The Toledo chronicle. [volume] (Toledo, Tama County, Iowa) 1873-1924, 1873-01-30

"A gOou deal OF contention na
sprung up among the parties inter
ested in the Union Pacific Railroad
and Credit Moblicr, relative 10 III.
management Of the Offices Of the
said Companies, and an effort was to
be made At meeting OF the stock
holders Of the Union Pacific Rail
road Company, in March, 1869, u
change part of the Board of D..
reclors. My opinion was asked to'
concerning the right of the stock
holders in tho Unlon Pacific Rail
road Company to vote the shares
held by them, regardless OF proxy
which was said to run with the stock
under the terms OF the contract and
agreement existing between the
said Company, the Credit Mobilier
and certain parties designated Il
Trustees. In order TO enabl. me to
understand the question submitted
copies ot certain papers We're placed
in my hands, some OF which | have
now in my possession, among which
We're the contract OF Oakes Ames oi
the first part, L. G. Durant, Oliver
Ames, John b. Alley, Sidney Dillon,
G. Y. Bushnell, Henry L. MComb,
Benjamin 5. Bates, of the second
part, the Credit Mobilier of America
OF the third part, an agreement be-.
tween the aio, ssaiL parties OF the
second part, in which they bound
the selves to vote their own stock
tor which they held and should hold
proxies, which WAS represented to
embrace all that was issued or 10 be
issued under the Oaks Ames con.
tract III the manner provided in tho
AZ, cement. some OF the others pa
pers not bearing directly on the
question submitted. examined the
question aud gave an opinion to the
effect that the stockholders of the
Union Pacific stock could vote their
own shares regardless OF proxy run
ming with it; that the affairs OF the
corporation could not be tied up in
the hands of a few individuals in e
way attempted by the terms OF sad
contract aud agreements, and That
the scheme OF tho Credit Moblier
was one which might render every
officer and Director of the Union
Pacific Railroad Company, which
was party to it, accountable to the
Latter Company for the profits az
cruing to him from the construction
contract. Down TO the time these
papers were placed in my hands l
knew almost nothing OF the orgsni-
zalion and details OF the Credit Mo.
biller or of the value OF its stock,
but then saw that there was abund-
ant ground tor further trouble and
litigation, and, as one of the results,
sold out my interest, and have at 10
time since been in any manner in
teres,el in the Credit Mobil er, nor
did l at any tine or in any manner
have any interest OF amy kind or
character in said Company other
than as hereinto.ore stated.
SO far as Ames is concerned, his
action was the result OF my applica
tion to him to- the purchase OF stock
My action was induced solely by the
conversation had with M'Comb, who
was actnated,, as l understood, by
what he denounced as a gross in
Justice practiced on him by the Com
pAny, and it was well known to both
OF them, as it was to everybody
that my connection with Congress
would end with my third term.
The reports of the testimony giver
before the Committee, as published
in the newspapers, show that NJ Cont
has testified that he had requested
Ames to let me- have some Credi,
Mobilier stock. Not one word O
this ever came to my knowledge
IRON HIM Ames, or any other person
except as have related in this state
usnt, and / desire here to recall the
fact that whom the transaction abov.
related occurred, the whole countr,
resoundcd with the praise OF the en-
ergy manifested by the constructor,
OF the Union Pacific Railroad. Tn,
completion OF the road brought t.
the surface contentious and quarrel,
amongst the parties who held the Sc
crsts aud power of tho Credit Mo
bilier. These developed the facts
which now Civ. direction and ton,
10 public judgment, but they are no
those with which to measure tn
motives and actions OF the men VIII
acted under 4 former state of facts
with no suspicion that they were 10
true and would not continue true t
the end. The very fac. tina. M'Coml
threatened TO carry his claim to tn
Courts was of itself calculated t
allay any suspicion Of fraud or wron,
in the affairs OF the Company, 10
such suit would OF necessity bring t.
light tho whole history OF the opera
tons Of the Company. wish 1
say in conclusion that when l enter
ed Congress in 1861. ] did 80 - tn
Representative of . constituency un
animonsly in favor of the construc
ton OF the railroad to tho Pacific
My predecessor had been Chairma
of the Committee on Pacific Raj
road. 10 his efforts in favor Of TN
construction Of such road, more tha
to any other one thing, he owed hi
election to Congress. My district a
that time embraced nearly one-ha
OF the State OF Iowa. It extends
from the Mississippi to the Missou'
River. l desired to secure the loos
| tion OF the road 80 as to have it CON
msnce on the western boundary {
my district. and thus secure aonns'
tion with it for the Iowa roads the