The Daily clarion. [volume] (Jackson, Miss.) 1866-1888, 1886-02-14
OFFICE OF GUtF & SH,P ISLAND
RAILROAD COMPANY, JACKSON,
Miss, February llth, 1886.

OEPCE OF GUtF & SHiP ISLAND
RAILROAD COMPANY, JACKSON,
Miss, February llth, 1886.
Hos. FRaSx BuRKrT, Chairman Special Com
mittee.
SIR: In response to the foregoing,
have the honor to say, that while | do
not recognize the right Of your Commit
tee to inquire into the affairs of the Gulf
& Ship Island Railroad Company, that
are purely private and personal to the
individual shareholders OF It's capital
stock, yet have no concealments to make
in reference thereto
No books of subscription to the CAPT
tai stock Of said Company have ever
been opened to the public, for the sim
pie reason that heretofore the Company
has moi been in a condition to hold out
inducements TO The people to subscribe
to its stock with the assurance Of the
probable success Of the enterprise.
A small amount Of stock has been is
sued to the following gentlemen, Tor the
purpose of organization, and they tax
ing the necessary preliminary steps to-
ward setting the enterprise Cd foot sue
cessfully, viz: Writ Adams, J. j. Thorn
ton, Jones S Hamilton, Geo. 9. Mckee,
James A. HosRins, W, g. Falkner, ;,
Gwin, w. L. Nugent, VIII. II. Green,
ii. l.. McCaskill and W. II. Hardy.
About $4,000 in cash have been paid
by these parties, and the remainder OF
the capital stock is still with the Com
pany unissued.
No State or Federal officers hold any
stock whatever other than Jones >
Hamil .on, a State Senator, who acquired
his stock in said Company before his
election to that position, he being one
of the original incorporators, and Messrs
Adams and McCaskill, the former
being Postmaster at jackson and the
latter United States Consul at Dublin
but both were appointed long after they
had acquired their stock in said Com
pany.
Railroads are not built in these day
with the money derived from the salt
of its shares of capital stock. Indeed
no road was ever so built in Mississippi
and but few, if any, in the United
! States
As to the prospects Of the Compan.
for the early completion of the road,
beg to say that much will depend upol
the action of this Legislature.
was elected President of the Compa
ny oil the 18th of last October, A feV
days afterwards obt ined proposition
from Hamilton & Hoskins, assignees o
Hamilton, Allen & Company, Lessees o
the Mississippi Penitentiary, to transfe
and assign the unexpired term of thei
lease of the Penitentiary to said COMPANY
With this proposition in writing an
copy Of the charter and laws relatin
I, to the road, and maps and est
! mates of the cost of building sal
road. visited the Eastern cite
i aud opened negotiations with capitalist
, for floating he bonds Of said Compan
= by which to raise means to build an
equip taid road
! These negotiations had progressed su
7 ticiently far to justify the Company i
: putting a corps of engineers in the hel
: and in closing the contract OF assignmer
Is with Hamilton & Hoskins for the tram
o fer and assignment of the Penitentiar
! and convictA under the provisi0ds Of I'll
II u Act of the Legislature OF March 1Stl
u 1881.
; This assignment was made on the %
& of December, 1885, and filed in the oft
of the Secretary of State, and on til,
U day the Gulf & Ship Island Railro,
9 Company took possession Of the Pen
y Tertiary and convicts, under their agre
. ment.
Wagons and teams were sent wi
= camp eqnipsge to Harrison Count
Is where work was to begin; permissiC
u was asked and obtained from the Go
y ernor of Louisiana and the Mayor
u New Orleans, to allow the convcts to
Z transported in cars through that Sta
and city and around to Harrison Count
to begin the work of construction.
The provisions of the Act of Mar,
18th, 1884, require, among other thing
s. that the Gulf & Ship Island Railroi
It. should give bond and security in Il
u, sum of 100000, conditioned that Il
TX Company would carry out the contra
es of Hamilton, Allen 4 Company, so f
Mt the same as relates to the expenses of d
In Penitentiary, this bond to be approx,
al bv the Governor and Attorney Gener:
IL The bond was made and rendered. b
he the Governor and Attorney. Gener
ut declined to approve 1t for the reaso
en- stated bf the Governor in his messag
E This brought all the Company's pla
r. and purposes Ito a halt" so to spea
as The Governor referred the whole matt
rs, to the Legislature for its action in t
as premises.
n The Company holds that the transit
D. made by Hamilton & Hoskins is leg
~ valid and binding, aud that it can no
as the convicts under the law of Mar
ne 18th, 1884, Notwithstanding any acti,
n that might be taken by the Legislatu
y to the contrary. The transfer was n
a dependent upon the approval of I
re bond; that is a separate matter. B
as this Company does not propose to
IS assert its rights thus acquired, but
w bow to the action of the Legislatu
oi whatever that may be-that is to say
the Legislature should by the enaetme