The spirit of democracy. [volume] (Woodsfield, Ohio) 1844-1994, 1872-10-08
6 R 1 1 i { 7
speech at indianapolis, Indiana
At Indianapolis on Che 80 als, Mr.

GREELEY was introduced to an assem-
olage Of thousands of People, by Hon
D. W VOORHEES, in neat speech, and ad-
dressed them in The following ringing
style:
PEorLs or lxDfANA: The distinguish.
cd gentleman who has just addressed YOU
has pronounced the two watchwords of
The present canvass. The first is recon.
the second is purifcation.-
/ have spoken here before on reconcilia-
ton. l propose TO speak tonight in the
Of publication. Our country has
recently encountered and Fanquished the
peril of disunion. She is to day con-
fronted with the deadly peril of corrup
ton the cancer is eating into her vitals,
whereof the essence is purchased lGgisia-
ton, bribed public servants, and several
betrayals of the highest trusts. These
are the elements. Let me cndeavor to
illustrate her present peril by simply re-
counting to You some undenied and un-
denisblc facts, which illustrate the history
of legislation ny Congress with reference
to the Union Pacific Railway. l would
fix your attention on this, Is u sample of
the means whereby scheming, selfish ava
ricious men contrive to olut their own
greed, while tnev talk of public interest
and public be:elicence
Ten years ago Congress passed an act
chartering the Union Pacific Railway
That act was intended and calculated to
secure connection by railway of our Pa
cific with our Atlantic States-a noble
purpose, and one which cannot hut be
strongly commended As it was certain
that private capital would not build a
road through two thousand miles OF
mountain and desert, Congress resolved
to aid that enterprise generously. In the
first place, the right of way through the
public lands was granted, with the right
also to take material from any part of The
public domain Nexta large grant was
made in aid of the Pacific Railroad and,
thirdly, bonds of the Government to the
extent of over $4,000 per mile were
loaned to the company in aid of this pro,
ject, and the first mortgage on the rail.
road taken therefor. 1t twas thus provi-
ded that the road should be, provided the
road should be built with public money;
for public ,ses,by the charter Of The com
pany. After few years, this project
having passed into the hands OF capable,
grasping men, some of whom were mem
bers of Congress, new step was taken
The Congress was induced to authorize a
new loan in aid of this project, and an
and an equal amount with the Govern.
ment aid-that is to say, to the extent OF
at least $4,000 per mile-apd this new
loan was authorized to take precedence
of the Government loan In other words
Congress relinquished our first mortgage
on the railroad, and took second mort
gage, authorizing the company to take q
first mortgage of equal amount ahead OF
ours. Now, then, cur security was de-
stroyed by this way, 80 that oar invest
ment was to be of no avail
in IA little while a private company was
somewhere chartered, entitled the Credit
Mobilier Of America, and that private
company or ring was composed of 10
of active members of the Union Pacific
Railroad Company, some, of them mem
bers of Congress. No list of the stock
holders of this Credit Mobilier was eve
published, or can be obtained, but these
gentlemen proceeded to make contracts
virtually with itself-that is to say, th
same gentlemen officiating as officers o
the Union Pacific contracted with them
selves as officers of the Credit Mobilier o
America, to construct the Union Pacifi
Railroad at enormous prices, which alb
sorbed both the bonds loaned by th
Government and the private loan of tn
company of an equal amount, which wa
made the first mortgage on all the proper
| ty of the road. In other words, thes
gentlemen contracted with themselves t.
pay themselves twice the fair cost of en-
tirely building and equipping the road
and building the road with the proceed
of the money loaned by the Government
They proceeded to divide among them
selves the other bonds. equal to tn
amount which Congress had made
mortgage on the entire road. By thes
means twenty or thirty millions of dollar
were divided emong the parties, and al
that money so divided we are called upol
to pay. They divided the bonds, ant
built the road with the Governmen
bonds, which were a second mortgage o.
that company.
Now, you see these same gentlene:
who engineered through Congress thi
project of making the road cost doubl
what it should cost and making half th'
cost private dividend among. them
selves, these gentlemen now appear be
fore Congress for still further advantage
The Congress had thus far reserved tc
the country such sums as this railroad
earned by carrying the mail, and the pro
visions, &c, for the army Of the United
States, but the company said no. The,
said we want to reserve half the money
You can pay over half the money to us
Consequently, in March, 1871, by al
amendment fastened upon an army ap
preparation bill, the Secretary Of th'
Treasury was instructed to pay over tc
these companies half the money they
earned by carrying the mails and armies
and only reserving half those errning:
toward payment of the interest semi
monthly accruing on the bonds due to th'
United States so that on this day th'
people of this country are paying some
millions per annum, out of their hard
earnings, for interest on these bonds
loaned to the Pacific road-paying thi
money as interest to meet the vast sum:
divided by these gentlemen among them
selves as dividends of the Credit Mobiliel
of America.
Now, gentlemen, do not say what in
dividuals have received this meney, out
do say that, by corrupt legislation, in th'
way OF individual ssins, thirty or forty
millions of dollars have besl saddlsd OF
this countly-an unjust and unrighteou'
debt Applause ] We are called upor
to pay the interest now every six months
and after three years must pay the princi