The record-union., 1897-11-02
union PACIFIC
FORECLOSURE.
Interest Of the United States in the
Road Terminates.
The Governments Lien Purchased by the
Reorganization Committee.
But One Bid Offered, the Full
Amount Accruing to the United
States Being Estimated at $685.
O65,74S 4O-SaIe Of the Kansas
Pacific to Take Place at q Later
Date.

Date.
OMAHA, Nov. 1.-The interest of the
United States Government in the Union
Pacific Railroad terminated at 1l:4o
o'clock this morning, when, at the fore
closure sale of the mortgage held by
the United States, the road was pur-
chased by the committee of Eastern
capitalists formed for its reorganiZa-
tion.
The full amount accruing to the
United States from the sale cannot be
given exactly, but is estimated to be
S5S, ,065,7 74S 40 1t was impossible to
determine the full amount at the time
of the sale, for the reason that the
monthly statement made by the Sec
retary Of the Treasury to the manage
ment of the Union Pacific on the 1st
of every month was not available to-
day, and it was found necessary to
estimate some items, although it is ad-
mitted by both sides that the estimates
are approximately correct. The amount
due the Government is made up as
follows:
Principal of debt, S27 ,236, ,512: inter-
est paid by the Government up to Sep
tember 30 1897, $50 $40, $50 81 interest
accrued by September Both, and still
unpaid S2S6, ,141 90; interest accrued in
October, S95 3S2, Sc: total due the Gov
ernment, SOS, HIS, ,92S G1.
Against this are the following cred
its: Cash and bonds in sinking fund,
S1S,1S2, 466 53. The estimated credits
for the quarter ending September Both,
and for the month of October. includ-
ing Government earnings, are the in
terest on bonds in the sinking fund,
amount not yet credited. S3S4, $50 2l;
total credit, SIS. .5G3, $40 II.
Total debt of the railroad to the Gov
ernment, SIS. 44S.92S 81; total credit of
railroad with the Government, SIS, :
5G5646 "A.
Balance and amount bid by Reor-
ganization Committee, S39, SS3, Isl 81.
The sinking fund bonds sold for S13,-
645. 30 50. Total bids by Reorganiza-
ton Committee, S53, ,52S, ,532 I6.
The amount earned by the road dur
ing the quarter ended September both
and during the month of October is
estimated. but is practically correct,
and as the Government win simply re-
tain the cash. crediting the amount on
the bids of the committee, the amount
To be turned over as consequence OF
the sales is SOS, ,065, 74S 40.
After the conclusion of the sale Cen
eral Gown, the representative OF the
Government, was assured by the COM
mittee that if the amounts We're not
accurately figured, should they differ
from the figures given above, whatever
may be LACKING will be paid by the
committee. and will in nJ way be al
lowed to interfere with the confirma-
tion of the sale.
There was no opposition to the COM
1nittee. and no bids were offered against
theirs
The sale of the road was in itself
one Of the most tame and uninteresting
performances possible to imagine. Ii
was advertised to take place in front
Of the Union Pacific freighthouse, at
the junction of Ninth and Jones streets,
at II o'clock, and it was just one min
ute after that time when Master in
Chancery Cornish, who was TO act as
auctioneer, took his place on the low
stone step in front of the Ninth-street
entrance. For over an hour crowd
ldu Dtt4l SdtINt Ai4S ~ Wins ~ '--NA~
and it was only with great difficulty
that Mr. Cornish was able TO get sut-
fcient room TO enable n,m 10 work.
He finally jammed himself back into
The corner of the doorway. one shoul-
der against the door and the other
against the brick wall and prepared
for business.
Th.. crowd. ehich was not over 5oo
ali told. was packed 80 closely around
The dooruag aua up In front Of the
center of fhh tuiiling that members
a. the Hosrs tnizafien Committee, the
men who came nut o. buy the road,
~. asa.t O. So anything or hear
q word 90 frf was going on 1hey
,,..r. .s.nrr.4l.-i fo stand hack In the
bailt.ar. sata ~ fhe members occasion
.,l1, r.gtrr auf ats facc just 10 see that
All v-as Wei. Packed in the han, lean
ine aeaEust the banuisters, squatuns
,non The stairs or standing wearly IN
the center Of the floor were All Us
members of the committee. KecelFTI
Mink hied TO an upper window, out "i
which he leaned to watch the pro-
ceedings below.
Those of the committee and connect
ed with it who We're present We're JON,
w. Doane Ellery Anderson, Genera
Louis Fitzgerald OF the Reorganization
Committee, and Winslow S. Pierce, at
torney OF the Reorganization Commit
tee, and the wizard who evolved lhe
scheme of reorganization; Alexandei
Miller of Boston, Secretary and Assas--
ant Comptroller of the company; hon
John Sheridan of Maryland, Govern
ment director of the road; General so
licitor Kelley and General Cowan, GOV
ernment representative; jacob r. Schil
OF Boston. Marvin Hughitt of Chicago
IT. jefferson Coolidge, Jr., OF Boston,
and Lawrence Greer, his assistant.
Mr. Cornish carried under his arm
a large portfolio bound with the regu-
lation red tape, and as soon as the
crowd gave him room to extend ms
arms he united the strings and drew
forth a number of papers. Selecting
one of these. he replaced the others
and holding it out he said:
..Gentlemen, / am here to sell certain
railroad properties in pursuance of a
decree of the United States Circuit
Court. i will now read the descrip
lion of the property to be sold. and
when l have finished the reading | Will
be prepared TO receive BIDS