New-York tribune., 1876-06-05

] From June 30, 1870 IN June 30. 1874, the gross IL
Ass@sss y?sg % yfss sSSsH s5 ssts IN @
ally sl7a7N -
\ Company Admits earnings by declaring p"
sdvidend of per cent upon tho capital stock t-t.3t
| fiirs of which arscs from road. aided By tho fai
United states, S2,o94,093, per cent upon .,..
which liafsA "
| Unlisputed ANIMAL amount 70 be relied upon
from Central Pacific Railroad Company. s20 40
In these calculations there two elements that have
been assumed: % That the amount OF Government bus
will neitLcr increase nor dmlnsh w In arriving
nj net earnings the amount Thereon admitted by the co
panes is adopted. .
Upon the proposition Committee suggest thai
while contact with and increased control o the Indisn
triics, which necessitate about twot1ds OF the
entire expenditure will very probably IN the next -
Govcrnment during that period Will bo m0intanSf oy
the continually INCREASING service OF The PostOhcs 10
partment tie line of the road and me reglcn OF eou
try tributary 10 il increase IN population
With regard to the per cent OF the net earnings, ths
sake OF understanding what could that sOarc
ut tho present tme DO ndisputaDly relied upon BY TIE
event Of the this question being decided ~ the
courts in OF tho United states the amount OF ua
fund accrung annually to the Government VIII be con
sderubly augmented But estimate OF the anne una
that can depended upon from either sonrcethe Gov
din Dg thc next 20 years can be made with confidence
Inasmuoh, tfen it Is apparent that from ~e eeoe
sources ha OF tie transportation money ana lhe
ger cent OF net earnings sufficient sums cannot bs
realized Oward the reimbursement % the principal an9
of fbe r9iroad companies TO meet the tot amount It
maturity Of Uho bonds IN lsSs II - csu, y usstsee
the GOVERN ent indebtedness shOnd De discovered and
n,t f, oneratinn such provision mnst be- made
l. Either Ly mutual voluntary arrangement betweea
o By act u Congress enforced upon the compsnies
against viii IL toe terms OF tne act are not sasse
tory 10 them.
WHAT POWERS mas CoNGRT>s RESERVED FOR
SELF
The first question be considered, therefore, is has
e., .I,.of of,fr tt.c, .t,ains
their will amounts in addition TO the haf transportation
moneys and per cent OF the net earnings TO be applied
toward the liquidation Of their Indebtedness " ths
United States which becomes due in 1881
make a careful examination OF the various acts. and
what powers Congress has reserved 10 seh
the acts themselves aud ON tLe happening oil n eysnn
an1 FOR what purposes the powers thus reserved may n
exercised In view have hIst taken into consid-
First. Tie fifth section OF the act OF 1852 provided
tiat on the refusal failure OF tho companies To redeem
the bOAd, al aEc BY the Government TO .le co,npabt
or any part Of he required 10 do so by The
tary the Treasury, accordance rlM me pocis'oHsy
AS ac road. Nth NJ It's IgEts, functlOns lmlani-
ties &c ana an tho lands granted to the companies
VIII ch the time ~ the default remained III me po,sS.
sion the companies, nlight be taken possession 81 y
,he M 9T,taii ST., ~ ' r,cnai OF the bonds by tie
terms OF act does become due years after
te date Of tSe bonds ani The supreme 1oupI o. 'as
p,uy against the United states. has decided II the
prlstnt term oi the Court that TIE interest n hoss
bonus is not to be repaid 10 the Government untl the
maturity OF the principal at the end of 80 years
lie t;,l section OF thc act provides, conditions of
the grIuT tEat the companies shall pay tie bonds
matiity keep the roads III repair and use; perform the
Goycrnncnt transportation wncn required siyhg tbe
Government the preference, ir and reasonable rates
OF conpns tiun not exceeding the charges paid y pt
yate parties tho same kind OF service; That all ci
pens4t changed 10 Oucali by Tie act OF lHOV ior
sucI services should be applied TO the payment Of the
bonds and interest," untl the whole amount IS luly adj
aud ,tcr tie gO.np u The road, ~ least i've e cent
OF ne earnings should be annually applied " the
same purpose.
payable uut 80 years from their date, except
III the provided IN tne 9Th eion there has BAN
10 sueA aIl, would IutuOuLc the Secretary no
Treasury possession Of the road under th1 pro
visions VI the 1tn section.
