The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1891-02-10
BILL

way corporate ons which have here
tofore received bonds from the
Government to aid in the construc,
ton of their roads, and for other
purposes.
WHEREAS, The United States loaned
to certain railway corporations, known
as the Western Pacific, the Central
Pacific, the Union Pacific, the Kansas
Pacific, the Central Branch Union
Pacific and the Sioux City and Pacific,
it's six per centum thirty year bonds
to the amount of sixty four million
six hundred and twenty three thousand
five hundred and twelve dollars, Sc
cured by a second mortgage on the
property and franchises of said cor
porations; and whereas the United
States has paid the accrued interest
on said bonds to the amount of eighty
| six million three hundred and sixty
| three thousand nine hundred aud
sixty, eight dollars, of which sum only
twenty four million three hundred and
twenty four thousand nine hundred
and ninety four dollars has been repaid
by said corporations, the debt to the
United States being thereby increased
sixty two million thirty eight thousand
nine hundred and seventy four dollars,
and now smo uniting to n hundred
and twenty six million six hundred
and sixty-two thousand four hundred
and eighty six dollars; and whereas
the Indebtedness of said corporations
to the United States is increasing
annually at the rate of about two
million dollars; and whereas the said
corporations are indebted in another
sum of sixty Eve million three hundred
and eighty six thousand dollars 30
cured by a first mortgage lien, the
bonds representing which are now
about to become due; and whereas the
holders of said first mortgage bonds
upon their falling due may, and
probably will foreclose said mort
gage, and cause the franchises and
property of said corporations to be
sold, thus rendering the debt due to
the United States of no value; and
whereas the income of said corpora
tons has amounted to an average of
eleven million dollars, a sum amply
sufficient to have provided fully for
the payment to the United s ,stes of
all the money advanced by it ! said
corporations with the interest thereon,
had not the same been diverted and
misappropriated; and whereas under a
decision Of the Supreme Court of the
United States a default in the pay
ment of the interest does not authorize
the United States to foreclose its
mortgage; and whereas the bonded
Indebtedness of said corporations, ex.
elusive of land grant bonds and includ
ing unpaid inse est due to the United
States, is over two hundred million
dollars, and the terminals and ap-
proacnes at Omaha, Oakland, Kansas
City, and San Francisco VII be
valued at about twenty mi lion dollars,
and there is a floating debt of many
million dollars; and whereas it is the
duty of the United States Govern
ment to protect itself from possible
loss through the foreclosure and sale
of franchises and property of said
corporations: Therefore,
Be 1t enacted by the Senate and House of
Rep e~sentGtaUeS Of the United States of
america IN Congress assembled,
That the Attorney General of the
United Stats be, and he is hereby,
directed to commence, within sixty
days after the passage of this act,
proceedings of condemnation under
the right of eminent domain, against
all the property, real and personal, of
said corporations On which the United
States holds a mortgage, together
with the stations and the lines leading
thereto at Omaha, Oakland, Kansas,
City, and San Fran SEQ, not included
IN said mortgages.
SEC. 2. That the President of the
United States be, and he is hereby,
requested to detail three officers of the
Engineer Corps of the Army, not
lca r than the rank of brigadier-
general, any or all of whom may be
tak=n from the retired list, who shall
constitute a board of appraisement,
whose duty it shall be to examine,
appraise, and fix the value Of all the
prore'ty described in the first section
of his act. And the Secretary of
War shall det4il from his office and
the Army such assistants as may be
required by said board of appraise-
ment.
Sec. 8. That said board of appraise.
ment shall organize and, within ninety
days after their detail, proceed to
discharge the duties prescribed in the
second section of this act. Said ap,
~praisement shall be of each line of
railway separately, including all realty
except land granted by the United
States to aid in building said roads;
all the rolling stocks, locomotives, and