Evening star. [volume] (Washington, D.C.) 1854-1972, 1874-12-28
The Pacific Railroad DeIinauen,s
SECRETARY BRIsToW BRINGING THEM TIP
WITH A ROUND TURN.

SECRETARY BRIsrow BRINGING THEM UP
WITH ROUND TURN.
Judge Robinson, assistant solicitor of the
Treasury, who went to California and Missouri
TO demand the five per cent OF the gross earn
ings Of the several Pacific railroad companies,
has returned 10 this city, having accomplished
his mission. The act OF Congress passed in 1869
required that after the completion of any OF
these roads tax amounting to five per cent OF
the annual earnings should be paid into the
treasury. In addition the law provided that
the companies should make an ANIMAL report OF
their earnings TO the Secretary Of the Interior
This vas prescribed IN order to allow the Secre-
tary OF the Treasury TO use it as a basis Of com
putatlon TO ascertain the amount of tax due Tn
TO the present time not only has the law with
reference to the payment OF the tax been yio-
lated, but also with reference to the making Of
ever having been made.
In January last the attention Of Congress was
called to this derilectiOn, and that body direct
ea Ine SecIetary OF the Treasury to make i'm
mediate demand for all sums due from the com
pletion OF the respective roads up to and 10 in
clude the date of the demand.
TO carry out the provisions OF the law Sscre-
tary Brlstow was considerably embarrassed. He
founo nrst that no reports had been made
which would enable him TO base a computation
OF the amount OF tax due. Subseq quentIy he
called on the companies to make such report
but here he was met with the second embarrass-
ment; the companies in every instance falling
TO respond. Accordingly finding that his labor
~ 70 ny any operation
from the railroads he took the matter in his own
hands, and computed the sums due in this wise:
Procuring from the report of the directors made
to the stockholders he took the figures repre
sentirg their net earnings therein contained
ana made an aggregate of the several amounts
cue. In this manner 1t was found that the
Central Pacific, whose road was completed On
the l1th OF January, 1869, owed Il, $50 ,635 10.
the mon Pacific, which was completed O.
yember 9th, 1869, 81 ,040, ,056 20; Sioux CITY and
Pacific, completed March Sd, 1859, S2l 10i AZ;
Union Pacific, central branch completed Janu-
airy 10th, 1858, 81 ,197 .39; Kansas Pacific COM
pleted November 81, 1859, S30S, ,S30,15.
These several sums have been demanded by
personal service in writing. Since Ii has been
made nearly ali the companies have been heard
from, demurring as to the amount, and request
ing to know upon what approximation OF earn
ings the tax was levied. What chagrins the
companies Is, that the reports of the directors
to stockholders should have been used. mas
much as such reports are usually made more
favorable than they should be, and with the
view to influence the stock In the market
Three OF the companies now propose to Sec
retary Bristow that they will furnish him fg-
ures with which to make q supplementary de-
mand. This now will be refused because no
response came when such request was made
and the legal data not having been reported TO
the department the Secretary took the only
available figures at hand from reports above
Indicated. Nearly all the demands made date
on the Slst Of October. Payment must be made
within sixty days, which will place some of the
companies in default at the end OF the present
week. III not paid then, the matter will be
turned over to the Attorney General, who, un-
e. aer the law, Is directed to recover by prosecu-