The Stark County Democrat. [volume] (Canton, Ohio) 1833-1912, 1897-10-28
A HISTORY
OF the Pacific Railroad Steal.
The Forty Thieves
Not In 1t.
HANNA THE BOSS F00TPAD
Of the Ages---The Crime About to
be Consummated
And the Devllish Conspiracy of Twen-
" Years About to Bear Fruit.
HOW LONG, 0 LORD, HOW LONG,
Shall Patient People Submit to Bra7en
Robbery
AVOTE FOR HANNA AND BUSHNELL
Il a Vote to Approve the Most Gigantic
steal Ever Known-Arouss, oh Xs
People, and Rebuke Hanna'r
Band of Public Plum
dersrs.
And the Devllish Conspiracy of Twen-
" Years About to Bear Fruit.
HOW LONG, 0 LORD, HOW LONG,
Shall Patient People Submit to Brazen
Robbery
A VOTE FOR HANNA AND BUSHNELL

Columbus, u, Oct. Zo.-lopeClal.l
Hon. Allen w. Thurman, who is
more familiar with the facts than any
man in Ohio, by request, furnishes the
following brief summary Of the lesis- |
Iation connected with the Pacific rail-
road:
That a correct view of the present
status of affairs concerning the Union |
Pacific may be had, brief mention
of some of the legislation pertaining
thereto is necessary. In 1862 congress
passed the first act to aid in the con-
.struction of railroad and telegraph
line from the Missouri river to the
Pacific ocean, and to secure to the gov
srnment the use Of the same for postal,
military and other purposes. By this
act a large amount Of lands and the
bonds of the United States, payable in
80 years, bearing 6 per cent interest,
payable semi-annually, were granted
to build these roads; the roads were to
repay to the United States the amount
OF the bonds and the interests and the
issue and delivery of the bonds to the
company was to constitute first mort
gage on the whole aided line Of the
road and its property of every kind.
Bonds from $4,000 to $4S,0OO per mile
were to be loaned to the company.
BY the sixth section Of this act the
repayment of principal and interest
was to be made at the maturity OF the
bonds and all compensation for servi-
,ces rendered to the government ap-
piled to the payment Of said bonds and
interest, and at least per cent OF
the net earnings of said road were to
be annually applied to this payment.
Nothing, however, was done under this
act toward the building Of the road.
In July, 1864, another act amending
this one was passed. The grant Of
lands was doubled, and the companies
were permitted to place a first mort
gage on the roads and property equal
in amount to the bonds granted them
by congress, and prior in lien to the
one to be held by the government. In
addition only one-half Of the compen-
sation for services rendered the gov
erpment by said companies was requir-
ed to be applied toward the payment Of
the bonds issued by the government to
them.
Lands by the Millions.
Six companies availed themselves Of
tho terms Of this act and lands were
certified to them by the millions of
acres and United States bonds were
delivered to them as the work pro-
gressed through the years &c, '67, '6S
and go. The whole amount Of the
bonds issued was $64 ,623, $1,000. The
payment required under the bill did
not prove sufficient to repay the gov
ernment anything like the amount that
was paid out in the shape Of interest
on the bonds and the debt of the COM
panies to the United States gradually
increased. In 1873 congress directed
the secretary Of the treasury to with
hold all payments on account Of freights
or transportation over these roads on
government account to the amount OF
payment made by the United States
for interest, together with per cent
net earnings This was done, yet all
of this compensation and the per cent
in addition was not equal to the in
terest, so the debt still grew.
In 1873 the Thurman act was passed
which, in addition to retaining the
whole amount of compensation, re-
quired the companies to pay such q
sum each year as would, with the
per cent, and the compensation
amount to 25 per cent Of their mel
earnings. These payments were to bt
applied-the 5 per cent Of the net earn
ings and one-half compensation-tc
the bend and interest account; the 9th.
er half compensation into a sinking
fund in the hands OF the United States
treasury, which sinking fund was tC
be held for the protection, security anG
benefit of the first mortgage bond hold
ers, FIRST and for the United States af
ter this first mortgage debt was paid
Under this act, too, there was ar
auditor Of Pacific railroad accounts ap
pointed, whose duty it was to see tha
the provisions of the act were compiled
with on the part of the companies.
man by the name of French was ap
pointed to this position. In a shor
time 1t was discovered that the provi
sions OF the act were being almos
totally dlsregarded by him. Senators
Thurman and Edmunds did everything
in their power to force the administra
tlou to have the provisions Of the bill
strictly adhered to and honestly car
Sled out At every step, though, the!
were blocked, and the whole matte
substantially allowed to go by default
Since the beginning thare has hsal
repaid by these companies to the bon
and interest account somewhere be
tween s25,OOO,OOO and S3O,OOO,OOO. TIL
sinking fund now amounts to abou
$HOOO,O0o, and the debt has grown t
over $53,O00,000 on the Union Pacih
alone.
Senate Tn the Way.
Some years ago the house Of repre-
sentatiyes passed an act to lncreas
the percentage to be paid to the gov
ernment to 40 per cent, but the senat
refused to pass the bill. After thi
two distinct propositions were present
ed to congress-one by the Democrat
in the house. known as the outhwait