CPRR Discussion Group - Central Pacific Railroad Photographic History Museum

Saturday, December 16, 2006

United States Pacific Railway Commission, 1887 Report

Many of the volumes of the United States Pacific Railway Commission, 1887 Report are now accessible online, courtesy of the Google Library Project and the Stanford University Library:

... [Report ... of the United States Pacific Railway Commission and Testimony Taken by the... By United States Pacific Railway Commission

"[pt. I] Message from the President of the United States transmitting the reports of the ... commission. Report of the commission and of the minority commissioner. –pt. 2-9 (vol. I-VIII) Testimony.–pt. 10 (vol. IX) Alphabetical, analytical and topical index of testimony, reports of accountants and engineer, and of the commissioners ... by Edward C. Manners."

7 Comments:

CPRR Discussion Group said...: From: "Wendell Huffman" wwhuffma@clan.lib.nv.us

If federal bonds were granted in $1000 units, how in the world can the Central Pacific have received bonds with a face value of $25,885,120? Is that figure given as US subsidy the face value of the bonds or the amount of cash the railroad realized in selling the bonds at a discount?

—Wendell; 12/26/2006 2:18 PM
CPRR Discussion Group said...: From: "Wendell Huffman" wwhuffma@clan.lib.nv.us
Subject: CP repayment to government

In the discussion pages reference is made to Tutorow's statement that in 1898 a commission was formed which determined that the railroad was to repay $58,812,715.48, which amount was paid off in 1909.

What is not clear from the passage cited in the discussion is whether this was the total amount repaid to the government by the CPRR from commencement, or whether this was merely the amount remaining to be repaid as of 1898.

The number seems too low to be merely the latter. It would be interesting to know how much the company paid in total in repaying those bonds.

—Wendell; 12/26/2006 2:24 PM
CPRR Discussion Group said...: From: "Wendell Huffman" wwhuffma@clan.lib.nv.us

Okay, I see that on 2 Jan 1872 the government issued the CP $4,120 in bonds. This is where the odd amount comes from. Can anyone explain what this was all about? It must have been some kind of settlement as it was the last issuance of bonds, well after the otherwise "final" bond issue of December 1869.

Someone in the discussion asked whether the amount of bonds issued truly stepped down from the $48,000 per mile 150 miles east of Arcade creek. The answer could probably be derived from that table if one could correlate date of issue with sections of track for which they were issued.

—Wendell; 12/26/2006 2:27 PM
CPRR Discussion Group said...: 250th Congress, ) SENATE. Ex. Doc. 51,
1st Session. ( Part 10.
ALPHABETICAL, ANALYTICAL, AND TOPICAL
INDEX
TESTIMONY, OF ACCOUNTANTS AND ENGINEER,
AND OF THE
COMMISSIONERS OF THE UNITED STATES PACIFIC
RAILWAY COMMISSION.
VOLUME IX.
Prepared, under the direction of the Commission,
BY
EDWARD C. MANNERS,
New York.
WASHINGTON:
GOVERNMENT PRINTING OFFICE
1888.
LIBRARY
OF THE
LEANO STANFORD JUNIOR UNIVERSITY. ,

