The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1889-02-26
THE PACIFIC ROADS.

The Union Pacific refundiDg bill hay-
ing been killed and Congress having
failed to take any action looking to the
adjustment OF the Central Pacific in
debtedness 10 government, several
newspapers are charging the failure to
the influence OF the railway companies,
and intimating that the lobby" has
been getting in its work with Congress
man. 1t is needless to 1emark that
journals which are doing this are either
inexcusably ignorant or inherently
mean. Both the railroad COM
panies named are eager for an
adjustment, and have done all
possible to bring about settlement.
This is known to everybody and to
none better than the few Congressman
who have stood in the way of any ar
rangement which did not contemplate
the tull pound of flesh. These men
have persiStently refused to listen to
arguments or heed reason, but have in.
sisted that the companies owe so much
money and that the obligations can
meyer be Cancelled until the amount is
paid. These are the men who are re-
sponsible for the condition OF things,
and not the railway people.
1t is simply out of the question
that the Pacific railways can ray
their debts to government when
the obligations shall fail due. 1t
is equally impossible thst the
companies will ever be able to pay the
interest on the BONDS and wipe out the
debts. These two propositions being
accepted, two others arise: First,
shall government foreclose its mortg-
ages and take the Lroads? or, second,
shall the payment of the debts be de-
ferred and the interest reduced to NEE
the ability of the company 1t can
hardly be that any inleIlgeI person
will favor the seizure and operation OF
The reads by the government. The
American people are not prepared to
see the government go into the railway
business, and while the people retain
their senses they will oppose every
scheme which contemplates this.
Right-thinking men would prefer that
the government would lose every cent
it put in the subsidized roads than to
see the nation enter the field of COM
merce and traffic as O railway owner
aud manager. 1t being out of the
question for government to take the
roads, and the companies being unable
to pay, wisdom should suggest that. the
next best thing to do would be to make
such an arrangement as will seizure the
government money. Both roads have
made propositions, based on what ex-
Iperience and prospects tell them
they can live up to- They
propose to pay in full, but
in order. to do this, they must have
time and the interest must be reduced.
Under the circumstances the plans are
fair and reasonable. They are really
better and more liberal On the part OF
the companies than might have been
Expected, in view OF the fact that gov
eminent cannot collect its money, and
the railroads can to-day be paralleled
for about half the sum which is due to
the nation 1t is believed that the
Central Pacific would pay the govern
ment to take the road aud cancel the
debt, and yet the company offers to
pay every cent if given time.
As cold proposition of law
it may be argued that the money
having been loaned the terms of the
obligation should be complied with.
But we must look at the situation as it
| is and not as we would have it, or as it
should be. We ought also to consider
the matter in regard to the equities. We
ought to consider that the roads were
built at time OF national and indi-
vidual extravaganza and recklessness
to use mild terms; that the line was a
national necessity; that if the govern
ment never RECEIVERS a dollar, it has
been paid over and over again the
amount of its investment, both directly
and indirectly; that the investment, if
we we're to consider the subsidy and
the loan as bonus, was one of the best
ever made by the United States. It is