New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1875-10-28

PACIFIC RAILWAY ". GOVERNMENT.
WHAT ARE THEIR PRIvH.E rs UNDER TIKI CHAR
TRRf-ARGUMENrs IN THE COURT OF LAST kE-
sORT-DECIsIOS RESERVED.
GEsERAL PRESS DIsPAICH1
WASHINGTON, Oct. 27.-l.ast Spring, in the
suit ~ the Union Pacific Railroad Company, the
Court OF Claims decided that the Company should re-
cover the oneqlf Of its transportation accounts against
the United States. and that the claim OF the
United Statcs should no dismissed. The United
states claimed the right to detain the
whole amount OF such transportation accounts, ami
apply upon the advances made IN payment Of the in
teres sccrging upon the bonds The Judgment OF the
Court Thai the claimant recover Of the United
states the sum Of S5l2, 6}2 30. The Government aT
peaed and the argument OF the case took place
to-day in the Supreme Court Of the United STATES The
substantial question presented ny this Is whether.
by the true construction OF the Incorporating
act the United states. whenever II pays inter
est on the bonds issued 10 AID N the con-
structiOn OF the road. il entitled to enforce
immediate repayment thereof from the Company by suit
OF otherwise whether such reimbursement can ne OBJ
;aincd only by the application OF enehan the compensa-
ton due the COMPANY for services rendered 10 the
Government and i've per Of the net earnings Of tho
road after completion.
In to-day Att"ruey-Gcneral Pierrepont opened
the case for the Government argued that the rail
road company being corporation Therefore. II there
was distinct provision in the laws which allowed the
Company credit the interest until the principal
IS due the court must under decisions IN
p0ratiOns the Government the benefit Of the DOUBT
and the interest cOilrt cable FAST as n falls due
aud Is advanced by Government the ground that
no credit being provided for the set ~ Incorporation,
the creator of a corporation have a benefits not
expressly given away.
r. W Stoughton OF NeW-York replied for the Com
pany He iutO the history OF the various
Efforts Of the Government 20 open c"nmu1lca-
ton with the Pacific coast, first spending large
sums ia explorations. then in constructing
wagon roads then IN making surveys for the railroad.
and eventually creating the corporation 70 construct the
road. Is annual expenditure for transporton on mat
line over, formerly. S7.0OC.OOO per aunu'n As
the Government and Company we're "a reap rccprocal
advantages from the execution OF the contract ne lat
other corporations and tn Government could not de
rapd more than provided for in the acts
81 Incorporation. which acts also made contract Win
the Company
sidney Bartlett of Boston supported this position
IN an argument OF hours length, and men
toned that there not only no authority un
der which the Government could make the demand,
press provisions OF law proVdlhg Just
what could cnleet; and beyond the five per cent on
tie Mt earnings aad me half OF al Government Dusness,
tho Government could not 90.
MI Prrrepont chen briefly reviewed his former posi-
INu. and tao closed.
The Court tcn took up Case No. lOrignall-1he state
% Florida complainant. act. +. T.. Anderson 81 aiThe
petition John Darhy IN this argued nv H. NJ
iengle in support Of the
The Court adjourned until tomorrow.