ALPHABETICAL INDEX OF WITNESSES.
Compiled by EDWARD C. MANNERS, New York.
5397
ALPHABETICAL INDEX.
Carpenter, Mason B., 1909-1915. Carpentier, Horace W.. 3233-3242. Chittenden, Lucius E., 3936-3956; 4002-
4006.
Choate, Joseph K., 1895-1904. Clark, Charles, 2108-2111. Clark, D. O., 1447-1449. Clark, James Maxwell, 1824-1834. Cleland, Jonas M., 2276-2279. Clement, L. M., 2576-2578, 3202-3233,
3607.
Cliff, John T., 2039-2043, 2048, 2049. Cobb, Moses G., 3243-3254. Cohen, Alfred A., 2381-2406, 2810, 3113,
3114, 3138, 3429, 3430, 3434-3437, 3471-
3488, 3546, 3547, 3692-3696, 3757-3759,
3855, 3996-4006, 4037-4039. Conklin, Jeremiah C, 2196-2198. Connor, Washington E., 401-403. Cooper, Kemp G., 1728-1732. Cornforth, Joseph F., 1893-1895, 1923-
1925.
Crawford, George K, 1303-1317. Crocker, Charles, 3639-3695. Crocker, Charles F., 2989-3026, 3111-3113. Curtis, N. Green, 3027-3036.
D.
Davis, Alfred E., 3620-3626.
Davis, James W., 1080-1088.
Davis, Nathaniel R., 2091-2094.
Day, Henry, 4007-4021.
Dee, John M., 2217-2219, 2224-2226.
Dey, Peter A., 1425-1430.
Dexter, F. Gordon, 699-737.
Dickey, John J., 1454-1457.
Dillon, John P., 114, 115, 117, 182-195, 236, 248, 253, 256, 373-375, 382, 416, 457, 477, 484, 543-546, 561-564, 607, 608, 612, 613, 615, 629, 632-636, 670, 677, 692, 707, 715-721, 731, 736, 752, 817, 823-845, 852, 862-872, 3874, 3875, 3878-3885, 3085-3995, 4000, 4001, 4029, 4139, 4140, 4144-4146.
Dillon, Sidney, 195-219.
Doddridge, W,B,, 1562-1566.
Dodge, Grenville M., 3790-3824.
Douty, Frank S., 2671-2710, 2724-2727, 3254-3261, 3398-3401, 3414-3420, 3626, 3627.
Doyle, Thomas IT., 1553-1556.
Draper, George A., 2094, 2095.
5399
A.
Abbott, O. A., 1486-1491.
Adams, Charles Francis, 43-117, 604-615,
625-627, 638-644, 852, 853,947-952, 971-
999, 1834, 1989-2004, 2170, 2171, 4155-
4163, 4302, 4303. Adams, Louis B., 2212-2217. Alexander, Edward Porter, 846-862, 4304,
4305.
Allen, Edward H., 1649-1651. Ames, Frederick L., 645-699, 936-947. Ames, Oliver, 801-818. Anderson, II. J., 5297-5300, 5351-5394. Andrews, Edward L.t 257, 258. Anthony, Daniel R., 1022-1624. Arents, George, 265-267. Armstrong, Francis, 2201-2202. Atkins, Elisha, 749-78*2.
B.
Bailey, George W., 2032-2038.
Bailey, William N., 2065, 2066.
Baker, Ezra H., 737-749.
Barriger, D. S., 1150-1169.
Barton, Guy C, 1088-1104.
Bates, D. H., 3876, 3877.
Bergin, T. 8., 2491, 2655, 2668, 2670.
Berker, William, 1547-1549.
Blair, John I., 4039-4088.
Boettcher, Charles, 2029-2032.
Bond, William, 258-265.
Boruck, Marcus D., 3420-3429.
Bradley, John J., 2044-2048, 2049, 2050,
2061'.
Bristol, George E., 2061, 2062. Brown, Arthur, 2581, 2582, 3600-3605. Brown, Samuel M., 2024-2028. Brown, W. K, 2893-2916, 2977-2988. Burnell, James M., 1727, 1728. Burnham, Leavitt, 1237-1241. Burton, Edward F., 1884-1888,1928, 1929.
C.
Caldwell, Alexander, 1580-1583. Calef, Amos II., 285-304, 592-597. Calhoun, William, 4799-5257. Came, Virgil G., 1835-1839. Cammack, Addison, 277-282. Campbell, Benjamin, 3633-3638. Cambpell, John, 1968-1976, 1981.
5400
U. S. PACIFIC RAILWAY COMMISSION.
Humphrey, James, 1656-1671. Huntington, Collis P., 8-43; 3696-3790;
4021-4037; 4153, 4154; 40:22-4037; 4153,
4154.
J.
Jackson, John Putnam, 3627-3629, 3853,
3854. Johnston, J. E., 4313-4316, 4402, 4403.
K.
Kay, David, 2241, 2242.
Keene, James R., 400,401.
Keisel, Frederick G., 2232-2238.
Kimball, Thomas L., 1015-1018, 1C35, 1036, 1010-1080, 1122-1150, 1166, 1167, 1174-1207,1300-1414, 1436-1446, 1467-1471.
Kirkman, Marshall M., 2325-2330.
Klink, George T., 3201, 3202.
Kramer, Carl, 1474-1477.
E.
Eckert, Thomas T., 282-285. Eddy, Edward, 1795-1815. Eddy, J. M., 1268-1272,1275-1293. Evans, John, 1849-1862. Ewing Thomas, 3849-3852.
P.
Felker, William B., 1949-1963, 1979,1980.
Ferguson, J. H., 2005-2009.
Fillmore, J. A., 2546, 2547.
Fitch, William F., 2258-2265, 2272.
Flanagan, William M., 1329-1333.
Flahrer, Andrew, 1540-1543.
Fremont, John Charles, 3845-3849.
O.
Gage, S.T., 3261-3270, 3271-3288. Garrett, William H., 1624-1639. Gates, I. E., 3860-3870,3934-3936. Gerard, Leander, 1477-1482. Gere, Charles H., 1506-1510. Glass, W.S., 1550-1552. Glick, G.W., 1556-1561. Goble, Milton H., 1247-1250,1253-1257. Goodridge, Henry, 1966-1968. Goodwin, Almon, 242-245. - Goodwin, C. C, 2202-2207. Gould, Jay, 446-592.
Lansing, G.L., 4513-4517. Lau, H.P., 1539, 154U. Lett, Henry C, 2050-2061. Limberg, Charles T., 2009-2017. Lock wood, Frederick, 186G-1868. Lonergan, 1546, 1547. Loveland, William A. II., 1740-1749,1865, 1866.
M.
McAllaster, Benjamin, 1019-1027.
McBride, Joseph C, 1522-1527.
McDowell, Alexander J., 5259-5297.
McShane, John A., 1430-1432.
Manchester, John R., 1293-1300.
Martin, John H., 1915-1922, 1981.
Mason, O. P., 1510-1519.
Mead, A. J., 1G48, 1049.
Middledith, James, 999-1011, 3886-3891.
Miller, Edward H., jr., 2333-2380, 2407-2109, 2428, 2429, 2452-2460, 2186, 2541, 2547-2558, 2583-2598, 2612-2615, 2806, 3036-3088, 3199, 3438-3471, 3551-3572, 4308, 4309.
Miller, Elisha S., 3026, 3027.
Miller, George L., 135:5-1360.
Miller, John, 2875-2892.
Miller, William H., 1G51-1G5G.
Mills, Darius O., 3488-3500.
Mills, William II., 2409-2428, 2558-2570, 3597-3601.
Mink, Oliver W., 77, 305-319, 389, 597-603,608-644, 676,680,711,78*2-801, H31, 839. 872-935, 952-960, 1029, 1068, 111G-1119, 1149, 1150, 1166, 1173, 1191-11()6, 1198, 111)9, 1201, 1207, 1216, 1217, 1*220-1223, 1257, 1324-1326, 1328, 1372, 1373, 1:590, 1407, 142.J, 1424, 14:Jf), 1457, 1472, 30.16-3984, 4120, 4152.
Mobley, Seth P., 1503-1503.
Moore, H. Miles, 1583-1585.
f J)-jGrant, James B., 1815-1820.
ray, Richard, 3572-3583. Gsantner, Anton, 1432-1433. Gunn, James O'B., 3091-3103. Gurley, W. F., 1257-1268.
H.
Haar, John H., 403-409.
Haley, John J., 3596-3597.
Ham, James M., 219-242.
Hanlon, Frank P., 1272-1275, 1317-1329.
Hargreaves, Alfred E., 1534-1535.
Harkins, John, 1725-1727.
Harmon, John B., 3233.
Hassler, Charles W., 409 -427.
Hayes, George R. B., 3538-3546.
Hebard, Fredericks., 2102-2104.
Hedde, Frederick, 1496-1503.
Hegel, P., 1482-1484.
Higgins, H. I., 2017-2022, 2028, 2029.
Hill, F. C, 2265-2272.
Hill, Nathaniel P., 1749-1779, 1820-1823,
1862, 1863.
Himebaugh, P. C, 1300-1303. Hinckley, Isaac, 4307-4308. Holmes, ArtemasH., 117-182, 267-276,
351, 364, 427, 430, 435, 462, 463, 515,
533-535, 549, 552, 569, 669. Hood, William, 2579, 2580, 3594-3596. Howard, Mason W., 1904-1909. Hughitt, Marvin, 2247-2258, 2280-2321,
4293, 4294. Hulaniski, Edmund T., 2238-2241.
5401
ALPHABETICAL INDEX.
Smith, N. T., 3592-3594. Smith, Sylvester T., 1722-1725. Snell, John W., 2190-2194. Sparks, W. A. J., 4250-4258. Spaulding, Mahlon D., 818-822. Stanford, Leland, 2460-2671, 2729-2747,
2750-2837, 2917-2951, 2958, 3160, 3607-
3620, 4088.
Stevens, Richard F., 3501-3536,4509-4798. Stevens, Sidney, 2219-2223. Stilling, Edward, 1575-1580. Stone, James C, 1595-1622. Stow, William W., 3410-3411. Strobridge, J. H., 2580, 2581, 3103-3111,
3139-3160. Strong, Daniel W., 2838-2875, 2916, 2917,
2959-2977. Stubbs, J. C, 2570-2575, 2598-2611, 3288-
3395.
Moore, William A., 1552-1553. Morgan, Richard Price, jr., 4437-450/. Morosini, Giovanni P., 320-328. Mullen, John K., 1888-1892.
Nagle, Erastus, 2095-2097. Neely, Shaw F., 156&-1573. Nelson, Alfred H., 2243,2244. Nicholas, A. Perry, 1104,1122. Nichols, Effingham H., 4089-4152. Niles, Nathaniel, 328-339. North, James C, 1473, 1474. Norwood, Thomas M., 3892-3900, 3933, 3984.
O.
Ott, F. W., 2115-2118. P.
Patterson, A. H., 2062-2065.
Patterson, Thomas M., 1868-1877.
Paxton, William A., 1226-1237,1242-1247.
Peery, David If., 2208-2212.
Perine, P.L., 1250-1252.
Perkins, George D., 2273-2276.
Perrenoud, G. F., 5303-5350.
Platt, W.H., 1492-1496.
Rummer, Eli, 1537-1539.
Pondir, John, 437-446.
Popper, Charles, 2174-2176.
Poppleton, A. J., 1449-1454, 1459-1467.
Potter, Charles N., 2104-2105.
Potter, T. J., 3871-3873.
Price, William H., 1981-1989.
R.
Ransdell, William T., 1485-1486.
Raymond, Isaac M., 1527-1534.
Reel, Alexander H., 2097-2102.
Reiff,J.C, 3901-3933.
Riner, C. W.. 2079, 2080, 2085, 2086. -Riter, William W., 2194-2196, 2198-2201.
Root, W. H., 2105-2107, 2112-2115.
* Rosenbaum, Albert S., 215-256.
J i RMewater, Edward, 1333-1355,1414-1423.
- /-HTObidge, Robert II., 1925-1929,1936-1941.
/ Ryan, Emmons B., 2445-2451, 2507-2517.
T.
Tebbets, J. S., 1639-1648.
Teller, Henry M., 1839-1849, 1877-1884,
1892, 1977-1979.
Teller, Willard, 1929-1936, 2004, 2005. Tevis, Lloyd, 3114-3138. Thurston, John M., 3824-3845. Todd, W. M., 1585-1588. Towne, Alban N., 2542-2546, 3401-3409,
3584-3592.
U.
Usher, John P., 1672-1716. Utt, John A., 1535-1537.
V.
Villard, Henry, 427-436. W.
Wallace, George Y., 2163, 2164, 2177-2189. Walsh, John H., 1187, 1188, 1208, 1941,
1942, 2452, 3956.
Warren, Francis E., 2066-2079, 2090. Watterson, Henry D., 1543-1545. Wells. Charles, 1169-1173. Wentz, I. C, 1545-1547. West, Joseph A., 2227-2231. Wheeler, Charles, 1732-1739,1779-1795. White, Horace, 3856-3860. Wilder, Edward, 1566-1568. Willard, William A., 1863-1865. Wilson, James H., 4305-4307. Woods, De Witt S., 1963-1966. Wright, Edward C, 2429-2444, 3605,3606.
Y.
Yost, Daniel Z., 2711-2724, 2892, 3412,
3413. Young, Erastus, 1027-1038, 1208-1226,
1319-1322, 1325, 1326,1433-1435, 1457-
1459, 1466, 1470, 1471.
Sage, Russell, 339-400. Sawyer, A. J., 1519-1522. Schindler, Henry, 1573-1575. Sharp, John, 2154-2169, 2171-2173. Shelby, Peter P., 2118-2154, 2177, 2189,
2190, 2223, 2224, 2231. Sherwin, Albert, 2022-2024. Slack, E. A., 2080-2085. Smith, Edmund M., 1942-1949. Smith, Leonard T., 1588-1595, 1719-1722. Smith, Marshall, 2086-2090.
-
ANALYTICAL INDEX
OP
TESTIMONY, AND REPORTS OF ACCOUNTANTS AND ENGINEER,
OF THE
UNITED STATES PACIFIC RAILWAY COMMISSION,
ARRANGED IN
THE ALPHABETICAL ORDER OF THE NAMES OF THE WITNESSES.
Compiled nv EDWARD C. MANNERS, New York.
5403
ANALYTICAL INDEX.
Abbott, O. A., testimony of:
Lieutenant-governor of Nebraska in 1876; railroad facilities afforded, good; compet ing roads maintain rates, 1487. Grain elevators, 1487, 1488. Participation by railroad in elections; rumors as to influencing legislation, 1488. Public senti ment as to management, 1488, 1489. Voluntary reduction in rates; city and county aid to Saint Joseph and Grand Island, 1489,1490. Knows of no rebates or special rates; Union Pacific representatives in coal trade, 1490. All coal dealers treated equally, 1490,1491. Plan of settlement; divided public senti ment; witness in favor of extension, even if certain debt would not be paid, 1491.
Adams, Charles Francis, testimony of:
President of Union Pacific since June 17,1884; had been Government director and general director, 43. Intimately acquainted with its affairs since May, 1884; only slight knowledge of its affairs prior to that time; Kansas Pacific consoli dation; charges against Gould, Dillon, Ames, and others with reference thereto, 44. Financial condition of branch lines and claims against individuals by rea son of circumstances connected with their origin; Union Pacific no power to build branches; organization of branches, 45. Details of construction of Denver and South Park Branch, 46. Transfer of same by Governor Evans to Union Pacific through Mr. Gould; its chief source of revenue cutoff when collapse came in mining business, 47. Not earning operating expenses now; a case of the illusory values of that time; Union Pacific offered half a million bonus for the bargain; its future not hopeless, 48. A mineral road ; gives control Colorado business; a burden for last two years; consideration for Denver and South Park paid in money, not in Union Pacific stock, 49. Details of ownership of its stock, 50. Branches of Denver and South Park to Leadville and Gunnison, together 100 miles; consolidated bonds issued to Union Pacific for construction; method of construction of branch lines; Union Pacific construction department contracts with responsible parties, 51. Retention of this branch of doubtful ad vantage to the parent company; the Nevada Central, on the Central Pacific, be?tween Austin and Battle Mountain, 90 miles long, thrown overboard; stock and income bonds acquired in 1882; 52. The cost to Union Pacific, 53. Mining railroads a species of railroad gambling; purchase price honestly paid over; none of it went to any one connected with Union Pacific; Central Branch. Union Pacific, 54. Operated by Missouri Pacific and acquired through Gould; Gould's plan of development; Central Branch, Union Pacific, bought by Gould as part of this plan; located between Kansas Pacific and Union Pacific, 55. Character of business done, agricultural; very profitable; lease to Missouri Pacific over twenty-three years to run; its terms; none of the parties interested in the sale connected with Union Pacific, 56. Increase of stock of Union Pacific by consoli dation; subsequent increase: new bond issues of Central Branch; work done on extensions by contract.' 57. These construction bonds sold; Council Bluffs Street Railway; connects depot with town; thinks it will pay; "a good thing to sell;" why purchased, 58. Denver, Marshall and Boulder Railway; Denver to Mar shall, 30 miles; coal business; acquired by witness, bonds purchased at 35: road reorganized. Leaven worth, Topeka and Southwestern, from Leaven worth to To-peka; bought in 1882, 59. Purchased through Dillon; 50 miles long; agricult ural business; has paid operating expenses; was u forced " upon Union Pacific; coupons a joint guaranty with the Atehison, 60. Manhattan, Alma and Bur-lingame Railway; owned jointly with the Atehison; 56 miles long; agricultural road; pays operating expenses, but not interest on bonds, 61; an important connection; how paid for. Manhattan and Blue Valley Railway, a very im portant link, connects Kansas Pacific with Union Pacific, 62. Forty miles long, from Manhattan to Garrison; purchased by Union Pacific before completion;
5405
5406 U. S. PACIFIC RAILWAY COMMISSION.
Adams, Charles Francis, testimony ofContinued.
