Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1870-02-25

A.. . large business should he done
at small one. ,
p" ..Tron, thc nature Of things, the interests of
,h.. shareholders and the public can never be
identical"
When the Dexter and Newport Il. r., IA
miles commenced running under Il lease TO
the NJ. C. II. r.. some had the simplicity to
expect the rate of freights to he one dollar
per ton. Mr.. Noyes, the Superintendent, ut
once placed it at $3.50 per ton--just at the
figure that would drive off teams. Railroad
men do no, pretend to manage their roads on
the principle of pbilanthrophy. They will
fix the rates at that point which they think
will best subserve their own interests, as 9TH
or men do in other kinds of business. That
point must be so fixed rs to accomplish two
objects; one is to drive off competing teams,
the other is to promote production so far as to
give them business at high rates, but OF course
not too high.
1t is said again that this bill ''contcmpiatcs"
a change of gauge, or a uniformity OF gauge
In what section of the bill should like to
know There is not one word in the bill
contemplating" any such thing. And yet
this argument is constantly repeated in the
newspapers, and passes from mouth to mouth in
all the forms of iteration and reiteration. o!
but these gentlemen say that you pass this bill
and they the Directors, contemplate change
of gauge. What care you for their "contem-
plations"? What. ask. does the bill ''con-
template? There is a pertinency think in
this question. If it be of any interest to the
committee / will state that contemplate
going to bed at IL o'clock tonight. There Is
quite as much force and pertinency in my
statement as in theirs, and certainly as much
truth.
Sir, and gentlemen, a change of gauge will
be postponed indefinitely by the passage OF
this bill The European and North American
will soon be completed to Halifax; the Aroos-
took branches will soon he built. The Somer-
set Belfast and Mooschead Railroad will soon
pour their traffic upon the Nj. {. X. In the
mean time the p. & X. has the advantage of a
continuous track through Portland. Is it not
self-evidcnt that the stimulus OF rivalry VIII
soon, very soon compel the NJ {. X. X. to
overcome the difficulty at Portland either by
a change of gauge third rail to Boston,
or by the adjustable axle which is now coming
into extensive use, and is pronounced to be Il
success so that car in a few minutes be
changed from one gauge to another! But
YOU consolidate the roads and the stimulus OF
competition to produce the desired result Is
annihilatcd. Then You may change cars at
Kendalrs Mills or break up at Portland. In
any case the great consolidation gets your
money. As an illustration of the manner
in which legislation is sometimes effected,
I refer You to the act of eighteen hundred sixty
which certain interested parties procured. The
act forbade any change Of gauge, and rcquir-
ed the Attorney General to prosecute any rio-
lation of the act. The last line however was
in these words, provided however, this act
shall not apply to the roads east Of Fort
land" And then the title of the act was IAN
act to promote safety of travel on railroads.
All which implied that the laws of nature were
one thing east of Portland, and another thing
west of Portland. Very few knew Of the ex-
istence of this act till in 1864 the commission
ers who went to the Massachusetts Legisla-
ture to get aid to the European and North
American Railroad were refused aid until this
law should be repealed. Thercupon in 1865
the act after the keenest contest OF the ses-
sion was finally wiped from the statutes.
Again it is said there will be peace in the
Legislature; these two great companies will
fight no longer Peace There will be a
sword instead of peace. These two compa-
MES will regulate their farces to their lik-
ing, will be purchasing the stock OF other
railroads in order to control them; will be
gobblng up one road after another, cancel
ling the leases, watering their stock when ne
cessity requires it, and in the course OF years
making millions of money for themselves,
created through the extinction Of the rights of
others under the forms of law, or without it.
But let them not expect that all this will be
done without struggle. There will be
struggle and fierce one, but in the end unit
cd persistency of action and immense wealth
will conquer. Then / grant you there will be
peace. Bind man hand and foot and stand
over him with club, and grant you the con-
test is ended, there is peace, but what
peace. 1t is such peace as followed in the
bloody track of the Roman armies. and to
which Galgacus, the Caledonian Chief alluded
when he said, ''they make solitude and call
it peace"
There is provision in the charters of these
two roads, and probably in nearly all the rail
road charters of the State, certainly in the
Athens railroad charter, and Saco river rail
road charter, granted as late as 1869, that
whenever the income of the road pays ten per
cent. on the stock, the balance shall be paid
into the State Treasury. The stock of the
Maine Central Railroad has within three or
four years advanced from S. to $40 per share.
Such is to be the great increase of traffic and
prosperity of the road, that in ten years or
less, if the affairs of this road should be hon.
estly administered, the State would receive
an INCOME tToui inns pIo'isioh. Ahc SAINT -
true of other roads A provision somewhat
similar exists in the laws of New York in re-
lation to the New York Central and other
roads. That provision is, that the Legisla-
ture may reduce the rate of fares, but not so
low as to make the profits less than 10 per
cent to the stockholders. The income of the
roads is sufficient to pay the 10 per cent two
or three times over. How do the railroad
men evade the law? They water the stock,
issue any number Of new shares, divide the
shares among themselves, and calculate the
dividends on the increased number. In this
manner the stock of some roads has been
doubled, and the stock Of the Erie railroad
in ''twenty-two months from &c.
574 300 to so 1000, 900, that is, by addition
of three hundred and twenty-five per cent. of
mere water" so says Charles Francis Ad-
ans, Jr. The Legislature of New York, I'M
der the control of bad men, is utterly power
less to provide remedy. The Legislature
OF Maine is now pure, but what may it be-
come in ten, fifteen or twenty years? Let us
take warning before we are enslaved.
The baleful influence of great railroad cor
poratons has been many times alluded to in
this discussion, and among others the Camden
e. Auhov ia mentioned | understand Mr. |