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IRLF




Efl MMD



The Southern Pacific Company and their

Corrupt Judges of the Supreme Court

of California






BY



HORACE W. PHILBROOK



SAN FRANCISCO, CAL.
1899



The Destruction of Individual Citizens by The

Southern Pacific Company, by Means of

Corrupt Judges as their Agents



i6
THE NEWflAN & LEVINSON CASE



THE CASE AS IT WAS TAKEN TO THE SUPREME
COURT OF CALIFORNIA.



The facts of this case are set forth clearly, plainly,
and without the least contradiction, in the record on
file in the Supreme Court of California, and are as
follows:

In 1 88 1 John Levinson and William J. Newman
founded in San Francisco the mercantile firm of New-
man & Levinson, which has ever since been and still
is doing a large and very profitable business in San
Francisco. Ever since the firm was established, its
business, assets and earnings have steadily and
rapidly increased.

In 1887 Benjamin Newman, a brother of William
J. Newman, entered the firm as a third co-partner.
Thereafter the members of the firm were John Levin-
son, William J. Newman and Benjamin Newman.

Mr. Levinson was the head of a family residing
with him in San Francisco, and consisting, besides
himself, of his mother, Mrs. Fanny Levinson, an aged
widow, and his two sisters, Julia Levinson and Ada
Levinson.

Mr. Levinson's entire property was invested in this
firm of Newman and Levinson. And the sole means
of his support, and of the support of his family, was
the proceeds of his interest in that firm.



Mr. Levinson in the Hands of the Two Newmans.

In the latter part of the year 1888 Mr. Levinson
fell sick of a mental disease, falling into the condition
shown in the following testimony of his physician,
Dr. C. F. Buckley, a specialist of long experience in
mental diseases.

u He came under my professional care September
12, 1888, and remained under my care until he
left for Europe in the latter part of February, 1889.
He was afflicted during that time with hypochon-
dria. This is adisease of the nervous system, and of
the brain more particularly. It is a disease of the
will power. Hypochondria borders on melancholia,
and melancholia is insanity. Mr. Levinson was
one of the worst cases of hypochondria I have
ever seen. His condition bordered very closely on
melancholia, which is a type of insanity. He
was afflicted with great despondency and a tendency
to suicide. I had him watched while under my
care that he might not commit suicide. When
he was first under my care he was living on Turk
street with his mother and two sisters, Julia and
Ada. By my advice he was removed from there in
January, 1889, to the Lick House, so as to be
away from his family. He was at the Lick House
a month or two months before he left for Europe,
and was confined to his room -there. His great
fear was that he would become insane. I do not
think it was possible for him to investigate any-
thing at that time. He was fully convinced that
he was about to lose his mind. He had intelli-
gence and could think intelligently on any sub-
ject if I would direct his mind and lead him along-,
but he was practically destitute of will power. I
don't think while under my care he would have
given attention to a single page of anything or
would have read through a page of anything. He



GIFT OF




AN APPEAL TO THE PEOPLE



BY

HORACE W, PHILBROOK



THE SOUTHERN PACIFIC COMPANY AND THEIR CORRUPT

JUDGES OF THE SUPREME COURT OF CALIFORNIA. THE

DESTRUCTION OF INDIVIDUAL CITIZENS BY THE

SOUTHERN PACIFIC COMPANY, BY MEANS OF

CORRUPT JUDGES AS THEIR AGENTS.



SAN FRANCISCO.
1899



THIS BOOK IS DEDICATED

TO THOSE WHO STRUGGLE AGAINST INJUSTICE,
TYRANNY AND OPPRESSION ;

TO

u MEN WHO THEI-R DUTIES KNOW,
BUT KNOW THEIR RIGHTS, AND, KNOWING, DARE
MAINTAIN."



Reduced to its last analysis, the intelligent and impartial administra-
tion of justice is all there is of free government.

HENRY CLAY CALDWELL.



484673



INTRODUCTION



In December, 1894, and in the first few months of
1895, a small part of the facts stated in the following
pages was given to the public by the newspapers of
San Francisco. And although the part of the facts
so given to the public was small, and although the pub-
lication of even that small part was meager, yet they
called forth at the time a wide-spread and deep indig-
nation and a strong public opinion throughout Cali-
fornia and particularly in San Francisco.