both through and local business; indispensable; how built. 63. Omaha Belt Railway; now property of Missouri Pacific; litigation with that company, 64. Saint Joseph and Western, now part of Saint Joseph and Grand Island; how acquired, 64, 65. Agricultural business; stock and bonds bought in open market by Dillon and Gould for account Union Pacific; prices paid; nothing unfair; road has paid; company reorganized; bonds sold; stock still held, 65. Its future value problematical; earns surplus over interest aud charges; no dividends on stock; Salina, Lincoln and Western Railway, 50 miles long, built in usual way, cost $14,0004)er mile; Kansas Pacific supplies equipment, 66. South Park and Leadville Short Line; how acquired; Utah and Nevada Railway; Salt Lake to Stockton, via Garfield; remunerative, 67. Should be retained; recent dividend. Utah Central Railway, from Ogden to Salt Lake City; extended to Frisco; not profitable, owing to failure of Horn Silver mines and competition of Denver and Rio Grande, 68. Now earns operating expenses and interest on bonds; business, agricultural, grazing, and mineral; will not be a burden; furnishes valuable through traffic, 69. Wahsatch and Jordan Valley Railroad has been wound up; Colorado Central; Denver to Cheyenne; furnishing long-haul business; Union Pacific owns nearly all the bonds; varied nature of the business, 70. Two branches built by construction department; Col orado Central of Wyoming; built by Gould to force a consolidation with Denver Pacific; Gould's first connection with Union Pacific, 71. Present directors of Union Pacific who were such in the beginning, 71, 72. Echo and Park City Railway; a siding to the Ontario mine; has earned its cost fifty times over, 72. Its great value as a feeder; branches of the Union Pacific at west end more important than those at east end; Georgetown, Breckenridge and Lead ville Railroad; "the loop line;" an engineering curiosity; mineral business; also pleasure travel, 73. Its value as a feeder to the-Colorado Central; how a branch road whose whole traffic is less than operating expenses may be an advantage; Golden, Boulder and Caribou, merged in the Denver, Boulder and Marshall; Greeley, Salt Lake, and Pacific, 74. From Greeley to stone quarries at Stout; length 54 miles; constant deficit; very valuable feeder; haul is short, profit goes to main line; stone department of Union Pacific at Stout; not a distinct com pany; of great value; stone delivered in Mississippi Valley; Union Pacific de?rives haul over entire line, 75. Junction City and Fort Kearney; agricultural feeder to Kansas Pacific; unquestionably valuable; Kansas Central Railway; road runs west from Leavenworth; narrow gauge; at present a very poor piece of property; practice as to interest account with subsidiary roads, 76. Inter est on bonds paid until this year; payment of interest on outstanding bonds has been stopped; Lawrence and Emporia, 25 miles long, Lawrence to Carbondale; mines worked out; road running at loss; why operated, 77, 78. Montana Railway; branch to the Anaconda smelting works; very profitable; no bonds; Union Pacific owns all stock; "the narrow gauge a first-class nuisance," 78. Comparison of narrow and standard gauges; still 1,500 miles of narrow gauge on Union Pacific; Omaha and Republican Valley; a system of branches in Ne braska, feeders of Union Pacific; about 750 miles in all; large increase of earn ings in 1884; good future; acquired in regular way, 79. ? Marysville and Blue Valley, the liDk between Union and Kansas divisions; original cost of con struction of Union Pacific, 80. Investments in branch lines from net earnings; several millions a year; why Union Pacific does not issue its own securities against branch lines; losses on branches fall on Union Pacific; how they are a profit, 81. Future of agricultural branches more certain than of mining branches; sinking funds; entire branch system worth $5,000,000 a year to Union Pacific, apart from the accounts of the branches themselves; investments in other enter prises; coal mines, elevators, exposition buildings, soda works, 82. Occidental and Oriental Steam-ship Company a source of profit; Central Pacific owns half, and Union Pacific owns half; witness opposed to these miscellaneous invest ments; on the whole, they have been profitable: payments to Government under 5 per cent, rule, paid in transportation; award of Court of Claims; the $900,-000 item, 83. Interest of officers in other enterprises; an employe sometimes a nominal contractor; investment of land-grant mortgage sinking-fund; proceeds of sales of land, how disposed of, 84. Last dividend, April, 1884; various mis fortunes in 1883; $4,000,000 less business in one year; net earnings for 1885 and 1886 used to pay floating debt, or for construction; $16,000,000 paid for improvement or construction since witness became president, half from net earnings, half from sale of securities, 85. Decrease of assets due to sale of se curities, 86. Method of stating floating debt, 87. Hostile local legislation in
ANALYTICAL INDEX. 5407
Adams, Charles Feancis, testimony ofContinued.
Nebraska and Kansas; arbitrary cutting down of rates; high taxes; land grants to competing lines, 88. Omaha, Niobrara, and Black Hills Railroad; agricult ural, 89. Profitable in connection with main line; now part of Omaha and Republican Valley system; Oregon Short Line, from Granger to Hunlington, con nection over Oregon Railway and Navigation Company with Portland, 90. Or ganization and construction; why built; plan for building road, 91. Length, 610 miles; character of country traversed; begun in 1880, operated in 1882; total cost of construction and equipment, $25,000 a mile, 92. Bond and stock issues, $25,000 each per mile; Union Pacific guarantied interest on bonds; one-half the stock now in Union Pacific treasury, other half of stock went with bonds, no additional payment; the great value of Oregon Short Line to Union Pacific, 93, 94. Miscellaneous character of business done; Idaho most promising undevel oped field the Union Pacific now has; comparison between Oregon Short Line and California and Oregon, 94, 95. Guaranty of interest by Union Pacific; advised by counsel that consent of Congress unnecessary, 95. Apparent deficit on interest more than made up by the profits on derived business, 96. Union Pacific has haul of 860 miles on Oregon Short Lino business; long haul busi ness more profitable than any other; railroad operation described; whether at certain rates movement of freight involves a loss, 97. Rates on derived busi ness, whether remunerative; why branch lines can not be left to independent ' development, 98. Branches only profitable in connection with main line; Ore gon Short Line increases net earnings of aided portion of Union Pacific; without branches Government's 25 per cent, would be reduced one-half; lease of Ore gon Navigation Company to Oregon Short Line; rental, $2,200,000 a year, 99. Will be beneficial to the public and to Union Pacific; possible results to Union Pacific, 100. Salina and South Western Railroad; in Kansas from Salina to McPherson, 25 miles; an agricultural feeder; built in 1878; has more than paid operating expenses; ownership of securities; a valuable adjunct to mainline; Salt Lake and Western; 57 miles from Ironton to Silver City, mainly mineral region, 101. Its deficit; the Solomon Railroad an agricultural road in Kansas; has paid operating expenses; very desirable; Utahand Northern, from Ogden to Garrison on Northern Pacific, 466 miles, built by Mormons, 102. Union Pacific's interest in 1875; its financial history; character ofcoun try traversed; how the busi ness is handled, 103,104. Large business; valuable feeder; constructive mileage; what it is, 104. Allowance of, by Union Pacific to branch roads; arrangement ap proved by Government directors; allowance of by Eastern roads to Union Pacific; effect on Government's 25 per cent., 105. Benefits to branch lines and to main line rates of freight, by whom fixed; special rates, 106. None since interstate law; discrimination in rates, 107. Between localities; neither discrimination in rates nor diversion of earnings in favor of branch lines, 108. Constructive mile age universal; guaranties made without consent of Congress of Saint Joseph and Grand Island bonds; also of collateral trust bonds of 1879; pools; transconti nental pool, membership, 109. Methods of division in pools; basis, the natural flow of the business, 110. Pool paid Pacific Mail $80,000 a month; comparison of rail and water transportation; Union Pacific's proportion of the $80,000; the pool an advantage to Union Pacific and to the Government, 111, 112. After disruption of pool road carried 35 per cent, heavier tonnage for 26 per cent, less money; reference for details to page 26 of report for 1886; 112. Pool settle?ments paid before reporting gross earnings; income account, how made up; dis tinction between general income and earnings; the Government's percentage computed on net earnings, 113. Not on net income; income from sales of land goes to trustees; law defines net earnings; why proceeds of land free from Gov ernment lien, 114, 115. Payment of junior liens, policy of road; the land bonds, 115. Mode of making payments to Government, 116. Branches en titled to constructive mileage and their allowances, 604. Method of fixing constructive mileage, based on dickering, 605. Policy of Union Pacific approved by Government directors, 606. Government directors admitted to board of con solidated company, without protest, 607. Question of right of admission raised by Government Director Niles, 608. No way of estimating amount charged off from main line to branches, under constructive mileage, prior to January 1, 1887; settlements of total amounts of divisions, 611. Effect of constructive mileage under Thurmau act, 612. Favors paying a gross amount yearly, 612, 614.. The Government a gainer by constructive-mileage rule. Appalling num ber of way-bills, etc., daily, 613. " Net earnings," the original source of diffi culty, 614. Allowance of constructive mileage to branch lines never intended to diminish payments under Thurman act, 615. Constructive mileage a true
5408 U. S. PACIFIC RAILWAY COMMISSION.
Adams, Chables Fbancis, testimony ofContinued.
principle for the proper conduct of a railroad, 638, 639. Branch-line business the most profitable business done by main line, 640. How amount of construct ive mileage charged off to branch lines might be approximated, 641. How Thurman act might be defeated by constructive mileage allowance. Detailed statement of cost of freight train; most profitable business, long haul without handling, 642. Discussion as to constructive mileage; rebates, 642, 643, 644. Explanation of certain vouchers; the bureau af information; drafts for services in the quo vsarramto proceedings, 947, 948. Payment to E. L. Andrews; to John S. Blair, 948. To H. G. Wood; to W. M. Jones; to E. R. Meade; to J. M. Thurston, 949. Other secret-service vouchers, 948, 949, 950. Alleged pay ment to Theophilus French; hisservices; letters from him, 950, 951, 952. The consolidation of 1880; 971. Comparison between Kansas Pacific and Union Pacific earning powers, 971, 972. Their relative capacity now, not one to two, but about two to three; table showing their earnings and expenses for years 1879-1886; 972. Terms of consolidation; its advantages; how the securities were commuted, 973. Results have justified the consolidation; a manifest service to the community; favorable effect on Government's security, 974. Propriety of action of directors, including Mr. Gould, 975. Witness refers only to actual financial results; value of branch lines, how properly estimated; Echo and Park City, deficit last year about $30,000; constructive mileage allowance, two to one; Union Pacific had haul of 1,000 miles on interchanged business; this business netted $250,000 to Union Pacific in 1836; 976, 977. Oregon Short Line earned for Union Pacific through interchanged business in 1886 $500,000 over its deficit on bonded interest, 978, 979. Necessity of fol lowing established lines of business; '4 arbitraries,'1979. Government about $100,000 a year better off through constructive mileage; cash payments on stock of Union Pacific, 980. The Government the greatest beneficiary.from construction of Pacific roads, 981. Their construction the solution of trans continental problem, 981, 982. Statements showing amount saved to Gov ernment through construction of Union Pacific, 982, 93.1. In donating lands Government acted only on usual business policy, 93.5, 1)3(5. Never expected repayment of its debt; "only the Government threatens the security of the Gov ernment debt," 987, 988. Annoyance caused by relations with Government; unfavorable action of the Thurman act, 983. Retention of moneys by the Gov ernment unfavorable to company; action of the Government a greater disadvan tage than competition, 939. Proposed branch lines; Denver and South Park negotiation again; proposed extensions in Wyoming, Idaho, and Colorado, 990, 991. Would not continue in partnership with Government; would pay $35,-000,000 to be released, 991. Letter to Secretary of Interior, dated March 4,1886; 991, 993. Willing to be accountable for deb Is, but must be free to manage busi ness in business way, 99/?. Market value of the securities; Denver and South Park foreclosure expected, 994. Concerning plan of settlement; independence necessary; fixed annual payment or compromise for cash, 9'Jo, 996. Different basis of settlement for Central and Union Paciiic; Government lien more secure on Union than on Central, 996. How Union Pacific *' harassed'' by Congress, 997, 998, 999. Reply to Senator Hill's charge as to witness's interest in smelting works; owns only 65 shares Kansas City Smelting Company stock; its value pros pective, 1834; complaints of the Marshall mine; Union Pacific decides to sell its mining interests, 1989. Sale of Marshall mine; Marshall Mining Company to fur nish coal at cost; rebate given on remaining output, 1990. Other mines to receive same terms, under like circumstances, 1990,1991. Union Pacific in no way con nected with any mining business; claim of Marshall mine for damages, 1991. Traffic arrangements with other mines, 1991, 1992. Willing to make same rates with all mines; this not generally understood by m'ners; what affected other mines, 1992. Amount of rebates to Marshall Mining Company; terms of the original contract still maintained, 1993. Relations of Union Pacific to the legislature; counsel employed to represent its interests, 1994. The sena torial contest, 1994, 1995. Names of counsel before the legislature; concern ing their expenses, 1995. Mr. Williams's vouchers, 1995, 1996, Politics not the business of the company; duties of the president of the company, 1996. System of railway rebates, i99G, 1997. Rebates to smelting companies, 1997. Applications of smelting companies for rebates, 1997, 1998. Referred to gen eral traffic manager; }9p8. Reasons why the application was refused, 1998. Publicity a feature or* successful railroad management; why not applied; effect of interstate commerce law, 1999. Rates are now made public;, 1999,, 2000. Reforms must be gradual and general, 2000. Management of the Den-
ANALYTICAL INDEX. 5409
Adams, Charles Francis, testimony of Continued.
ver and South Park, 2000, 2001. The building of an independent line to Lead-ville an error, 2001. Alleged receipt of $700,000 or $800,000 a year from Denver and Rio Grande; pooling contracts, 2001, 2002. Interstate commerce law affects Union Pacific less than other roads, 2002. The pool system is broken up, 2003. The difference between a pool and an agreement to maintain rates, 2003. The weak point in pools, 2003, 2001. Denial of nepotism; Mr. Hinkley and the soda works, 2170, 2171. Points for consideration, per letter to Com mission dated October 15,1887; 4155-4163. Copy letter of witness to Commis sion dated November 21, 1887, as to retirement of $650,000 funded-interest bonds of the Central Branch, 4288. Copy his circular letter of November 21, 1887, asking expert opinion as to profit derived by Union Pacific from through traffic coming from branch lines, 4302, 4303.
Adams, Louis B., testimony of:
Business transactions with Union Pacific, 2212, 2213. Difficulties in shipping salt; Lyman & Wallace favored by Union Pacific, 2213. Had to sell out to Lyman & Wallace, 2213, 2214. Could not compete, 2214. Ineffectually fighting Lyman & Wallace, 2214, 2215. Would handle salt for nothing to get a show ; under sold half a dollar, 2215. Extent of salt traffic, 2215, 2216. Who shared in the profits of Lyman & Wallace ; was there a rebate on salt, 2216. Negotiations with Lyman & Wallace, 2216, 2217. Discrimination in the grain business, 2217.
