The Railroad Land Agent Who Chose Death Over Ruin

TACOMA, April 12.—Disheartened by financial difficulties and his removal from an honored position, Paul Schulze, general land agent of the Northern Pacific Railroad, killed himself this morning at 11 o’clock. He put a Smith revolver bullet through his own head. The body was not found until 3:45 p.m., and it was nearly 6 o’clock before the coroner was notified. The news became public after 6 o’clock and greatly surprised the entire city.

Mr. Schulze was one of the best-known men in the West. A German by birth, he entered the Northern Pacific service under Henry Villard and nearly became general land agent of the west end of the road. During the past year or so his policy of management had not been approved by the Northern Pacific management, and it was frequently rumored that he would be removed. Last Wednesday he announced that he had resigned at the request of the Land Commissioner. He did not seem to feel badly about the matter then, but it is certain that the removal showed a lack of appreciation of his services.

As president of the Yakima Investment Company, owner of the great Sunnyside canal in Yakima County, with assets of over $2,000,000, and president of the Tacoma Railway and Motor Company, owner of two-thirds of the street railway system there, both companies in receivers’ hands, he was one of the receivers of the former company. The financial difficulties of that company had caused him much trouble.

Mr. Schulze spent but part of Thursday at his office, though his resignation was not to take effect until Monday. He went home at 5 o’clock and ate dinner. After dinner he ordered a fire built in the kitchen, and the servants, who were in and out of the room, say that he burned several bundles of private papers, including letters. At 9 o’clock he sent for Dr. Vogom, his physician, and complained of a pain in his chest. The doctor was there over an hour, and about 10:30 Mr. Schulze retired. At 8 o’clock this morning Henry, his Japanese servant, took up a light breakfast. He told his master that he was going to market, and asked if he wanted anything in particular purchased. Mr. Schulze replied, ‘No,’ and at 11:30 the Japanese woman servant heard a noise in the direction of Mr. Schulze’s room. It is considered certain that she heard the fatal shot, as the body was cold when found. At 2 o’clock the man Henry returned, and, as somebody had telephoned for Mr. Schulze, he went to his door and knocked. There was no response, but as Schulze frequently slept very late, Henry decided not to disturb him. He tried the door, but it was locked. A little before 4 o’clock Alfred Anderson, Mr. Schulze’s private secretary, telephoned, and when informed that he had not gotten up, directed the servant to ascertain what was the matter. The door was still locked, and finally the servant broke it open. He found his master lying stiff in death, with a bullet through his head. The ball had entered the right temple and stopped just inside the skin on the opposite side. Dr. Vogom was called. He made an examination and notified the coroner and friends. There will be no inquest, the coroner says.

A number of warm personal friends and Northern Pacific officials gathered at the house and learned the details of the sad story, some of them choking with sobs. Mr. Schulze was one of the most generous of men to his friends, and was ever ready to do a kind act. This fact and the nature of his demise causes them the sorrow. President Oakes and General Manager Kendrick, of the Northern Pacific, who came here partly to arrange for the transfer of his office to his successor, were much affected by the tragedy.

Paul Schulze was born in Germany and received a collegiate and university education in his native country. He came to the United States in November 1865, at the age of 20. After having been engaged in various occupations in California, in November 1871 he entered the service of the land department of the Oregon & California Railroad in Portland. During a visit in Germany in 1874 he met Henry Villard, who soon after became president of the Oregon & California Railroad, and Mr. Schulze was appointed land agent of that road in July 1874. That position he held until April 1881. In August 1882 he was appointed general land agent of the Northern Pacific, and was otherwise connected in various enterprises with Mr. Villard. In 1883 the general land office of the Northern Pacific was removed to Tacoma, and he had lived there ever since.

Six years ago Schulze and Henry Villard organized the Tacoma Railway and Motor Company to operate the Tacoma street railways, of which Villard controlled the single line then in existence. Nearly $100,000 were spent in constructing new lines under Mr. Schulze’s management as president. About three years ago Villard and Schulze had a falling out, but the latter remained in control. In December New York bondholders applied for and had a receiver appointed for the system.

Five years ago the Northern Pacific, at Mr. Schulze’s instance, took up the Sunnyside canal project to irrigate land in Yakima County. Later an independent company was formed, to which the railroad transferred the canal and the railroad lands under it. Recently the property was transferred to the Yakima Investment Company, of which Mr. Schulze was president, the second company being organized to facilitate the floating of the bonds. In this scheme Mr. Schulze took a great pride, and it was one of his dearest desires to see the great Yakima valley put under cultivation, which needed but water to make it one of the most fertile of the West. On Wednesday, after announcing his retirement, Mr. Schulze had said: ‘I am now free to look after my own interests, which have greatly suffered on account of my connection with the Northern Pacific Railroad. I will devote myself particularly to the reorganization of the Tacoma Railway and Motor Company and to the financing of the Yakima Investment Company. The latter, I am glad to say, has made very satisfactory progress in the last week; it is a matter of but a few weeks when the company will be relieved entirely from its present embarrassment.’ Three receivers for this company, of which Mr. Schulze was one, were appointed last fall.

Mr. Schulze was a director in the Traders’ Bank and was formerly president of the Union Club. He owned a large house. He was married, but three years ago his wife died, and a daughter and son resided in the East. He had lived in Tacoma for a number of years.

T. B. Wallace, president of the Fidelity Trust Company, is perhaps the last of Schulze’s friends to see him alive. Mr. Wallace dined, at Schulze’s request, at his house on Thursday evening. After dinner the two sat and talked for perhaps an hour. Later in the evening Mr. Schulze called on T. V. Walter, who lives in the next block. Mr. Walter and Mr. Schulze parted on the sidewalk. Mr. Schulze’s call on Mr. Walter was a short one, and when he returned to the house a fire was still burning in the range. Mr. Schulze talked pleasantly with the Japanese servant while he burned a bundle of private papers, which he said were old and of no further account.

Dr. Fred C. Wagner, one of the dead man’s friends, who viewed the body, said that death must have been instantaneous. Undertaker Horka, when he took charge of the body at 6 o’clock, said death must have resulted six hours before.

Mr. Schulze’s embarrassed financial circumstances, together with the blow that came when his resignation was asked for, is given by his friends as the cause for his act. Mr. Schulze had said recently to several of his friends that he owed in the neighborhood of $300,000. Most of this was owed on account of the Yakima and Kittitas Irrigation Company and the Tacoma Railway and Motor Company, of which he was president and a heavy stockholder. He was also a director of the Traders’ Bank and a large stockholder in the Puget Sound Dry Dock Company and the Tacoma Grocery Company. The street railway company and the Yakima Investment Company are both in the hands of receivers, and the other properties named have gone to pieces in the last year.

To one acquainted with Mr. Schulze’s temperament, his ambition, pride and sensitiveness, it is not strange that he should prefer death to attempting the task of reorganizing his shattered fortune. A close friend of Mr. Schulze said tonight that he had been ambitious for years to reach the head of his department. About six months ago an order was issued by the receivers, or those acting under them, that no officer or employee of the road should be allowed to have outside business enterprises. To Mr. Schulze this meant that his resignation must follow in the course of time. He had been so long in the land department that he felt that he was almost indispensable to the company, and when he was asked to leave the service of the road, it was more than his pride and ambition could stand.

Captain A. Thompson, a well-known newspaper man, had a talk with Mr. Schulze Thursday night on the street. Oddly enough, the conversation drifted on suicide, and Mr. Schulze said that in his opinion a man who by his unaided effort had amassed a fortune and had struggled against insurmountable difficulties to keep it, and then failed, was justified in taking his life.

Mr. Schulze was one of the founders and first president of the Union Club of Tacoma. Through his efforts the Morning Globe of Tacoma was established about seven years ago. The property was sold to Mr. Bennett when the latter assumed control of the Ledger. Mr. Schulze was the son of a German baron. He received a collegiate and university education in his native country, which was supplemented by a complete course in law.

In an interview tonight, General Manager Kendrick, Mr. Oakes and Mr. Prescott all praised Mr. Schulze’s ability and worth. A sister of the dead man living in Berlin will be cabled in the morning. He has no relatives in this country.

From a friend of Mr. Schulze it was learned late tonight that his long illness last November was due to an overdose of chloral. It is inferred by those who knew Mr. Schulze intimately that this was taken with suicidal intent.

The dead man’s private safe at his residence will be opened, probably tomorrow, by his private secretary, Alfred J. Anderson. The latter seems to think some word from the dead man in explanation of his act will be found.

During Marie Wainwright’s stay in this city two and a half years ago, the actress and Mr. Schulze became warm friends, and were much in each other’s company. It was rumored that they were to be married, but Mr. Schulze denied this.