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About Omaha daily bee. (Omaha [Neb.]) 187?-1922 | View Entire Issue (July 6, 1887)
THE OMAHA DAILY BEE : WEDNESDAY. JULY 6. 1887 ; I I THE DAILY BEE. PUBLISHED EVERY MORNING. TCRMS or gomcntrno * ! Dnflr ( MnrnU * Kdltlon ) Including Hundar Our. , Onn Voar . 110 00 For Six Month * . C 00 ) 'orThr < vi Months . 4 . Z 60 Tli * Omaha Hmxlav linn , mailed to anjr nddteu , One Voar . S 00 OHAHA OrrtcB , No. nu AND old FARVAM YOBK orrtrn. n < ) W f > , Tntiii'vp. ntnimva. All oommunloations relating to nawft nod odt- torl l nmlt r MioulU bo atMruMod to thu Km- ion or TMK Bit. A n bti tno | n letter * find romlttnnco * should ba rtddroMod to Tim lln Puuumu.su COMPANT , OMAitA. Draft * , chuck * anil po Mortice order * to bo made pajrabta to the ord r of tU company , TBE BEE POBLISIIINTcipm , PROPRIETORS , E. IKMRWATKR. EPITOK. THE PAI1/T BEE. Sworn Statement of Circulation. State of NchrasVa. I . . Connty of Doiulas. f s < " Oco. B. Tzuchucif , secretary ot Tha I ee Publishing company , does solemnly swear that the actual circulation ot UIB Dally Itee for the week ending Julr It 1887 , wai as follows : Batnrclav..lunp 35 . M.MO Sunday , -Mine 2T > . 14'JOO Monday. .Juno 27 . 14or > Tupirtay , Juno 28 . M.U5 ( Wednesday , Junn29 . U.040 Tliursday , Junu.'iO . 14,020 1'rlday , July 1 . 13 , i Averatro . 1 4. 150 ORO. B. IV.irnttcK. Sworn to and subscribed in my presence this 2d day of July , A. D. 1887. 1887.N. . I' . Fun. , rSKAL.1 Notary 1'ubllc. State of Nebraska , I DotiKlas County , f ss Geo. li. Tzschuck , being first duly sworn , dcposM and sa > s that he Is secretary of The Hco Publishing company , that the actual vcrnco dally circulation of the Dally lice for the month of .July , ISbO , 12,314 copies ; for Aiifftist. 188 , 13,4ftt conies ; for Sentcm- IXT. 11WO , 13,030 copies ; for October , iBfaC , 12,089 coplw ; for No vein her. 1880 , 13M8 : copies ; for December , IbW. . WSr7 copies ; for January 1887 , UV-W1 eoplc < t ; for February. 1887 , 14,194 copies ; for ftfarch. 1B87 , 14,400 copies ; for April , 1837 , 14lOcopies : ) ; for May , 1887. H,2'- : copies ; for June 1837 , 14,147 copies. OKO. n. TxscirucK. Subscribed and sworn to before mo this 1st day ot July A. D. , 1S77. [ HEAL. | N. 1' . FiciL. Notary Public. TIIK broach of promise bumnorH is being reduced to a fine art. HKV. Jotrw JASPEU , of Richmond , is going to Europe. Ho will probably join Mr. Dana , and together they will con vince the Englishmen that the sun do move. TIIK Salvation army is having trouble in Kansas City , and the Kroonbuckord are dissatisfied in Iowa. The prospect for a good crop is the only thing that saves the country. AT Oakland yesterday hail stones fell so ranch larger than the traditional hon's egg , that such a comparison is not in order. Our informant tt'ls ' us they were ten and : i half inches in circumference. NEW YOKK complains of being tax- ridden. If some of her boodle aldermen - men had been rail-ridden and sent on n free excursion to Sing-Sing years ago , there would bo no room for such a com plaint. THE Georgia legislature convenes in extra session to-day , and it is predicted that it will continue three months. Georgia has been allliolcd with grasshop pers , but this last calamity stands alone , unequalled oven by the ravages of nu- turo. JOHN M. TiiuitsTON brought back hla Fourth of July oration with his fishing tackle and a job lot of wall-oyod piku , caught by Minnesota lisliormon while John was on the look-out for the soar- gont-at-arms of the Investigating com mission. Poem Jim Dawesl There are none so poor to do him reverence. While everybody - body round about Crete was called out by the Clmutauqita assembly to lire on" nn oratorical Fourth of July rocket , his ox-excellency was never as much as mentioned. Republics are provorbally ungrateful. TIIK Pacitic Investigating commission lias been at Lincoln , and was entertained with that same old chestnut concerning California sugar being shipped to Omaha and then back to Lincoln. This sugar alory delivered In job lots of tou car loads each , would go down. But when it comes in broken packages , it would tick even in the throat of ex-llailway Commissioner Gore. THE fact can not bo successfully dis- Dutod thatin ; the estimation of the royalty of England Mr. James U. lilaino has not ns yet reached the hltrh social altitude oc cupied by our own distinguished cili/.on , Colonel William Frcuman Cody. It must nlso bo remembered that the only public office Colonel Cody over held was that of juembor of the Nebraska legislature and justice of the peace. Queer people that royal family. WIIKX Governor Hill , of Now York , appointed Colonel Fred Grant one of the quarantine comm'mslonors for the city of Now York the republican senate refused to confirm the appointment. The repub lican lenders seem to realize that it was n mistake and may possibly n licet them nt the next election. It is now proposed to nominate young Grant for secretary of state. Thu name of Grant is htill worth several thousand votes in the WH pire btato. IN tlio event of thn nomination and election of Allen G. Tlmrir.tin as gover nor of Ohio , if Prrsidout Cleveland will put Ma car to the ground about the middle of next November , ho will hear a ilcmouratlo yell for the "old Roman" coming m from all parts of the country that may cause him to decide positively nbout giving up the occupancy of the white house on the third of March , There may bo a presidential eiiiutidatt yet in that eld red bandana. TIIKIIE U only ono way to checfc job bcry and boodlmg when municipal legis lators bind themselves together vrltl public plunderers mid v administrative ullicera lack the ncrvt ) to interpose thoii jiuthority ugaiust jobbery , and that it bj invoking the aid of the courts. It was very Directive in defoatmg the Ilollj waterworks and sandstone jobbers ami affonl. the only safeguard against th < boodle t > chctrn m of which that iruuduloul Hounds & Taylor contract Is merely t ! oreruuner < Th Vacant If the reports from Washington can bo relied upon , the president has indicated his dcslro to appoint