Vermont phÅ“nix. [volume] (Brattleboro, Vt.) 1834-1955, 1873-02-28
.u0BrETsH DBrEvDBD.

Mobilier in an editorial which we copy be-
low. The article recalls some facts worth
at this time, and will be read
with interest even by those who cannot ac-
cept all of its statements and conclusions:
The country seems TO be getting as sick
over the fact that 1t has Pacific railroad as
II was crazy ten years ago to get one. We
are at peace, II IL hard TO see how great
war can ever again threaten us, our bonds
are away above par, and we do not love to
recall that about ten years ago, our nation
al existence was seriously iniperiled, our
dollar promises to pay were worth only 30
cents, and our bonds went begging at 40,
yet such was the case.
II is probably easier for us who are so VI
tally affected by the Pacific railroad to re-
call the time when the men who came Tor
ward TO build it were extravagantly lauded
for their patriotism, energy, enterprise,
public spirit, and what not, than 1t Is for
those down East who did II and who are
now as extravagant in their denunciation
of these same men, crying, indeed, in full
pack, "Crucify themv' Cruelty themv'
What are the factsH The Union Pacific
Company contracted with the Credit Mo-
bilier 10 build aud equip the road for the
sum total of its assets. The Credit Mobil-
ier, which was an incorporated construc-
tion company, built the road at cost In
stock and bonds of 100000 mile. This
is regarded as extravagant, but fifty OF the
leading roads of the country, agaregating
in length lo,O45 miles, cost an average of
sos, 900 a mile. These in the old settled
States, the Union Pacific in the wilderness.
II is falsely charged that this organiza-
ton corruptly procured the amended char
ter of 1854, doubling the land grant and
taking second Instead of Il first lien on
the road for the government loan. The
first charter was approved July l, lsG2.
| The 1000 shares that had to he subscribed
before the company could organize were
only taken by Sept. rs, 1862. Tue company
organized, it broke ground near Omaha,
bought a little material, but developed it.
self chiefly 10 besieeing Congress for a
more liberal charter.
II was 4 period of unexampled financial
embarrassment. The war was al its worst,
the future of the country, on which de-
pended the vaue of its securities, was very
dark and unpromising. A greenback dol
lar was worth but IS cents, and government
bonds were slow at 40. The Iowa roads
were $50 miles distant from the initial
point, aud the Missouri river was worth
next to nothing IS means OF tranSporla-
ton.
The engineers were interrupted by Indi-
ans on the plains, and the transportation
trains by guerrilas In Missouri. Two or
three millions had to be put in before the
company's bonds or those of the govern
ment were available. Capitalists wouldn't
touch it, away out on the frontier, far from
the money centres, uncertain of ever reach
ing the Pacific, or of paying half interest
on cost and expense of operating, If it
should. What kind of an invitation was
this to investment No capital could be
| induced 10 touch It. Meanwhile the entire
country and Congress demanded the road
1t must be had at all events, and Congress
with the universal acquiescence of tho peo'
pie, purposely made it an object for some
body 10 build it. Then the work dragged
Nov. 4, 1865, tthe new charter was APPROX
cd July 2, 1861, Gen. Dix, the President o
: the Company, reported that they had bail
90 miles, expended So, 500, 600, all of it de-
rived from private sources. They were ex
hausted, and the work was about to ceas'
= when the attention of Ames, man of un
: bounded wealth and credit, was called t.
ii. It was in August, 1865, that he first Sc
riously looked at the enterprise at all.
He finally took hold of it, happily 70
, this part OF this country. May 7, 1866, blu
40 miles of road were completed, or at tn
rate of ten miles year for the four years
= had been under way. But within thre
years to day but one, 1000 miles wer
built, and the East and West met face t
face on Promontory Mountain at the hea
of Salt Lake. They did S60,000,000 wort
q of work and cleared $1,000, 900, less than
per cent. At the rate of progress made b.
O The original parties, the road would nc
: have been finished till 1872 for it woul
: have taken them ITO years to build l,lC
Il miles of road at the rate they were goin
n on, or rather standing still.
= Surely the West ought to stand by thes
q men, and 1t can do so with good hear
They built railroads more economical
a than usual, and they never "bribed' any
= body on earth. 1t is false that there he
- been any important action in Congress o
q the subject since 1864. True, the Treasur
Il Department attempted to withhold none
:. from the companies which was due theI
by the terms of their charter The Senal
. judiciary committee first, and then bot
~ Houses of Congress, were obliged, by Il
a plain reading and meaning of the charte
| ha mo IN
! Whoever says this action was bought {
- Struggled through, doesn't know where
-. he speaks, or else he deliberately or car
lessly lies. 1t was Jim Fisk's raid on Il
~ company, and not the action of the Treasl
ry that sent the stock to zero and the bon'
~ to 20, and forced Alnes to ask an extensic
N of his creditors.
- Finally, the government loaned whoev
', would build the road $50, 900, 900 of its bont
~ for 80 years at six per cent interest, nomi
=. ally; really for nothing except the gratui
-. Gus performance of half the governme
~ service that might be needed, and five p
~ cent of the net earnings for a sinking fur
= to meet the principal and interest. Su
~ pose it never gets principal or interest,
- will have done exceedingly we'll. For Il
y, y, year the road really started, 1866, ii pa
" quite the interest at six per cent on So
~ coo, 900 for the freight west Of the Nilsson
y, river, and without the road ii would ha
y. Ind 1t to do every year. And from t
" Minnesota massacre in 1862 to 1865 we HI
", an Indian campaign every summer at t
a" cost of ten to thirty millions each. Sin
W 1865 we have had none. The governme
"' has saved twice the amount Of the prime
pal of the loan In Indian campaigns, aud