But, after the .lapse of only a few months, a careful
and complete suppression of the facts of this particular
case by all the newspapers was established. By what
means such suppression was established, the reader
may judge for himself, upon the facts here laid before
him. Ever since it was established, the public have
had no other information of the case than what I could
publish at my own expense. Such a publication was
made by me in 1896 in a small circular entitled an
"Appeal to the People,'' which was spread abroad in
San Francisco for about three weeks just before the
general election held in November, 1896, offering my-
self as an independent candidate for Judge of the
Superior Court. Even with such inadequate means of
reaching the people, there was in San Francisco such
public opinion about the case that I was given at that
election, according to the official returns, 12,644 votes.



Another such publication was made by nie in March,
1897, in a memorial to the Legislature entitled "The
Corrupt Judges of the Supreme Court of the State of
California," of which some hundreds of copies were
distributed. Another such publication was made by
me in 1898 in another small circular entitled an "Ap-
peal to the People,' 7 again offering myself to the electors
of San Francisco as an independent candidate for Judge
of the Superior Court, with the result stated below.

In none of the publications above mentioned was I
able to state the case fully not in either of the two
circulars above mentioned, because of the necessary
brevity of such a paper; and not in the memorial sent
by me to the Legislature in March, 1897, because I had
not, up to that time, collected the facts showing the
hand of the organization known as The Southern Pa-
cific Company.

It was not until the publication of the small circu-
lar to the electors of San Francisco in 1898, as above
stated, that I was able to state to the public the agency
of The Southern Pacific Company in these outrages,
and even then, because of the necessary brevity of the
paper, I could not exhibit the proof. But so great, so
overwhelming is the power of that organization, so
much are they held in fear by multitudes of people in
California, and particularly in San Francisco, so ex-
tensive and widely felt is the reach of their evil power,
that many persons who were most generously and
nobly assisting me in the canvass, have repeatedly ex-
pressed to me their regret that I had mentioned the
agency of The Southern Pacific Company, and have re-
peatedly declared their conviction that my having
done so has only made every avenue for redress the



more difficult, if not utterly impossible. I have, how-
ever, felt and still feel the necessity as well as the pro-
priety of showing the truth and the whole truth.

There are newspapers in San Francisco that profess
hostility to The Southern Pacific Company and are con.
tinually making against that organization vague
charges without sustaining them by any definite or
satisfactory proof. Naturally, the persons composing
the organization care little for such publications, or, if
they care at all, favor them because they tend power-
fully to make the people believe that everything that
can be said against their organization rests upon no
better basis than ill will. The facts of the particular
case shown in the following pages are definite^
clearly, and fully proved, and without so much as the
least contradiction in the evidence. The proof is in San
Francisco and accessible to every one. The general
outline is known, and the enormity of the case deeply
appreciated, by many thousands of the best people
in San Francisco. It is literally true that if but a sin-
gle newspaper of San Francisco had used any of the
opportunities, which have been repeatedly laid before
them all, to publish the facts of this particular case,
the full proof furnished by such a case as this, it
would be known for an absolute certainty, and felt as
such, by all the people, that the organization called The
Southern Pacific Company, and its allied organizations,
are the actual rulers of the country, and the resolved
and truly terrible enemies of the nation and the people,
and that they may with strict truth be described in the
very words of the Declaration of Independence as there
applied to the king of Great Britain, viz., their history
"is a history of repeated injuries and usurpations, all



*"y



having in direct object the establishment of an absolute
tyranny over these States." But when the facts are
produced, when the proof is brought out, then such is
the power and cunning of The Southern Pacific Com-
pany and its allied organizations, that the news-
papers are either silent or mention the case only to
misrepresent it in the interest of The Southern Pacific
Company.

It is also literally true that if even a single news-
paper of San Francisco had used any of the opportun-
ities, which have been repeatedly laid before them all,
to publish the facts of this particular case, there would
have been called out long ago so great a power of public
opinion as not only to compel redress but to make the
case a monumental triumph of right and justice, and a
mighty landmark in the world and particularly
in the State of California, against human oppres-
sion and wrong. But on the contrary, in all the news-
papers the case is carefully suppressed, or, if mentioned
at all, itis mentioned only to be misrepresented for the
purpose of averting public opinion and thus thwarting
all means of redress.



