The morning call., 1891-03-15
CORRUPTION IN CALIFORNIA.

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CORRUPTION IN CALIFORNIA.
THE CALL has heretofore stated that
! quite a number of the members Of the pres
| ent Legislature were picked up about the
| City Hall, and that it was generally believed
that these men were nominated for the ex-
| press purpose of re-electing Mr.. Stan ford to
the United States Senate. AT any rate one
CT more agents were active in securing their
nomination, and when they reached SacTa-
mento they voted for Mr.. Stanford.
The most of these legislators voted
against the collection of railroad taxes, and
they have since asked the General Govern
ment to defer the payment of the seventy
| odd millions Of dollars which the road owes
the Government for fifty or more years at a
merely nominal rate of interest. OF course
the public realize that the stockholders OF
| the railroad company are worth from fifty
| to one hundred millions of dollars which
has been made from the subsidies ana bonds
| furnished by the Government. Something
has also been paid by this city and State.
! The General Government California and
San Francisco dealt literally by the railroad
| company under the impression that such
large amount Of bonds and lands would en-
able tie road TO give this Coast reasonable
| freightS and fares. The bonds and lands,
however. have been appropriated by the
| stockholders, and the road itself has been
turned over to the Southern Pacific Com
| pany, an organization which was built up
| with the means drawn from the subsidies
California is interested-yes, deeply inter-
| ested-in what is to be done with the Central
Pacific Railroad. Oar citizens donot like to
see the company Sinking its taxes while its
managers are ten times milliOnaires, and at
the same time charging such freightS and
fares as will cripple the business of the State.
Neither do they like to see this company
control its politicS-trading with protligate
politicians to their injury. Our object to-
day is not to make extended comments, but
to give an editorial copied from an evening
paper Of Friday, which reads as follows:
Thirty members of the Assembly yesterday
voted against The resolutions OF the Senate pro-
: testing against the passage OF the bill before the
| last Congress providing for the extension of the
| Pacific 10 fifty years at per cent per annum, OF
| any other similar bill. The resolutions were
| drawn mildly enough ana Tie statement OF the
| case would seem to be all that should be neces-
| sary TO secure support for them. In the recent
| debate in Congress on the bill 10 pay the Central
| racIlc three millions fer transportation It was
| stated that by the tune the bonds issued by the
| Government fell due-a cOunle of years hence
The total Indebtedness of the Central Pacific
would amount TO seveuty-two millions.
The earnest manner IN which the three-miiOn
| bill was urged in Congress exhibited the re-
| maIkabe fac, that while The maguaIes of the
| Genital Pacific were very urgent hat The Gov
| eruneut should ay them what II owed, they do
! not propose 10 pay the Government what they
owe II but in such time ana manner as they
| choose. Tie Central Pacific, according TO the
| report of the Commissioner of Railroads was in-
debted to tile Government June 30, 1889. for
ST ,S55 ESQ in bonds issued 10 II, and $50, As,
| $40 interest paid IAe eOn-Or total Of S63 004.
| 529. There d @ credits 10 be deducted for trans.
pOrTation, and cash for SlnSIug Fund OF S1O.-
| 747,794-leaylpg net debt al The date stated of
/ So, 256, 735. There also FIRST mortgage
| bonds out equal IN amount TO the original sub
sidy, which the Government would have to HqUi-
date if il should resolve to take possession of the
| road.
The railroad people do not want to pay back
! any OF this money for fifty years Their notion
is that all they owe should be funded at . per
|
| got well circulated, an advance 10 Seyeniy-fye
years, and aftevard TO on hundred years was
suggested. a very natural object on to eXeep-
tiUnaI treatment Of this kind has grown up all
over the country. 1t is doubtful whether any
| Congress can ever be got to pass any bill Of the
| KIND stated. 1t may be regal ded as certain that
no President Will ever be Induced 10 sign il. The
Legs AZURE OF lie Stale has in the resolutions.
TO when reference has been made, protested
| against tie scheme. But thirty Assemblymen
did not LOOK on The matter in the same light.
They have not favored the public with state
meut Of their reasons. Pro baby most OF til IN
think that it would Il a great hardship to make
the railroad ray up
The Ioll-eatl on the bin which proposed to make
the corporation in question pay the State the So,
| 100000 Il owes In taxes IS not to hand. 1t is not
100 much 10 assume that lhese same careful legis-
iat0Ts voted in the negative on that proposition
The most curious circumstance is that of the
twenty votes which NJ. H. de Young has in the
| Assembly thirteen are drawn from this interest
ing group. Ii is easy enough to understand that
Senator Stanford and Mr.. Huntington may be at
GUS, because of the tendency of the former to
spend railroad money in politics. But they are
as closely united as the late Samese twins on all
| other subjects namely not paying taxes, getting
| a flty-yrar or one huudTed-year extension for
| the millions they owe, and so forth. The Kind
OF anti-iailrOad man De Young is may be infer
| led from lie character of the support which he
| is getting al Sacramento The ASsemblymen
who stand by The railroad know what they are
| about when they take "Our Mike" TO their
bosom. This is in entire accord with his previous
! career His plan has always been to hre away
at the railroad, at long range, and where no
harm can be DONE but on essentials near at home
lie always, when matters were properly ar
| ranged, stood In.