New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1874-09-02
HOW THE WISCONSIN RAILROADS WERE
BUILT.

BROKEN PROMISES OF THE PRoJEcroRs-ExTENr
TO WHICH LANDS HAVE BEEN MORTGAGED TO
PAY FOR INTERNAL IMPRovEMENTs-CIrYTow TOWN
AND COUNTY sUBsCRIPTIONs-A POOR RETURN
FOR THE SACRIFICES OF THE FARMERs-THEIR
DEMANDS CONCIsELY STATED.
PROM THE SPECIAL CORRESPONDENT OF THE TRIBUNE
MADISON Wis. Aug. 6-I said in my last letter
that the people of Wisconsin have done more and
made greater sacrifices for the purpose of encourag
ing the building of railroads than the people OF any
other State and that understanding as they do that
their own interests and prosperity are bound up
with the interests and prosperity of the railroads.
when we find them fighting the managers of those
corporations it safe to conclude that there is some
thing wrong Perhaps knowledge OF few facts
connected with the history of railroad building in
this State and an examination of the system on
which some of them are now managed may assist us
in discovering the of this wrong In the first
place the railroads largely indebted to the people
of the State for the money to pay for their consruc-
ton. Twenty years ago the first thing o
railroad company in this state did, after
obtaining its charter, was to get land
grant from the United States, and the next thing to
solicit subscriptions to its stock from the people,
the villages and towns, and the counties along
its proposed line. Agents were sent to the farmers
increased prosperity consequent on the building of
railroads, induced them to take stock. OF course
the settlers on the frontier of country had no
ready cash. and so the railroad companies took mort
cages on their farms instead. The farmers were
told that there was no risk in this that they would
always be protected; that the stock of the company
would be worth more than par soon as the road
was built and that the dividends from 1t would In
few years wipe out the mortgages and that III fact
the company only desired to Use these mortgages as
a basis of credit. 1t is not strange that fifteen or
twenty ago. in the early days of railroad build
ing this State, the farmers should believe all this,
and that thousands of them should consent to put
membranes on their farms with the expectation
of speedily increasing the value of their land from
four to tenfold. But, of course they have been
wofully disappointed. Many of the projected rail
roads have not been built TO this day, and where
they have the stock was long ago wiped out by the
foreclosure of mortgages on the roads, so that, ex
cept in very few cases where the original stock
holders have received dividend in new stock after
a foreclosure SALE the farmers have now nothing to
show for the money they put in. But the mortgages
on the farms remained and are still lien on the
land where they have not been paid or foreclOsed.
HOW THE FARMERS PAID FOR RAILROADS.
The extent to which these mortgages were given
is simply frightful, when the recent settlement of
the country at the time they were given, and the
consequent absence of wealth is considered. They
ranged from $500 $500, up to $4,000 the majority
covering amounts of $500 to $1,000. There are no
statistics from which to ascertain the aggregate
amount of these farm mortgages in the State, but /
have been able to obtain the number and amount of
those recorded in few of the counties which give
bar