COMPARED WITH THE DREYFUS CASE.

In November last (1898) I received from one of the
most prominent ministers of religion in San Francisco,
a letter concerning this particular case, in which
among other things he wrote :



" I deeply sympathize with you and hope you
will never give up the fight. That such outrages
can be perpetrated in the name of justice in this
last decade of the century in a sovereign State of



this nation, passes belief; and that the cold-
blooded selfishness of the people of the State can
tolerate the perpetrators and not compel a righting
of these wrongs is unthinkable but for the awful
fact. All sympathize with the unfortunate and
martyred Dreyfus, but yours is in my judgment a
kindred outrage."

The particular case here, as no one who considers it
need be told, is a far greater outrage than the case of
Dreyfus. But the words " the cold-blooded selfishness
of the people of the State," in the letter just quoted,
are a mistake, a mistaken injustice to the people of Cal-
ifornia. There is between the case here and that of
Dreyfus this difference : The authors of the Dreyfus
outrage had not the power to control the newspaper
press ; in the case here, the authors of the outrage have
had that power, and by exercising it have stood between
their victims and the people of the State.

At length I am able to publish the facts of this par-
ticular case, and to show the fearful conditions prevail-
ing in a great State of the Union that the existence of
such a case demonstrates. It is the cause of every man,
woman and child now in the State of California or who
may hereafter come into the State. It is the cause of
the American people and of humanity.

THE SOUTHERN PACIFIC COMPANY.

The organization known as The Southern Pacific
Company is a chief character in the case. And since
the case as here published will be read, not only in
California, but elsewhere, it will be convenient to first
state generally what the organization is.

In September, 1882, the United States Circuit Court



for the District, of California, at the suit of The Southern
Pacific Railroad Company, declared void and set aside
all that part of the Constitution of California which
provided for the taxation of railroad property. The
case is Railroad Tax Cases, 13 Fed. Rep. 722. In giv-
ing judgment, the Court, speaking by Justice Field,
said (at p. 730) :

" The questions thus presented for our deter-
mination are of the greatest magnitude and import-
ance. * * * Indeed, their examination has
been accompanied with a painful anxiety to reach
a right conclusion, aware as the Court is of the
opinion prevailing throughout the community
that the railroad corporations of the State, by
means of their great wealth and the numbers in
their employ have become so powerful as to be dis-
turbing influences in the administration of the
laws."

It is to be noted that this was said concerning the
control of the judiciary of the judges by u the railroad
corporations of the State."

It is to be noted also that such was the source of that
declaration that it has the force of an admission, rather
than that of a mere statement. It has also the force
of an express adjudication it is the language of a
Court of the United States a judgment embodying a
fact commonly known.

That judgment was pronounced in 1882. And since
that time the railroad corporations of California, to-
gether with many others, have been organized into a
solid combination or trust, under the name of The
Southern Pacific Company, and with such increase in
their power as if they had acted upon the resolve of a
tyrant of old, who, upon being at the outset of his



reign, petitioned by his subjects for an abatement of the
rigors of his predecessor, replied, "My little finger
shall be thicker than my father's loins."

The Southern Pacific Company is an organization of
corporations, and is, in form, a corporation which was
created by a special act of the legislature of Kentucky
passed March 17, 1884. Instead of an existence for
fifty years only, to which private corporations created
under the laws of California are limited, it is to exist
perpetually. By the terms of the act creating it, it is
authorized, among other things, to contract for and
acquire, by purchase or otherwise, stocks, bonds or
securities of any company, corporation or association;
to enter into contracts in respect to the construction,
establishment, acquisition, owning, equipment, leasing,
maintenance or operation of any railroads, telegraphs,
or steamship lines, or any public or private improve-
ments, and to buy, hold, sell and deal in all kinds of
private and public stocks, bonds and securities; and to
fix and increase its capital stock at its pleasure.

