The sun. [volume] (New York [N.Y.]) 1833-1916, 1876-05-09
JAY GOULD AND CONGRESS.
Whi the Government Permit the People to
be fwindied out Of 7,,OOO.OOOs

Will the Government Permit the People q.
| be ewindied out Of s71 ,OOO.OOOt
To THE EDITOR OF THE SUN-Str: Sidne,
Dillon, President OF the Union Pacific II ilroa,
COMPANY, has answered the letter Of the Chair
man OF the Judiciary Committee OF the House
He was asked to submit proposition inside o
ten days by which the railroad would be willini
to bind itself to make provision for the llquida
ton OF the immense debt due the Government
In the proposition he was requested TO make M
mention Of settling back the lands OF the UnioI
Pacific, that point having been canvassed anC
decided against by the judiciary Committee.
Mr.. Dillon's answer, or Jay GouId's In reality
10 certainly one OF the most unique production,
ever received by n legislative committee.
The letter lie divided into four parts, Wit Pre-
smbe, FIRST part, second part, and conclusion
In the preamble Mr.. Dillon refuses TO make an,
money proposition, but 10 willing TO consider
one emansting from the Judiciary Committee
In the first he refers to an old proposition oi
bis own az proving hts GOOD Intentions In re.
gard to providing for the debt owing to the
Government, and relying on the recent decision
OF the Supreme Court as to the time OF ns una.
turing, and tops on with SAINT you sorry you
didn't take IN"
In bis second" be attempts to convince the
committee that II acted very foolisbly In not
buying back seven or eight millions OF acres OF
worthless land nc two and one-half dollars pei
acre, and advising tho reco nsideration Of the
matter, attempts the conversion OF his CORE.
spondents.
In bis conclusion he attempts TO prove that
the total sift OF the Government to the road Is
Insignificant, and that the benefit which It de-
rves "a out OF all proportion TO its investment.
He hopes that no measures OF hostility or coer-
W n ad IN bv Ha AZ
that the Union Pacific road could be built at
present for one-third Of its original cost, and
that on account OF having to pay interest and
dividends upon quantity OF bonds and stocks
out Of alt proportion TO the value OF the road,
nothing Ii left for toe Government. After pay
Ing the ordinary bonded interest and eight per
cent. the oders, he Il willing to let the
Government have anything that Is lett.
d, without making any proposition except that
Against iaklag back the lands, the letter winds
up thus:
Believing that your committee will deem the PROPOSE
tio1 OF tue company fair aud reasonable. have the
sIbSEy DILLON. President.
It Ia not often that the represe natives Of the
people In Washington are CON pelsd to submit
TO iDsolencs of the sort which characterizes
this rejoinder Of Jay GOULD to the very proper
request Of the Judiciary Com mittee for a settle
ment Of the differences existing between the
THIS is not TO be wondered at, for the country is
fortunate In possessing out one original Jay
Gould.
After plunderins and bankruptIng several
railroad corporations operated under State laws,
and escaping punishment therefor by devices
suggested by Ingenious lawyers. he has fixed
upon nobler game, and is now engaged In an
attempt to scoop In national enterprise. IL
ne succeeds every man, woman, aud eniid In the
raa Of the $77,O00,O00 which will be gathered
into bis Golfers. his will amount to per capita
1t may happen, however, that Gould will ind
CooRress more dInicult to manipulate than state
pressed an opinion TO the contrary. 1t Is EVIL
dent that, relying upon the decision OF the Su
preme Court Of the United States regarding the
the time OF the payment OF the principal and In
terest to the Government. he Ia determined to
light any Congressional action compelling the
road TO secure It's obligations at maturity.
Eager to extort money from the travelling pub
lie, with which to paw eight per cent. dividends
upon a worthless stock, and relying upon his
ability TO wheedle and manipulate Congress-, In
this letter To lhe Judiciary Committee Gould
substantially admits that the Union Pacific
h. road Will do nothing IN the way Of protect
Ing the Government for its vast loans OF money,
except IN the way Of retransferring seven or
eight millions OF acres Of lands at the price Of
~ 50 per acre.
1t has already been demonstrated to the salts
faction OF the Judiciary Committee and OF every
person who has travelled over the Union Pacific
Railroad that these lands are worth nothing
Whatever to either the road or the Government.
Their only value 10 that Of furnishing road bed
over which Ians-cont ne ntsl lines may lay their
rails TO connect the Atlantic and Pacific coasts.
In this case, too, the most worthless Of all the
land grants arc offered to the Government in
return for actual cAsh advanced. The territory
west of the l04th meridian which Is offered to
the Government by the Union Pacific is the very
worst along Its line, aud IL considered to be
about as vaiueless as any strip of equal dimen-
sions on the face OF the globe. IL has no market
price, and, with no valuable minerals, 10 also
worthless tor agricultural purposes. The water
courses are so far below the level that they
be used for purposes OF irrigation. and artificial
wells cannot be bored except at q cost beyond
the value Of the property Even Il artificial Irri-
CATION could be secured at a moderate cost, the
Qua acter OF the land (alkaline) Is such that veg
citation would not flourish. sage brush, the
prevailing shrub Is not sufficiently prom able to
cultivate, aud. so FAR as known, II Is the only
production Of the soil.
The reports OF the different surveying parties
sent out oy the Government are sufficiently ex ;.
pnctt upon th6vaue of the Union Pacific lande ed
possessions to deter the Judiciary COMMITTEE
or any other legislative BODY from buying them
up al 800 per acre. even " Jay Gould regards
them sufficiently valuable to liquidate the
immense debt which the railroad l. responsible
for ana must pay. IL is not IN after In which
the Government Is Obliged To take whatever
JAY Gould chooses To offer In settlement,
or else abandon all hopes of ever receiving back
the money which IL has advanced TO build the
tulon Pacinc. The CHARTER of the railroad re-
serves To Congress the right tn fix rates for the
line and II, when money enough Is earned to
provide suitable sinking fund to reimburse the
Government, Gould sees fit to put IL In his own
pocket, "A tarin can be adopted which will give
the people advantages equal to those which
would accrue ny the repayment OF the sums
which they nave advanced To construct the raii-
road. The eight per cent. which Gould now re-
ceives upon his stock, and which Is really ex-
torted from the people. u amply sufficient TO re-
i'm Ourse the Government for its outlay OF prin-
cipal and in rest, II paid into the United States
Treasury regularly until the matuni-. Of the
tSl,UUO,OUO mortgage.
1t Is only question whether the nation snail
receive its dues, or whether thev snail be gOh-
bed uD by q notorious stock gambler, VINO IL
cnleny known as pllnderer OF railroad corpn-
rAiions, and the owner Of tue New York T,pune.