The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1872-03-15
The Reform Management OF fine Erie Raiis
wny-Let There Be Light.

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WAVELET There Be Light.
Since the overthrow of the notorious Erie
King several communications have been ad-
dressed to the HERALD asking for light as TO
the hitherto hidden operations of Gould and
bis associates Of the old Board of Directors,
Among them is the following, which purports
to make respectful inquiry of the General
Dix Board Of Directors of the Erie Railway
Company
TO THE EDITOR OF THE HERALD:-
The fact Is published that at the request OF the
"Reform Boardn the Treasurer OF Erie exhibited nis
official statement OF ITS real condition. and tnas
after being read 1t was suppressed and not given 70
the stockholders aud the public. Why Is this? IL
the first act OF the Reform Board to be refusal to
is II not the plain duty Of the Board to at once pub
lisn the real condition Of the company Let the
stockholders know the worst at once So under It's
light, they will know what 10 do, and n necessary
steps can be taken to rg Srd 6e WNnS
There is naturally great deal of anxiety
among those interested in the Erie road to
learn the exact condition of Its affairs and the
extent to which the stockholders have been
victimized by the late management. The
known acts of the deposed Ring caused ready
acceptance to be given to the most ex-
treme rumors as to the character Of its secret
operations. 1t has been currently charged and
credited that the company has been stripped
Of all its property except the bare road; that
every contract in which the old directors are
interested Is fraud upon the stockholders;
that forty million dollars of the capital
of the road has been Incorporated that
money has been drawn from the treasury on
| fraudulent vouchers for the vilest purposes;
that depots, machine shops and rolling stock
have been sold at merely nominal sums to the
directors or their partners that the treasury
has been depleted and the road left
in bankrupt condition. 1t is due
alike to the stockholders and to the people
that these reports should be met by prompt
| publication Of the facts So long as they are
suffered to float about without confirmation or
contradiction they will be productive of mis-
chief and wrong. They aid in the gambling
operations of Wall street. If true, the Erie
stock is not to-day worth the quotation on the
market; if false, it is worth more than it's
present price. Besides, the current charges
against Gould and his associates involve not
alone their characters, but their personal
safety. II they have robbed the stockholders
they have subjected themselves to criminal
proceedings and punishment If their man
agement has been reckless only, and not felo-
Nous, it is proper that their regulations should
be cleared at once from the darker stain.
! 1t is easy TO understand that the affairs OF
railroad corporation cannot always be wisely
or properly made public; but General Dix
| h. IF Eria nirankora havQ
accepted their trust under extraordinary
circumstances, and cannot expect to be bound
by ordinary rules. The complaint made
against former Erie arrangements has been
that they have used the Erie stock as foot
ball on the market, and have loaded it with
more stock gambling rascality than has ever
disgraced any other description of securities.
The corruptions of the Erie Ring have been q
libel on the nation. They have dishonored
cur name abroad and Slapped our institutions
at home. The coarseness and boldness OF the
men who have reigned at the Grand
Opera House have made bribery and
corruption assume more repulsive aspect
than usual. They have Haunted their vices ia
open day until they have brutalized all who
came ia contact with them. Succeeding to
such moral lepers, General Dix and his asso-
ciate directors are under an implied obligation
to the people of the United States to expose
the extent of their crimes and to let the world
know the true condition of the trust they
have SO long held in defiance Of law end right.
The new Board is not only q Board Of Nam
agement, but an agent of rstributive justice.
1t must keep pace with the onward march Of
reform and must satisfy the public demand
for full and thorough exhibition of the acts
of the Ring and of the condition of the cor
poration it has ruled.
1t is to be hoped that the present directors
will not suffer expediency to divert them from
this plain duty of their new position. Thank
ruptcy has been brought upon the road there can
be no reason why the truth should be concealed
apart from stock-jobbing considerations. The
contracts entered into by the Ring should not
be suffered to exist day longer than may be
necessary for the operation Of the road. They
are all corrupt and illegal and cannot stand
the test of law. We have every confidence in
the integrity and intelligence of the new d.
rectors and feel assured that their action will
be such as is demanded in the interests of the
stockholders and of justice. They are, in
deed, now engaged in preparing a full account
of the affairs Of the road, to be presented to tho
Legislature, and we publish in the HERALD
to-day part of the statements they have
already compiled. But there is a general and
earnest desire to see a thorough cleansing out
of the old Erie charnel house, aud the peo-
pie will not be satisfied until they know the
extent OF the secret operations Of the corrupt
Ring, nor until the last of its members shall