Secretary Lamar to n justiceship on the supreme bench , suc ceeding the late Justice Woods. While It is a well established fact that Secretary Lamar is an sblo and bratnny man , lie Is not the proper person for the place. In early life Mr , Lamar won some distinct ion al the bar. What training has ho had to lit him for n justiceship upon the highest judicial tribunal in the world ? Mr. Lamar has not bon a practicing law yer for almost twenty years. At the close of the war ho was among the lirst of those whoso fortunes had been cast with the confederacy to bo elected to congress. From that day until the present ho has constantly been a sen-ant of the people , scrying in the house of repres entatives for a number of years , followed by his elevation to the United States senate whcro ho remained until selected by President Cleveland as a member of his political household , It la freely ad mitted that Mr. l.nmar Is a student , but his studies are no part of the law , nor do they have any bearing upon civil juris prudence. Ho is a student of literature , but not of law. Thcro Is still another more potent rea son why Iho president should not make what wo believe would bo an unwise selection in the person of the secretary of the interior. Mr. Lamar is not a man of ideas that can properly bo termed"prac tical. Ho Is a theorist , and full of dreams. In addition to this hois a slave to the use of morphine , which renders him for days , and sometimes weeks incapacitated for bvsincss. At Washington complaint is general that important business of the interior department has for weeks gene unattended because of the secretary's unfortunate habit. When Mr. Lamar was an "inmate" of the semite he was well known as the friend of railroads and tlio advisor for corporations , in other words , "a corpo ration senator. " It the people of the country could be consulted , Mr. Lamar would not bo made the successor of the late Justice Woods. The supreme court being the highest tribunal , and the court of the last resort , its bench should not be loaded down with paid attorneys from railroad corporations. If the president is sincere in his expressed wish to select n person from the south , and a democrat , he can Hnd any quantity of material ; men who will wear the judicial robes with fidelity to the people , and honor to the position. Mr. J. Randolph Tucker , of Virginia , who served with distinction at the hi-ad of judiciary committee of the house for a number of years , would bo an excellent man for the place. IIo is not a politi cian. He is a lawyer and ono of the most learned at the south. He is an hon est man , and a man identified with the people , who was never the personal rep resentative in congress of railroads or other corporations. If Secretary Lamar is to bo continued in the public service lot him remain where ho is. of n Unnk Failure. The developments connected with the failure of the Fidelity bank of Cincin nati are instructive ] and the lessons they impart ought not to bo lost. They may indeed not bo entirety now , but they are not therefore the loss impressive. Per haps the most salient of these lessons is that the system of bank examination is not sulliolently careful and thorough. Take the example of the broken bank , which was literally gultml by the wheat speculators. A short time bc-foro its collapse it was visited by a bunk ex aminer who found that its books showed it to bo in possession of a million dollars. Hut when ho sought to ascertain the whereabouts of this sum ho was simply given a pencil memoranda of amounts aggregating about a million dollars due the bank by the vnirtias who it trans pired a few days later had plun dered the in&titutious , and the examiner seems lo have been satisfied with this showing IIo was not required to bo. The law gives th ese otllcials ample power to make their examinations as thorough as they shall doom necessary. 15ut the truth is they very rarely comply with tlio plain intent of tlio law. Some years airo an eastern bank was robbed by its c.ish- ier of several hundred thousand dollars. When ho saw that exposure was inevit able ho committed suinido , and in a letter ho loft to the bank olllccrs ho .said there could bo nothing more simple than to fool % bank examiner. Some of these otlicials are not quniiliod for the duties , while most of them arc content to per form so much of their duties as they do understand In a more perfunctory way. Sharing perhaps In the general confi dence that bank directors are keeping n vigilant watch and ward over the business of their banks down to the smallest detail , and doubtless m- iluenced also by the feeling that a thorough investigation to confirm the statements of otlicials might bo oll'cnsive , the examiners are too often satisfied with the llgurcs given them and a merely su perficial examination. Jt should bo un necessary to say that the business of the examiner deus not warrant him in giving any consideration to his own or the pop ular contidouco , or in yielding to any sort of sentiment. The law expects him to verify every statement made to him , to see that the books accurately repre sent the actual condition of the bank , and to report the results of his examination as facts of his own knowledge. Other wise the system can bo of no real value as a trustworthy statement of the condi tion of a bank , and aiight as well be abandoned. The comptroller of the currency , who has been somewhat severely criticised in connection with the Fidelity failure , but who probably cannot justly bo charged with being at fault , practically admits that thq local government examiners cannot bo rolled upon to keep everything in proper condition , and ho will review in his next report the recommendation madn in that of last year , that besides the local examiners there be appointed some half a do/.cn supervising examiners to bo paid by the government , and not by the banks. The duty of these would be to review the work of the local ex aminers. There can be no doubt thai such a plan would be likely to secure more uatiffnctory results than are ob- mined at present. It would certaiulj insure more