Under color of such powers, The Southern Pacific
Company fixed its capital stock at one hundred and
fifty million dollars, and proceeded to issue its stock at
par and take in full payment of it shares of the capi-
tal stocks of other corporations (taking such stocks at
large rates of discount), and, having by such means
obtained the control of such other corporations, pro-
ceeded to cause its agents to be elected as members of
their respective boards of directors, and then, through
those agents, to obtain from them leases of their re-
spective railroads and other property for long terms of
years, and under those leases to take possession of such
railroads and property and operate them as one solid



8

combination or trust, with a combined and enormously
watered capital stock. By such methods, The Southern
Pacific Company was made a solid combination of cor-
porations. The following are some of the corporations
comprised in the organization prior to the time the out-
rages hereinafter stated were commenced : *

The Central Pacific Railroad Company, a Cali-
fornia corporation, with a paid-up capital stock of
upwards of sixty-seven million dollars and outstanding
bonds of upwards of sixty million dollars, and being
itself a consolidation of nine separate railroad corpora-
tions;

The Southern Pacific Railroad Company, a
California corporation, with a paid-up capital stock of
upwards of seventy million dollars and outstanding
bonds of forty-three million six hundred thousand dol-
lars and upwards, and being itself a consolidation of
twenty-six separate railroad corporations ;

The California Pacific Railroad Company, a

California Corporation, with a paid-up capital stock of
twelve million dollars and outstanding bonds of six
million eight hundred thousand dollars and upwards,
and being itself a consolidation of five separate rail-
road corporations ;

The Northern Railway Company, a California
corporation, with a paid-up capital stock of twelve mil-
lion eight hundred and ninety-six thousand dollars
and outstanding bonds of nine million nine hun-
dred and seven thousand dollars, and being itself a
consolidation of thirteen separate railroad corporations;

The Northern California Railway Company,

* NOTE. The form, constituent elements and size of the organization as here
stated, may be verified in Poor's Manual of Railroads, which is published annually. The
purpose here is to indicate generally the .'ize, power and character of the organization.
It is therefore not intended to give here a full statement of all the corporations, roads and
steamship lines which are comprised in it. For instance. The Southern Pacific Company
is reported to ov/n 41,721 shares of the capital stock of the Mexican International Rail-
road Company, of the par value of $4,172,000, out of the total capital outstanding amount-
ing to $16,975,000. It is reported also to be continually growing in extent and power.



a California corporation, with a paid-up capital stock of
one million two hundred and eighty thousand dollars
and outstanding bonds of one million seventy-four
thousand dollars ;

The South Pacific Coast Railway Company, a

California corporation, with a paid-up capital stock of
six million dollars and outstanding bonds of five mil-
lion five hundred thousand dollars, and being itself a
consolidation of seven separate railroad corporations ;

The Oregon and California Railroad Company,

an Oregon corporation, with a paid-up capital stock of
nineteen million dollars and outstanding bonds of
eighteen million eight hundred and forty-two thous-
and dollars :

The Southern Pacific Railroad Company
of Arizona, an Arizona corporation, with a paid-up
stock of nineteen million nine hundred and
ninety-five thousand dollars and outstanding bonds of
ten million dollars ;

The Southern Pacific Railroad Company of
New Mexico, a New Mexico corporation, with a paid-
up capital stock of six million eight hundred and
eighty-eight thousand dollars and outstanding bonds of
four million one hundred and eighty thousand dollars ;

The Qalveston, Harrisburg and San Antonio
Railway Company, a Texas corporation, with a paid-
up capital stock of twenty-seven million ninety-three
thousand dollars and upwards and outstanding bonds
of twenty-five million five hundred and twenty-eight
thousand dollars ;

The New York, Texas and Mexican Railway
Company, a Texas corporation, with a paid-up capital
stock of six hundred and thirty thousand dollars and
outstanding bonds of one million five hundred and
eighteen thousand dollars;

The Texas and New Orleans Railroad Company,



1O

a Texas corporation, with a paid-up capital stock of five
million dollars and outstanding bonds of five million
eight hundred and fifteen thousand dollars ;

The Houston and Texas Central Railroad
Company, a Texas corporation, with a paid-up capital
stock of ten million dollars and outstanding bonds of
sixteen million dollars and upwards;

The Austin and Northwestern Railroad Com=
pany, a Texas corporation, with a paid-up capital
stock of one million sixteen thousand dollars and out-
standing bonds of one million nine hundred and
twenty thousand dollars;

