The Beginnings of the Texas Railroad SystexM. 
45 
The Texas Western and the Vicksburg & El Paso were afterwards 
consolidated. A substantial bonus — 10,240 acres of land for every 
mile of completed road — was offered to each of these. 
In 1853 Governor Bell urged the Fifth Legislature to extend a 
more liberal reward for the construction of the trans-continental 
road. 7 Acting upon his suggestion, the Mississippi & Pacific Rail- 
road was chartered. The act incorporating it directed the Governor 
to receive proposals from companies for its construction. The lowest 
bidder was to be granted the franchise. When complete, the rail- 
road was to remain the property of the company for ninety-nine 
years. A large area of land was to be held in reserve for the company 
until the track was located. A new reserve was then to be created, 
extending thirty miles on each side of the right of way. After the 
construction of the first fifty miles, the corporation was to receive 
twenty alternate sections of land for every mile of completed road. 
A bond of $300,000 in gold was required to be deposited with the 
State Treasurer within sixty days after the signing of the contract, 
guaranteeing the construction of fifty miles within eighteen months. 8 
The Texas Western Company seeing here an opportunity to realize 
the purposes of its creation, had previously (during the pendency of 
the act) filed in the General Land Office a designation of its line 
along the proposed route of the Mississippi & Pacific. 
The Atlantic & Pacific Railway Company was a corporation of New 
York, and Robert J. Walker, Secretary of the Treasury under Presi- 
dent Polk, and at one time Governor of Kansas, and T. Butler King, 
formerly a member of Congress, were its directors and agents. This 
company determined to secure the sole franchise for the trans-con- 
tinental road — not for the purpose of building it, however, but to 
gamble with its stocks and bonds. The first move was to buy up 
the charters already in existence, and to this end the Texas Western 
Company was paid $600,000 for its rights. 9 Thus were the purposes 
of the incorporation of the Texas Western accomplished. 
When Governor Pease, who had succeeded Governor Bell, called 
for proposals to construct the road, only one bid was received. This 
was offered by the Atlantic & Pacific Company, and was accepted. 
When it came to executing the contract, the resources and pur- 
poses of the Atlantic & Pacific Company were adequately ventilated. 
To meet the requirement of the deposit of the gold bond, the com- 
pany offered stock of a Memphis bank. This being rejected by the 
Governor, the stock of the Sussex Iron Company of New Jersey was 
submitted. This was likewise refused. Seeing that these men were 
without means, the Governor annulled the contract. 
Failing in their attempt to secure the franchise, they determined 
