Knoxville daily chronicle. [volume] (Knoxville, Tenn.) 1870-1882, 1880-10-19
RAILROAD NEWS.

RAILROAD NEWS.
DENVER, Col, Oct. 16.-An official
copy of the railroad concession re-
Gently granted by the Mexican gov
ernment to company authorized to
be formed by Messrs. Palmer and
Sullivan has been received and a
Mexican national construction COM
pany organized under the laws Of
Colorado to work the concession.
The contract is for the construction,
in eight years, Of 1900 miles Of nar~
row guage railroad, with a telegraph
from the City OF Mexico to the
frontier of the United States
and to the Pacific ocean,
in consideration of money subsidy
averaging $4,000 per mile. The
total subs 1y pay. he in railroad cor
struction certif, ..os to be issued on
the com ,3let;on of the first 80 miles,
and tbeieafter as each II miles are
bdilt amounts to upwards of $14,-
100000. The absolute bonus pay
ment is assumed by tie provision ap
plicable to all custom houses mari
tired and fro alters, that no payments
shall be made in coin or otherwise
than in these railroad constrlc
ton certificates of four dollars in
every hundred of the duties due.
Under penalty of the second payment
the obligation of the government is
limited to four per cent. of import
duties in any year. Certificates can
be bought only of the company
which is compelled to keep agencies
for their sale and is prohibited from
exact;ng more than par for them.
The govern ment binds itself for the
whole con racy period of SO years not
to grant any sub ;dy to parallel
roads with IS miles on either
side and permits the con
pany to accept additional
subsidies from the state govern
ment, exempt for fifty years after
the road is completed, from national,
state or municipal duties Or taxes on
all material for the construction,
Operation or maintenance. Exempt
ing only stamp duties; requires that
mails and messengers be carried free
and that federal troops ard immi-
! grants arriving under government
assignment, be ce,4ied sixty per
cent. less than regular taft. 1t
stipulatos that the tariffs sh1ll not,
without the company's consent, be
changed for 95 years; classifies pas
senger tariffs as follows: First class
| 4 1-6 cts, secord class 3 IL cts.
third class 1-16 cts. per mile. Mer-
chandize, first class 6 Ito cts. pei
ton, second class s 9-1O els, third
class 31-3 cts. per ton per mile. Two
huadred feet will be granted through
all public lands, and the use of tim
Der, stone, water, ETC., thrown in
and the right of condemnation o1
private lands will be under the same
regulations as the government
taking of private property fol
public service. Vessels laden with
railway and telegraph supplies viii
be exempted from all dues for fifteer
years after the lines are completed
except pilotage passengers. Mails
and merchandise will be exempt fol
twenty five years after the compile
? ton of the road from all dues, ex
oept transit duty, MOI exceeding ont
dollar per passenge: or per ton
The internatio la1 line must be com
pleted from the Clqy of Mexico tt
the Texas borde-, at Lo do OF
some po 1t b NGe1 Lo do
Eagle Pass within e., yer 5
and the Pacific line must be com,
, Fpleted to Manganillo or any place
between there and, Navidad withi1
5 ears. Two hundred and seventy
seven miles, divided into any desired
proportion, between the two lines
must be completed every two years
but there is prohibition agains
beginning the construction at thu
2 United States frontier until the CONS
pletion of the last division is an
nounced. The company expect tx
finish the international line to th,
Rio Grande, under 80'
miles, to effect an unbrokel
! communication with the railway sys
/ tenn of the United States within thre
J years. The first section Of the line i
already accepted, and 1000 men AM
5000 tons of steel rails have beel
!. ordered for the work. The compan
3 has one of it's officers at Colorad
) Springs and one at the City of Mex
co. The principal Office will be i
New York. It's subscription c
, $4,000,000, made up last summer b
' General Palmer, upon condition c
I security, will now be called up b
the Union Construction company, b
installments required to do the worl
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