NA, ETX 11/20/1861

Office of the Eastern Texas Rail Road Co.
Nacogdoches, {Texas,} November 20th, 1861
 
Hon. W. S. Oldham
Brenham{, Texas}
  
Dear Sir,
   The Eastern Texas Railroad Company Contracted with Mrss Moran Bros. of New York on August 1860 for the delivery of 1300 tons of Iron Rails at Galveston or Sabine Pass. 2500 Tons were delivered at the farther place at 60$ per ton. The balance of said Iron Rails if delivered at Sabine Pass was to cost said Company $52.50 per Ton, and if along side the Vessel in Galveston at 50$ per Ton. The balance of the Iron Rails about 2500 Tons were to be purchased in England which Mrss Moran Bros. did and shipped two cargos of about 500 or 550 tons each, Consigned to Mrss. R. & D. G. Mills of Galveston, with instructions not to deliver the same to our Company until we paid them for the Iron Rails ??? or would be laid down on our Road, which payment they were to receive on W. S. Bonds Composing the School Fund loaned to Railroads in our State. Our Mortgage bond to the State was executed and filed in accordance with our Contract with Mrss Moran Bros to enable them to draw the States Aid. The School Commissioners of our State refused to pay them the States Aid, in as much as they were Citizens of New York at war with this State and on which account they refused to deliver our Company the Iron at Galveston. The 2500 tons of Iron Rails already laid down here completes our Road a distance of 27 7/10 miles and wants about two miles of Iron rail to connect our Road with the Texas and New Orleans Railroad at Beaumont. The Citizens of Sabine Pass as well as the Military Authorities desire that this Connection should be made as speedily as possible as in the event of an invasion of that place, the Road could be employed on transporting the families and effects beyond the reach of the enemy as well as in transporting Troops and Munitions of War to repel and invasion. The later Day Sequestration Act of Congress will probably sequestrate the Said Rails at Galveston as the property of alien enemies (although the same was purchased and shipped for our Road) and will be Condemned and sold for cash.
   Our Company at this time, not being in a condition to pay cash for the same on account of the existing war, it will pass into the hands of Speculators at a low price greatly to the injury of all parties interested in the Construction of our Road. This Iron was bonded by Mrss Moran Bros in warehousing in Galveston for the duty due to the Confederate States. We would respectfully ask of Congress to allow our Company to assume the duty on said Iron Rails and execute a Bond with good security for the payment, and allow our said Company to take said Iron Rails at the price for which the same was Contracted for with Mrss Moran Bros and place the payment of the same by our Company to the Confederate States on the same footing as the debt we owe Mrss Moran Bros for the 2500 Tons already laid down on our Road which has been duly reported to the Receiver of our District.
   In the event that Congress does appropriate said Iron Rails for the use of our Company there should be deducted from the price of the same that we were to pay for the delivery at Sabine Pass say $52.50 per Ton, the duty on the same which was to have been paid by Mrss Moran Bros and also the freight from Galveston to Beaumont, which will greater than 2.50 per Ton on account of the Blockade as well as all charges, that have occurred upon the same on account of sundry bonding and warehousing the same in Galveston. I have no means of ascertaining the exact amount of duty on the same and the freight to Beaumont, but suppose that it will cost at least 12$ per ton, which amount with the amount of duty should be deducted from the cost of the Iron Rails, say $32.50 for its delivery at Sabine Pass. In allowing our Company to take this Iron as proposed, the Confederate States will realize a much larger amount than if the same is Condemned and sold under a Judgment of our ??? for Cash.
   I hope therefore that you will give the matter your attention and procure the passage of a Bill for our benefit upon the terms proposed. In so doing you will confer a benefit upon a large portion of the people of Eastern Texas, who are vitally interests on the completion of our Road, I have given a like memorandum to our Congressman F. R. Saxton and requested him to consult with you in the subject. 
   As the Hon. Mr. Wigfall is regarded as our immediate Representative, you may think that I ought to apply to him on this instance but having no personal acquaintance with him and I regarding you as the representative of our whole people and then in ??? you must excuse me for troubling you with this matter.
I Remain very Truly
Yr Friend & obt Servant
James R. Arnold
Pres Eastern Texas R. R. Co.

Home