careful investigation on the part of tbo local examiners , and il the supervising examiners were thor onglily competent men , wholly free from bank influence , danger from the shortcomings of the former , by rea son of incompetence or any other caunc , would bo greatly reduced , It U verj certain that public faith In bank exam inations as they are bollovod to bo con ducted at present is not very strong , and something needs lo bo done to restore it. The plan of the comptroller docs not ap pear to bo open to any serious objec tions. It would oroato a few more gov ernment olliclals and increase by a few thousand dollars the annual expendi tures , but the people wilt not find fault with this if thereby the banks of the country shall bo rendered more secure against such rascals as Harper and his fellow thieves. Another lesson of this failure is that the government should not bo too ready to give its endorsement to now banks by making them depositories. Senator Sherman has expressed the opinion that no bank , such as the Fidelity was , should bo made n government de pository. The effect of such an indorse ment by the government is to give a new bantc a claim to public conlidcnce which it has not earned by the only method that can establish and entitle It to confidence H prolonged and successful business career. Finally , this failure suggests that the national bank act must bo made stronger , with safeguards against such bold swindling as it disclosed , in order that the banking system shall not be available for the use and abuse of any unscrupulous rascal who , like Harper , can Hnd the means to start-a bank. Hallway Kttenslon. Since the first day of last January there has been 3,751 miles of railroad constructed in thirty-seven states nnd territories. In the list of states Nebraska stands fourth , the number of miles being constructed , U31. Kansas heads the list with a new mileage of 092 miles. This mileage is the work of seventeen loads while in this state it is confined to live. The next highest is Texas where eight roads have been constructed with 48 ! ) additional miles. The third highest Is Indian territory with four roads , having built 443 miles , Dakota territory seven roads , 304 miles ; California five roads , 158 miles ; Missouri live roads , 144 miles. Of thu southern states Alabama , Georgia and Floritta make thu best showing. The following table will show a summary of track lay ing in each of the twenty ycara preceding the present : It will bo seen that the record for the lirst six mouths of 1887 shows nearly so great mileage as that built in 1884 , and considerable more than that in 1881 , and that it is greater than the mileage actu ally added in about one-half of the last twenty years. The record of 1880 was surpassed only by that of 1882 , but that of the present year seems to bo in a fair way to outdo its immediate predecessors , and perhaps to exceed that of any previous j'ear. It can be seen that In 188'i the now mileage of i ail ways was greater than that of any year named in the table , nnd il was also greater than that of any year during the history of railroad building. The mileage above named does not in clude the several hundred miles of sid ings , but is confined to new main line tracks. Dr. McOlyiiu I xcoiiiinunlcated. Cable advices from Rome announce that Archbishop Corrigan , of Now York , has been directed by the papal conclave to excommunicate Dr. McGlynn , and publish the decree in the Catholic jour nals throughout the world. This does not come unexpectedly to the rebellious doctor , for in declining to answer the summons of the papal father to appear before him in Rome previous to the 2nd ot this month , was equivalent to a recog nition of the decree. This is the lirst instance in a numbci of years where excommunication ha-i gone forth with such papal demonstra tion to a member of thu priesthood m the United States. The original idea and custom ot excommunication in the church is not now in use , and is in fact obsolete. There was a time when the person so oxcommunio.itod was deprived of all soeial and personal recognition from members of the church upon pen alty of their being also excommunicated , lint such is not-the case now. Excom < muuication was then incurred by those who dealt with ono who had been exconv munlcatod "by nmo , " but Pope Pius IX , deliberately dropped this inhibition from the law wiuiii enumerating the censures incurred according to law. All canon ists since 1UU9 have been taught that this censure has lately ceased , and in 1831 Pope Leo XIII. approved the public declaration of the congregation of the sacred inquisition that this censure a ; established by law had positively ceaseil to exist. Now only the rites of the church , and the participation in any of the sacred du ties are forbidden the person excommu nicated. He can neither preach nor saj the mass nor extend the sacrament Neithci can any mombcr of the church engage with the oxcommnnicant in sucli services , Beyond this the church , uudoi thu law as ghcd by Popu Leo XI1L , lias no jurisdiction and could not take cog- ni/.ance of any personal or social rola * tion. tion.The The person excommunicated is no1 supposed to cither preach or cngagi whatsoever in any of the prnntfces of tin church ; that he will not bo deprived ol attending the servleos , or of indulging in sucti personal worship as he may elect , He can come to IntoQtlui church and par ticipate In silent prayer , but ho caunoi lift his voice as ono of the church , WHKN Mayor Uroatch approved the Rounds & Taylor printing contract with out reading it , ana without exacting nt ollioal certificate from the city attornej that the contract was legally drawn , he was guilty of gross negligence , to say the least. Hut it was in his power to rectify this blunder. Tbo contract which ho had signed Uad to go back to the council foi Us final approval , When he ascertained that the contract was not drawn in ao oordanco with the bid and learned through the city clerk that Cadet Tayloi had withdrawn two of his bldi which wore evidently lower than the one on which the contract was awarded , it was