The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1873-01-13
The Hoxie Contract" the Only
One Fully Carried Out.
Why Ipjunctions We're Asked For and OBJ
tanned Against Williams Contract.
How Cakes Ames 4 Co., "the Boston
Ring" Obtained Power in the d.
rectiOn Of the q. p. RR. Co.
a PLOT TO GoBBLE ss,eoo,ooo.
HOW DURANT EXPLODED 1T.

A representative of the HERALD called upon Or.
purant, ex-Presldent Of the Union Pacihc Railroad
Company, again, when, after the usual prelimi-
paries, the following conversation took place.
REPoRrERr-Do understand that the "H0xie
Contract" copy Of which you have given me, was
The only one which the Credit Mobiier carried out
fully In the construction Of the Union Pacific Rail.
roadf aoosl ta5 at4 e ~
DR.. DURANT-Yes. aal
REPoRTnR-Doctor, why did you enter protests
ard obtain injunctlons against the extension Of
the Hoxie or the Williams contractsf
DR.. DuRANr-In October, 1855, after the compile
ton Of the work under the Hoxie contract
by the Credit Mobilier. Mr.. Cakes Ames
and Others, who had become stockholders
in the Union Pacific Railroad Company
through their interests in the contracts, were
elected directors in that company, and
In January 1867, the Board passed the resolution
authorizing the payment to the Credit Moblller OF
$4,000 per mile for hfty-eight miles, all Of which
had then been completed, and which had cost only
about twenty thousand dollars per mile, exclusive
OF equipment Although, as President OF the
Credit M0blier could not object to such arrange
ment, yet, as an 0ficer In the Union Pacific Rail.
road Company could not, consistently with my
sense Of duty, assent to the same First, because
did not deem 1t polite for the company to use GIL
road that could be constructed at little cost leav-
ing the more expensive portion to provide for
ITSELF and for other reasons. given in my protest
and complaint In the Injunction cases, copies OF
which you have Secondly, because the position In
which the corporations stood In their relations to
each other were entirely different from what they
were when the Hoxie contract was assigned to the
Credit MOblier, many Of the parties interested
In the Credit Mobilier having become stockholders
IN the Pacific Railroad Company, and having been
nsSs letting to Thy
injury OF those stockholders in the Pacific Railroad
Company who held no stock in the Credit Mobrier
and who were minority In interest 1t was to
protect all alike that refused to consent to the
Oakes Ames contract unless 1t received the written
assent OF all the stockholders in the Union Pacific
Company.
REPoRrKR-what is the Boomer contract, re-
ferred to In the Injunction suit Of 1867
DR.. DuRANT-It was the contract under which
the road was being built beyond the termination
you see, could be terminated by giving ten days.
notice; but the Cakes Ames contract, subsequently
made, embraced all the work done under the
Boomer contract, the company paying for the same
In accordance with the contract with Mr.. Cakes
Ames.
REPoRrEn.Do these contracts embrace the en-
tire line OF the road
Dr. DURANT-No, they do not.
REPoBTER.Under what contract was the re-
naming portion OF the road constructed
DR.. DURANT-Under that known the "Davis
ssslgned to the same parties as trustees
RRPoRTER-Can have copy OF the Davis con-
tractS
DR.. DURAST-I see no objection, as a copy has
been filed in the answer OF the company in the
'sFlsk suit" You VIII have to make the copy your
self.
REPoRTER-I see that It is already publicly as
serted, Doctor, that the Credit MObiier of America
received bonds from the Union Pacific Railroad CON-
pany, for the interest upon which the United States
Is supposed TO be liable. il that SOY
DR.. DURANT-It cannot be so. The Credit NO.
bilier purchased In 1857 900 OF first mortgage
bonds Of the Union Pacific Railroad Company at
eighty i've per cent, and paid cash for the same.
do not think that they ever bought, sold or owned
q bond that was issued to the Union Pacific Rail-
road Company BY the United States government.
The bonds to which / have just alluded are all, I
think that the Credit Mobier ever received OF the
Union Pacific Railroad Company.