New Orleans Republican. [volume] (New Orleans, La) 1867-1878, 1873-03-30

imposed by the farmers ceases to be pro-
lection to them.
The producers Of the interior have an
example Of these abuses in the later man
agement Of the Erie road. The specu-
lators, headed by Fisk and Gould, OBJ
tanned control Of this work and employed
the powers thereby acquired to increase
the capital stock of the company Upon
various pretenses they created an i'm
immense debt, which tended rather to
absorb than increase the dividends. The
reckless and unprincipled manner in which
the revenues Of the road were squandered
and the debt increased alarmed the for
eigr holders Of large amount OF It's
stock, and stimulated a change OF admin
igtration. The process by which this was
effected shows want Of faith among the
officers and aspirant. connected with the
road which would disgrace Captain Jack
or any other respectable aIodoc. Jay
Gould. the successor Of Fisk. was presi
dent. lie testifies that he devised q
chanGe in his directory. and made up
slate with one Of the largest stockholders.
sc this junctnre. and without his knowi-
edge. one of his directors communicated
to an outsider q proposal that, if
certain English stockholders would allow
this director to place 81, 100000 "where
i could do most good. he could. oy the
resignation of his co-directors, elect such
mer as the English stockholders might
designate, and 50 remove Mr.. Gould from
the presidency. The necessary telegraph
ing for authority exposed the plan, and
others interviewed and offered to effect the
same object for ;300.000 The English
stockholders Of course accepted the low
est BID. There was. however, further dis.
appointment to the conspirators. Gen.
eral Sicklas. the american minister to
Spain. made his appearance on the scene.
and to him was con1dei the trust Of dis.
bursting tho money anon; the faithful
directors.
SO Mr.. Gould was hoi5.ei by another
vetard just as hi, own was ready to ex-
piodc. There we-e fox q few days two
governments. ate. the fashion of Louis
Jana. bu. Genera: Sick.es offered such
terms 20 Nr. Could that he acceded to
the plan with enthusiasm. One term Of
this compromise was that Nr. Gould
should receive $500 eco which he had
advanced to the use OF the fyie company.
But i: occasioned surprise how and why
these English stockholders should have
been willing to pay the large sums offered
by them 70. chang. If administration.
It is thus explained: The bischolfheims.
bankers, held for sale on account Of the
Erie company SG.iit.O0o Of its bonds.
Of the proceeds OF these they have retained
.or commissions $l.200.000. Out Of this,
says witness. "tEc Bischo1iheims will
readily .epay themselves for their outlay
in capturing the road There is. besides,
an undisputed item Of $4,000. paid for
the votes o.' ST.: New Yorl. Senators ''in
opposing hostile legislation" all of which
comes ont O.! the assets 0. the road.
This outrageous y.llainy, rerpetrated by
mer whc. nc doubt. go to church and as.
soeiate with the highos. in the land, is in
teresting as a sketch of social history, but
it was not for that purpose that we have
recited it. All Hlis dishonesty and ex-
travagance was at the expense OF the farm
ers and other citizens who use this road
for the transportation Of their property or
persons. The charges for railroad service
must be adjusted according to its expense
and interest account. These last, being
greatly enhanced by the corrupt and in
competent management to which We have
referred, must be net by a. increased
tariff, and must result liz diminished
dividends It VIII be thus seen what in
justice ani fraud has been practiced upon
the people who were the ogigiDa. grantees
of these franchises. It may be also noted
what class Of adyertUerS are stealing
fabulous riches from the investment and
''ti i--LEoS ~ huOSC "i4V btAIAN VI tN4S Eul4"
roads. IF the people who suffer such rob-
berry should combine TO reform OF ruin
roads managed as the Erie. there would
be little sympathy for their ungratefui and
dishonest managers az 70. the careless
stockholders who permi: such misc: ....:s
:c.'iU!re cont.o! .: their property.