Vicksburg weekly herald., 1878-04-19
TEXAS PACIFIC RAILROAD

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WASHINGTON, April 7.-GOvernOr
Brown, ViCe.President Of the Texas
and Pacific Railroad Company, ap.
peared before the Judiciary Con mittee
of the House to-day 10 argument to
sustain that C0mpany's lille and right
to mortgage lie properly Wtsi Of Fort
Worth as 40 indemnify 10 the Gov. IN.
ment for its proposed guarantee Of in-
terest on said Company's cOn.lruc ion
bonds. Mr.. Campbell, The attorney for
French holder Of bonds of the Mem
phiP, FL PAso and PAcifs RAllroad
Company had previously alleged that
the Memphis, El Paso and Pacific Com.
pany's charter still exists and covers
the line from Fort Worth to El PAsc,
and q considerable portion OF that oil.
ready constructed. He further al.
legged that foreclosure proceedings
against that road were fraudulent, aud
any extension OF the Texas Pacific
west OF Fort Worth must be made un.
der charter Of the Memphis and Fl
Paso. Gov, Brown produced legislI.
tive record evidence that the Texas and
Pacific Coz charter rights in Texas were
derived directly from the State. He
showed that the Texas aud Pacific
Company had acquired aud completed
title and right 10 construct by purchas.
ing the property and franchises OF the
Southern Pacific Railroad COmpany-a
corporation created by the State oi
Texas four years before the Memphis
and EiPasO Company was organized.
This purchase was specially authorized
BY the TexAS Legislature, aud subse.
quently confirmed. The Texas aud
Pacific also purchased the property and
franchises Of the Southern trans. Con.
tenental Company, another Texas cor.
pOralion, which authorized them
to build from TtxArkAna 10 ElPasO. He
read from the record to prove
that subsequent 10 these purchases the
Texas Legislature, by itS Act of May
I'd, 1872, confirmed these purchases,
transfers Of franchises, and directly gu.
thorized that Company 10 continue GO
we'll the construction Of its lines now
In operation 90 the line from Fort
Worth TO El Paso. Under this Act,
the Company constructed 424 miles OF
road, which was accepted by the State
Government end land certificates we're
issued in accordance with the Act of
the Legislature. He read from the an
nusl report Of the Company, dated
August, 1875, giving full account OF
property acquired, and showing that The
Company made purchase from the
Memphis and Fl PaSo Company for the
purpose OF removing any possible
question as 10 its title 10 the sixteen
miles reservation, not lie land grant,
which the Legislature had declared
forfeited as against the Memphis and
Fl Paso Company, and had su6se queni-
ly granted 10 the Texas and Pacific
Company. The Supreme Court Of the
United States, had decided tie claim o
the reservation by the Memphis and E
Pato Company TO be Valid. He show.
ed, further, that the Texas and Pacific
paid 10 the Memphis aud El Paso The
full value Of the property acquired
from that Company further, that the
Texas and Pacific derived no resl ad.
vautage from the franchise Of the
Memphis and e. Paso Company. Gov.
Brown charged that the real purpose
of opening up these old matters, al.
ready settled, were merely 10 injure
the credit Of the Texas and Pacific
Company and delay action on the
pending bill, which delay could not be
to the interest Of Mr.. CampbelPs client.