Omaha daily bee., 1903-01-16
GOULD ROADS ARE TO MERGE
Lawyers Are Now Making the Final
Drafts for Charter-ChicsEO Great
western May ne In.

NEW YORK, Jan. 15.-Ceorge ]. Gould,
according to the American. has ordered his
attorney to make anal draftD Of the charter
for the securities company under which he
is to collect all his railroad properties
east OF the Mississippi.
The company will be organized under
Pennsylvania laws. as Mr.. Gould believes
that by getting a charter in that state he
will be in a better position to hight the
Pennsylvania railroad.
The capital named in the charter will be
nominal, but there will be a clause author
izing its Increase. The FIRST move was to
take in the several small roads about
Pittsburg which form the entrance to that
city. AS the Wabash and other roads are
taken in from time to time the capital
will be increased in proportion-until, with
bonds, 1t reaches 5000, 900, 900.
There will be no underwriting syndicate,
as a mere exchange Of stock Is contem-
plated.
While there is no absolute statement from
an onhcial to that effect. it is intimated
the Chicago Great Western, the Buffalo,
Rochester & Plttsburg and the Wisconsin
Central will be found in the Gould COM
pany. Vice President ~Oppenheim Of the
Chicago Great Western sailed from London
Tuesday for New York, bearing the pur-
chased control of hat road for some
body, presumably Mr.. Gould.
As soon as the details of this eastern
company have all been announced the
securities company for the western Gould
roads will be incorporated. But, first, the
consent Of the Texas legislature Is wanted
to a consolidation OF the Gould properties
in that state. This application is now
before the legislature.
The Missouri Pacific will be the central
feature Of the western company. while
others will be the Texas Pacific. ST. Louis
& Southwestern, Iron Mountain, Denver &
Rio Grande, Rio Grande Western, Inter-
national G. Great Northern and other small
roads controlled by these.
1t is authoritatively denied that the
Goulds are buying Erie at present or that
they seek control OF that road.
The Times says that negotiations are
pending which will result. in all probable
ity, in the acquisition of a controlling in
terest In the Erie railroad by the Rock
Island interests.
Confirmation Of this statement has been
obtained from a reliable banking authority
from whom It is also learned that the firm
OF ). p. Morgan & Co. has no objection
to the acquisition Of the Erie by the Rock
Island, provided the price paid is high
enough to be an incentive for such a trans
action.
From this same authority comes the
statement that the Rock Island people are
anxious to secure an eastern outlet, and
that 1t is merely a question OF terms under
which the deal is to be concluded.
Benjamin P. Cheney, who is one of the
largest dealers in Santa Fe stocks and
bonds, and who is a stakeholder and d.
rector In several lesser western roads, in
GLIDING the st. Louis q San Francisco
has arrived here via Panama. In an in.
terview he said that he did not think the
Rock Island road was trying to get contro
Of the Santa Fe.
He would not be surprised to see the
completion Of the Stilwell road from Kan
sas City to Topolobampo, but could say
nothing definite about the extension o.
the st. Louis & San Francisco to this coast
The report that Rock Island Interests
have been negotiating with J. P. Morgan 4
Co. for the purchase Of the Erie railroad
was denied today by a member of Mr.
Morgan's Arm. 1t was stated that Their,
we're no negotiations and that Mr.. Morgan
had not seen reports of the Moore Interests
for some time.
SAN FRANCISCO, Jan 15.-The Wells
Fargo Express company has ordered III
agents to give the preference to the Pa,
cihc Express over all other express com.
panies in the routing OF through business
The Pacific Express has issued simila
instructions to all OF its agents. This 3
in pursuance Of a plan recently decide,
upon by e, H.. Hartman of New York.
The Southern Pacific is a large holder o
Wells-Fargo stock and Mr.. Hartman is
director in the latter and chairman Of it
executive committee. The Union Pacific
Mr.. Hartman and George Gould own tn
Pacific Express company.
While there is no consolidation Of OH
GERS, stock or finances, there Is to be
community Of business and the latter /
looked upon as the forerunner of an actua
consolidation. 1t is understood that >thi
combine will soon swallow the Denver
Rio Grande Express. on the road Of tn
same name, the latter being a Gould line