OTTER PROVISIONS OF ACT OF 1862.
Second The in the act of 1852 for The 70
fecton Of the nights OF the Government We ind in the
18th sectlon That in the companies fail 70 com
ply with the conditions OF the the following par
ticullrs-
~ BY not completing the roads and teesraphs in =
r., I;y ot scnin; the same IN repair and use or
tjl -nOUi Ia y permit the same Tor an unreaSona5s
tm, remain unfinished, or ont OF repair and hnbt Tor
use, Congress may, in the hapDening o either o these
cyunIS pass y act insure TIE speedy complexion o.
he roads, put "a "a IN repair aLd Glr"ct te income
thrItOI nr devoted Ia the use oi tht Un't - rs u
rcp.y al such enaures caused by tue dtfIat oi the
COM auIcs Ia those respects; and
line the Missouri River 10 the Eaysate
OF tie Sacramento yor BY ue Isl oi Jny oi 'as
present year. 1870 AL Tie r toads and Their popeiy
Of every KIND were 10 Dc forfeited 10 ami be tako1 lpr
sossoi by .hc United States Tde rJads have bAn
uOns ur ready ioI use and being now used betw,e -
points Iamc,l before the cNpirtiun vi The Zine liza tL
Congress pass any 10 declare forfeiture q me
roads or OF thcir property.
rights OF he Goytrum,nr IN the lSth section. H
pgl ies tai Whenever the net eanin OF the entire
road and telegraph, ahr dcductHs all expenditures IN
rad sbn eNr,ei 10 ncrrns on M, cnst Concres mar
reduce the ric, vi dTc, unreasonable IN amount and
to yclmpsb the obcrt 81 ths act 1,,,sIs To tr qee
tln a. tptSf
said railroad aud Telegraph line, ana Keeping tie sa' e ID
ia DIT ariicuiaiy ia tre Of lcaTj the and bene'
ntN oi tue same of postal mn F and Other pG poses
Congress- may ~ any time, having due regard for ihs
rights OF said comp n'es named herein, add TO- aef
SOM have assumed that there lies hidden in those
words last quoted power now 70 alter amend or reres
the act the ground that tho security wbca the joy
when is bonds matlfrd. The committee do not con-
sder unless tho conpanies are nCc az dsi1af IN some
OF the particulars clearly specified IN tbs section tL1t
Congress has IN this section reserved to te the power
TO alter, amend repval the acg 10 provide ad
tionll SECURITY on the ground OF some appIehenied
dmger in Tho ,utrc that the Government may meet
with loss Il should have provided Tor sCcA an g ~
in paiu words II it had Intended to itself .As
power -.
st,ic,l tle iolds are not keeping them ia WORKING
oricr or are rot giving She Government the use ana DeI.
efs OF them for postal military, ana an! o1lrl pi ,bs
is not lie oi var. nor l. there ANY danger OF Ns
pretended IL does not appear that We coip'I pI yonr
1onn;ittce are OF the opinion that untl deiaalt 1as
,scui,. i'm some or one thcse particulars Oo'si.y
cannot avail oi tho prov sions OF that section 70 ,a
amendment 10 secure against fntnre anIic,IS,s ,ss
,llurp or default IN those rcspcc,s. These arc o' ~
uuwers we find reserved IN the act OF lsO2.
THE ACT oT 1864.
The next provision this subject is IN the ga se
Of the act OF lsGi amending the act Of ls', Ila' N
gress may at any time alter, amcnl oi 7eieal tni' w.
II ts scc.ion IL unlimited then Coucrr Ehs 'o
10 do anything 1t chooses. But ncS ocon -,
held that snch words are not without lna- Oal'i'
Shaw In Commonwealth OF Massachusetts Ea'" "ssaryel
Com lauy li3 Gray, 2J3), oOnmonhs upon was 49, 4.