The Memphis appeal. [volume] (Memphis, Tenn.) 1886-1890, 1889-04-13
BLEEDING PENNSYLVANIA.
THE RAILROAD, FosTERED AND EN-
ooURAGED BY THE PEOPLE.
Discriminates to Their Injury-Car negle
Points Out How Monopoly Was
Secured for the Pennsylvania Rail-
rcad-Purchase of the vanderbilts.


Industries OF Pennsylvania" title of
the lecture-was a very fruitful theme
No man had done more to develop them
than Mr.. Carnegie, whom he referred to
as lone OF the kings OF industry" Mr..
Carnegie was met by more applause as he
adjusted his glasses and slnoothed out
formidable roll OF manuscript.
Mr.. Carnegie reviewed the history Of
the railroad managementin Pennsylvania,
and showed that the Pennsylvania Rail-
road and other Pennsylvania railroad cor.
porations have persisiently Disseminated
against Pennsylvania industries; have
driven some Of her industries to other
States, and have crippled the agricultural
industries OF the State. He showed that
these corporations compelled Pennsylva-
mia TO pay losses by reason OF competition
and cheap rates out OF the State, and that
the State has paid its dividends and filled
the treasury surplus OF the road while il
has carried freight from the coast at rates
which have almost compelled the Pennsyl-
vania iron and steel industries to close
their shafts.
Mr.. Carnegie then told the story of the
South Pennsylvania deal and its subse-
quent history, saving: when referring
. -t,rCentral Pennsylvania 1t is impossible
not to express the deep regret which we
must all feel that the Southern counties OF
the central and Western Districts are with.
out the railway facilities which they should
this day have had. My connection with
the South Pennsylvania Railroad enter
prise has been such that you will rightly
expect a statement from me concerning it,
Let me give you n short history Of that UNI
fortunate enterprise. When Mr.. Wander
bilt consulted me ! said: Mr.. Wander
bilt, II you resolve to build railroad
through Southern Pennsylvania 10 Pitts
burg will furnish one-half the amount OF
capital that you do Then he said: MY
subscription is $1,000, 600 Mine then Is
S2,5O0,0O0,' replied My partners and
myself, with Messrs. Jones, Chalfant and
Watson, OF Pitlsburg, furnished our share,
and the work went ON. The Southern
counties OF Pennsylvania seemed sure
OF a railroad and Pittsburg OF n
competing line. When | was in
Europe Mr.. Vanderbilt, sick in
mind and body was coerced into selling
out TO the Pennsylvania Railroad Com
pany. j cabled at once, advising my friends
TO sell also. Gentlemen, TO fight the
Pennsylvania Railroad Company with
Nanderbilt's lines behind YOU means yic-
tory; to fight without these means defeat
j never fight unless | see the end clearly
and know that victory can be won, Just as
now know that Il is impossible Tor any
corporation TO stand which can show the
people Of Pennsylvania is not treating
Pennsylvania Justly. Victory here is Ger.
tain. | returned from Europe TO lind that
one OF the nobcst types OF mana pure,
courageous judge; a small. modest gentle
man-sitting here In Harrisburg, had
taught the Pennsylvania Railroad mo-
nopoly lesson they never had learnt be-
fore. Judge Simonton called their atten-
ton TO the fact that the State OF Pennsyl-
vania had n constitution. Tie transfer was
forbidden; but the South Pennsylvania
Railroad being effectively stopped, this
was all the monopoly desired, and IL en-
--icycd the situation.
81 spent considerable time and effort
trying TO save something from the wreck,
but finally concluded that our next move
should be 10 go straight 10 Aiessrs Wander
bilt and tell them that their duty was 10 dc
their part as sons OF the man we had fol-
lowed. They agreed TO q scheme OF organ
ization, and promised that II the signature,
OF the other subscribers were obtained they
would sign. We obtained these, and
called the Nandcfbilisto make their prom
Uses good. We met 10 hear from then
that they could not sign, but would pay
us GO per cent. OF our capital without in
tcrcsi This was TO all Of Us q surprise
but, as before. advised all parties 10 save
what they could. took the 90 per cent
at once.
although the withdrawal Of the Van
derblts was surprise, had been full
advised OF the ominous fact that the OIL
Gals OF the Pennsylvania Railroad Com
pany were pressing them again. The trutl
Is that the president aud first vice-presi
dent OF the monopoly coerced the young
Vanderbilts and threatened destruction &
their varied interests II they dared 10 in
terierc with the monopoly Of transporta
ton In Pennsylvania which the Pennsyl
wanna Railroad Company assumed rs Il
right Thus this railroad monopoly ha
done indirectly what the courts prcyentel
them from doing directly. They made
bargain or come 10 an understanding witt
the Vanderbilts. The money paid 10 tn
South Pennsylvania people is not Wander
bilts money; IL was or Is TO be taken fror
the surplus OF the Pennsylvania Railroa
Company In some form or other, 30 tha
the Pennsylvania Railroad Company Ina
-. ned the millions extracted unjustly iron
the State Of Pennsylvania 10 prevent th
southern counties from obtaining railroa
facilities.
at Is our Pennsylvania money that PR
vents the development OF Pennsylvania
You will notice in the annual report OF th
Pennsylvania Railroad Company that 81
100000 Is handed over 10 the PennsylvI
mia company-that il, the company VIII
operates the lines Of the PcnnsylyanI
Railroad Company west Of Pittsburg-tbI
Is not charged 20 that company, but TO I'll
PENNSYLVANIA Railroad Company Wei
Legislators Of Pennsylvania, do not kno
that this Is the first 200, 0O0oi the none
10 be paid the Vanderbilts, but do kno
that III some underhand way the money
It's equivalent will be paid. have bee
informed by lawyers that the Pennsyly
mia Railroad Company can be made r
sponsiblc for the loss incurred by stocl
holders In the South Pennsylvania Ra
road Company. and that II an action
brought that Judge Simonton may no
the officers OF the Pennsylvania Railroi
Company guilty OF contempt; but do n
think the issue presented is one for ind
yiduals.
at is the constitution Of Pennsylvan
that has been violated in spirit; the ordc
OF your courts that the monopoly has inaI
mockory OF. Perhaps you may belle
that an investigating committee Is imper
i've. II you 10 decide there will be
difficulty In getting ut the truth II you "
allow INC to conduct the cross examin
Ia.