New Orleans Republican. [volume] (New Orleans, La) 1867-1878, 1876-07-04
T1ldeA,s Career a. a Railroad Iobbcf,

Mr.. Tilden's career - railroad law
yer" began in the year 1858, and it con.
tinued until 1872, when he dropped the
business and began to work for political
honors: In this period of fourteen years.
% counsel, trustee, director, referee. srbi-
traitor, committeeman, or in some other like
capacity in connection with various railroad
corporations all over the country, though
principally in the West, Mr.. Tilden arnassed
colossal fortune. The means by which he
did this will, it 10 esfe to assume, be very
thoroughly inquired into between now and
next November, for unless he has been
more grossly maligned than any other man
who ever occupied conspicuous position
in this country, MIR. Tilden's career as
. railroad lawyer is record of intrigue,
unscrupul0usness, and the perversion of
great abilities to selfish and unworthy, ends.
As necessity to the completeness Of this
sketch of his life, it will be we'll to mention
the first great corporation case which he
undertook, because his success in this es-
tablished his reputation as railroad law
yer. 1t is generally known as the Cumber.
land coal case, and was heard in the State
of Maryland, and in the year 1858. 1t was
suit by the company against it's directors,
and was an application to set aside pur-
chase made by the directors, on their own
account, of property cOnfided to them for
case, applied for the first time to the direc
tors Of corporations the familiar doctrine
that q trustee can not be purchaser Of
property cOnfided to him for sale, and he
successfully illustrated and settled the
equitable principle on which such sales to
directors are set aside, and also the cOndi-
tons to give them validity. Another great
case in which he was employed was the suit
Of the Delaware and Hudson Canal Com
hn
pany. The former corporation had con-
tract with the Pennsylvsnis Coal Company
by which, among other things, it was
agreed in case Of the enlargement of their
canal, the coal company should pay for the
use of their canal extra toll equal to such
portion of one-hslf the reduction in the ex-
pense Of transportation as might result from
such enlargement. In due time the canal
company pnt in their claim tor extra toll.
The amount claimed was twenty cents ton
on IN annual transportation of five or six
hundred thousand tons year for some ten
years, besides q royalty of tho came amount
for IN indefinite future. The coal company
denied that the cost Of transportation had
been reduced, or that they had derived any
advantage Whatever from the enlargement.
After tedious and futile negotiations suit
wae instituted by the Canal Company, and
Mr.. Tilden was retained for the Defense
The case was tried before Judge HOgeboom.
of the Supreme Court, sitting a. referee.
Seventy.odd days were consumed in the
hearing, and the testimony offered by the
plaintiff fills several large printed volumes
Mr.. Tilden established the fact against the
Canal Company and won the case. The
calculations involved ia this defense were
immense, and the fundamental economic
principles of canal navige ton were, in fact,
settled by them. Mr.. 1ilden's connections
with Western railroads do not reflect such
honor upon him, and he is now one Of the |
defendants in q suit institution BY tie |
agerieved parties in one of these cases.
The worst Of these is the well known case
of the consolidation Of the Gslena and Chi |
cago railroad with the Chicago and North
western railroad. The former road was,
Vp to 1864, one of the best managed, best |
Il dipped, and best paying roads in the |
West. The stock was largely held by per-
sons living along the line, and was favor
ite investment for trust funds involving
the estates of widows and orphans. Tee
Chicago and Northwestern road was a
concern, with "watered" and al
most worthless stock. Mr.. Tilden was a
trustee Of the road. In 1863 he set On foot
the scheme of consolidation, and, as is al
eged, secured enough votes, by traudu-
Chicago and Gslens road with the
Chicago and Northwestern
The consequence was that the dividend
paying road was swallowed up in it's
bankrupt associate. The stock of the
salens and Chicago road Immediately
tell to q nero nothing, while there
vas q sudden jump in that of Chicago and
North western. This shrewd operation was
he ruin of hundreds Its effect on the
population along the line Of the Galena
dad was like blight. The savings of
,ears. the sole dependence Of the unfortu,
late people who had their oil invested in
lay. Another matter in which Mr.. Tilden
vas engaged was a. one of the purchasing
committee of the St. Louis, Alton and
rerre Haute road. The facts, as alleged
q this case, are briefly these: The company
vas reOrganized, and committee appoint
d, Mr.. Tilden being one, to purchase the
sri0us forms of indebtedness under which
he road lsbored, and to pay for them in
lew issues Of stock, etc. When this had |
een done, it was found that some three
undred Thousand dollars of stock in excess
f the amount authorized had been issued.
he committee we're called upon to account
Or this extra issue, and to tell where the
xtrs stock was. They referred the in
urers to Mr.. Tilden, who went away to
europe about this time, and he has never
nswered the question since, always putting
Il the inquirers to some future day, which |
as not yet come. There are q large num-
er of other equally doubtful transactions
18th Western roads in which Mr.. Tilden
ppears as the prime actor, but they will be |
pOken Of another day.-Nen York Times.
Meteorological and River Report.
The following statement Of the weather and