The true northerner. [volume] (Paw Paw, Mich.) 1855-1920, 1873-07-25

connecting Chicago and AeW loth, ls over
s169. .OOO, 600, while the aggregate watering oi
the stock Of the various roads hss been nearly
s7s coo. .OOO.-sufi,ient to build first class
double track road from New York TO Chicago,
laid with stoel rails, costing 100000 per mile
with an equipment that would earn s4o'oOO'o ooO
per annum.
Now it costs "A CENTS per bushel OF Gu pounds
TO carry grain from Chicago to New orE over
these railroads while the actual cost OF trans
portation 10 less than II cents per bushel- Hut
the nominal caoilal being double the amount
invested, the ten cents profit i exactea. n
other words Commodore Vanderbilt taxes tpe
producers more than they maze IN ras1ng
grain. in order that he may divide eight per
cent. on has watered stock. Ry tins stock
watering operation ne made about S5,OO0,Ooo
for his own family in one day-the greatest
single speculation ever known in the world
and all by brbing Legislature. The people
of the West are suffering bitterly to-day, in
their depressed industry, from the monstrous
extortion.
so the capital stock OF the Pennsylvania
Central Railroad was increased from less than
GA, ,OOO 900 in 1862 TO over s41, ,0OO,0OO in ISL
The Chicago d Northwestern has been IN
creased in capital and debts from s39.0OO,00o
IN 1864 to over S55, ,000, 600 IN 1871 while this
company holds Government IMMIGRANTS to the
amount of 537,4s acres.
This gigantic fraud OF watering railway stock,
inaugurated by commodore Vanderbilt has
been followed by all the great lines which form
direct communication between the West and
the Eastern seaboard. IT is doubtful il the
system Inaugurated could be overthrown by
any process of the COURTS although il might be
forbidden IN future by constitutional amend
ments, as is now the case in Illinois under the
constitution adopted in 1870.
BY this system Of watering stocks in our own
State and other Western States, companies
escape taxation which they should properly
pay. For instance, as shown by a report made
to the Illinois Legislature last winter, the
Chicago Burlington q Quincy Railway pays
State tax on only 5i,4S7, All OF property, while
the company has permanent investment OF
over S35, 900, 600, The same thing is true OF
the great lines running through Michigan. The
State is receiving a far less amount OF taxes
than on the real capital OF the companies,
the tax being levied on the amounts OF original
stock, without regard to it's increase by scrip
dividends, consolidation with other roads, and
enormously enhanced value of real estate,
which other Taxpayers hands would be prop
erly assessed.
\ correspondent of the New YorG Times
some time ago il considering this subject, SAYS
the agricultural interests of the country have
the remedy in their own hands by the building
of direct through and exclusively freight line
between the Eastern seaboard TO the Mssissip-
pi valley.
i ship canal between the lakes and the
Mississippi valley would greatly aid the agrlcul'
tural interests Of the West, for such route
would be open at least nlne-tenths Of the year
Another ship canal around the Falls Of Niagara
and across tho State of Michigan would alsC
afford great relief to the producers. Add tC
these, freight line owned by and run in the
interest OF the producers of the country, anc
the burdens which now cripple the agriculture
interests of the Northwest might be measur
able lghtened.
forced reduction Of freights over existing lines
until they cease to pay dividends. as is the
case with the Michigan Central the present
season. \ SAFE reduction OF charges will re
quire all the ability and ingenuity of the "Pat
rons OF Husbandry, because 1t is plain tha
railroads will not be run unproftably to TIE
owners. auy more than other business vii
l.. tl,ot i Ct TIf
Illinois railroads, under the enforced rule Of
uniform frelghts fer equal distances arc revis
ing their tariffs III such q manner as to kll GER
thin inland manufacturers which require heavy
material transported and have heretofore haf
1t done at very low rates To kill home mann
features is to kill the farmers best market.
The style Of persuasion that obtains in tin
outlying settlements or our beloved countr.
may be inferred from the following scene tha
occurred recently at the Mon hallway ticket
Office at Denver A rough-looking man pur
chased, through mistake, a ticket for New
York via the Kansas Pacific line, when he van
ted to go over the Union Pacific. He did no
discover the mis- take until after the ticket hat
been paid for, and on asking the agent t.
change it the latter refused to do so.
"You won't change this ticket, then, won
you ?"
=. No" replied the agent; you have you
ticket, and have the money for it and If yo'
want ticket over the other route You vii
have to buy it,
Very quietly the stranger twisted ms ticke
into small roll. very serenely drew from un
der his coat-tail six shooter, coolly stuck th
twisted ticket into the muzzle thereof, an,
sticking the pleasant-looking thing through tn
little square window OF the ticket-oiiice almos
in the agents face, and speaking in tone tha
left DO doubt OF his determination, said
, stranger, thar's that ticket tale it yoursel
and change it, or by the great horn spoon II
blow it clean through you Il was change
with cheerful alacrity, aud the traveller pc
Union Pacific walked away, saying, CT jes
thought could induce him to change his min'
lItlc."