Alexander, Edward Porter, testimony of:
A Government director of Union Pacific, familiar with its affairs, 846. Relation of branches to main line, 847. Net earnings from branch-line system, 847, 848. Method of division between branches and main line, 848, 849. Principles of constructive mileage, 849, 850. How it could become an abuse, 850, 851. Bearing of constructive mileage on Government's 25 per cent.; reasonableness of constructive mileage allowances, 851. Non-supporting branches of Union Pacific; Denver and South Park; necessity of branch lines to Union Pacific; the actual salvation of the road, 852. New branches suggested, 852, 853. From Fort Steele to Dillon and in Idaho and Wyoming, 852. Desirableness of ad ditional lines suggested in report to Government, 853, 854. Is freight diverted by Central Pacific from Union Pacific to Southern Pacific; plan of settlement between Government and Union Pacific, 854. Suggestions in report to Gov ernment, 854, 855. Additional security to the Government; deposit of bonds and stocks of branch lines as collateral security, 855. A fixed annual pay ment suggested; company could afford $1,800,000 a year; present value of the debt about $53,000,000, 856.. Period of extension suggested; seventy years, perhaps less; possibility of increased annual payments, 857. Consequences arising upon failure to pay; the management of the road should be untram-meled, 858. The company must occupy its territory to be successful; rail road experience of witness; constructive mileage allowances, 859. Echo and Park City allowances ridiculously small, 859, 860. Injustice of the allowance to the Denver and South Park; should be higher, 860. Allowance to Utah Northern not extraordinary; unanimity of views of Government directors, 861. Constructive mileage in general use, 861, 862. No attempt apparent to reduce net earnings on main line by constructive mileage allowances, 862. Copy his letter to President Adams, as to profit to main line from branch-line traffic, 4304, 4305.
Allen, Edward H., testimony of:
President Exchange Building Association and Board of Trade of Kansas City, Mo., 1649. Two local rates exceed through rate; effect of discriminations; no action by board of trade, 1650. Better terms allowed certain grain buyers, 1650, 1651. Complaints since passage of interstate commerce law, 1651.
Ames, Frederick L., testimony of:
His familiarity with Union Pacific and its management, 645. The Kansas Pacific, 646. The pooling agreement, 646, 647. Witness's interest, 47, 649, 650. Millions of dollars in the pool; its accounts, 648. The Kansas Pacific consoli dated mortgage, 649. Comparison of rates in pooling agreement with rates in
. consolidated mortgage, 650. Did not know that any holders of the securities got a preferential rate, 651, 652. The preference to witness by means of a guar anty, 652. Preferential issue of $2,000,000 bonds to Gould at 75; Gould's Kansas Pacific consols; another $2,000,000 to Gould, 653. The Kansas Pacific pool; Mr. Gould took the Saint Louis stock out, 654. Interests of witness in Union Pacific branch lines, 656. The letter to Dodge and Humphreys, 657. Finan cial condition of Kansas Pacific; careful examination necessary to an intelligent
5410 U. S. PACIFIC RAILWAY COMMISSION.
; Ames, Fbedebick L, testimony ofContinued.
: report; the report of Dodge and Humphreys, 658. Probably communicated ver-
bally prior to its date, 659. Gould's purchase of Missouri Pacific; alarm of Union Pacific people, 659. Terms wanted by Gould for Kansas Pacific, 660. Gould irritated at refusal of his terms; Gould's purchase of Central Branch and Saint Joseph and Western made for the protection of both properties, 661. His
; purchase of Missouri Pacific; consultations 'with Gould on his change of front,
I 662. Influence of the threatening attitude of Burlington and Missouri; why
Missouri Pacific leased Central Branch and Kansas Central, 663. Who were present at Mr. Gould's house,664. A protracted discussion of terms; was agree ment to buy of Gould the Saint Joseph and Western made public, 665. Bought at 40, sold at par, 666. Mr. Gould resigns, 666. His motive, 666, 667. Pro priety of the individuals acting in dual capacity of buyers and sellers, not dis cussed; agreement in Mr. Dexter's handwriting, 667. Explanation of the sig nature "R. S." ; copy of consolidation agreement, 66fL Errors therein, 668. 669. Gould's holdings in Kansas Pacific nearly doubleTihose in Union Pacific, 669. He controlled Kansas Pacific securities; the paper Mr. Dexter wrote re?cently found, 670. What witness knew of the suit to release Denver Pacific stock, 671. Pool agreement of 1878; the basis of apportionment, 672. The pool operative until consolidation; charges against Henry Villard; the resolu tion confirming his action, 673. Union Pacific in control of Kansas Pacific; Gould's loan of $230,000 to Kansas Pacific to pay interest, 674. Issue of stock to meet demands, 674. The published quotations; stock issued to pay first coupons on consolidated mortgage; Denver and South Park road; agree ment not to discriminate against, 675. Price paid by Union Pacific for stock of same; its history, 676. Decrease in traffic; Union Pacific cease paying inter est on part of Denver and South Park bonds, 677. Their withdrawal from col lateral trust 5 per cent, indenture, 677, 678. Object of paying interest on a por tion of Denver and South Paak bonds, 679, 680. The '' High Line,'' 680. Why Union Pacific still pays interest on Kansas Central bonds; poor prospects of Kansas Central, 681. The Union Pacific sells stock to extinguish floating debt,
and at the same time pays dividends, 682. Propriety of declaring dividends notwithstanding a floating debt existed, 683. Government suit to recover money taken from company through Credit Mobilier, 683. 684. Union Pacific
and Credit Mobilier settlement, 684. Meeting at Gould's house on January 14; 685, 689 Directors influenced by fact that Gould had them *' cornered''; the j consolidation a "good trade;" reduced rates the cause of decreased earnings,
Ji 685. Witness's profits from the consolidation; Mr. Gould's profits from the
if consolidation; no dividends except from earnings, 686. Witness's interest in
Union Pacific at consolidation; in Kansas Pacific, 687. Present interest in Union Pacific; the good faith of the parties in forming the consolidation, 688. The sit-nation of affairs in 1880; possible results if consolidation had not taken place; the Saint Joseph and Grand Island as checkmate to Iowa roads, 690. Agree?ment between Kansas Central, Central Branch, and Missouri Pacific; constructive-mileage clause in agreement betweeu Kansas Central, Central Branch, and Mis souri Pacific, 691. Copy of lease of Central branch, made December 6, 1880; 692,693. A new lease made a year ago, 692. Union Pacific director since March, 1887; method of acquiring branch lines, 693. No improper profits to directors or officers; the South Park road, 694. Statement of stocks and bonds owned or held in trust by Union Pacific, December 31, 1882 (extract of minutes from March 7, 1883); 695. 696. When Union Pacific acquired the South Park road, 696. Denver and Rio Grande's offer to buy South Park road, paying $500,000 bonus, 697. Relations of Central Pacific and Union Pacific; diver sion of traffic by Central Pacific to Southern Pacific; the Pacific Mail subsidy, 698. Trustee of land-grant mortgage; description of the lands, 936. Sales of the lands, 937. Statement of Union Pacific R. R. Co. land grant to Decem-
i, ber 31, 1886; 938, 939. Deductions and commissions, 939. Net amount; land
/ contracts; bonds received for lands, 940. Accrued interest; Union Pacific Rwy.
ledger balances, trustee under land-grant mortgage of Union Pacific R. R. De?cember 31, 1886; 941. Premium on bonds redeemed; the investments of the funds; loan account, 942. Statement of trustee under land-grant mortgage of Union Pacific Railroad June 3,1887, 943. Outstanding land contracts all good;
location of unsold lands; disposition of surplus, 914. The sinking-fund mort gage, 945. Surplus applicable to sinking fund after.........
estimated at about $16,000,000; 915,946. Certificates trustee of land-grant bonds on January 1, 1887; 946.
ANALYTICAL INDEX. 5411
Ames, Olives, testimony of:
Witness interested in Union Pacific, Central Branch, 801, 802. The Atchison, Colo rado and Pacific road, a consolidation of all its extensions, 802. History of witness's interest in Central Branch, 802,803. The building of branches advan tageous, 803. Leases of roads to Central Branch; their provisions, 803, 804. How witness increased his holdings, 804. Negotiations to sell to Gould, 804, 805. Building rival roads l' within a stone's-throw,'' 805. What led to nego tiations to sell to1 Gould, 805,806. Negotiations with other parties, 806. Wit ness '' willing to hold the fort,'' 806, 807. Memorandum of agreement between Gould and Ames for the purchase of 6,250 shares Central Branch, 807. Did not know Gould's object in purchasing Central Branch; Gould options to buy more stock from witness, 80S. Gould very "chipper," 808, 809. Range of prices paid bv witness, 809. Additional securities turned over to Gould, 809, 810. More about the options from Gould to witness, 810. How Gould was 4' fooled,'' 810, 811. Trains held back a day; certain interests retained by witness in extensions, profits to be divided, 811. Additional statement of Union Pacific in Central Branch, 812. Understood consolidation was impending before Gould acquired Missouri Pacific, 812, 813. The Boston directors unhappy, 813. De clined to put Credit Mobilier stock in Union Pacific treasury, 813, 814. Dropped out of the board, 814. Appointed receiver of Credit Mobilier in Penn sylvania, 814, 815. Suit by Credit Mobilier against Union Pacific to collect a two-million-dollar note and a balance of aecount, 814. Details of the litiga tion, 814, 815. Suits against Credit Mobilier by Union Pacific, 815,816. The large stockholders in Credit Mobilier; their holdings, 816, 817. The minority stockholders of Credit Mobilier sold out at $20 a share, 817, 818. No release from liability or other consideration, 817. Anderson, H. J.:
His report on the umaterial on hand " account of the Union Pacific Railway Co.,
5297-5300. His report to the Commission on the books and accounts of the Sioux City and
Pacific Railroad Company, 5351-5361. Statement of amount paid or guarantied by company for 1880-1884, and amount
of new stock and bonds issued, 5361.
Rebates, overcharges, pools, etc., charged to gross earnings, 5362. Stock held in trust, amount of and names of trustees) 5362, 5363.
Legal expenses; detailed statement of payments made from 1871 to April 30,
1887; 5363-5367. Net earnings of Missouri Valley branch, years 1871-1887, and of the Sioux City
and Pacific Railroad, years 18V0-1887; 5368. Lists of directors and officers, 63G&-3371.
Balance-sheets and current statements, to June 30, 1887; 5372-5391. Loans made to company, statement of, 5391, 5392. Dividends paid on preferred stock, statement of, 5393. Fremont, Elkhorn and Missouri Valley Railroad, statement of gross earnings,
operating expenses and taxes, rental, and construction expenditures, Octo ber, 1872, to June, 1884; 5393. Lands; statement showing amount received by Sioux City and Pacific Railroad
from sales of, 5393, 6394. Andrews, Edward L., testimony of:
How tie security of the Kansas Pacific income bonds of 1886 was lessened by the pro visions of consolidated mortgage; history of Rosenbaum suit, 257. Brought to compel restitution of the Denver Pacific stock, 257, 258. Nothing done except to obtain order to show cause why defendant should not be examined before trial, 258. Anthony, Daniel R., testimony of:
A Government director, 1622. Difficulty of learning all the details of railroadiag, 1622, 1623. Past irregularities beyond remedy; brighter prospects for future; meetings of boards of directors; settlement; liberation of road imperative, 1623. Inability of road to undertake new enterprises, 1623, 1624. Abjsnts, George, testimony of:
Market value of Kansas and Nebraska, and Saint Joseph and Pacific securities in
1878-1880: 265, 266. List of prices during 1879; 267. Armstrong, Francis, testimony of:
Mayor of Salt Lake City, 2201. Facilities, accommodations, etc, 2201, 2202. Fluctuations i n tariff rates inj urious to community; tariff rates finally adj listed, 320*2.
P R VOL IX-------2
5412 U. 8. PACIFIC RAILWAY COMMISSION.
Atkins, Elisha, testimony of:
U. P. director since 1869; time generally devoted to finances; form of construction ac count; construction enormously expensive, 750. Steel rails, $100 a ton; ties, $.' each; road financially embarrassed in 187:5; stockholder of Credit Mobilier, 751. Gould a valuable director; Gould's majority interest; Kansas Pacific consolida tion, 752. Gould's control ol Kansas Pacific; officials common to Union Pacific and Kansas Pacific; witness's Union Pacific holdings in 1879; 753. Holdings in Kansas Pacific in 1879; the letter to Humphreys and Dodge, 754. Gould's change of attitude, 755. Gould buys the Missouri Pacific; Gould's "scheme" for a com?peting road; witness's holdings of Saint Joseph and Western and Itair exchange lor Union Pacific, 756. Was not present at meeting on January 14, 1860, at Gould's house, 757. Was present when terms of consolidation were discussed; what he knew of Central Branch when he signed for its purchase, 758. What he knew of Kansas Central, of Saint Joseph and Western, 751). The propriety of putting in at par what cost them forty, 759. The attitude of Gould alter ac quiring Missouri Pacific; witness's interest in branch lines, 760. Their value to Union Pacific; a bankrupt without them; built economically; some were mistakes, 761. His opinion of their value not the result of careful study; effect of Southern Pacific's lease of Cen tral Pacific; threatening attitude of Kausas Pacific, 762. Pacific Mail subsidy, 763. The freight which seeks water routes, 763,764. Normal route for sugar from Pacific coast, 764. Effect of cutting oft* mail subsidy, 764, 765. Percentage of passengers by Pacific Mail; reports ex amined before voting for dividends; net earnings, were they computed in differ ent ways? 765. Witness's definition of net earnings; what are "expenses," 766. Had no interest in companies with which Union Pacific had leases or contracts, except a trust company, 766, 767. Loans negotiated by witness for Union Pacific, 767. Guaranty by Union Pacific of interest on Saint Joseph and Grand Island bonds, 768. Plan of settlement; an extension of one hundred years at 3 per cent.; use of the $7,000,000 in Government's hands, 769. Wants Government to stop persecution, and a chanoe to secure their own territory, 770, 773. Favors enlarging the security to the Government by building branch lines and putting their securities in escrow, 770. Extension for one hundred and fifty years preferable; additional security on new branch lines ample for Government lien, 771. If extended, would the debt then be paid, 772, 773. Debt to Government naturally expected to be renewed, 772. Witness's present interest in Union Pacific; ."stood by the ship;" Union Pacific favorably located, 774. No improper personal benefits derived from Union Pacific* 775$ 778, 779, 780. Only market rates of interest paid, 775. No dividends paid except out of net earnings; money never borrowed to pay dividends; not at meeting of January 14, 1880; 776. Approved of the consolidation; did Gould dictate the terms; the issue after consolidation of $3,400,000 of Kansas Pacific consols to Gould under market rates, 777, 778. Was the rate to Gould and Sage preferential, 779, 780. Witness's advantage in the sale of Saint Joseph bonds, 780. How the Government was benefited by the Pacific roads, 781. Former cost of transportation, 782.