hi * manifest duty to rescind his approval and sand the contract back to the coun cil with a message calling attention to the discrepancy between the bid and con tract M drawn , but Mayor Broatck lacki stamina. Ho dons not want to Incur the ill wilt of the Rounds & Taylor gang ot bulldozers and jobbers. Ho admits that the contract was procured by imposture and sharp practice , but ho has not back bone enough to stand between thu job bers and taxpayers by exercising his un questioned right to undo the fraud to which he unwittlnily gave his sanction. Mayor Uroatch iWjnot serve two masters. Ho cannot serve the taxpayers and ac commodate jobbers and booilers at the same time. 4 The MiJiif i Succe ful. Cti < V < ne "Lfiultr. The Umtha BF.K Is sweet sixteen. Started M a gratuitously distributed handbill U Is now one of the most successful newspapers In the western country. H lc and Hearty. liutler County Prw. The Omaha KER celebrated Its sixteenth birthday last week , It looks halo and heartr Is neither "foundered , "sweenyed nor knee- sprung , etts well , and Is liable to flourish as the newsiest paper In ttu > state for many years. A good many people dislike Hose- water , but all like his paper , Success to the Omalin an n Stock Market. 1'orfc Time * . As wo have often remarked , homo markets are the surest and the most enduring solu tion of the transportation question for this country. It Omaha becomes a gicat me tropolis , which It Is almost sure to do , and other large cities build up In the state , a largo amount of the product of the state will be consumed at home , and will command a much better price , lint more Important still are the packing inteinsts of our .state , Which nre rapidly developing Says the Omaha UKK : "The business done at the South Omaha stock yards is rapidly assuming mammoth proportions. On Tuesday , 8,000 hogs were received , nnd Monday there wore 0NX ) . All wcro > old heie. Hesldes the hoas , there are from 000 to 800 head ot eattlo sold per day. The Union stock yaids bank transactions on Wednesday , amounted to over 8500,000. These figures are evideiico of the growing im portance of Omaha as a live-stock market STATK AND TRUR1TOHY. Nebraska The town cow in Plattsmouth must go to the pound or pasture. OThe horsothiof is no lonnor abroad in Dundy county. Ho is in jail. The now Congregational church at Hushvillo will bo dedicated next Sunday. Fremont intimates that Hastings is a bag of wind with the clapper-valve wide open. The Fremont postoflico shows an in crease of | 1GOO in earnings the past fiscal year. Fremonters will bn content if the Klk- horn Valley railroad shops arc located thcro. Subscriber , Valley county : General Drum lirst suggested the return of the rebel llags. The salvation lieutenant in Hcatnco , who shouted "lire" until his lungs quailed , was accommodated by a hose company and put out. Plattsmouth's second cannery , that of Carruth * Ss Co. , is operating on string beans and peas , with 100 acres of corn and thirty acres of tomatoes in reserve. To several anxious democrats : Mar shall Hierbower continues piling up fat tee.s in the federal 'building serenely in- dilVerent to the clamorous lamentations of the faithful. " The once proud bird of liberty is laid up in a cyclone cave from the ellects of the assault of Colby , Howe and Chase. Even the dashing Colonel Sabin rctuses to write a mutual policy on his life. ll. P. Alfoth , a Wymoro brewer , is ac cused of balancing his accounts by cre mating them together with his browery. He is meditating on ihe smooth side of a plank in jail. Soycr.il absent minded individuals at Hastings finally acknowledged to the board of equalization that they owned from $20,000 to $40,000 more of the world's goods than showed up in the assessor's books. The Hungry Looking club , a late insti tution in Fremont , limits its membership to real estate agents. The club quarters are not sulUciently commodious to take in all male residents and bachelors. Mr. and Mrs. J. Tooley , of Shelton , celebrated their golden wedding last Wednesday. The joyous occasion was remembered by friends who presented the couple with $25 in gold , a life lease of a town lot and an order tor the lum ber to build a home. The Fremont stock yards company has placed orders for material for the con struction ot the pens , a railroad and a hotel. The olant will cover thirty-live acres and will accommodate .1,000 head of cattle and 4,000 head of hogs. The packing house will be built directly south ot the yards. The Listener has gene out in a sky rocket li// . In a moment of mute fren/.y he unfui led his torquois-tlnted gossip trap to catch the enthusiasm of bnrning pow der in midair. A dismutlcd : rocket spied the gaping depths and swept away several yards of the outer roe p. It couldn't miss it. The Heatrico Democrat has made the cheering discovery that the I&F.K & "is more guarded in its language in refer ence to the Mutual insurance company. " The Democrat would also discover , if it shot a glance beyond the boundary of the town , that the company has modified its patent gouging process to the extent of taking in a num ber of "prominent citi/cns , " for adver tising purposes , on the ground tloor. Is the Democrat on the list ? Iowa Items. The normal school building at Algona is about completed. Frcomail delivery has boon inaugurated in Clinton and Muscatine. Sovonty-livo barks were soutlled by vho police of Cedar H pWs last week. State Mine Insp pror Stout makes an enthusiastic report lfim the natural gas wells of Guthrlo cdluity. Carroll Is doing' largo amount of building this ycar&-Among ' the improve ments is a flO.OOO court-house. Davenport turners laid the corncr-stono for their now hall { OH Sunday A largo number of visiting ipombcrs of the order from neighboring Jfpcos were present. Miss Anna SoIiKuim , of Uurlincton , went to her windowio listen to the music of a seronado. SW [ < leaned too heavily against the blndsrHiIch ! parted and the young lady fell to { hi ground. The local report says she wMJ' nuoh shocked by the fall. " ya Dakota. The cowboy amtfsfr himself In Deadwood - wood by shooting dogs , even at their master's heels , Custer boasts of a supply of water "as clear as amber , cold as ice , and as pure as angel tears.1 Delegates are being chosen to the di vision statehood convention , to meet at Huron on the 18th inst. Lawrence county has enough saloons to yield an annual revenue of $40,000 under the new liccnso law. All Souls church , to bo erected thlsyear in Sioux Falls , will bo 48 by 03 feot. The contract for the mason work has been let. Sim Nichols , a barber m Carbonate Camp , lilaok Hills , abused his young wife , who eloped with him a year ago , and the boys tarred and feathered him for it The young woman has gone to her paruits m Central City. RACY RAILROAD ROMANCE , How Jay Gould Frightened a Lot of Bouton Capitalists. GOULD'S GORGEOUS QRIT An Interesting Agreement A Man Who Feared to He Known In the Transactions An Kntcr- Skotuli. Now York World : Jay Gould origin- nlly became Interested In Union L'acilio in 1871 , having , as ho states.loarncd from lloraco F. Clarke , one of Commodore Vanderblll's sons-in-law , that thcro sooined great possibilities for the property in the future. According to his own ac count , in 1874 ho bought 100,000 shares at about 30. Shortly afterwards Mr. Clarke died. Air. Gould entered actively into the management , as is his custom with enterprises In which ho embarks. lie cruve a great deal of tlmo to it , and assisted the road financially for some 7ears , so that at the close of 1870-7 ho held ns much as 300,000 shares out of n total of about atiO.OOO. The relations at this time existing between the Kansas Pncilic and the Union 1'acitio were pe culiar. The Kansas Pacific starts from Kansas City and lias a general westerly direction parallel with the Union Pacific , about two hundred miles south of it , going through a region of coun try wlicro the elevation is not so great , and having a great many natural advantages. Tito road has boon butchered , almost , so far as finances wore concerned. It was subsidi/.cd by the government lor the lirst 301 miles west of Kansas City , and from that point towards the west it had been built at hapha/.ard , all the bonds and securities Unit could bp put upon it in any shape having been issued to directors ami to other parties whoso position enabled them to get advantages out of the road ; so that 187.1-0 the Kansas Pacific was a pitiable spectacle. As Mr. Villard him self described it in his evidence , It was "a forlorn concern. " Every mortgage was in default , and mortgages which had been mudo to fund coupons were in tiuiir turn defulatod. The road was poorly constructed , its business was very small and it was in the lastgasu of bankruptcy. The construction of the road carried it as far west as Denver and from Deliver to Cheyenne , which is nearly north , a distance of a little more than three hun dred miles , there had been constructed what was known as the Denver Pacific , as a connecting link. TIIK KANSAS 1'ACIFIO TOOL. The relations between these two roads had been very hostile , the Kansas Pacific people trying to compel the Union Pa cific people to prorate , so as to enable them to share in such transcontinental business as they might bring to Chey enne and there deliver to the Union Pa cific. This Has resisted , and the rela tions between the two communes led tea a number of similar contests in regard to tratlie between Denver and Clioyenno , the Union Pacific having built a rival railed the Colorado Central , simply in a spirit of hostility to the Kansas Pacilic road. About tlio year 1877 Mr. Gould be gan to take a lively interest in the secur ities of the Kansas Pacilic. A scheme was formed to gather all the hetero geneous mass of bonds , coupons , stock obligrtions and lloating debt of the Kansas Pacific , and convert it into a sin gle security , the terms of conversion be ing lived by commutation rates bused upon the value of these various secur ities. This was known as the Kansas Pa- cilip pool. Mr. Gould was the most active member , and his interest was rep resented by over 2,000,000 of what were known as subordinated income bonds , purchased by him shorty before 1878 , at a price probablv not exceeding 10 cents on the dollar. The other active interest in this pool was known as the St. Louis aity. This party consisted largely of olliccrs ot the Kansas Pacific road , and their interest was largely in the Kansas Pacitif ; stock. The general feature of the plan was that the iirst mortgage on the road was not to be disturbed. The United States lien was also untouched , the two amount- inn to about if 12,000,000. The succeeding bonds were scaled at 60 cents on the dollar lar , the subordinated incomes held by Mr. Gould at 150 cents , and the stock at 13J cents. The whole mass of the securi ties thiin to be converted footed up about $17,000,000. The intended result of the conversion was to transform these securi ties into about $5,000,000 , of the now se curities. In the spring of 1871) Mr. Gould bought out all of the St. Lotus people , The evidence taken before the commis sioners contains a statement of the terms ot this purchase. Tim principal feature of his p'urchaso was the stock of the Kan sas Pacilic road , of which ho had bought over 100,000 shares at itj per cent. In the early spring of 1871) ) Mr. Gould had ac quired an interest exceeding 100,000 shares of Kansas Pacific stock at a cost of a little over $300,000 , $2,000,000 of subor dinated bonds at a cost of not over $200,000 , , besides having an interest in va rious other securities of this company of smaller amounts. TAKING IN TUB ST. JO AND WKSTKItN. The St. Jo & Western is a railroad ex tending from St. Joseph on the Missouri river to Grand Island , a point on the Union Pacific distant about two hundred miles. The railroad , in 1871-5 , had passed through a financial experience if possi ble more disastrous than the Kansas Pa cilic. The road was poorly built , scantily equipped , : uid its securities scarcely worth civing rway. From the evidence taken before the commissioners it appears that in 1871-r , > the lirst mortgage bonds sold as low as 0 , and the stock and subsequent securities