New-York tribune., 1874-12-29
P1CIFIC RAILROAD T14ED.

THE TREASURER OF THE CENTRAL BRANCH OF TIE
UN1oy PACIFIC CLAIMS THAT THE GOVERNMENT
HAS NO CLAIMS AGAINST 1.-THE VICE-PRESiDEHr
OF TIE CENTRAL PACIFIC ASSERTS THAT TIE
CLAIM Is MUCH TOO LARGE.
THE TRIBUNE's dispatches from Washing
ton Yesterday relating TO tho assessment OF the Paclc
Railroads for taXos created great deal or interest In
railroad and financial circles where the result o the
movement will be felt These dispatches stated that
the Secretary OF the Treasury procured from the reports
of the directors made to the stockholders the hcures
their net earnings and made an aggregate
NJ tbe several amounts due In this manner IL was
found that the Central PacIGc whose road was com
peted JAN IT, 1862 owed 81 86635 10; the Union Pacc
completed Nov. o. 1862 eOiOo66 20 the sioux Ci'y la
clo Central Branch completed JAM 20, 1868 7iV o9
Kansas Pacific completed Nov 2, 1852 $3SS3O l5 with
a few 10 learning what the officials OF these roads had
to cay on the subject inquiries were made OF them at
their Offices down town with the following results:
Efangham H. Nichols, Treasurer OF the Central
Rranch OF the Union Pacific Railroad Company, said
that the Government had no legal claim against the
road as 1t yet been compcted In tis respect
the Central Branch OF the Union Pacific Railroad diff
ferod from the others. uo had already informed the
Government o; this fact. and had not received an a
aver to his letter. which was as follows:
OFFICE OF THE CENTRAL BRANCH.
UNION PACIFIC RAILROAD. Dec. IL, 1874.
The Hon B. III. BRISTOW Secretary OF inc iifdSmU
SIR: In respOuse n communication i5sucd Dy YOU
under the seal of the Treasury Dcparmen dated Nov.
Central Branch Of the Union Pacific Railroad, nave tho
nJ R.rst T6a under the act to which You aude zap
proved July L. IS6 entitled An Act to al lu the con
structon OF railroad and telegraph line from the Mis-
msds for the payment OF five per oentum Of the net
earnings until after said road Is completed see Sec
The question whether road was completed or not
was referred by the President TO the DIpartment oi
Justice WHOM after full argument, 1t was ne mat the
same was not completed in evidence Of which here
with ncloso tho opinion NO OF the o' 'u''c'
Sesond The Department has been pleased TO assume,
for wnat reason l know not, that our net earhnST
amount to such that5 per cent thereof amounts
:" 49, III that were fact. 1t would be Of
qualification " those Interested IN onr company. bl,
earnings there has bceu net loss statement OF when
l herewith inclUse. marked " b. III he Gov! rhlhehl
will deal Justly with and enable u5 To complete our
road in accordance with the provisions OF cxistns law
nave the to assure the secretary tht tlere vi"
be no delay IN prompt compliance on the part or the
ern,nemt EfFINGu,M II. NICHOLS.
c. L. Huntington Vice President OF tho Central Pacific
Railroad Company, said the published claims against
tho Company were far too great. as tho Government
had no such legal claim. Tne Government had held
back the Company's lands tho ground that certain
work had not been completed, and 1t was Ory two or
three months ago that this work was compeich Uhiii
hs event occurred tho Government could have legal
olan OF five per centum the net earnings Accord
ing to the published statement. the Govefnnoht ays
claim to 836G35 whereas. from the net earnings oI
the Complny since the comp t,on Of the work. five per
cant would be less than S2jO9JO. Beside this the Com
Rsny naa claim claim Wc the the h,
recognzed but as IL has been made su'yec lof poll
tcians TO handle in the legislative halls the Company
desired " have it adudicated by the Court OF Clu+
and thus settled in legal way Tic Company thoughI
that annual was mo way ooSon To sio 'nG to e
COInpany's claim WAS often raised for political ciecl;
sns sna oSTp1nyS the ySsvorHmOnvs @ claim s%%SS
tho recent legislation grew oui OF his tIunungton,rl
proposition to that effect 80 that the Company might
Pacific Railroad Company could take care Of tsc bat
It wanted ts legal rights settled py tne Gpus %, @
the decision would DO in favor OF the Company; Judge
Trumbu Of illinois, while IN thS senate sea h Una. ron ny
was entitled to cash payments Tor onc-nai Vi s cR'
claims for transportation ana credit iOr Ine o'nnf a
1t year since the G3yernens male any ei.n @
payments the Company, whereas formerly tne pllis
were settledha casn Dali setIsd ss IT, ana a
tery, Should the Government prosecute the Cdnpaly
a. stated 1t would only hasten the matter according 10
the wishes of the Company e0rt having been naue
by the latter to bring the CLAIMS to legal settlement;
but the Government han moved so slowly that notnS
definite had yet been arrived ut that would lead 10
satisfactory conclusion ..,,
Gen. Clinton b: Fisk, on behalf OF the Atlantic and
PaciHo and the Missouri Pdchc Railroad Companies,
said the claims of the Oyernent for i've per cent on
Qua not M any way a aioI s oss as
rOads TO which they had issued bonds.
Sidney Dillon, President OF the Union Paclnc Railroad
Company said that auy claims Of this kind that might
be made by the Government would be sent t0 the
Treasurer Boston but from the hglreS which ho had
aeon quoted In THE TRIBUNE he thought the Govern
nents claim far too high. Tho road was not COM
peted until Oct and five per cent on the net earnings
since then must be a very small amount Tho Govern
ment had held back the cOmpanys lands until tn" road
was completed. 1t must b apparent tna the Govern.
men knew the PROVISIONS of the act. Tle company had
claim against che for transportation and,
by proposition OF the various roads legislative ac-
tion has been had In order that the claims might be
ried into court IL had been understood that the Gov
ernmept was to have paid Onc-half OF the cOmpauy's
ciaps for tatOn with cash. and to have gwen
the company credit for the other half but their neglect
70 comply with that portion which gave the companies
half cas- has led the carrying OF the matter under
dispute into the lie had written to BJston for
fnrther information ON the subject and expected have
IL in this city III u day twO How tue Government
had made out its claim against tho Union Pacific Rail
road he had no dea but supposed IT was from the re-
ports to tho stockholders.