Bailey, George W., testimony of:
Complaints concerning stone shipments, 2032, 2033. Red stone quarries, 2033. Insufficient car service, 2033, 2034. Injury to private quarries; Union Pacific ship 600 cars monthly; other quarries 100 cars, 2034. Extent of Union Pacific quarry interest; Union Pacific monopolizes the business; description of the stone, 2035. Extent of the stone deposit; depth not ascertained; switching facilities of the quarries, 2036. Complaint of not getting cars;, no complaint against rates; no threats against shippers for complaining, 2037. Insufficient car service, 2037, 2038. Ked stone quarry; complaints as to switching facili ties, 2038.
Bailey, William N., testimony of:
Coal dealer at Fort Collins, 2065. Union Pacific trying to " freeze out" competing coal dealers, 2065, 2066. Inability of outside companies to mine, 2066.
Baker, Ezra H., testimony of:
A director of Union Pacific, 737. His interest in Union Pacific and Kansas Pa cific at consolidation, 738. In Saint Joseph and Western in 1879; consolida tion discussed; Gould disposed to consolidate, 739. Circumstances of meeting at Gould's house, 740. Had no accurate knowledge of affairs of Central Branch; the price paid for it, a dictation of terms by Gould ; threatened line to Denver; no knowledge of Kansas Central or of Saint Joseph and Western,. 741. Very likely Gould fixed price for Saint Joseph; no protracted discussion of terms, 742. Are quotations of unlisted securities reliable; as to value of
ANALYTICAL INDEX. 5413
Baker, Ezra H., testimony ofContinued. .
Denver Pacific; the Kansas Pacific consolidation; witness's interest in branch roads ; those branches which result in loss to Union Pacific, 743. Saint Joseph and Grand Island road; negotiation of $7,000,000 bonds, interest guarantied by Union Pacific; no business interests inimical to Union Pacific, 744. Holdings in Union Pacific at present and on January 14; all glad to consolidate, 745. The Central Branch pat in at cost; Gould preferred to retain it; no direotor /. interested in construction or other contracts; denial that legislation has beej**- / influenced by Union Pacific, 74G. Views concerning Gould's conduct; interest taken by Goverument directors in consolidation and other questions, 747. No design to abandon Union Pacific to the Government; witness's interest in the Union Pacific partly inherited; without change of treatment by Government, other managers necessary; a gross payment rather than percentage of net earn ings, 749.
Babrigeb, D. S., testimony of:
Grain dealer since 1875; located at Council Bluffs since 1883; the Omaha Elevator and Grain Company; names of owners; an incorporated company; no Union Pacific people interested; its building erected on ground owned by the Union Pacific; the elevator built by six railroads and leased by witness's firm; value of elevator and land about $280,000; rent paid to the Union Elevator Com pany; the railroads which compose that company; rent paid by Elevator and Grain Company to Union Elevator Company $5,000 last year, 1152-1154. Other competing elevator companies; rebates by Union Pacific to Omaha Com pany, 1154. Failure to get rebates only temporary; a continuous rebate of 1 cent a hundred pounds ibr past two years, 1155-1156. Additional rebates; witness asked for such rebates, 1156-1157. No inducements offered to officers for allowing rebates, 1157. Aggregate rebates about $25,000 or $30,000 a year; understood that competitors have the same rebates, 1158. Statement of re bates allowed in July, 1883; in October, 1883; 1159-1160. May include over charges in freight; overcharges, how ascertained, how paid back, 1160. Twenty-four thousand pounds the minimum allowed for a car, statement of rebates in April, 1884, in June, 1884; 1161. Rebates from July, 1884, to No vember, 1885; half rates for lumber for constructing elevators; open to every body ; additional elevators belonging to witness's firm, 1162,1163. Same rebates enjoyed by other elevator companies; additional rebates, 1163,1164. The rail road the gainer by rebates, 1164. Further rebates, 1164,1165. No preferences received by witness's company under any other name; additional rebates, 1165,
1167. Allowances to the company from June, 1886, to January, 1887; 1167,
1168. The 1 cent per hundred rebate contract verbal; similar contract with other roads, 1168. "Rebate" or "preference" does not indicate advantage over other men engaged in the same business, 1169.
Bates, D. H., testimony of:
President and general manager Baltimore and Ohio Telegraph Company; as to his testimony before Committee on Post-Offices and Post-Roads, 3876,3877. As to testimony of witness and others before the Warner committee, 3877.
Babton, Guy C, testimony of:
President of the Omaha and Grant Smelting and Refining Company; number of its stockholders, fifteen or twenty, 1088. Two stockholders interested in Union Pacific, F. L. Ames and Sidney Dillon; amount of capital stock, $2,500,000; Dillon and Ames each own 830 shares; paid for their shares the same consider ation that others did; received ores and bullion over Union Pacific, 1089. Mr. Dillon interested while president of Union Pacific, and Mr. Ames while director; where the Omaha and Grant does business; has same rates over other railroads as over Union Pacific; were allowed rebates prior to April 1, 1887; the benefit of the lower rate went to the miner, 1090, 1091. Rebates varied in special cases; rates on mining products prior to April 1, 1887; competitors prior to April 1, 1887; private and open rates; competitors enjoyed same rates, 1091, 1092. How rebates were made; received rebates only on ore and bullion, 1092, 1093. Got a rebate on slag; names of their principal competitors, 1093, 1094. They all ship over the Union Pacific; and at same rates; company has smelting works at Denver, 1094. Overcharges shown in vouchers; $250,000 refunds in one year not considered excessive, 1095. Change in rebate allow ances since April 5, 1887; how railroads ascertain the grades of ores; special cases require special rebates; Iowa coal overcharged on the bridge at Omaha, 1096,1097. Voucher representing a general settlement of overcharges; other bridge overcharges on coal, 1097. Company has paid a dividend of 2J per cent, quarterly since organization; witness thinks the stock worth par;
5414 U. S. PACIFIC RAILWAY COMMISSION.
Barton, Guy C, testimony ofContinued.
overcharge on slag, 1098, 1099. Explanation of bridge overcharge; rebate on shipment of sulphate of copper given to allow company to sell in Helena, Mont.; difference in the character of the- payments known as " rebates," 1099,1100. Reasons Messrs. Ames and Dillon became interested in Omaha and Grant Companj; their joint interest only 7 per cent. U whole capital .stock; direction by Mr. Ames that no favors should be shown because of his interest, 1100, 1101. Small and large shippers obtain equal rates; the miners receive benefit of lowerrates; explanation of a refund of $40,871.25; 1101,1102. State ment of freight earnings refunded April 16. 1885, to August 23, 188(5, aggre gating over $253,000; inconvenienced by delays in paying rebates, 1102, 1103. Method of settling for freight; the rebates the same to all; ail equally informed astorebates, 1103, 1104. Copy of letterfrom Mr. Barton, dated June 29,1887; chairman states that the total amount of overcharges and rebates paid to this company by Union Pacific Kail way from 1st September, 1)883, to 1st of April, 1887, was $570,112.26; 1104.
Berker, William, testimony of:
Newspaper man and postmaster at Marysville, Kans., 1547. Facilities and accom modations; complaints of high rates; discriminations against shippers; discrim ination against Marysville; no interference in elections, 1548. Railroads rob bing the people; passes; principal shipments; no competition for freight; in?terference in elections, 1549.
Blair, John I., testimony of:
Has a variety of occupations; construction of Sioux City and Pacific Railroad begun in June or July, 1866; 4039. Organization of company, 4039,1040. Stock sub scriptions; subscription of Iowa Railway Contracting Company, 4040. Cash paid for stock, 4040, 4041. His practice regarding checks, 4041, 4042. Book accounts, 4042. W. W. Walker's estimate of cost of road, $4,968,120; 4042,
4043. Character of country; difficulties of construction; Mr. Walker's esti mate; amount for the Missouri bridge, 4043. Contract with Douglas & Brown,
4044. The account books, 4044. Approximate cost of regulating road; extent of road embraced in first contract, 4045. The contract of 1867 made with Oakes Ames and D. W. C. Blair; stockholders interested in the contract; distribution of stock, $1,899,000 issued; chief stockholders, 4046, 4047,, The board of di rectors when the contract was made, 4047, 4048. How the contract was carried out, 4048. Purchase of supplies, 4048, 4049. Subcontracts, 4049. Who kept the books, 4049, 4050. "A piece of paper would keep all the accounts," 4050. Actual cost of construction, $4,640,720, 4050, 4051. Division of stock about 1871; the stock-book, 4051. Statement for stockholders as to bonds, 4052. How the bonds were paid for, 4052, 4053. The bonds not a dividend, 4054. Some of the bonds sold; as to the bank accounts, 4054. Funds entered in pocket-book, 4054, 4055. Actual cost of road, $4,650,000, 4055. Source of in?formation, 4055,4056. Land grants; Government land, 4056. State land 405(j, 4057. Sale of land to stockholders, 4057. Transfer" of stock to Chicago and Northwestern, 4057, 4058. How the consolidation was effected, 4058. Ad vantages of the arrangement, 4058, 4059. Effect of building parallel roads; present market value about $2,600,000,4059. Method of book-keeping farther explained, 4060. Auditing committee in November, 1870, 4060, 4061. An at?tachment by Mr. Lambard; suit brought by Mr. Williams in name of company, 4061. Committees of arbitration in 1872 and 1873; 4061, 4062. Dudley Field attorney for Lambard; Mitchell & Crane attorneys for company; an ap peal and compromise, 4062. A blackmailing affair, 4062, 4063. Koad got only 42,000 acres of land; in 1869, 101.70 miles completed; affidavit as to issue of bonds, 4063. Resolution of May, 1869; 4063, 40d4. Distribution of bonds, 4064. The remaining bonds and stock, 4064, 4065. $169,000 preferred stock issued for 6-) miles between California Junction and Missouri Valley, 4065. Some common stock issued, 4065, 4066. Character of country; distribution of $400,000 of first-mortgage bonds; Mr. Blair retires from presidency of road in September, 1871; 4066. Settlement of accounts, 4067, 4068. Resolution, in March, 1872, as to Sioux City and Pacific Land Company; ownership of stock in that company, 4068. How the company paid for the land, 4068, 4069. Distribution of stock pro portioned to money paid in; Sioux City and Pacific lands sold to stockholders; suit with Union Pacific as to lands, 4069. Stock issued directly to stockholders, 4070. Land obtained through consolidation with North Nebraska Air Line, 4070, 4071. Witness purchased 7,000 acres from Sioux City and Pacific Com pany, 4071. State of Nebraska brings suit, 4071,4072. Total amount of land
ANALYTICAL INDEX. 5415
Blair, John I., testimony ofContinued.
grants, 4072. Result ot litigation with Union Pacific, 4072, 4073. Woodbury County swamp lands, 4073. Land grants to Cedar Rapids Company, 4073, 4074. Title of State of Nebraska to their lands; county bonds prorated among stock holders, 4074,4075. Litigation with Washington County; Missouri Valley and Blair Kail way and Bridge Company; the stockholders; the directors, 4075. Object of the association; bridge cost about $1,200,000, 4076. Transfer of rights and franchises of Sioux City and Pacific, 4076. Terms of contract, 4076, 4077. Can not remember that be remained president of. the Blair Company; contractors; bonds represent the actnal cost, 4077. Terms of transfer of stock to Northwestern Company; the Government benefited, 4078. Hostile legislation in Iowa and Nebraska, 4 078,4079. Influencing legislation; Mr. Hall; only wanted what was j ust, 4079. No knowledge of insufficient vouchers, 4079, 4080. Use of money unnecessary, 4080. Telegraph line, 4080, 4081. Contract with Western Union. Sale of Government bonds in 1869 and 1870 ;4081. First-mortgage bonds, 4081,4082. Memorandum book used by witness; call for original books; Sioux City road now worth its bonds, 4082. Could pay Government about $1,000,000 for the debt; the prospects of the road; its value to the Northwestern Company; Sioux City stock realized about 10 or 15 per cent., 4083. Outstanding stock; present value; control of the road; could not the Northwestern afford to pay Government $1,500,000? 4084. Lamd patents; how obtained; effects of home?stead law; Iowa Falls Contracting Company, 4085. Other companies controlled by the same interests, 4085, 4086. President of fifteen or sixteen companies; call lor a list of officers of the several companies, 4086. As to the wisdom of building branch roads, 4086,4087. A wise i u vestment; long and short haul, 4087. Government should be generous, 4087, 4088. Sioux City debt, in 1897, about $5,000,000; cost of running a railroad, 4088.
Boettcheb, Charles, testimony of:
Facilities afforded by Denver and South Park Kailroad, 2029. Rates, 2029, 2030. Witness formerly had special rates, 2030. Discriminations, 2030, 2031. Ef fect of pools on rebates, 2031. Deprived of special rate, and no explanation given, 2031, 2032. Rates to Leadville higher than elsewhere, 2031.
Bond, William, testimony of:
President of Saint Joseph and Denver in 1873; receiver of same in 1874 to 1879; 258. Its reorganization in 1877; 258, 259. Names of reorganized roads; history of Saint Joseph and Western; formed by consolidation of Saint Joseph and Pa cific and Kansas and Nebraska; leased to Union Pacific in 1879; 259, 260. Foreclosed and reorganized into Saint Joseph and Grand Island in 1883 and 1884; description of Saint Joseph and Denver and location and length of the branches, 260. Receiver's reports of earnings and operating expenses; earnings above operating expenses in. 1878 expended in betterments, etc., 261. No in terest paid until alter reorganization as Saint Joseph and Grand Island; value of bonds of Kansas and Nebraska and of Saint Joseph and Pacific in 1878; Jay Gould largely interested; sources whence he acquired a large part, 262, 263. Saint Joseph bridge and its incumbrances, 263. Hastings and Grand Island road; built in 1879; its stock and bonds, 264, 265. The fair cost of building such a road at that time, 265.
Bobuck, Marcus D., testimony of:
