The herald., 1898-05-08
The GAGE CANAL SYSTEM OF RIVERSIDE

the delivery Of the water. These lands at
that time were not worth more than IS an
acre and were easily purchasable at that
price.
Plan for Raising Money
Mr. Gage used these notes and mort
cages as the basis of credit to raise money
Ito prosecute his work.
1t was the successful financiering of an
enterprise of such magnitude upon such a
basis, sngle-handed, by a man who dt
might have been said) had neither proper
|ty nor money, that constituted one of the
miracles of the age, and is considered out
side of and beyond any similar work ever
accomplished in the state.
Constructing the Works
Mr.. Gage, having raised funds on this
security, proceeded to sink wells and con-
|struct the canal. Every time he put down
a well he got flow of water Up to date
there have been upward of 20 wells put
down in connection with the system, and
every one of them furnishes flowing water,
the total flow Of the wells agrgegating up
ward of 1000 inches, worth over 81, 200, 900 at
the price at which he commenced to sell
water rights, and worth over $1,000 900 at
the price at which the bulk of the water
has been sold and the price that is being
charged for it today, namely, $1,000 per inch
Financiers Making Hay
1t is said that Mr.. Gage had to pay pref
ty we'll for financial assistance, the writer
having heard of several bonuses ranging
from $1,000 to $4,000 having been paid by
him without murmur, besides interest at
II per cent per annum.
Valuable Water Rights
When these wells were completed there
were some $500 inches of water available,
Including the rights in the Santa Ana river
incident to the Hunt & Cooley and other
bitches, valued at S2,500,Oo0.
The main canal was completed to the
arroyo, some twelve miles, in November,
1856. There are sixteen tunnels and eight
fumes on this section of the work. Water
was delivered through the canal upon
section so in November 1856, at which date
the notes and mortgages in escrow (some
sSo00oW became the property of Mr.. Gage
and were then delivered to him by the
trustee.
The Gage Desert Section
Within the borders of this tract, how
ever. there is one mile square of unim-
proved property. This mile square con-
sists of the section which Mr.. Gage took
up under the desert act in 1852. Owing to
the grea, physical and financial difficulties
in his way, Mr.. Gage did not get the water
on the land within the time specified by
law.
Contest for Title
1t soon became evident that this section
fr4,,
ingly valuable. and as a result not less than
seventeen squatters, or land jumpers,
harrassed Mr.. Gage almost from the date
of his entry to the issuance of the patent,
and two distinct contests were carried
through the interior department: one, if
not both, of these contests was instigated
by parties we'll known in Riverside. The
last of these contests was heard before the
land office at Los Angeles, which decided
the case against Mr.. Gage. from which de-
cision he took an appeal to the commits
sioner of the United States land office,
who, in 1890, reversed the decision of the
Los Angeles office. The jumpers then ap-
pealed to the secretary of the interior and
in August, 1892, Assistant Secretary
Chandler reversed the commissioner. Mr..
Gage then moved for a review of the
II,
1893, Secretary Noble before retiring from
office, denied Mr.. Cages motion for re-
view, thus seemingly closing the case
against Mr.. Gage, and the jumpers pro-
ceeded to make final proof before the Los
Angeles office. Mr. Gage protested against
their proof, on the ground of speculation
and fraud, and applied to Secretary of the
Interior Smith for review of the decision
of Secretary Noble.
On the 26th of September 1895, Secre-
tary Smith reviewed and reversed the de-
cision of Secretary Noble.
The following extract is from the Smith
decision:
HE expended upward of 100000 in the
purchase of water, right of way and con-
struction of his canal, and reached the
land with an abundant supply of water af-
ter the three years had expired, but before
any adverse claim had interviewed. 3
Looking to the voluminous record be-
fore me- find in the person of Gage a suit
or beset from the inception of his entry
with vexatious litigation, hindered and
crippled in his work of reclamation by con-
spirators sometimes including his trusted
agents.. exhausted in fortune and re-
sources by expenditures made in reaching
the land covered by his entry with an ad-
equate supply of water, and finally sue
cessful in effecting practical reclamation
of it; untouched in honor and good faith.
but guilty of being too late. if time is the
essence of his contract. What shall be
done with him p In my yopinioh, he presents
a case where technical requirements must
give place to that substantial justice which
recognizes equity as one OF its elements" +"
In April 1896, United States patent was
issued to Mr.. Gage for section 80, but the
land jumpers on the. section were in pos
session and they declined to give up even
against a United States patent, claiming
that Mr.. Gage only held the land in trust
for them.
Suit for Possession
Mr.. Gage finally commenced suit in the
superior court of Riverside county to get
possession of the land, and this case is now
liable to be tried before many days, when
this feature of the case will then be set
tied.
Valuable Property
Section so is very valuable piece of
property. Located just outside of the
| City of Magnificent Distances, it is only
one and half miles from the business
center of the county seat of Riverside
county, and, being up on the slope of the
| valley, adjoining the foothills on the east.
lit is entirely and absolutely beyond the
reach of damaging frosts, with 1SO inches of
water from the Gage canal absolutely
free from any annual payments, and with
most of the land between the business CEN