The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1895-10-20

"Mr. Huntington says he wants Con-
gress TO pass such an act as will settle the
debt OF the railroad to the Government"
said Judge McKisick yesterday. 1.-The
Central Pacific is and has been Califor-
mia corporation, therefore it is not only
the debt of the Central Pacific to the
Government, but it is also the debt of the
estate of Leland Stanford Coils P. Hun
tington. Mark Hopkins and Charles
Croker; and if the Central Pacific is in
solvent they made it so, because the
records in the case OF the United States
against the estate of Leland Stanford
show that the persons named made it
cost the Central and Western Pacific
companies at least $50 600, GOO to build the
road from San Jose by way of Sacramento
to Ogden. Legally and morally they owe
the debt, just as much as the corporation
owes it. and they ought to be made to
pay it.
81 have no more doubt that the Supreme
Court of the United States will reverse the
decision of Judge Ross and theUnited States
Circuit Court of Appeals in the Stanford
ease than if it had sued the estate OF Stan
ford upon promissory note given by him
That was in fact what the Government did.
1t loaned SIS, O0O,O 900 to Stanford, Hunting
ton, Hopkins and Crocker, and they
ought to be made to pay it. If they had
not squandered the money of the Central
Pacific on themselves that corporation
would never have been insolvent, and if
they had not disposed of to themselves
$34, 100000 in dividends when they knew
the corporation owed the Government and
first mortgage bondholders more than
100000 there is no doubt at all but
what the Government and the bondholders
could have had every dollar due them
1.-The very fact that the Central Pacific,
from the time the road was completed UP
to the year 1884 paid $34, 000,0 600 in diyi-
dends is proof conclusive that the compel
ing lines referred to by Mr.. Huntington
hurt it very little, if any at all, and, there
fore, when Huntington talks about COM
peting lines having hurt them he is sim ply
trying to divert public attention from the
fact that he and his associates hurt the
Central Pacific great deal more than the
competing lines did.
"In question 2 Mr.. Huntington saws he
presumes Congress will do what is right as
between the Government and the railroads.
Congress, of course, represents the people
of the United States and the real question
is, what would be fair for Congress to do,
as betw cen the people of the United States
and G. 2. Huntington and his associates.
sin view OF the historical facts, with which
1t is presumed Congress is or will be fami-
liar, as to the manner in which G. P. Hun
tington and his associates diverted the
moneys which the Government loaned
them, it would seem TO be Just and fair
that Congress ought to provide some means
by which the real debtors to the people of
the United States should be compelled to
pay every dollar of that Indebtedness
whether the railroad company be solvent
or insolvent, and in my opinion Congress
will do great wrong to the people of the
United States if 1t enacts law giving to
Mr.. Huntington and his associates any adj
vantage whatever over the people whom
it represents.
"As to the claim for 81, 800, 900, which he
says is due the Southern Pacific Company.
that is simply a debt due to Huntington
ana his associates, and as they owe or
will owe when the bonds mature about
SIS, 900, Congress ought to set this
81, 800, 900 as SO much against this indebted
ness. When Hun tington goes to Congress
and represents to it that the Central Pa
ciic is insolvent, and asks Congress to give
him some relief, Congress will know very
well that it is not dealing with that ideal
intangible thing called corporation, but
that it is dealing with c. P. Huntington,
and it ought to deal with him just as a
creditor ought to deal with a debtor who
has grossly wronged him.
I'm answering question asked him by
THE CALL, Mr.. Huntington says that he
Cannot but believe that majority of the
members of the Fifty-fourth Congress are
honest men. The people of the United
States hope that they are honest, and that
they will remain true to the interests of
those who sent them there. If they do,
they will compel Huntington to make a
lair settlement "a settlement that will
force from him and his associates their i'll
gotten gains which they have SO long
enjoyed and which every sense of justice