Editor and owner of the Spirit of the Times; Appointed to solicit subscriptions to Central Pacific stock; obtained three subscriptions aggregating twelve or fifteen shares; financial difficulties attending the construction, 3421. Not a dollar in the treasury Tor seventeen days; opposition of telegraph, stage, and Pacific mail companies and of the press; the Spirit of the Times, circulation of, 3422. Business transactions with Central Pacific, 3422, 3423. The only paper that advocated construction of the road, 3423. Paper furnished to station agents, 3423, 3424. Special articles; encouraging immigration, 3424. Cost of illustrated editions, 3424, 3425. Wrote article relating to Commission without dictation or suggestion from any one; compensation for publishing articles,
3425. Subscription of Central Pacific for 332 or 333 copies of paper, 3425,
3426. Large quantities taken of issues containing special articles, 3426. Varia-. tion in annual payments, 3426, 3427. No rebates on shipments ever received
from Central Pacific; employed as attorney at Sacramento, 3427. Duties while attending the legislature, 3427. The " Dolly-Varden " legislature, 3427, 3428. Nature and number of hostile bills introduced within witness's knowledge; no knowledge of efforts to influence legislation, 3428. At one time no printed files of bills before legislature, 3428, 3429. Personal character of Mr. Stan ford, 3429.
5416 U. S. PACIFIC RAILWAY COMMISSION.
Beadley, John J., testimony of:
Stone contractor and quarryman; location of witness's quarries; had 150 to 170 men working previous to Union Pacific coming in; then hauled stone on wagons to Loveland, on Colorado Central; difficulty of obtaining c.irs after Union Pacific got their own quarries; effect of this discrimination, 2044. Many con tracts thrown up, 2044, 2045. Had to close up his quarries; refusal to sell to witness direct or to give him a track, 2045. Kefusal to furnish cars for quarry within 200 yards of track, 2045, 2046. Compelled to sell to Union Pacific quarries or go out of business; Union Pacific bought only curbing; how the Union Pacific acquired title-to their stone quarry; lack of capital no obstacle to working quarries, 2046. Condition of stone business before Union Pacific had quarries; others able to furnish all stone demanded, 2046, SO 17. Character of stone; failure of Union Pacific to redeem promises of facilities; names of other quarrymen who were forced out, 2047. All4' staved off'' in regard to facilities; method of working quarries; owner of land gets royalty; area of quarries, 2048. Mr. Hamma, the agent; application for a rate to Cheyenne; referred by Let to Hamma, 2049. .Refused a special rate on stone; had to abandon sandstone quarries, 2061.
Bristol, George E., testimony of:
Mayor of Fort Collins. Colo., 2061. General complaints of discriminations, 2081, 2062. Extortionate freight on coal; Fort Collins " side tracked/' 2062.
Brown, Arthur, testimony of:
Sworn statement relative to cost of construction of Central Pacific, 2581, 2582. Connection with construction of Central Pacific; superintendent of bridge department; difficulties experienced iu construction, 3602. Severity of the weather nearly trebled the cost of work, 3G02, 3603. Wages of laborers; meas urements of work; who made them; reported to Charles Crocker; no efforts to influence reports, 3603. Facilities for obtaining supplies, 3603, 3604. Prices of material; difficulty in building snow-sheds; speed of construction greatly increases the cost, 3604. Advantage to Central Pacific of having repairing done by contract, 3605.
Brown, SamuelM., testimony of:
Agent in Leadville of Union Pacific and Denver and Rio Grande roads, 2024. Di version of traffic to Denver and South Park, 2024. By orders of the Denver and Rio Grande officials; instructions came from pool commissioner, 2025. The pooling agreement, 2025, 2026. In force since 1882; iormer pooling percent age, 2026. Decrease of Union Pacific business compared with Denver and Rio Grande, 2026, 2027. Explanation of the diversion; Pueblo smelters have had to quit, 2027. Price per ton on bullion; rate high compared to cost of produc tion; cost of transportation, 2028.
Brown, W. E., testimony of:
Accountant to Stanford, Huntington, Crocker, and Hopkins, 2893. Secretary and treasurer of the Contraband Finance Company from 1868-'73; 2893, 2894. Wit ness's associates in the office; date of employment, 2894. Appointment through Governor Stanford, 2894,2S95. Who subscri bed for the stock; no reason ascribed for subscribing through others, 2395. Witness prepared the books of the cor poration, 2895, 2896. Disappearance of contract between Contract Company and Central Pacific, 2890. Terms of the contract, 2896, 2897. Agreement of the Central Pacific as to payment; parties in charge of construction; their depart ments, 2897. Witness purchased supplies; Mr. Brown's department, 2898. disposition of the books, 2898, 2S99. Mr. Miller employed as book-keeper and secretary, 2899. New set of books prepared by witness, 2899, 2900. Books put in the store-room by witness; examined in Stewart case as to their disap pearance, 2900. No knowledge of what became of Contract Company's books, 2900, 2901. Considered them in possession of John Miller, 2901. Reason for pre paring new set of books, 2901, 2902. Examined in Robinson's case as to their dis appearance, 2902. When he first knew o*' their disappearance, 2902,2903. His search; how the Commission came into possession of certain evidence, 2903. . Commission not seeking to impeach witness; any testimony admissible which throws light on the subject, 2904. Inquiries about missing books, 2904, 2905. A million dollars for the t)ooks; has absolutely no knowledge of their where abouts; class of accounts kept in the books, 2905. Dealings with Truckee Lum ber Company, 2905, 2906. Prominent people dealt with as to materials; prices of rails, etc., 2906. Cost of transportation added, 2906, 2907. No transporta tion charged after road was delivered to Central Pacific; Contract Company doing business on borrowed capital, 2907. Indebtedness of the Contract Com pany; loans made on notes indorsed by stockholders; failure to borrow on Cen-
ANALYTICAL INDEX. 5417
Beown, W. E., testimony ofContinued.
tral Pacific stock, 2908. Last delivery of stock about 1870; 2908, 2909. Cash payments made by Central Pacific, 2909. Crocker & Co. transfer Central Pacific stock to Contract Company; 2909, 2910. Explanation of the transfer, 2910. Other Central Pacific stock purchased, 2910, 2911. Dividends of Cen tral Pacific stock; reduction of rates of interest; dissolution of Contract Com pany, 2911. The "S. H. H. & C." accounts, 2911, 2912. Who kept the accounts of Contract Company showing advances by 4(S. If. H. & C"; pro posed examination of private books of "S. H. H. & C.," 2912. How much profits; how much indebtedness, 2912, 2923. Not connected with Central Pacific after 1873; no information as to absence of books and papers; indebt edness of Contract Company on dissolution about $3,0(10,000, 2913. Net profit on construction of Central Pacific, how estimated, 2913, 2914. Verifica?tion of petition in proceedings for dissolution; indebtedness assumed by "S. H. H. & C.," 2914. Date of opening the "S. H. H. & C." books; opened from Contract Company memoranda, 2915; call for entries in " S. H. II. & C." books, 2916. Statement of liabilities of Contract Company at dissolution, 2977, 2978. Disagreement as to extent of call, 2978. Amount due by Contract Company, 2978, 2979. Debt between three and four millions on completion to Promon tory, 2979. Market value ot Central Pacific stock at that time, 2979, 2980. Financial condition of Contract Company; prudence used in conducting busi ness, 2980. Contract Company received nothing but stock, 2980, 2981. Noth?ing in Contract Company's books which persons interested in Central Pacific might not have seen; what the books of the Central Pacific show, 2981. Advan tages of seeing the written entries, 2981, 2982. Contract and finance accounts kept with various parties; balance due from Central Pacific at completion, 2982. How large and when paid; indebtedness of Contract Company, 2983. Offset of amount due from Central Pacific, 2983, 2984. After 1869 Contract and Pinance Company indebted to Central Pacific; terms upon which money was borrowed, 2984. Individual notes to settle Contract and Finance debts. 2984,2985. State ment of accounts of construction; Contract Company only received $43,000 per milein cash; indebtedness ascertained at completion of Central Pacific, 2985. Market value of Contract and Finance stock, compared with indebtedness, 2985, 2986. Stock not on the market; estimate of cost based on fact that no resources were on hand, 2980. Salaries, 2986, 2987. Huntington re-imbursed for pur?chases of stock, 2987. Crocker & Co. stock turned in and divided up, 2987, 2988. Nothing in books that Commission should not see; account with the Bank of California; still in debt at end of construction about $3,500,000, 2988.
Bubnell, James M., testimony of:
Secretarv of Rocky Mountain News Company, 1727. No knowledge of special rates, 1728.
Buhnham, Leavitt, testimony of:
Was land commissioner of the Union Division from 1st of February, 1878, to 1st of June, 1886; general policy of the company, 1237. Patenting the lands, 1237, 1238. No attempt to acquire title to adjacent lands; difference between the land accounts as kept by Government and by company, 1238. Land proceeds remitted to trustee, 12:58,1239. No diversion of land proceeds to pay dividends or otherwise; policy with regard to patents, 1239. Lands patented about as sold; patents by counties or parts of counties; experience in connection with taxes; the tax money misapplied, 1240. No hostile legislation, 1240,1241. Policy of county authorities in regard to school districts: a school district from 75 to 80 miles long; object, to iucrease taxation of road; policy of company to secure legitimate settlement by good citizens, 1241. , Edward F., testimony of: idt f Mhll Cl
pany's capital stock, $4,000,000 ; names of some stockholders, 1885. Market value of the stock; the coal competition; witness has no connection with the Union Pacific, 1886. Rebates allowed, 1886,1887. The consideration for rebr+ic; where coal is delivered; rebate contract not in writing, 1887. Com peting mines, 18H8. Caldwell, Alexander, testimony of:
President Kansas Manufacturing Company; complaints against Kansas Central management, 1580. Diversion of trade from Leaven worth to Kansas City because of lack of accommodations, 1580, 1581. Complaint, of management of Lawrence Branch; delay in transportation, 1581. Local legislation, 1581, 1582. Conditions on which local aid granted ; favors extension of debt, and power to build branch lines, 1582. Dividends; favorable effect of extension of time, 1583.
5418 U. S. PACIFIC RAILWAY COMMISSION.
Calbf, Amos H., testimony of:
Is secretary and treasurer of Missouri Pacific aud Iron Mountain ; was secretary of Kansas Pacific in 1880; had nothing to do with pool, 285. The Kansas Pacific consolidation ; circumstancea of the meeting ; directors of Kansas Pa cific at time of consolidation, 28G. Their holdings of stock ; stockholders of Kansas Pacitic at consolidation, 287,288. Certificate of Kansas Pacific stock holders approving of consolidation, 288,289. Conversations about consolida tion prior to its consummation, 289,290. Denver Pacific stock, 290. Its with drawal from the trust; where it went, 290, 291. Gould's alleged offer for Denver Pacific stock, 291. Notdiscussed in the board, 292. Earnings of Kansas Pacific before consolidation, 293. As to deposition of witness in suit of Kansas Pacific against Gould and Sage, 293, 294. The alteration made by witness himself, 294. Kansas Pacific minutes as to purchase of bonds and stock of Saint Joseph and Western, and Saint Joseph Bridge bonds, 295. Purchase of Central Branch Union Pacific stock, 296. Resolution authorizing issue of the
6,242 shares of unissued Kansas Pacific stock, 296, 297. Names of receivers of Denver Pacific and of Kansas Pacific, 297. Kansas Paci fie earnings and his tes timony in relation thereto, 297,298. Financial condition of Kansas Pacific, 1876 to 1879; 299. At time of consolidation, 300, 301. Had been connected with Kansas Pacific since 1866; 301. The Morgan suit against the Union Pa cific; interest-bearing indebtedness of Kansas Pacific in 1879, 924,335,603, 302, 903. Concerning earnings of Kansas Pacific; its ability to pay interest; value of the road. 303. The Kansas Pacific land grant; the land-grant bonds; a surplus in case of foreclosure in 1879; 304. Trustees' journal showing issues of consols and securities received, 592,593. A different rate to Mr. Leigh ton; 1 agreement between Leighton and Gould, 594. Consolidated bonds sold to Gould; account of trustees with Union Pacific, 595. Item of $927,000, consols, charged to Union Pacific and delivered to Gould, 595, 596. Calhoun, William:
Accountant to the Commission; his final report on the Union Pacific bond-aided
roads, 4799-4840. Net earnings of Union Pacific, Kansas Pacific, and Denver Pacific Railway
and Telegraph Co., statement of, by years, from 1867-1836; 480ft, 4803. Maintenance of way, cost of, for Union Pacific and Kansas Pacific, 4803,4894. Net earnings of operated lines of Union Pacific Rwy., statement of, for years
1880-1886, inclusive, 4804, 4805.
Net earnings of Kansas Pacific, by years, from 1867 to 1880; 4806. Net earnings of Denver Pacific Railway and Telegraph Co., by years, from
1870 to 1880; 4806. Overcharges, rebates, poolg, etc., amount of, on aided portion of Union Pacific,
4808.
Dividends declared by Union Pacific from 1875 to 1884, statement of, 4810. Property, assets, and expenditures, liabilities and receipts, on January 24,
1880, of the Union Pacific Co., statement of, 481&-4816*. [Same] as to the Kansas Pacific Co., 4816-4818, 4820 [Same] as to Denver Pacific Railway and Telegraph Co., 4819,4820. How the book-keeping methods of the consolidated company operated to the
detriment of the Union Pacific R. R. Co., 4821-4826. Union Pacific stock watered fourteen millions, 4827.
Statement, December 31,1886, of expenditures of Union Pacitic Rwy. on ac count of construction of other railroads, or on account of the stocks and bonds of other corporations, and the investments therein, 4828-4832. Share capital of the Union Pacific Co., history of the issue of, 4833-4835. Legal expenses of Union Pacific R. R. Co., Kansas Pacific Rwy., Denver Pacific Railway and Telegraph Co., and Union Pacific Rwy., statement of amounts paid annually, 4837.
Government transportation, cost of, per annum, years 1867-1886; 4838. Discount on Government bonds, 4838. Branch lines, as to value of, 4839,4840. His first report, 4840-4843. His second report:
Correspondence with Mr. Mink as to a $13,000,000 entry, 4844. His third report:
Kansas Pacific share capital account, 4845,4840.
Certificate No. 11, for 38,779 shareR, issued to R. M. Shoemaker & Co., state ment showing distribution of shares out of, 484(i, 4847. [Same] as to certificate for 49.130 shares, 4848,4849. Share capital of Union Pacific R. R. (Eastern Division) and Kansas Pacific
Rwy. Co., statement of original issues of, 4849-4&r)2. Account of Shoemaker, Miller & Co., analysis of, 4853)48f)6,4870-4874.
ANALYTICAL INDEX. 5419
Calhoun, WilliamContinued. His third reportContinued.
