Los Angeles herald., 1890-11-28
ADAMS'S ADDRESS
Displeased the. Gould Sage
Party.
The Magnates Riled by His
Remarks.
Serious Charges Made Against the
Late President.
He Hoodwinked the Directors and Run
the Road for the Promotion of
He Hoodwinked the Directors and Run
the Road for the Promotion of
Private interests.
Associated Press Dispatches.

New York. Nov. 27.-Tomorrow the
Tribune will print an interview with
Jay Gould, in which he says Ex-Presi-
dent Adams of the Union Pacific is a
theorist, who conducted many affairs of
the Union Pacific without the knowl-
edge of the directors. Gould said he
learned when last in Kansas City, that
Adams personally owned control of the
stock yards there, and while the rail
road was carrying in their live stock at
bare cost of transfer, the stock yards
earned 81 100000 the past year. Such
action as this, Gould said, would never
be permitted under the new manage
ment. He believed the Burlington and
Rock Island will both come into the plan
for securing better results from the
western railway business. No further
changes, he said, were to be made in
the Union Pacific.
Mr.. Gould further said in part: "The
Union Pacific has earnings of $40, 900, 900
year, and its terminals are estimated
by the congressional commission to be
have gone into it's management again if
1 had not known we had something
to bank on. Adams's statement
about harmony during his admin
istration is not wholly correct.
The fact is the directors really knew
very little about what the president
was doing. There is a piece of road out
in Utah, graded and ready for the rails,
and although it is $50 miles long, the
directors knew nothing about it. There
is another piece eighty miles long in
Southern Kansas, on which l believe the
rails have been laid. 1t does not con-
meet anywhere with the Union Pacific
system, and the directors were sur
prised to know the company was
building it. These extensions, and the
purchase of the Oregon Railway and
Navigation company, which think was
wise one, made a considerable floating
debt, but it can easilyrbe handled. The
addition of 1000 names to the pay roll
is mystery not yet explained. The
change in the management of
the Union Pacific insures har-
lnony among the western railways, and
the formation of a strong association on
about the basis suggested by Chairman
Walker. Instead of great parapher-
MALTA of agents and solicitors, the asso-
citation will have agencies only in the
large cities, and freight can be routed
under direct orders of a committee
chosen by the association.
"a meeting of the western railroad
officers will be held very soon, probably
next week, but the certainty that such
an association will be formed has al
ready had it's good effects"
In regard to the general financial
situation, Gould reiterated his
aGsorfInn fhaf tho ooVi0,c
trouble has passed. Trust stocks,
sugar, whiskey, lead, and things of that
kind produced much of the trouble, in
his opinion. The public lost money by
them, and consequently lost confidence
in everything in Wall street. These
stocks had some merit, but the compa-
MES were organized in the wrong way.
New YORK, Nov. Pit is evident
that the Gould-Sage party did not enjoy
the farewell address of President Adams.
Sage in an interview today said: "The
tenor of Adams's address is most un-
called for. There has been no public
criticism of his management by any of
the directors, Notwithstanding the fact
that he was running the road to ruin.
Mr.. Adams says in his address that he
has been president seven years, and dur
ing that time the actions of the directors
have been unanimous. That is simply
saying that Adams is responsible for the
Union Pacifc's condition. He should
explain how it was that the pay roll in
creased 1000 names in nine months;
what personal interest he had in the
Kansas smelling works, in favor of
which discrimination was made in rates
for shipping bullion, and half dozen
other matters"