c.uno , to bo known as "trim mings , " and passed without additional consideration in all transactions rclutititr to bonds. In the .sprint : of 187i > Mr. ( iould bought a controlling interest in this com pany , securing between a million and a iialf and two millions of the bonds at10 , and about 15,000 shares of stock which passed with the bonds. It appears from the evidence taken before the commis sioners that out of the securities pur chased by Mr , Gould from time to time ho allotted to those interested with him in the management of the Union Pacilic a moderate pronoitlon of his lioldings at the price paid by him , su that in the sum mer ot 1870 substantially all of the di rectors of the Union Pacilic were inter ested as ho was , but in much smaller amounts , in the stock of the Kansas Pa cific. in its bonds , in the bonds of the St. Jo iV : Western and its stock. In the fall of 187 ! ) the scheme for the consolidation of the Kansas Pacific wiiu Union Pacific , which before that time had been mere discussion , under the influence of Mr. Gould took serious and tangible snapo. A letter was written , signed by ( iould , Dillon , Sago , Ames , Dexter and Atkins , addreficd to Solon Humphreys and G. M. Dodge , requesting thorn to ex amine into the a flairs of the two com panies and report suitable terms of con solidation. ' 1 his letter was dated October 23,1879. Up to this moment Mr. Gould had been an advocate of consolidation , but it was to bo consolidation as ho wished it. It appears from the evidence of the lioBton directors that ho and the Union Pacific people and the Boston di rectors could not coma to terms , ( iould asked more then they wore willing to concede , None of the witnesses wore able to recollect the exact point of ( infer ence. except that Mr. Gould asked too much , and the negotiations were broken oil' . When , a few months latter , the ne gotiations were carried to a successful conclusion , none of Iheso. same wltnossw could remember any concession rnado bj Gould. They said ho was "ruoro con " " " " ' non < dilatory" nmt "more "pliant'but of the.m could recall any change in the terms of consolidation , The essential money feature In tlu consolidation was , to Mr. Gould , the Kansas Pacific stock , lie had bought if at Oh and ho wished it rccognlmt in the consolidated company at par. It is clear that the failure to agree , which occurred in October , was dun to the fact that the Boston directors of the Union Pacific declined - clined to permit the Kansas Pnolllo stock to bo recognized at par. The Union Pa cilic for years had been paying dividends ; the Kansas Pacific had barely emerged from bankruptcy , and the prices to which its securities had risen were simply the result of the accumulated purchases of Mr. Gould and his associates. TIIK T.1TTI.K JOKKIl IKTIIK OAME. The failure ot this negotiation led to some consequences or great importance. The Missouri Pacilic , then in the substan tial ownership of Commodore Garrison , extended from St. Louis to Kansas City , on the same general parallel of latitude as the Kansas Pacilio. The Union Pacilic Central branch and the Kansas Central were partially constructed railroads be tween the Kansas Pacilic and the Union Pacitic , nnd extending westward. To fully appreciate the succeeding events , it must be remembered that Mr. Gould was at this moment the owner of an enormous interest in the Kansas Pacilic stock , and that the success of his operations de pended upon his securing for that stock a guaranty of recognition that would give it an assured ami permanent value. It appears from the evidence that im mediately after thn failure of the Octo ber negotiation Mr. ( iould wont west , November 7 , and apparently without preliminary negotiation ho bought from Governor Amos , of Massachusetts , a con trolling interest in the Union Paoilic Cen tral branch , paying therefore an nverage prices of $831) ) a sliaro. It appears from Governor Amos' testimony that the stock of this road , barely a year before that time had sold at 10,15 nnd 20 cents on the dollar , and it also appears that within a few months of this sale the stock was bought at par. The road had never paid or earned a dividend. November 13 Mr. Gould , also apparently without preliminary negotiation to anv extent , purchased the Missouri Pacific from Commodore- Garrison , paying him for stock 750 per cent. Ho also bought the Kansas Central , paylnc for a control of the bonds nnd stock 1170,000. Immediately after these transactions were consummated it boc.unu & public report that the Missouri Pacific was to be extended through the Kannaa Paoilic , the Central branch and the Kansas Central beyond Denver , through Ixivolantt Pass to Ogdcn , and thence to the Pacilic ocean. Tliu ell'cct of Urn information upon the Boston directors is graphically described by Governor Amos. Ho declares that ho never saw a more frightened people than these Boston directors when they heard that Gould was going to thn Pacitic octmn with the Missouri and Kansas Pacific railways. Tin ; nosroMANs nAm.v SCARED. Thpso Boston gentlemen at once began a series of pilgrimages to this city. Gould had absolute control of the situation. Ho wanted consolidation , but consolida tion according to his own notions. If the Boston people would accept it that way they could have it ; if not , tliev could have the competition of the Missouri Pa cilic system extended to the Pacilic ocean , Mr. Gould himself , when asked what the ollect of this competition would have been on the Union Pacilic , declared im press ely , "It would have destroyed it. " The negotiations between the Boston di rectors and Mr. ( iould culminated Janu ary 11 , 1880 , at a meeting hold at his resi dence in this city , where , as ho duuhire.s , the Boston directors would not let him leave the room until ho signed a paper agreeing that the consolidation should go through. There were present bcsldo Gould at this interview Kussell Sage. Sid ney Dillon. Frederick L. Ames , K. II. HaKcr , K. G. Dexter and IClisha Atkins. The outcome was that' Mr. Dexter drew up on a shi'ot of letter paper the follow ing agreement , which all present signed : KANSAS PACIFIC KAII.WAY COMPANY , I 7a HnoAiWA.r ) , Niw : YOKK , , J n. 14 , IbM ) . f Memorandum for ttmns ot uirtmiiont ) lor consolidation of l < nlun Tactile with Kansas J'acilic , ill which the Denver Pacific , % . Joe it Western anil Union I'adlic , eastern di vision , are Included , all necessary papers and any furthnr au'ieenients to hn prflpm > d by .Indigo Dillon on his rntuin. The Union anil Kansas Partite , \\lth all their icspecthe as sets and properties nnd liabilities , : uo to bo put toirether : it p.ir of their respective eapl- taU-8Jfl,7iaJto ( : , uid MU.OOO.ooo , to which Is to bo added the capital of the Deliver i'.icltli1 , S , OUO,0 < X ) , inaklnu the capital of the Union Pacllic Itallw.iy company , ns the uow line shall be called. S.7.i,702SJO. The Denver I'.icluc capital , now an asset of the Idinsas I'.icllic , to ho useil after coii- \ersion Into Union I'.iclhe rallwav slock to pay lor shares and bonds of St. .loo it \Vestci n railroad and St. , luti In Idee , as hereafter stated , nnd for other iiurpuies. The St. Jot ) \Vustuinuilro.id lirst inortcaire bonds and .stock , to the extent of a controlling interest in the sauiu , to foe boiiu'ht ot patties now owning it at pat tor liomls anil § 0 t\ share for stock payment to IK > made In Union Pacific lailway stucl ; at par. The road to be leased to the Union Pacific railway coni | > uiy lor tlui Interest on the lirst mortKSRH bed n s or otherwise as may bo de termined. Tlio liridiie at .St. Justuili is to ho hoimht of parlies now owning controlling in terest In the bond and shares of the same at pur tor bonds wittiitho shares thrown In , anil payment to be made cither In shaiesnf Union I'acllic railway at par or Kansas 1'adhc con solidated mortgage hands at par. The Union Pacilic eastern division , Is to betaken at cost to Mr. ( iould and paid tor in sniiic securities that he gave , viz. , about one- hall In Katis.isJI'ndlic consolidated mortgage bunds and one-half in new Union I'aeihcii per cent , tilist bonds , both at par. K. S , , JAY < ! ouLi ) , FIIKU'K U AMK.H , 1 * 11. HAKIM : , F. < S. lK\ri.it , iilUN'KY DlM.OX , K. A'IMMs. TIIK KFKKCT OK THIS AGUnKUKNT. Uy the terms of this paper Mr Gould secured for ' 10,000 full shares of K-insas Pacilic stock that had cost not to exceed $250,000 , $ t,000,000 , ; he secured $1,500.000 for a like amount of St. Jo and Western bonds that hud cost him $ G'U,000 ' ; h was also enabled to turn in some 150,000 shares of St Jo & Western -jtock which had cost him nothing at f'-io a shiirc. The Central Branch purchase ami tlio Kansas Central purchase , which had been taken in connection with the Missouri 1'acilio scheme at extravagant ligtircn by Mr. ( iould , went turned uver to the consoli dated company , and Mr. Gould was thereby relieved of the burdens he hud assumed. One of Iho parlies present , with uu unconscious reali/.alion of the gross impropriety of the business which was being transacteds < ! < mis to have b jn afraid to ativ ! his entire name uml to Irwo been willing onlv to identify him self with the transaction by use of his initials , " 11. S. " 1 he signing of this paper determined the consolidation. Them was no consul tation of stockholders , no submission to boards , no corporate action. Guuld had willed it in his house , and his will was law. January 10 , two days after the piper wn .signed , Humiihrevsand Dodge made a fjnual report advocating the con solidation on precisely the terms stated in the p-iper tugnnd January 14. The question naturally urises whether this WHS an unbiassed report or whether these gentlemen were inllueneed by Mr. Gould , The extraordinary procto'lnig by which the Denver Pacilio stock referred to In the p.tpcr executed at Mr. Gould's house was taken out of I hit property pledged as se curity for the Karis-ts consolidated mort- Cajre , Is top well known to need further explanation. But th origin of nnd mo tivu for that proceeding if madw perfectly clunr by this p.\per. It was to bo von- vert d into thn now stool : for the very nurpoto of aflbrdlug a fund out of which Mr.Uould could receive the price exacted by him for his branch roads and their "trimmings. " 1'crlwpa the most striking Illustration of the unbounded ingenuity and fidelity of resources of this man Is to bo found in the fact that while ho was engineering to brlntr about this consolidation , but on hi * terms , ho had to manage all'airs that ovei y one of the gentlemen present , uml who signed this paper , was a part owner in the very securities for which ho wad exacting - acting the prices named above , and every one of these men , in agreeing to Mr. Gould's ' terms , received a personal pe cuniary bonolit by sollincr tholr respective shares of the St. Jo nnd Western bond ? nnd stock , which Mr. Gould had previ ously made over to them at the prices ho had himself paid. The amount of money so received by these gentlemen appears from the statements made by Mr. Gould to have been about $00,000 for each. The Denver Pacific stock business was completed January 21) ) , the whole scheme was carried into oiled , and February 10 following , Mr. Golild received for bin share of tlio securities represented by him thn full amount thereof nt par in the stock and bonds of the consolidated company. Mr. Gould in tlio course of his examina tion declared that when ho effected the agreement of January 11 ho was not a director of either of the companies , though lie declared that in his judgment there would have been nothing improper in it , oven if ho had boon a director. Ills resignation was not n public act. It ap pears to have been cflcct'jd January 10 , four days before the signing of the paper , and to hnvo been reported to the board of directors January 24 , only a few hours beforii the consummation of the consoli dation , by the terms of * which Mr. Gould again became a director. Tim object of this resignation is ditlicult to understand. The foregoing statement shows thu sub stantial history of the consolidation between - tweon tlio Kansas Pacilio and the Union Paoilic. Jt may bo true that by reason of the