St. Paul daily globe., 1889-03-17
A MANITOBA ATTACK.
Resolutions Introduced in the
House Relating to That Rail-
road System.

Resolutions Introduced in the
House Relating to That Rail-
road System.
the following resolutions yesterday
noon in the house:
Whereas, The st. Paul, Minneapolis
& Manitoba Railway company was
formed and established under the laws
of the territory and now state of Min
neSOta, to build, maintain and operate
certain public highways in this state;
and to that end said corporation was au-
thorized to have a capital stock not eX-
ceeding twenty million dollars $50,
000), with power to borrow money and
to mortgage all its property to secure
payment thereof, and in and by such
mortgages to provide for and establish
sinking fund with which to discharge
the same at or before maturity thereof,
and
Whereas. Congress heretofore granted
certain lands to the late territory and
now state of Minnesota for the purpose
of aiding in the construction of said
public highways, and provided that said
lands be held by said territory and state
for the purpose aforesaid, and that the
same should be subject to the future
disposal of the legislature thereof for
said purposes and none other and
Whereas. Said trust was accepted by
said territory and now state of Mime
sofa, and said lands were by said terri
tory and state turned over to said cor
pOration subject to said trust to the end
that the same and the proceeds thereof
should and would be faithfully applied
to SAID purposes and none other, and
Whereas, Said corporation heretofore
mortgaged all its property, including
said lands. to secure payment of its
bonds to the amount of sixteen million
dollars Sl6,000,000) and in and by such
mortgages establish a sinking fund for
discharge thereof at or before maturity
by specially setting apart and pledging
the proceeds of said land to that pur-
pose, and
Whereas, Said corporation has also
issued its stock certificates to the amount
of fifteen million dollars (S15, 100000 as
fully paid up, and
Whereas, Said mortgages were not
made OF used to raise money wherewith
TO build, maintain, equip and operate
said highways. but in part to wrong
fully enrich divers individuals then
having control of said corporation. and
Whereas, Said stock certificates were
not made or issued upon ullpayment of
the face value thereof, but to be diStrib-
uted gratuitously among divers persons
then having control of said corporation,
and without payment of any amount
therefor, and
Whereas, The proceeds of said lands
have not been faithfully applied by said
mortgages according to the terms of
said trust, or according to the terms of
said sinking fund provisions; but on
the contrary thereof have been wrong
fully and fraudulently applied to the
carrying on of other enterprises, and
Whereas, Said corporation in virtue
of said facts has misused and abused the
special purposes, privileges and fran
chiseS received thereby from said terri
tory and now state of Minnesota, so
that the people OF this state are now be-
ing called upon to pay eXorbitant and
unreasonable rates for transportation
upon and over said highways, to pay in
terest on moneys never borrowed for
the construction, maintenance, equip
ment or operation of said highways, and
to the dividends on stock which was
never actually paid in, and
Whereas, The legislature of this state,
and each branch thereof, is clothed with
power and under duty to examine into
the affairs and condition of said corpora
tion for the purpose of determining what
Sldll Dt UOllc lleIGWlJH 10 correct SalQ
abuses. Now, therefore, it is
Resolved. That committee of seven
members of this house be appointed.
with full power and authority to exam
Inc generally into the affairs and con-
dition of said corporation, and to that
end with full power and authority to
administer all necessary oaths to the
directors, officers and stockholders of
said corporation. and to examine them
on oath in relation to the affairs and
condition thereof, and to examine the
vaults. safes. books, documents and pa
pers belonging to said corporation OF
pertaining to its affairs and condition,
and to compel the production of ali
keys, books, papers and documents ac-
cOrding to the statute in such case made
and provided, and with all convenient
speed TO report to this house such ex.
aminati0nS with such findings and
recommendations in that behalf as they
shall deem proper.
Mr.. Eastman gave notice of debate.
The resolutions will be printed and
laid before the house for debate and
action.