Capital stock of KaiiHas Pacific Rwy., statement of issues of, to subscribers of
land-grant gold-mortgago bonds, 4856-4859. Share capital of $10,000,000 (Kansas Pacific Kwy.); the facts concerning its
issue,4859-4864. Construction contracts (Kansas Pacific Rwy.) with R. M. Shoemaker & Co.,
and Shoemaker, Miller &, Co., copies of, 4864-4870. His fourth report:
Kansas Pacific Rwy. built "by a ring of stockholders," 4874-4876.
Denver Extension bonds, statement of account of Dabney, Morgan & Co., showing details of sale of, 4876-4880.
Kansas Pacific Rwy .'s bonded indebtedness, the facts, as shown by the books,
concerning its issue, 4880-4919. His fifth report:
Kansas Pacific construction and equipment account, 4919-4992.
Construction and equipment cost, in cash, bonds, and lands (leaving out stock), $24,919,540; 4923.
Kansas Pacific Rwy., the facts, as shown by the books, concerning the con struction and equipment account, 4923-4948. His sixth report:
Kansas Pacific consolidation ; the facts, as shown by the books of the several companies, as to the consolidation of the Union Pacific R. R., the Kansas PacifieRwy., and the Denver Pacific Railway and Telegraph Co., 4949, 4951-4989.
Union Pacrfte; the construction and general management of the Union Pacific Co., 4952-4962. Union Pacific, assets and liabilities on December 31,1869, 496,4963. [Same] on December 31,1879; 4966-4968. Suspense account, 4070-4973.
Kama* Pfreinc; its financial condition at consolidation, 4972-4985. Enumera tion of the securities purchased for Kansas Pacific by Mr. Gould, 4981. The food-grant trust, trial balance June 30,1879; 4983,4984. Mems. con cerning fund grant, 4984.
Bmver Pacific; its financial condition on December 31,1879; 4985-4988.
Avntmge earnings of Union Pacific, Kansas Pacific, and Denver Pacifio, per mile, for certain periods, 4988.
Mems. concerning tho stock issues of Denver Pacific Railway and Telegraph Ct).,49B/),4U0Q.
Mems. of yearly interest, payments by the constituent companies of the Union
Pacific, excluding subsidy iuterest, 4991. Exhibits :
The capital balance-sheets, Union Pacific Co., for the years 1863-1886, with comments and explanations by tho accountant, 4992-525*7.
Kansas Pacific Rwy., trial balance, December 31, 1879, and balance-sheet, January, 1880, witb explanations by the accountant,5228-5239.
Denver Pacific Railway and Telegraph Co., trial balances, December 31,1879, and January 31, lfc/80, and subsequently. 5240.
Branch lines; statement of total earnings, mileage, etc., 5241.
Salaries; persons employed by Union Paciiic R. R., Kansas Pacific Rwy. or Union Pacific Rwy. whose compensation was $5,000 or more per annum, 5242,5243.
Land-grant accounts since 1880, Kansas Pacific Rwy. and Union Pacific Rwy., 5243.
Land sales, statement of, 5244.
Kansas Paciiic consolidated-mortgage trusts, statement of, 5245. Results of M*/ Stovens's examination of account of trustees of Kansas Pacific con solidated mortgage, 5246-524H. Extract from journal of trustees of Kan sas Paciiic Rwy.,5249.
Union Pacific Rwy. Co., new construction account, 1880-'85, copy of, 5250-5255.
Union Pacific R. R., particulars concerning suspense account, 5256,5257. Came, Virgil G., testimony of:
Was general agent of Union Pacific freight department at Denver in 1881 and
1882; his duties; his removal without explanation, 1835. Suggesting equal
rebates and facilities; passenger robateR; passenger rebates not general; ship pers'allowances regulated at Omaha, 1836. Reported complaints, and lost
situation, 1837. Politics and legislation, 1837,1H38. Rebates between Deu-
ver and Missouri River, ordered by Kimball, 1838. Denver Pacific and West ern road, 1838, 1839. Dispute with contractors; interference in politico
not tolerated, 1839.
5420 U. S. PACIFIC RAILWAY COMMISSION.
Cammack, Addison, testimony of:
Director of Kansas Pacific and Union Pacific at time of consolidation ; the occa sion of the consolidation, 277, 278. Represented, with Jaines R. Kcene, a. syn dicate that had bought 70,000shares Union Pacific from Gould, 278. Witness never heard of sale of$1,833,000 Saint Joseph and Pacific hoods by Kansas Pacific, nor of the sale of 29,986 shares of Denver Pacific stock to Gould ; cir?cumstances of the consolidation, 279, 280. Why witness voted for it, 280. Purchase of 70,000 shares Union Pacific from Qouid at a price between (35 and 70, 281. At time of consolidation the interest of Uuited States not discussed, 282.
Campbell, Benjamin, testimony of:
General freight agent Oregon Railway and Navigation Company ; company oper ates main lino (214 miles) from Portland to Wai In la Junction, there counect- ing with Northern Pacific; also from Umatilla Junction (187 miles east of Portland) to ituntiugtoa, distance of 217 miles; connection with Oregon Short Line, 3633. Traffic arrangement with Northern Pacific; steamship lines in the company's system; connection with Oregon Short Line Decem ber 14, 1884; 3634. Character of traffic interchanged with Oregon Short Line, 3634, 3635. The benefit to Union Pacific; probable fatnro development of interchanged traffic, 3635. Character of country tributary to Orogon Rail way and Navigation Company and Oregon Short Line; what it produces, 3635, 3636. Northern Pacific is Uuion Pacific's principal competitor, 3636. As to anticipated competition with Oregon Railway Company by Oregon and California, 3636, 3637. As to competition with Oregon Railway Company by Northern Pacific, 36;7. As to inducements offered to immigrants, 36*7, 3638. Character of country tributary to Oregon Short Line; future of lava-bed country, 3638
Campbell, John, testimony of:
Member of Colorado senate, 1968. Member of committee appointed to investi gate charges of corruption ; Senator Hill and editor of Tribune Mibpconaod; committee not appointed for purpose of whitewashing, 19U9. Character of the committee; knows nothing of the alleged railroad corruption fund, 1970. Legislators who changed their minds, 1970, 1971. No knowledge of corrupt ion fund; financial resources of the contestants for senate, 1971. Railroad people iu attendance on legislature; Archio Williams considered as the Union Pacific lobbyist, 1972. Railroad legislation ; tho lower house in favor of the most stringent legislation, 1973. Sentiment of tho people, 1973, 1974. The Rol lins bill; its provisions; to prevent discriminations and rebates; the com missioner has no power to enforce his decrees, 1974. Local legislation, 1975. Not an attorney for railroad companies while a legislator, 1975, 1976. Tho railroads and the Senatorial contest, 1976. Whom the Union Pacific favored, 197C. Mr. Stevenson, a railroad lobbyist, 1981.
Carpenter, Mason B., testimony of:
Statement regarding railroad commission bill, 1909. Concerning election of Senator Toller, 1910. Presence of Union Pacific people at legislature, 1910, 1911. The prosenco of lobbyists expected, 1911. The alleged railroad pool, 1911,1912. . Character of members of investigating committee; who liaro been re-elected, 1912. Division of legislature as to railroad legislation ; hos tile legislation, 1913. Reason for so many hostile bills, 1913,1914. Manu?factured sentiment; division of tho legislature on railroad legislation, 1914.
Carpentier, Horace W., testimony of:
Facilities for transportation from 1860 to 1870; rates of interest; difference in rates on city and country property, 3234. Difficulties and expenses of tele graph line construction, 3234, 3235. Obstacles surrounding construction of Central Pacific: individual liability of stockholders; marketable value of stock from 1860 to 1870, 3235. Effect of mining excitements upon community, 3235, 3236. Opposition from rival interests; some of tho rival interests, 3236. Effect upon real estate of completion of road, 3236, 3237. Efforts of project ors to raise money; corners in merchandise, 3237. Effect of railroad on such "corners;" market value of stock when road completed; appreciation of gold, 3238. Officers of California State Telegraph Company, 3238,3239. Of ficers of Overland Company; report of president of Central Pacific in 1865; opinion of witness as to report, 3239. Defines a " corner," 3239,3240. Liko tendency of pools and corners, 3240. Effect of road upon stage and express companies, 3240, 3241. A "fast freight" lino; rates of interest during con struction of road; a stockholder in tho Bank of California, 3241. Availabil ity of securities as collateral, 3241, 3242. President Stanford's report of 1865 quoted, 3242. No difficulty in raising money on Government bonds, 3242.
ANALYTICAL INDEX. 5421
Chittenden, Lucius E., testimony of:
Practicing attorney in New York City ; connected with litigation against Central Pacific, 3936. A short history of the suit, 3936, 3937. Willing to advise that a suit he brought; California Pacific passes into hands of Central Pacific, 3937,3038. Sale of the " Donokoo" road and a fleet of steamers, 3938. Terms of lease of portion of California Pacific, 3938, 3939. Ownership of bonds; sale of 76,000 shares of California stock; the consideration, $1,600,000 in bonds of California Pacific Company indorsed by Central Pacific Company, 3939,3940. Suit commenced; Mr. Cohen withdraws from suit; Mr. Pringle retained, 3940. Issue of tho suit; claim that the bonds had no substantial value; present state of suit; the statute of limitations, 3941, 3942. An appeal taken ; call for copy of record ; the Wilson committee; a bill relating to Central Pacific,
3942,3943. As to examination of Mr. Huntington before Wilson committee,
3943. The "Edmunds amendment;" Mr. Huntington favored the amend ment; opposition in the House, 3944, 31)45. Conferences with members of Congress; other persons employed ; the business prosecuted with diligence, 3245, 3946. An investigation not desired; the fate of the Wilson hill; the vote on the Holman amendment; a list of members, 3946, 3947. Witness* efforts limited to argument; declines to answer as to use of money; other pending legislation, 3947, 3948. Use of money in influencing legislation, 3948, 3949. Cost of construction of California Pacific; cost of the steamers sold to California Pacific; copy of Wilson bill, 3949, 3950. Production of papers, 3950, 3951. Compensation for his services; interviews with tho com missioners ; argument for use before Congress, 3952. Opinion expressed by witness regarding clients ; the complaint, in the main case ; California Pa-' cific extension bonds, 3953, 3954. Capital stock of California Pacific; its debt; amount of property, 3954, 3955. Liabilities of stockholders in Califor nia ; financial condition of California Pacific, 3955. Produces entire corres pondence with Mr. Cohen, in tho main case against Central Pacific Company and others ; copy letter from Mr. Cohen dated January 12, 1882; copy letter from Mr. Cohen dated April 27, 1882; 4002. Discussion with Mr. Cohen, 4003-4005. Compensation received by witness from Central Pacific, 4005, 4006. Purpose for which payments made to witness; their aggregate amount, 4006.
Choate, Joseph K., testimony of:
Superintendent Colorado Division, 1895. Legislative acquaintances, 1696. Kept track of the standing of legislators on railroad questions, 1896. Reported result** to the Union Pacific, 1897. Compared notes with Walcott, 1897, 1898. Opposed to railroad commission bill; the majority had common sense, 1898. Manner of making friends in legislature; effort to secure Senator Ballard's favor, 1899, 1900. Senator Poole interviewed, 1900. Witness' ex penses paid by the company: no effort made to purchase votes, 1901. Passes given to legislators, 1901, 1902. Special passes on application, 1902. Kansas Pacific and the Senatorial election, 1902, 1903. All the railroads had repre sentatives; meetings of the railroad representatives, 1903. Tho methods pursued more fully explained, 1903, 1904. , Clare, Charles, testimony of:
Station agent of the Union Pacific at Laramie ; his duties as local freight agent;
special rates, 2108. The case of Dunbar; replevined his flour, 2109. Special
rates to special people, 2109, 2110. The stock-yard at Laramie; the contract
to supply hay, 2110, 2111. A monopoly; the coal business at Laramie, 2111.
Clark, D. 0., testimony of:
Superintendent of the coal department since 1874; lands acquired by purchase, 1447. Company has seven mines; their location ; price of coal to company, ho rebates except in summer, and then to all alike, 1448. Explanation of re bate in summer. 1448,1449. Coal never higher at mines than at Omaha, 1449. Clark, James MaxweIl, testimony of:
Farmer and dealer in coal, 1824. Coal monopoly; Marshall Coal Company, 1825. Names of coal agents at Greeley, 1825,1826. Location of mines; other companies' agents; eftect of unequal rates on coal dealers, 1826. Company coal sold and other dealers driven out; transportation facilities; experience as company coal agent, 1827. Coal operations of company, 1827,1828. Copy of letter of general superintendent in defense of company's coal rates, 1828 1829. Copy letter denying any interest of Union Pacific in Marshall Coa Company, 1829,1830. Special rebates and advantages to Colorado Fuel Com pany ; stone quarries near Fort Collins, 1830. Kates on stone prevent com petition, 1830, 1831. Quarry lands alleged to be owned by Union Pacific stockholders, 1831. Government should operate road; beneficial effect on community; large railroad lobby at last Colorado legislature ; produce ship ments of Greeley, 1832,1833. The Colorado Milling and Elevator Company, who compose that syndicate, 1833. Stock-yard at Greeley, 1833,1834.
5422 U. S. PACIFIC RAILWAY COMMISSION.
Cleland, Jonas M., testimony of:
Mayor of Sioux City;'connect ion of Sioux City with Union Pacitic; discrimina tion in favor of Omaha, 2276. Contribution by Sioux City, 2276, 2*277. No com plaints of discrimination ; character of country along the- lino, 2277, 2*2?8. Improved facilities; character of shipments; increase of traffic in last ten years, 2278. Desirability of connection with Union Pacific, 2278, 2279. Dif ference in freights from Sioux City and Kansas City, 2279.
Clbment, Lewis M., testimony of:
