The San Francisco call., 1897-10-25
Competition Certain in
the Union Pacific
Sale.
There May Be Active Bidding
to Secure the Link in a
Great Line.
Much Money ,Spsnt by Receivers
Makes the Road More Valuable
Than Is Supposed.
Special Dispatch to TIE CALL.


OMAHA, NEBR., Oct 24-Speculation
in local railway circles is very animate
at present over the Union Pacific sale,
which will occur one week from to- NOR
row. One element asserts that there i. a
surprise in store for the reorganization
committee, end that 1T will come in the
form of strong opposition when the time
for bidding comes.
1t is said the com petition will come
from the Russell Sage syndicate, which is
really the Huntington crowd, who are
anxious to ge: the road to run in connec-
tion with the Southern Pacific. II is
pointed out that that corporation can al
ford to pay as much for the property as a
connecting line as can the Wander bilts
In order TO use it in connection with the
Northwestern. 1t is further said that the
bidding will probably he so spirited that
the price brought Will be much in excess
OF what is expected. The REORGANIZATION
com mmittee, it is pointed out, has much
secret information about the roads con-
dition which no other bidders can have,
that Is, as 20 the extent CT improvement
made under the receivership, etc.
There is no disputing the fact that vast
sums have been spent by the receivers in
improving the road during the past three
years, and all this improve ment in road
bed, rolllng-stoek and bridges will go with
the balance. 1t is pointed out that the
Government has -unintentionally per-
haps, but nevertheiess-given the feor-
ganzation committee q powerful advan-
tare by not requiring the receivers to make
public all these improvem ents that other
kt.1l A.. l., 4
ding on. This, it is said will lave power
full effect on the result. 1t is declared that
II the Sage people get the road they will
probably build a new line to Chicago and
thus control the situation from ihe city
through TO the coast 1t is further said
that If the Vanderbilts fail to gei the line.
it will mean the inevitable extension of
the western line of the Northwestern,
which now reaches far into Wyoming
through to the coast. In fact. this has
been talked oi for some time.
NEW YORK, Oct. .24.-Indications point
TO the formation of a second syndicate to
bid for the Union Pacific Railway at the
foreclosure sale next month, but this
syndicate is entirely distinct rom the
much al vertised one attributed TO Russell
Sage and General Thomas, which both Q f
these men deny having got up, but con-
cerning their participation in which there
is small room tor doubt.
Two certified checks for So. 600, 600 each
have passed through prominent New
York banks made out to the order of w.
d. Cornish, special master in charge OF the
Union Pacific sale, and one of those con-
versant With the reorganization plans
stated to-day that these checks would
probably form the basis OF a second bid,
as il is necessary TO make deposit of 10
per cent beforehand as a guarantee of
good faith.
The reorganization com mmittee made its
deposit several months ago. This person
said that so far as he could ascertain
neither Russell Sage nor General Thomas
had anything 10 do with the drawing OF
the checks, and he had not been able to
ascertain from what source they came.
In this connection it is said that several
prominent interests, among whic were
men said 10 be associated with the Rookie
felers, had signIfisd their intention or
willingness to help form a syndicate to bid
for the road, and The checks may have
been to their order.
1t became known to-day that the alleged
agreement which Russell Sage was cred
tied with getting up and circulating
among bankers was really prepared by u
put-and cali broker who appears to have
an Office in his hat. Some unklndiy dis
posed persons in Wall street insinuate tina {
both Mr.. Sage and General Thomas had
benefited greatly by srock-j bbing stories
that had been circulated Dy this man and
they even went so far to suggest that
these men were not averse to using the
vendor of flakes" so long as the reports
reflected on certain Wall-street interests
10 which neither Mr.. Sage nor General
IhomaS is very well diSuOsec.