In the majority report, by Messrs. Anderson and Littler, the purchase of a controlling interest by Jay Gould in 1873, the subsequent increase in the capital stock to 200,000 shares, the inauguration of the policy of constructing branch lines in 1877 and the commencement of the action by the United States against the directors of the Union Pacific for misappropriating the assets of the company were detailed and the report went on to say: “It appears from the minutes of the company that while this litigation was pending certain proceedings were taken by the directors, whereby by their own acts and votes they undertook to release themselves from any obligations or liabilities to the company.” The Kansas Pacific’s financial operations from 1864 to 1880 were also taken up and the circumstances leading up to its consolidation in the Union Pacific system were detailed at great length. The acquisition by Jay Gould in 1877, at nominal figures, of several millions of securities of the Kansas Pacific was spoken of, and the reorganization of that company under the control of Gould was detailed and the methods severely condemned. The effect of the consolidation was to increase the stock of the Union Pacific from $38,000,000 to $50,000,000, and the bonded indebtedness from $88,000,000 to $126,000,000, and the other indebtedness from $4,000,000 to nearly $10,000,000. It was declared that “the three years following the consolidation were years of great business activity, and the receipts of the Union Pacific for 1880, 1881, 1882 and 1883 were largely increased,” but “in the face of a very large and apparently profitable business” the company found itself early in 1884 on the verge of bankruptcy.” Competition, the burden of its fixed charges, the extravagant sums paid for branch railroads of little or no earning power bought by Mr. Gould, and the “lavish and reckless distribution of the assets of the company in dividends, all combined to produce this result.” After stating that Gould’s connection with the road ceased in 1883, the report says: “It is with a sense of great relief that the commission turns from the history of this company from 1873 to 1883 [the period of Gould’s control--Ed.] to the conservative, energetic and intelligent management that has characterized the management from the opening of 1884 to the present time.” Ex-Gov. Pattison, in his report, said: