Mexico weekly ledger., 1904-09-08

en- Dy the United states congress to
the railroads. Bonds so secured to the
amount of $31, 1885, $40 were issued.
This was the beginning of the state
debt. The civil war came on. and all
railroad companies, except one, default
ed in payment of interest on the bonds.
One of the railroads was sold under the
administration of Gov. Hall, a demo-
crat, and brought the full amount due
the state. When the Republican party
came in power, the balance due from
this purchase, of about $4,000, was
Tor some unaccountabe reason wholly
released without any consideration to
the state. The other roads were sold
from time to time under the Republi-
can administration, bringing $6,131,-
295, leaving a balace of more than
$25,000,000 due the state. In other
words, this debt of $25, 000, 900 was
shifted from the railroads to the peo-
pie. As to whether there was any cor
ruption In these sales, in view of the
remarkable manner In which the as
sets, securing the bonds, dwindled
away, is a clear question. Our oppo-
nents claim that the railroads were
sold in the open market for the best
price obtainable, and they brought all
that they were worth. On the other
hand, Gov. Fletcher, a Republican, in
his inaugural address In January, 1865,
stated that the railroads securing the
outstanding bonds of the state ARE
ample security for the amounts adj
yanced to them respectively"
The Wabash railroad owed the state
$6,965, 900. In 1868 the Republican
legislature passed an act whereby this
debt was sold for 5000. 900 to a private
party. Comment on this transaction
is unnecessary.
The Iron Mountain railroad owed the
state about $7,0O0;000. Commission
ers were appointed by the proper au-
thorities to sell this road to pay the
amount. These commissioners reject
ed an offer of more than a million
dollars and finally sold the road to
one, Mckay, and others, for $3.50. 900.
The circumstances of this sale were
so scandalous that an investigation
was instituted by the legislature,
which developed the fact that Nc
Rays fortune at the time he bought
the railroad consisted of about one
thousand dollars in money, two mules
and a spring wagon. It also appeared
that three brothers of one of the COM
| u~ntcSinnaro mhA rasaaNol fhA hs-I1.
bids, were directly interested in the
purchase.
The Missouri Pacific owed the state
$10,7S0,000. According to a report of
a legislative committee, the road vas
ample security for the amount, but
the same legislature that adopted this
report passed an act relieving the Pa
cific railroad from payment of all but
5000. 900 of the indebtedness. giving
$5,780,000 of the states assets away
for nothing. The report of a COM
mlttee appointed by the board of d.
rectors of the Pacific railroad, which
was filed as an exhibit in the case of
Lamb and others against the Pacific
railroad and others, in the United
States circuit court at st. Louis, is
interesting in this connection. The
report Is as follows: OUR NEXT
MOVE WAS TO ENGAGE OR EN-
PLOY IN OUR INTEREST PERSONS
OF SUCH POLITICAL AFFTNITIES,
STANDING AND POWER WITH
THE DOMINANT PARTY IN THE
LEGISLATURE AS WOULD SOFTEN
DOWN OR REMOVE THE COPPER
HEAD CHARACTER OF OUR
BOARD AND ENABLE US TO GO
BEFORE THE PARTY ENDORSED
BY SOME HIGH IN THE FAITH.
THROUGH THEM WE WERE LET
INTO THE SECRET OF HOW
THINGS ARE SOMETIMES DONE,
WHEN OTHER METHODS ARE IN
EFFEC IUAL. IT WAS TERRIBLY
COSTLY FOR AN ORDINARY JOB,
BUT WE WE'RE GOING IN FOR THE
MILLIONS. THE SUM OF FIVE MIL
LION DOLLARS is THE PRICE, THE
STATE ABATING SIX MILLION
DOLLARS OF ITS CLAIM, 1T WAS
OBTAINED THROUGH OUR EXER-
TONS AND APPLIANCE AT A COST
TO THE COMPANY AND STOCK
HOLDERS OF $57,313.G0, ALREADY
PAID, AND $~134.S65.00 TO BE PAID.
THE WHOLE AGGREGAT1NG $780,
1850" This certainly bears all the
earmarks Of boodling,
The Frisco railroad owed the state
six and a half million. Commissioners
were appointed and the road sold for
81, 300, 900. Again the Republican legis-
lature became generous, and after the
payment of s325.OO0 it passed an act
kindly relieving the purchasers of
making further payments.
These are not mere surmises, but
actual facts from legislative journals
and court records. This is the true
story of how, under Democratic rule,
the state loaned It's bonds, taking
mortgages on the railroads and lands
as security, and Of how the amount
due the state was reduced" under
Republican rule. When the Republi-
can managers deny that there "a cor
ruption in this marvellous system of
inanceering, whereby the amount due
the state was reduced, we can over
look that, although the records speak
for themselves on this point, 1t does
seem, however, supremely ridiculous