Omaha daily bee., 1888-12-06
AN Exploded SCH EHE.

1t is reported that the scheme of Great
ing great railroad trust, disguised
under misleading title, has been
abandoned, and that the railway situa-
tion remains problem to be solved, If
solution be possible, by some other plan.
The trust project, by whomsOever con-
ceived-and it may be remarked that
Mr.. Gould, who was suspected OF It's
authorship, disclaims all responsibility
for it-failed to commend itself to all of
the railroad managers whose acquie-
scence was necessary to its consumma-
tion, prominent among them being M r.
Hughitt, of the Northwestern system,
to whose opposition the failure of
the scheme is chiefly credited. 1t
would be interesting to know the pre-
else grounds on which the president of
the Northwestern refused to have any
thing to do with the trust, but it is
fair Inference that his opposition was
due less to any conscientious considera-
tion for the public welfare than to a
reasonable fear of being entrapped by
Mr.. Gould, who, whether or not the
author of the clearing house scheme, is
by his own statement desirols of some
sort Of combination. The Northwestern
president certainly does wisely, both in
his own and the public interest, in keep
ing out of any alliance or Arrangement
that proceeds from or has the approval
of Mr.. Gould, and the example he has
set in this matter may prudently be
emulated by other railway managers
who are in a position to act independ-
emily. In doing so they are certain to
be on the sale side.
According to Mr.. Gould he had an
other and wholly different plan for
remedying the difficulties of the situa-
ton, but what it was is not unfolded.
He expresses a willingness. however, to
enter into any arrangement that will
give the railroads paying rates, and it
is more than evident that he was
chagrined over the failure OF the
clearinghouse scheme. His present
attitude is one of menace. His refer
ence to the difference between him
self and other railroad managers,
in the fact that they managed the
properties OF other people while
he owns the properties he manages, is
significant when read in connection
with his subsequent suggestion OF a
concentration Of controlling power.
What Mr.. Gould obviously meant was
that he proposes to move against the
salaried officers on the roads that refuse
to go into his deals, and freeze them out
by combinations with the big bankers
who furnish the money for railroad
building. This would be very large
scheme, not, perhaps, too daring for
Mr.. Gould to undertake, but possibly
beyond his power to consummate. That
he is determined to do something in the
way of a radical departure, however,
there Is every reason to believe, and
it is not impossible that within
short time there may be some
very interesting developments in con-
nection with this railroad contr oversy.
1t Is not questionable that it would be
in the public interest if the relations
between the railroads could be ad-
iusted on a better basis, with some as
surance of permanence, 80 that rate
cutting, which is the source OF presen
difficulty, might be obyiated, but such
schemes as the clearing house" pro-
iect will not be tolerated under any cir
cumstances. No such dangerous power
over the business interests of the coun-
try could be permitted, nor would it be
allowed to continue. The problem is