Of the committee, object
ed to so wide range of investigation.
MIR. Daniel said Mr.. Roberts had intro.
duced the matter, and we now wanted to
show the effect such management would
have on road in Virginia.
Mr.. Wood said If it was proved here that
the Pennsylvania Central Railroad Com
pany was insolvent, and was the worst
managed road in the world, and the Frede-
ricksburg road the most exsortionate in the
world, it should have no effect on the judg-
ment Of this committee, nor furnish any ba-
sis upon which the report Of this committee
could be based.
MORE ABOUT THE BONDS AND STOCKS.
Mr.. Roberts examined by Mr.. Ould:
@. Do you take the position that if these
bonds and stock you bought of MIR. Lincoln
were all fraudulent you still would be enti-
tied to the franchise of the road because
you had innocently purchased it9 49,.
A. My position is this: If the stock was
fraudulently issued by the regular officers
of the company it holds good against the
company. That has been decided in seve-
raj cases. I had before me in this case the
certificate of tho Governor of Virginia of
the organization of the company.
Mr.. Ould.-No, sir. There could be no
such certificate. The certi fcate you had
was that of the Governor, to the fact that
law had been passed authorizing the or
ganization. That was all.
! Mr.. Smith cited q case where railroad
stock stolen, and sold to an innocent pur-
chaser, the United States Supreme Court
had confirmed the purchasers right to it.
Mr.. Ould said that was not similar case.
| That stock was that of an organized COM
pany. In this case there never has been
any legal organization. There never has
been any company. The fish women at
Rockets had as we'll print stock-book.
forged seal to it, and then sold it to an
innocent purchaser, who could as well lay
claim to it as the gentleman here can claim
the stock of the Alexandria and Frede-
ricksburg Railroad Company.
Mr.. Roberts said when he bought the
stock he had evidence that fshwomen
hadn't got it up, and that the Legislature
of Virginia had chartered the company.
TESTIMONY OF MR.. GREEN, OF ALEXANDRIA.
Mr.. Green testified: He was employed in
the Alexandria and Fredericksburg Com.
pany's office that under Bodfsh, Mills 4
Co.'s contract they were to build the road
In two years, and own majority of the
stock. MIR. johnson gave me to understand
that they were not entitled to the stock,
but were allowed to controrthe vote. They
wanted somebody in Virginia that would
give the company standing, and they
pitched on Mr.. Slaughter, of Fredericks.
burg, and elected him director. Mr. Rice,
of New York, was appointed another di
rector, and Bodfish's brother an other.
.. THE WHOLE THING A FRAUD.
Q. Do you know how much money was
paid
A. Mr.. Johnson always told US that we
were working not for the Alexandria and
Fredericksburg Railroad Company, but fol
Bodfsh, Mills & Co., who owned the stock
About the money, only know what Mr.
johnson told me, that "the whole thing
was fraud that not one dollar had beer
paid in, and if the thing was ever brought
before the Legislature it would be burstet
up." MIR. johnson said the same thing tx
others. Mr.. johnson said this after ht
found that Bodfsh, Mills e. Co. had the
road for TWO years and could not be gotteI
out before that time expired. The bond:
were taken to New York and almost giyer
away, but no money ever came back-at
least none of the money was ever paid to US
@. How much work was done on the
road2
A. Between s5O,O00 and $4,000. They
owed the engineers $4,000. If they had
paid for all they had done the amount
would have been about 100000. Bodfsh
Mills & Co. were not to receive the money,
but bonds, and they did receive the bonds
They felt confident of being able to build
the road. Never had any suspicion that
the company was fraudulently organized
until Bodtish, Mills & Co. stopped paying,
and Mr.. johnson told me what he did.