, 1898-08-05
THE SAME 0LDST0RY
THAT THE GULF WILL AGAIN BE-
COME A PART OF THE UN-
ION PACIFIC.
And That the Oregon Short Line Will
Be Absorbed by the Overland Sys-
TEN Within Ninety Days-The I'm
ion Pacific Virtually Controls the
Short Line Now.

lief has been prevalent for some time
that the Union Pacific, Denver and Gulf
will PASS into the hands Of the Union
Pacific upon the reorganization" of the
of the lines comprising the Gulf sys-
TEN, a y the Denver Post.
This supposition was seemingly CIV
en- a certainty this morning by an Of
fetal and guaranteed announcement
from Henry Clews & Co., the large New
York bankers, contained in their latest
Guide to Investors" which ie suppos-
| ed to be published on absolutely au-
thentic information.
Under che head of the Union Pacific.
Denver and Gulf, is the following sig
n~ificant paragraph:
THE plan OF reorganization Of this
company is now about completed. The
official statement is made that the U.
p, d. & G. system would again enter
the Union Pacific system"
In the scheme of reorganization Of
the new Union Pacific company it is
stated that among the former lines of
the system now segregated, but which
will be taken back are the Gulf, 973.9
miles, and the Fort Worth and Denver
City. the southern connection of the
Gulf and Texas. 1t is said that the
Oregon Short Line, now practically
controlled by the Union Pacific by vir-
~ 80 ~, ,r,o.,ttp of N ~, ,~,;t,, ~
the stock, will be finally absorbed by
the Union Pacific within the next nine
ty days.
1t is now no secret that the Union Pa
cific interests in the Gulf own a MAORI
ty Of the stock OF that system. The re-
organization committee, representing
the stockholders is divided. Many of
the stockholders OF the Gulf have hold
ings in the Union Pacific. The fight Is
for Gulf reorganization as an independ-
ent company, and against it with the
view of the Colorado Central. the main
line, and the Denver, Leadville and
Gunnison, the branches comprising the
system, going back into the parent sys-
tenn.
1t was thought that the reorganiza-
ton plans were matured when a sudden
break in the carefully laid plans for
appeal to the United States circuit
court to take the road out Of the hands
Of a receiver threw the balance Of pow
er out of the hands of those working
for the independence of the Gulf to the
opponents Of that move.
In half an hour $4,000. 900 of Gulf
bonds changed hands. The way in
which the transfer was made was not
known before the return of a railroad
official connected with the Gulf who
was present in New York at the time.
The Gulf bonds were in a New York
banking house and were thought secure
from purchase. 1t was decided to let a
portion Of them go, when a good pre-
MUM was offered, to individuals. A
mistake was made as to the amount and
before the independence contingent Of
the company could be notified. the I'm
ion Pacific interests had gobbled the
entire $4,000. 900. Carelessness and
treachery were charged, but the fact re-
mains that the reorganization commit
tee has lost SO, 900, 900. 1t was directly
after this that the wire came from New
York summarily disseminating the
Gulf contemplated improvements.
The date of the "reorganization'' has
been conjectured at so many times
that the prophets are silent. They say
that there is o nc doubt that a large
portion. if not all, Of the Gulf will pass
into the hands of the Union Pacific and
that the Union Pacific shops now leas-
ed by the Gulf will pass back into the
hands OF the owners before the first OF
the year.