The Fort Worth and New Orleans Railway
Company, a Texas corporation, with a paid-up capital
stock of three hundred thousand dollars and outstand-
ing bonds of seven hundred and nine thousand dollars;

The Gulf, Western Texas and Pacific Railway
Company, a Texas corporation, with a paid-up capital
stock of five hundred thousand dollars;

The Direct Navigation Company, a Texas cor-
poration, with a paid-up capital stock of fifty thousand
dollars and outstanding bonds of one hundred and
fifty thousand dollars;

The Louisiana Western Railroad Company, a

Louisiana corporation, with a paid-up capital stock of
three million three hundred and sixty thousand dollars,
and outstanding bonds of two million two hundred
and forty thousand dollars;

The Morgan's Louisiana and Texas Railroad and
Steamship Company, a Louisiana corporation, with a
paid-up capital stock of fifteen million dollars and out-
standing bonds of seven hundred and forty-five thous-
and dollars and upwards this corporation owning also
a controlling interest in the capital stocks of six other
Louisiana corporations and by means of such owner-
ship having them consolidated with itself, namely, the



II

Gulf, Western Texas and Pacific Railroad Company,
the Texas Transportation Company, the Buffalo Bayou
Ship Channel Company, the Houston and Texas Cen-
tral Railway Company, the Houston Direct Navigation
Company, and the Atchafalaya Bay Company;

The Iberia and Vermillion Railroad Company,

a Louisiana corporation, with a paid-up capital stock of
three hundred thousand dollars and outstanding bonds
of upwards of six hundred and twenty-nine thousand
dollars.

Prior to the time the outrages hereinafter stated were
commenced, the aggregate capital of the organization.
The Southern Pacific Company, in the combined capi-
tal stocks and outstanding bonds above mentioned,
amounted to upwards of six hundred and thirty-two
million dollars ; and it was even then in the possession
of and operating more than seven thousand three hun-
dred miles of railroads, all adjacent to and connected
together, and extending over the States of Oregon, Cali-
fornia and Nevada ; over Utah; across the territories of
Arizona and New Mexico; and over the States of Texas
and Louisana; and also many river steamers and ferry
steamers and numerous ocean steamships plying be-
tween New York and various ports in Louisiana, and
lines of steamers upon the Gulf of Mexico.

In a sworn complaint filed in the United States Cir-
cuit Court at San Francisco in January, 1896, The
Southern Pacific Company state the number of persons
directly employed by them, in their " Pacific system "
alone that is, upon their roads in Oregon, California,,
Nevada, Utah, Arizona and New Mexico to be 71
general officers and 15,064 men exclusive of the gen-
eral officers.

The annual income of The Southern Pacific Com-



12

pany may be seen from what is shown from their own
report for their fiscal year ending in 1898. For that
year their total receipts, as shown by their published
report, were upwards of fifty-five million dollars an
annual income far greater than the government of the
United States possessed at any time within the first
fifty-seven years after the constitution of the United
States was adopted.*

The principal place of business of The Southern
Pacific Company has been, ever since the organization
was formed, at San Francisco, California.

From the time the organization of The Southern
Pacific Company was effected, the few individuals owning
together a controlling amount of its capital stock, have
also owned controlling amounts in other powerful pri-
vate corporations having their principal places of busi-
ness in San Francisco. One of these is the Market
Street Railway Company, a California corporation
operating an extensive system of street railroads in San
Francisco, and having a capital stock of eighteen mil-
lion six hundred and seventeen thousand dollars arid
outstanding bonds of eleven million, four hundred and
thirty-two thousand dollars. Another is the Pacific
Mail Steamship Company, a California corporation.
Another is the Oakland Water Front Company, also a
California corporation. These and several other large,
wealth}^ and powerful corporations located in San
Francisco, have, from the time The Southern Pacific
Company was formed, acted in close friendship and
alliance with it.

Ever since The Southern Pacific Company was formed
the persons comprising it have maintained in Cali-

. * Clusky ; Political Text Book or Encyclopedia.



fornia a control of the newspaper press ; in part by
subsidies paid by them to newspapers and by treating



Online LibraryHorace Wiley PhilbrookAn appeal to the people → online text (page 1 of 37)