Sworn statement relative to cost of construction of Central Pacific, 2576-2578. Connection with Central Pacific Railroad, 3202. Connected with construction from section 1 to Promontory Point, how estimates of measurements of exca-tion were obtained ; original surveys in charge of chief engineer, 3203. Pres ent custodian of the papers, 3203, 3204. The papers would not state total ex cavation ; five classes of excavation, 3204. Measurements both vertical and horizontal, 3204, 3205. Determining between two classes of earth; no recol lection of cost of removing earth, 3205. Grubbing and clearing ou sections 75 to 100, 3205, 3206. Cost of part of grubbing, $5,000 per mile; " not Yankee forests," 3206. Cost of grubbing ranged from $200 to $4,000 or $5,000 a mile, 3206, 3207. Can not compare percentages of cost, 3207. Did not know that Mr. Crocker was interested in class 3, 3207, 3208. Chief engineer made the final estimates ; excessive amount of third-class material. 320d. Class of work on section 83 to section 114 described, 3208, 3209. Section 75 to section 83 de scribed ; duties connected with the masonry, 3209. Stone along the line used for bridges, 3209, 3210. Classes of masonry; wood-work in charge of Arthur Brown ; Arcade Creek the geological base of Sierra Nevadas, 3210. Construc?tion more difficult east than west of the base, 3210, 3211. No fill more than 22 feet high ; no cut deeper than 10 to 12 feet: 200 miles of the road not the most available line, 3211. Lino surveyed by Union Pacific the better, 3211, 3212. Character of country from Ogden west, 3212. Engineers who had charge, 3212, 3213. Engaged in the -ork from 1863 to 1869; completed road extended to Reno in 1868 ; commenced at Ogden and worked west, 3213,3214. Rails laid in 1869 ; laboring men in charge of Benson and West; witness em ployed for a while by Contract and Finance Company, 3214. Original cross-sec tions in custody of chief engineer; Interior Department furnished with profiles and maps; description of sections between 120 and Wells; grades reduced by cuts and fills, 3215. From Winnemucca to Wells described ; could build the road from Wadsworth to Ogden for $22,000 a mile, including a moderate equip ment; prices then bcyoud anything ever heard of; chief items of expense of con struction, 3216. A great many teams employed; did not form any continu ous estimate of cost of road, 3217. Cost of 7 miles from Sacramento eastward about $41,500 a mile, including all equipment except rolling-stock, 3217,3218. for next 150 miles eastward some miles cost from $200,000 to $300,000; witness guesses they averaged at least $84,000; next 627 miles must have cost $56,000 per mile, 3218, 3219. Nothing to add to bis statement embraced in Governor Stanford's testimony; Central Pacific had to hurry; road from Sacramento to Wadsworth only would have been valueless ; his classifications right and just, 3219. Wages to Chinamen and white men, 3219, 3220. A sum which somebody else must solve, 3220. Cost for ten days for 300 men about $4,000, 3220, 3221. Powder for grubbing; worked from 1862 till death of Mr. Ju-dah, 3221. Reconnaissance of Feather River route; from Reno east cost $56,000 a mile, not including equipment, 3222. Cost of equipment per mile,
3222, 3223. Simply an estimate as to cost, without including contractors' profits; $300,000 not too much for construction from section 1 to section 18,
3223. Same conditions would never occur again, 3223, 3224. Not feasible to divide construction among different contractors; the railroad company could Jiave huilt the road, 3224. The 10 per cent, a proper thing; can not speak as to profits; simply refers to actual doing of the work; mining crazes, 3225. How labor is affected by them, 3225, 3226. Impossible to get white labor; further explanation of the lOper cent.; railroad companies not so well equipped as construction companies, 322(5. What is economical railroad management as to construction; competency of chief officers for construction purposes, 3227. Was it economy to employ Contract and Finance Company, 3227, 3228. Advantages of contracts, 3228. Tho work bettor done by construction com?panies, 32*28, 3229. Plant of tho Contract and Finance Company ; who pur chased tho materials, 3229. Did tho railway fnrnish tho construction out fit, 3229, 3230. Class of equipment required; method of subletting repairs an exception, 3230. For large construction the contract plan preferred, 3230, 3231. Proposed tunnel through tho Sierra Nevadas; size and length of tun nel, 3231. One route of tunnel, 32.il, :$*232. A thousand feet of mountain over tho tunnel; other routes, 3232. Estimate of cost of tunneling from a quarter of a million to a million dollars a mile, 3232, 3233.
ANALYTICAL INDEX. 5423
Cliff, John T., testimony of:
Quarry at Spring Canon; rates paid; 2030. Insufficient car service, 039,2040. Superior facilities of Union Pacific quarries ; other quarries sell to Union Pa cific quarry, 2040. Insufficient car service; extent of switching facilities re quired, 204 L. Method of payment by Union Paciiic quarries, 2041, 2042. (Quarries near Fort CollinN; difficulty in reaching a market in competition with Union Paciiic quarries, 2042. Chicago capitalists deterred from pur chasing by high rates, 2042, 2043. Could not give rates for ilagging to com pete with Union Paciiic market; Stout and Constable got cars, 2043. There was only a demand for ilagging, 2048.
Cobb, Moses G., testimony of:
Suit of- Samuel Brannan against Central Pacific, 3243. Upon what information certain allegations were based, 3243, 3244. No definite information ; donation by the State of California, 3244. Guarantied interest on bonds, 3244, 3245. The correctness of other items; complaint refers to second-mortgage bonds, 3245. Information received from an omployd of company, 3245, 324U. State?ment regarding Brannan's complaint, 324G, 3247. The suit dismissed, 3247. Effort in Robinson suit to procure* the books of Contract and Finance Com-X)any, 3247, 3248. Arrest of Stanford and Miller; suit dismissed on a techni-caiifcy ; Mr. Cohen asks for court record ; where the complaint can be found, 3248. Titles of proceedings ; material from which allegations in complaint were made, 3241). Allegations as to actual cost of road, 3249, 3250. Mr. Cohen the author of the Robinson complaint, 3250. Wheroahouts of Bran-nan, Smith, and others, 3250, 3251. The case of Stewart against Huntington, 3251. Personal knowledgo as to loan on Brannan's stock, 3251. Penal stat ute under whiuh x)roceedings were brought, 3251, 3252. The books sought to bo reached; how the proceeding was brought; papers connected with the Brannan case, 3252. The Robinson case ; the $400,000 of bonds by San Fran cisco ; litigation as to city and county aid, 3253. Valuo of the bonds, 3253, 3254.
Cohen, Alfred A.* testimony of:
Professional employment by Central Pacific; connection with litigation against the Central Paciiic, 2381. The Robinson suit, 2381, 2382. San Joaquin Coun ty suit; object of suit, 2382. Witness's memory impaired by paralysis, 2382, 2383. Pleadings in the Robinson case, 2383, 2384. Contract with Contract and Finance Company a subject of inquiry; its terms not known, 2384. Never could iiroduco anybody who had seen it, 2384, 2385. Mr. Huntington's statement in regard to it, 2385. Contract with Western Development Company a subject of inquiry, 2385. Subjects of investigation in the Robinson suit, 2385, 2380. Stockholders of Central Paciiic and Contract Company the same; the agreement between the companies not in writing, 2386. Officers of Con tract and Finance Company, 2386, 2387. Papers, contracts and books; never could be had, 2387. Counsel in Colton case, 2387, 2388. Suit by Charles Main and others; no accounting overreached showing profits of con struction, 2388. The Lambard and Brennau suits, 2388, 2389. Settlement in Robinson case; names of counsel engaged; rate of settlement, 2389. Settlement of San Joaquin County suit, 2389, 2390. Basis of payment, 2390. Tenns made with counsel such that they would not undertake similar litiga tion thereafter, 2390. Counsel in the Brannan suit; consolidation of San Francisco and Oakland with San Francisco and Alameda, 2391. Signing of consolidation papers by witness, 2391, 2392. Terms of consolidation; no bonded debt at time of consolidation, 2392. Dividends, 2392, 2393. State ment of consolidations, 2393. The consolidation that formed the Central Pacific, 2;"93. Financial condition of consolidated roads; the liens; only San FranC'Kcoand Oakland stock valuable at consolidation, 2394. No market valuo to Central Pacific stock till resumption of specie payments, 2394, 2395. The Yuba road; San Francisco Bay Company; its stock had no market value, 2395. Central Pacific stock worth more after consolidation, 2395, 2396. The reason; amount of stock issued; effect of the Thurmau act, 2396. Oppo sition lines aided by Government, 2396, 2397. Government traffic on other roads, 2397. Transportation cheaper since completion of railroads, 2397, 2398. Condition of country prior to construction of road, 2398. Bonds did not net more than 60 per cent, in gold, 2398. The road not worth its bonded debt. 2398, 2399. Dividends; result if money had been applied to improve ment of road, 2399. .Financial condition of directors on completion of road, 2399,2400. Ability of company to pay its Government indebtedness; plan of settlement; matters to be considered, 2400. Earning capacity of road v-ry much reduced; ill-considered Congressional legislation; earning capacity coutrols its market value, 2401. Jts not and gross earnings for 1886 ; 2401, 2402. Loss of traffic caused by aid to competing lines; tUo Canadian Pa-
5424 U. S. PACIFIC RAILWAY COMMISSION.
Cohen, Alfeed A., testimony ofContinued.
ciiic, 2402. The Northern Pacific, 2402, 2403. Beneficial effect of competition of Southern Pacific, 240:5. Southern Pacific protects Central from competi tion with Gould's lines, 240:3, 2404. Hostile Congressional legislation, 2404. Prosperity measured by earning power; dividends prior to and since Thur-man act, 2404, 2405. Effect of Thurman acton earning capacity, 2405. The injustice of its operation, 2405, 2406. Effect of construction of Southern Pacific on Union Pacific, 2406. Abstracts of various articles of consolidation between Western Pacific and San Francisco Bay, dated October 28, 1869; between California and Oregon and the Ynba Railroad, dated December 15, 1869; 2407. Between Central Pacific of California and Western Pacific, dated June 22, 1870; 2407, 2408. Between San Francisco and Oakland and San Francisco and Alameda, June 28,1870; 2408. Between Central Pacific, Cali fornia and Oregon, San Francisco, Oakland anu Alameda, and San Joaquin Valley, dated August 20, 1870; 2408,2409. Proposes to produce books and papers relevant to investigation ; acconnts desired by the commission speci fied, 2728. Suggestion by counsel of Central Pacific as to method of inquiry, 2728, 2729. Object sought by commission in examination of b(?5ks, 2729. Commission will submit reports of experts, 2893. No question as to pro duction of vouchers, 2952. Specific vouchers called for by commission, 2953-2955. Additional call for vouchers, 2955. Statement from the New York World, 2955, 2956. Affidavit of Theophilns French, 2956. Calls made upon auditor for information, 3087, 3088. Copy first proposal of C. Crocker & Co. (from Central Pacific minutes, December 26, 186-); accepted and contract ordered, 3113. Copy letter requesting payment of bill for extra work and proposing to accept stock at 50 per cent., 3413,3114. Copy resolution accept ing proposition as to stock, dated September 12, 1863; contract covers first 18 miles from Sacramento east, 3114. Production of agreement as to telegraph ing ; copy assignment from D. W. Strong to O. D. Lambard, 3138. Resolu tion to pay D. W. Strong for services and expenses, dated July 1, 1M63; 3138. Books of Contract and Financo Company produced, 3270. No books produced showing entries between 1867 and 1873; 3271. Copy statement of Mr. Cohen, dated 15th August, 1887, asking extension of time, 3429, 3430. Explanation of Mr. Haymond, 3430, 3431. Belief that an extension of time will cause no delay ; the record the best evidence, 3432. Suggestion that depositions bo taken and submitted hereafter; contention that oral testimony more effective than depositions, 3432. Request for. time to consult with officers of road, 3432, 3433. Time when argnment will be heard, 3433, 3434. Newspapers may be furnished with copies of depositions; formal acceptance of the proposition of commission; resolution, of date May 1, 1865, relating to railroad and tele graph east of Newcastle, 3434. Report of committee on railroad and telegraph line, dated May 9, 1865; 3434, 3435. Committee directed to further report as to terms, 3435. Copy resolution offered by Mark Hopkins and terms of con tract adopted June 6,1865; 3435, 3436. Communication of C. Crocker & Co., dated April 16, 1866, request that stock be rated at 30 instead of 50, 3436. Contract with Contract and Finance Company, 3436, 3437. Terms of contract; resolution of date February 18,1S69, to give company's notes for amount due, 3437. Offers in evidence the following documents: Copy engineer's report of the location of the Contral Pacific from Humboldt Wells to Great Salt Lake, dated January 10, 1867; 3471-3477. Copy table showing comparative grades via north and south lines from Humboldt Well& to mouth of Weber Canon, in Great Salt Lake Valley; copy table showing ascent and descent of grade from Humboldt Wells to the mouth of Webor Canon, 3477. Reportof chief en gineer of Central Pacific upon the location, construction, and equipment of the road, dated July 1,1869; 3477-3483. Construction, 3480, 3481. Manner of con struction, 3481, 3482. Snow galleries and sheds, 3482. Fuel, 3482,3483. Tele graph line, 3483. Appendix ; bridges, 3483. Trestle-work, 3483,3484. Snow sheds, 3484. Snow galleries, 3484. Description of tunnels. 3484,3485. Dimen sions, timbering, etc., 3485, 3486. Labor;, progress, 3486. Copy abstract of work done withfull gangs; copy statistics of tunnels; copy listof shops, engine-houses, etc., belonging to Central Pacific, 3487. Copy statement of locomo tives and cars of all kind on hand, 3488. Declines to examine the Hunting-ton-Colton letters, 3546. And to bo guilty of a violation of professional cou-fidence, 354G, 3547. Suggestion by witness that Commission do adjourn and report to the prosideut; no further evideuce at present sitting, 3547. List of proposed witnesses to bo examined by the company, 3547, 3548. A call for original cross-sections of Central Pacific ; request for production in New York of the Huntington vouchors, 3548.
ANALYTICAL INDEX. 5425
Conklin, Jeremiah C, testimony of:
Ore shipments from Wood River country by Bollovue and Idaho Mining Com pany, 2196. Special rates an exception, 2196,2197. Wood River ores excluded from Salt I-ake market by high rates; the rates to different points, 2197. Complaint made as to rates, 2197, 2198.
Connor, Washington E., testimony of:
Members of firm of W. E. Connor & Co., 401. His account books; transactions with Gould, 402. Gould's transactions in unlisted securities (not through lirm), 403.
Cooper, Kemp G., testimony of:
General manager of tho Denver Republican; character of railroad facilities and accommodations, 1728. Discriminations in rates of -freight; the News re bates and smelting rebates, secret; complaints that railroad has built up one man to the detriment of others, 1729. Never had a special rate or notice that he might obtain one, 1729, 1730. Interest of Union Pacific people in other businesses, 1730. Charges that the Commission was skimming over the in-vi stigation ; denial of hostility to Union Pacific, 1731. Has taken position that rates in that section were excessive on all roads, 1732.
Coknforth, Joseph F., testimony of:
Kates from California at different times, 1893. Railroad fights injurious to com merce, 1893, 1894. No special rates or rebates received, 1893. An equaliza tion rate, 1694. Statement to chamber of commerce about equalization rates,
1894, 1895. Explanation of equalization rates; Denver people dissatisfied,
1895. Denial of receipt of rebate; a railroad war, 1923. Never received money Jroin any railroads or agents, 1923, 1924. Explanation as to equaliza tion rates; were extended to all alike ; not a rebate but an overcharge, 1924.
Cbawfokd, George N., testimony of:
Employed by Union Pacific some years ago to prosecute criminal cases; attend