New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1875-04-20
THE COURTS.
INTEREST ON PACIFIC RAILROAD BONDS.

INTEREST ON PACIFIC RAILROAD BONDS.
TIFF sCrr OF THE UNION PACIFIC RAILROAD con-
PAHY AGAINST THE UNITED STATES FOR PAY
MrNr or Bills FOR TRANSPORTING SUPPLIES
Tho suit Of the Union Pacific Railroad Company
u recover United states money which t alleges
dae it FOR the transportation Of supplies and mails came up
before the Judges United states Court Of cams al
Washington yesterday and argument on the part OF
tie counsel u the parties was heard The main Issue
Of the suit railroad company claims, j. a. 10 the
construction OF act passed by Congress :"
1873 the Secretary Of the Treasury 10
withhold all payments railroad company for irerhS 70
the Of payments by the United states Tor lher
upon states issued 10 such company
II the Government hal not been the mean time reimbursed
gave PERMISSION however company having such
relations with the Government 70 bring suit IN the court OF
Claims the price Of the freights ana that court
gave an decision appeal to the supreme Court
The Railroad Company wrtieu by sidney Bari
let; declares that the Union Pacfo Railroad '"nP' ''
% recover from the United ot money duc Tor
supplies ma under the sixth section OF
the Congress July - 1862 creating the MON fnc
Company. and the nth section Of an act IN amend
nent Of that passed July 2 1854 The act Of y declares
that the grants Of lands and bond. ar' male upon
condition that the Company pay the bonds az
maturity; give the preference 10 the Government In tho
TRANSPORTATION mails troops, and supplies that an COM
pens On for services rendered for the Government SHAH be
APPLIED 20 tho payment said bonds and Interest ana a
until Ca. bond, ana paid, at least hVe pei cent oil
the net earnings Of tho road De applied TO the payment q" 'e
bonds and interest The act Of 1854 declares tt o' one
half - the compensation fpr services render or the
vii DO required 10 DO apphed 10 JIG Pgi"''' - 49,
bonds
In relation tho melnng0f the act Of iSl't TWO q'n
might De- asked The first was whether ac Simply ai"'T
The retention NJ sums earned the corporation to an amount
equal t. the interest paid by the Un states upon ls Dona'
auei 10 the cor1orton for purposs merely Of having
Judicial settlement Of the question whether the c"rpo""n
ha3 right u claim u Sine Government the Pay l' VA
the sam, thus for transportation The second 4''S
H..Hfu
st the question "a the courts whether OF
no r Government had present claim i'r the payment "l
interest and further Interest lie net proa- VI The l"ad
were found % bu due Government they could ue ser OFT h
the present t IN reply these questions records o'n ne
rr1c, showing tt Government ,r six ears af'l me
railroad completed paid 70 u moiag Of e sums ono
services that on an r. l7Ii 'ie secretary
treasury ordered tlc payments OF l'e SUMS " .0
Cpauv 10 be discontinued Congress On March g. ISL
carccs. the action u ta secretary by dtectn- i 10 pay
oyer 90 te Company one half ~ the freight compensation 70
accordance OF July 1854 and finally thl
wa plain that Of 1873 dd not attempt ." appropriate
fs irs due for transportation 20 the Payment oI the mo
~ Congress would have done Hs purpose wac
10 treat the matter s-ui'd question: p''
Il merely directed that the same BE- "itlhea'
The next question world De whether tho Company was ID
deht 20 the for Interest paid by the latter Oh i'
bonds The Company Ia aid Of the CONSTRUCTION Oh lN'
road The report tho Senate judiciary Committee on u'
question rendered any argument almost surerhuous
The opinion JUDICIARY Committee ON the suprct wen
vss the conclusions arrived az in the argument put FOR
ward by sr Bar-tt the remainder Of his bret The Com
their report as follows Ihereor IN r. I Tf
the companies not bound 70 Fombnr-, the Government
i bonds s" except t' that onshai eompen-ao9
Dy the Government and per cent 81 me nl proceeds g
roads ~ lst a!+o 90 e9AT MN ~ NJ m r1.Iry has
no ri rt Withhold from the Company more tan one h Oh
me "" These he's cocons are reached by
tn brief 81 the United states @riisn 8 A5Snt a..
toruev GENERAL III ~ an a,,,i' NJ ci , ,r,fei M