relations with thosu two roads held each other , nnd of the great natural resources of tlio part of tlio country which they traverse , that the consolida tion has been a benefit to them. Hut the fact that men holding positions of honor and trust in a great corporation II ko the Union Pacitic should permit themselves to vote into their own pockets the enor mous sums which they themselves de rived through the consolidation , is n matter - tor perhaps of greater importance to Iho community than the barren question oi the pecuniary ell'cct upon the corpora tions themselves. nouLn's pint i HER WOKK. Mr , Gould's dealings with the Union Pacilio did not torminatu with the con solidation. Ho then had on hand an en terprise rolatintr to thn construction of the Denver. South Park A Pacilic rail way from Denver to Londvlllu , witti ex tensions beyond that point , under the construction contract he hml received the bonds and stock at a priceuer mile whiuh left such portion of the stock as was issued to him comparatively without cost. In January , 1881 , without any corporate action of Union Pneillc ; board , thcro ap pears on the accounts of the company an entry by which 'M.'J'M shares of tlio stock of this company tire charged to the Union Pacilic at par. This cntlro con sideration was paid to Mr. Gould in se curities of the Union Paeilie.or In money , in the spring of 1881. Mr. Gould's lodger account of the Kansas Pacific shows a balance due him from January , 18SO , at the time of the consolidation , and arising out of the sale above referreil to. of ! ? 5,3'iM8.28. ) ) This balance was credited to Mr , Gould on the books of the consolidated company , and , together with the price of the Denver iV South Park road , was paid over to Mr , Gould by the consolidated company either by the is.sue ot stock oi ca-h payments. Mr. Gould drew out of the Union Pa cilic in 18HJJ. Ho re.-ili/.ud out of his con nection with it the sums recapitulated be low materially lessoning , of course , the ability of the company to meet its obliga tions to the government : From the sale of securities illroctly 110111 himself to the company , which securities cost him Sl,0 ( > 0- 000 , he ifcolved § b,000,000 , la-ttlnn apiolitof § 4,030,000 Kor 40,000 scares ol lull stoek of the Kansas Pacilic , which cost him S'JW.OOO , ho leccived 31,000,000 : piotit 3,750,000 For his share of soborilinatcil In comes In the pool ho received Sl.w.o.eOO ; they cost him yjiw.000 ; pioiit 1,300,000 And he took , without any apparent .sanction of the bu.ud oi directors , 52,000000 of thu Kansas Pacific consolidated bonds ( \\hlrliho himself xvas the trustee , ) at 75 , when tlio market price WHS W , thereby securing a prolit of -100,000 Total pioflts 50,450,000 Po/5/.oni s Complexion Powder pro ( luces a soft and be.uitiful skin. It com bines every element of beauty and purity. Sola by druggists. Tlio Drink of ItnClods. . The water the citi/ons of Omaha are being indulged in just now is a vast im provement on that which they have boon accustomed to , and the promise of the water works people his ; been abundantly fulfilled. This welcome betterment is wholly duo to the large now settling basin llint has ju.-t been added to the company's plant. A lii ! : 10porter was shown samples of the water in to t vials , of twelve and twenty hours standing , ex hibiting the dilt'ereiit degrees ot clear ness and purity. Tim experiments al- icady made show indubitably that a con tinuous settling of twenty-four hours will render this water as clear uml crystalline - line us spiing water. SKIN- BLOOD l liinc * Prom IMmiilc * lo St-ro ftilu fiu'cd by < ; iiliuiru. : ] * ( cIciitiBiiiK'llHiHklnmul fculixif Dlnllinirlriff Humors , for nUnrlnir Jtcliliur , HurnliiK mid liilliUiiiiiHtlon.fDi-ciirliiK Iho Hint Hyiin lomg or IV/uiim , I'sorlntila , Milk Uiusi , M my I loud , > ciunilii , mid other lulmrltcd Hkln nnil Illoiol DI'pNsm. I urn um tinKirnt 8kln Cure , and CuricutiA Soil1 , tin ( iriiilMIo | hkln Ik-initlllur cUoiii.illv , nn I iutu UIM KKSOI.-V i.\r , itic IIHW lilund I'ui.ito. , Intuinull ) , niclnfuiialjle. A COMI'I.RTK I IIHMI eulTuro'lnlliiiT II I o wltlipkln iNnftcfiof ) Iltlui nt , Kimls nnil hum n vcr found purni mint roliuf , until , liylliu ii'hkoc/l u litily ( i IrnU I iiTd jmir valimtiln Ciinoou v lii ntKiu.f , I irttvu Ihcm u ilinurouirli trill , iiilnu Mt Imttlos or thu UrruiMiA llisui.x t.M-two IMIJOH nt ( JUTICUUA , iml teti'ii i-nkin of rimcuii v HIIAI' , undilic ro- mlt wiii jii,1vlmt I Itn'l IICCTI tolrt II woulil bo ncciupldtp curt1. IIKAI ) , r\GB AND III IV HAW. I commrncuil fi list ) your Ciitlcum Ittniuillcn Bit July. Jly linml mm fucu ami MHIKI putts of my U.dj worualmret mw. My head wux ror- I'tnd with ( "c hK : i ml snics , n ml my HUTmlnir wim Startii ! . 1 Inid trlixl uvmylliliur 1 Imd lii'iild of In tlio oust Mini \ u t. JI > .BM was oonflldoiud n M > r > liail one. Iliiuoimw not n gmrlkln ol ' > : in humor about luo.iuul nir catct l > considered unr. < lt < riiii Mill. S. li. WIIIITI.K , Doimtur , Mluh. A nviu.suiin ( juiir.n. I inuxr ounnd to ) ou the thaukx of ono of HIT cjiiMoiinr" , who him linen cm id , hy ualii ? tlio ( Jntlciirn rimudlloi , of 1111 old wire , cmid liy 11 IOIIM upof ! ) hlukncjsor fiivnr nlidit yonrft afr . llu wu so Imd ho wns fmirful ho ivonM liuvti lo burn hU Ian umimtiitiiU.hut U Immir to Diiy tin U rmw onliroly well Bound ub ilollur , lliinuiii | ctM nit ) to UHOhld immu , which I H. II. ( 'iifou , inuiL'liiint , < > r tills | ilauu , JOHN V. MINIMI , llruxtfint , tUlmboro.Tniui. flinicimv Hr.MUMKS uro bold uvnrywh oro. rlcu , CoriouiiA , M conUi IU.HH.VKNT , $ l.flO : OAi',21 ranti. l'rt > | mruil liy tlio I'OTTVii D iii.'ct M ) < 'iijin < ] .u. Co , l.'ciHon , MBS ) , fend lor How TO (2iMiv HKIN RDIIDC I'lmi.li'H . , Bkin lllciiil hf , and Iliitiy U ( ill DO ; Ilumorit , cured by ( Jl'iiouiiA H > U' HOW IT ACHES ! Muck Allies Itlilnuy I nine. | lf | > ,81 < ! nnil Client rnlnn , and nil gtialm und \V , ikli i < riillctxd In nnu inlii lu by tii ! < Cutluurii AnlUI'uIn I'iutlT At druuk-IMa , li.'i corns , IIvo tor fi.'f ) 1'otter Jiii'f ' ir.u ChuBlcul Co.Uo < lou.
