Springfield daily republic. [volume] (Springfield, O. [Ohio]) 1887-1888, 1888-01-18

OF dividends voted by themselves, while
the great creditor the United States,
finds itself substantially without adequate
security for the payment al its loansn
The laws enacted in aid Of these roads,
while 1t illustrates proiuse liberality and
generous surrender Of the Governments
advantages, which il is hoped, experience
has Corrected, were nevertheless passed.
upon the theory that the roads should be
constructed according to the common rules
OF business, fairuess and duty, and that their
value and their ability to pay their debts,
should not be impaired by unfair manipu-
lation, andj when the Government subordi-
mated its lien 10 another, il was in the
expectation that the prior lien would repre-
sent in its amonnt only such bonds US
should be necessarily issued by the COM
panies for the construction of their roads at
fair prices agreed upon in an honest way
between real and substantial parties.
For the purpose Of saving or improving
the security afforded by its Junior lieu, the
Government should have the right now to
purge tins paramount lien ui all that is
fraudulent. fictitious or uncunsCiOusable.
II the transfer 10 innocent hands of bonds
OF this character. secured hy such frs, mort
cages prevents their cancellation, il might
be well 10 seek q remedy against those Who
issued and sran>ierred them. II legislation
u
can readily supply it.
desire to call attention also to the fact
that if all that was Ia he done on the part of
Government to fully vest III these Con,pan-
les the grants and advantages contemplated
by the acts passed in their interests, las not
vet been perfected, and IT the failure q!
such companies 10 perform, in good faith
their part of the contract Justifcs such q
Course. the power rests with the Congress. to
of the Government Ii donated lands are
not Yet granted to these companies. ana il
their violations of the contract and duty
are such as, III Justice and morals forfeit
their rights to such lands. Congressional SC
ton should intervene 10 prevent further
Consummat on. Executive power must be
exercised according 10 existing laws. aud
executive discretion is probably not broad
enough Ia reach such difficulties
The California and Oregon Railroad is
now part Of the Central Pacific system,
and is a land-grant road. Its construction
has been carried on with the same features
and incidents which have characterized tie
other constructions of this system, as is
made apparent on pages -. 20 and ~ of the
report ui the ma aJurIty al the Commission
ers | have in my hands for approval, the
report OF Commissioners appointed TO cI-
anime two complete sections of this road.
Upon such approval the company or the
Ccntral lacifi Company will bc entitled 20
patents Tor Il large quantity Of public lands
! especially commend to tine attention Of
ConSrrss this condition nf affairs. in order
that II may determine whether or not il
should intervene to save these Lands for
settlers, II such course Is ju-tihable IL
II quite time that the Troublesome compli-
cations surrounding the entire subject,
which has been transmitted to us a. a leg,-
cy from other days, should be adjusted and
settled.
No one. think. expects that these rail.
road companies will Ice able to pay their
immense indebtedness to the Government
nj its maturity. Any proceeding or ar
ranEciueut that would result now or at
any other time. in putting these roads or
any portion OF them in the po>>jssion and
control of the Government, -, IN my Opin-
ion, to be reje~tcd-ccrtliniy rs long rs ,
there is the least chance for iniemuiiication
through any other means.
| suppose We are hardly justified in in
dulging the irritation and Indignation
naturally arising from 4 contemplation Of
ma!tcnsancc. 10 such an extent rs to lead to
the useless destruction Of these roads or the
loss of the advances made by the Govern
ment. | believe that our efforts should he |
in a more practical direction, and should |
tend, with no Combination OF wrOng-iuiug
10 the collection by the Government, on |
behalf OF the people, or the public money
now IN jeopardy.
While the plan presented by majority |
Of the Commission appe.>S to I've well de- |
viscd and gives at least partial promise OF
the results sought, the fact will not escape
attention that it, success depends upon its |
acceptance by the companies ard their |
ability 20 perform its conditions after !
acceptance. II i exceedingly important |
tha: any adjustment now made should be |
final and effective. These considerations |
suggest the possibility that the remedy |
proposed in the majority report might well |
be applied To part only OF these aided |
railroad companics.
The settlement and determination of the |
questions involved are peculiarly within |
the province OF the Congress: the subject |
has been made quite a familiar one by |
Congressional discussion: this is now sup |
pemented in q valuable manner by the |
facts presented IN the report herewith sub |!
mitted.
The public interest urges prompt and |
action. GsoyER CLEVELAND.
EXECUTIVE M.SsIoX, January II, 1855