St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1895-05-16
A TELEGRAM RECEIVED IN ST.
PAUL ANNOUNCING THE
TRANSACTIG~
SECOND MORTGAGE Bo
Pass INTO Control of the Presto
dent of the Great North
ern.
TREMENDOUS POSSIBILITIES
Involved in the Most Far-ReacIiA.
ing Railroad Change Ever
Put Into Effect.

James J. Hill Is today the master
and manager of two of the greatest
railway systems in the world.
st. Paul will be the headquarters
and the hailing place of both these
systems; and Mr.. Hill will continue
to make this metropolis his base Of
operations. :
A telegram received at the First
National bank yesterday crystal
lized into fact the rumor that the
Great Northern magnate was abroad
to consummate negotiations that
should make him master of the North
ern Pacific railroad in addition to his
own magnificent property, the Great
| Northern. These negotiations have
! new been brought to a successful
conclusion, and the G be presents
the welcome news with the knowl-
edge that it is not liable to CONTRA
| diction.
OF course, the exact details Of the
| transaction cannot at present be more
| than guessed ait, beyond the fact
| that Mr.. Hill has secured control OF
| the Northern Pacific by acquiring
| the second mortgage bonds of the
| road. This is supposed to have been
/ accomplished through the efforts OF
| e. D. Adams, chairman of an infiu-
entail committee representing the in
terests of certain bondholders. 1t is
understood also that Mr.. Adams
has been in some sense an agent OF
| the Deutsche bank and the Willard
| interests. This seems altogether like
| ly, from the fact that Willard knows
as well as any man living the great
| advantage to be gained by con-
solidation of the management and
interests of these two great trans
continental arteries. Il
President Hill is not alone in this
stupendous deal in railroad properties
His longtime friend and backer, Sir
Donald A. Smith, of Montreal, is un-
derstood to be a heavily interested
party, because as one Of the principal
outside owners of the Great NortherH
stock is most deeply interested i'm
clearing up the field Of its operations
of all obstacles. 1t is known that
Mr.. Hill went to Montreal within al
very few days of his sudden jump to
Europe. Sir Donald and the st. Paul
financier are men of action rather
than words, and few hours sufficed
to lay out plans that involved the use
of millions of money and the playing
Of daring game in the railroad
world. Back from Montreal, Presi-
dent Hill quickly put matters in
shane for an absence of uncertain
length, and having securely buttoned
up the mouths Of all persons whose
tongues might do harm IL they
wagged. he hurried away to New
York. There Mr.. Adams, and prob
ably some other gentlemen, awaited
him. and the first outgoing steamer
carried Messrs. Hill and Adams to
London.
That was in the last days Of April,
and the report is that on arrival In the
English capital the Americans found
awaiting them a representative Of the
second mortgage bondholders who was
fully authorized to conclude negotia-
tions that should give to Mr.. Hill the
control and management OF the road
completely. The Great Northerns
president is not partial to divided au-
thority in his own business, and un-
doubtedly he will be absolute master
of the affairs of the Northern Paclhc
when once he has laid hands on the
reins of government.
When seen by G ! o e reporters last
night the officials of the First Ma
tional bank were rather too non-com"
initial to make their answers VI ihuO"
interest. Frank p. Shepard, direc-
tor. admitted he had "heard rumor 10
that effect" This admission was
made with a great deal of frankness'
and Mr.. Shepard's manner left the I'M
preston that the rumor was correct.
D. C. Shepard, also director and
probably standing as close to Mr.. Hill
as any man in Minnesota, said he
also had heard the rumor and believed
il quite likely that Mr.. Hill was coming
home from Europe with the Northern
Pacific in his pocket.
From a different source 1t was
learned that President Hill is ex-
pected home Saturday next. Sam Hill,
his son-in-law and right-hand man, Is
now in New York in answer to a
special call to meet his superior on ar
rival.
TREMENDOUS POSSIBILITIES.
The main line of the Northern Pa
cific extends from ST. Paul 10 Port
land, a distance Of 2,O56 miles, and its