The Black Hills union. [volume] (Rapid City, Pennington County, Dakota [S.D.]) 1889-1904, 1890-12-11

Capital stock........ Ss4,495, O99, 31s
Funded debt.......... 4,S28,33e5 I'll
u Snfqaaeaa s abggo'..:..::.: S 55'5l5
fhig aebb Il sesirsd alb sSoHt III fsf,b ba
miles of railroad. Upon this debt was
paid in interest on funded debt the
enormous sum of $2l9,S77, $50, while
SSl, 264, O29 was discussed as dividends
on the stock. More interest fell due
than eyer before III the history. af
American ra,ltoadihg and less diti.
bends We're paid than in any previous
year since 1880, except 1883. Upon
this pile of American railroad securi-
ties American credit is largely based.
Place the value of these securities in
jeopardy and q financial panic is pre-,
cipltated. Toattain theft ends Gould
and StandaEdOil have risked the value
OF these securities and at the eleventh
hour ayerted the panic only to save
themselves. s
1t may be asked how a combination
of n man and a single corporation
could do all this. 1t lie very simple,
American railroad SYSTEMS are 90. Id.
terlocked and competition so close
that reckless rate cutting by one dis
turbs all. Cut the passenger rate be-
tween st. Paul and Chicago to S. and
1T will Affect the rates between Chicagc
and Omaha and Kansas City, St. Louis
and kansasCi,H Omaha and St. Louis,
st. Paul and Kansas City, and then
the rates between the Missouri river
and Denver will follow. Let this stu.
alton ssand-s year and. as Under thu
operation Of the long and short haul
clause of the Interstate commerce
I--;, -.u.al cannoJ DC nlgner IMAM
a through rate, all passenger rates
between Lake Michigan ahd the Rocky
Mouhtains Wilt Be. tnchsos End ths
roads Will sacrifice from $40, 00O, 900 in
to $4,000, 900 in revenue. A cut in
freight rates precipitates more disas;
tr9us ~eanse1ueneest bacause tteonipeis
roads III a large section OF territory to
meet it, spreads faster and wipes out
revenue in hundred thousand-dollar
chunks. Jay Gould and Standard Oil
owned enough railroads tn, start tha
rate cutting going, and did hot hest
tate to do SO For almost a year rail-
road rates in the west. southwest and
northwes have beet dtmCral,zed With
a view to reducing revenue, causing
most Of the roads to fail to pay divi-
dends, or pay them on borrowed money,
thus impairing public confidence in
them as an Investment and sending
down the price. Like a piece of good
luck .fot, Gould and STANDARD Oil came
the British panic In Argentine; caused
| by the initiation and, revolution, at
Bounds Ayres. London was compelled
to raise money, and threw more than
800, 600, 900 in American railroad Sc
curities into Wall street in one lump.
which crushed through values, carry
ing everything before it.
Then came Jay Gonld,,s hQur. to act.
He his. All iticome OF SI00, 900 a month,
and for years he has been boarding
ready cash, dollar by dollar, until his
vaults were bursting. The Standard
Oil has even more money than Gould.
It's directors sit in nearly every New
York Bank. 1t can make money tight
or easy at will. It Joined hands with
Gould. Millions upon millions were
dumped into. Wall Street by the gov
ernnlent IN the attempt to stem the
tide of panic, only to be locked in the
! vaults of Standard Oil financial insti-
buttons.
When bottom was almost touched
Gould and Standard Oil were buying.
For 100000 shares Of Richmond and
West Point Terminal Gould paid be-
tween 81, 500, 600 and 81, 800, 900 in cash
probably nearer the smaller amount.
What the control Of the Northern Pa
cifc cost no one knows. The status
of the Union Pacific stock is yet an
unknown quantity, except that Gould
and his friends are IN the majority.
Pacific Mail again changed owners
and passed into the hands of Gould
and Standard Oil. Great blocks of
Atchison were secured by this alliance.
By their purchase they have become
absolute dictators CT transportation
in the south, in the southwest, in the
Pacific northwest and several minor
orisolated localities, each large enough
for an empire. More than n quarter
of the railroad mileage of the country
is underline control of Gould and Stan
dard Oil. More roads are expected to
fall into the graspof this combination.
New York dispatches say that Gould
is after the Rock Island and Burling-
ton. Where it will end he best can
tell.
In the shake-up he has given Wall
street and the railroad world Gould
has derived keen pleasure, for while
he pldyeu Win millions ne easily DIS d
neWsboy pitches pennies, he has set
tied many an old score. Calvin S,
Brice and his brother Thomas have
felt his wrath. George J. Gould was
once a director in the Richmond Ter.
minal, which is owned by the Brice,
Thomas syndicate. He resigned be
cause he could not have everything as
he wanted it. Then the Brice-Thomas
crowd Joined hands with Coils p,
Huntington and ran the Gould party
out o. the Pacific Mail directory. Now
Brice and Thomas are at Gould's feet
and Huntington's great Southern Pa
cific. company is forced to show atleasI
an outward feeling Of fricndliness TO!
the king of Wall street and to join hi:
great transcontinental combination
-Chicago Herald
The Bank of England
Gratefully borrows three million
pounds of the Bank of France. Sure
~ this doth look as if the %tinancia
machine that was so cunningly bull
for the particular advantage OF tn,
II pl,,fnorotia nat rinons WaSs55 a hpI,'