investigating was being done. The holders of the bonds was the reply--then that must be myself, for said he, I have here in my hands all of the bonds in question. Mr. Gould had quietly bought in the bonds while the matter was in the Courts, bringing the inquiry to an end. The line cost for its six hundred and seventy-three miles, Kansas City to Denver, and branch, Leavenworth to Lawrence, thirty-six million seven hundred and forty-seven thousand three hundred dollars, or about fifty-two thousand dollars per mile. In 1873 the road was unable to meet its obligations and was placed in the hands of C. S. Greeley and Henry Villard, Receivers,--a majority of its stock passing into the hands of interests friendly to Mr. Jay Gould about 1877. Complaint was made that Villard and Greeley were not the proper men to act as receivers, that they were antagonistic to the owners of the bonds--lacking practical knowledge, etc. The matter finally reached the Supreme Court of the United States who in remanding it back to the District Court ordered their removal and the appointment of one man and he a practical railroad man as receiver in their stead. Under this order, in 1879, Sylvester T. Smith who had been connected with the road in various capacities, including that of General Manager, was appointed receiver. In 1879 the Company was re-organized and in January 1880 consolidated with the Union Pacific Railroad under the name of the Union Pacific Railway Company, the holders of Kansas Pacific Railway stock being given share for share in the new consolidated Company. The basis of the consolidation being Miles Capital Stock Funded Debt. Union Pacific Railroad 1,042 $36,762,300.00 $78,508,350.65 Kansas Pacific Railway 675 10,000,000.00 30,567,282.78 Denver Pacific Railroad 106 4,000,000.00 581,000.00 ----- ------------- -------------- 1,823 50,762,300.00 109,656,633.43 CHAPTER X. _The Denver-Cheyenne Line (Denver Pacific Railroad.)_ Proposition for Pacific Railroad to Reach Denver--Cheyenne Route Selected--Branch Line Proposed--Denver Pacific Incorporated and Built--Pro-Rata Controversy--Operated By Kansas Pacific--Consolidation With the Union Pacific. In the original plan for the Union Pacific Railroad it was the intention that the line would run through Denver and from there directly West across the mountains to Salt Lake. When the line was finally located it passed through Cheyenne, leaving Denver some one hundred miles to the South, the reasons for this being the much shorter distance via Cheyenne as well as the decidedly better gradients that were possible via South Pass Route as against the routes via Denver and Berthoud or Evans Passes. The Denver Route was only given up after repeated efforts had been made to find a satisfactory line that way.