The New York herald., 1872-12-04
Interview with Postmaster
General Creswell.
HUBBARD'S BILL DISSECTED.
A Good Thing for the Companies, but
Bad for the Public.
Advantage Of Having the Lines in the Hands
OF the Government-The Postal Service To
Be Improved Exceptional Ad-
vantages to the Press.

Noutdf5cb W tu0 IT0s1.
WASHINGTON, Dec. 3, 1872.
Your correspondent called upon Postmaster Gen.
eral Creswell this evening TO obtain his opinion
regarding the different postal telegraph schemes
which are going to be pressed upon the attention
OF Congress during the present session. The main
features OF Hubbards bill are contained in all OF
them, and therefore, the Postmaster Generals re-
marks were directed to it alone.
Mr.. Creswell said 1.-THE objection to Hnhbard's
scheme is that you are NOT only creating a corpo-
ration and giving it certain powers, when do not
that 1t will be better position 70 do the SER
vice for the people than the western Union Tele.
graph Company, and in the end you will have to
buy Ous the company, and as the whole system Is
expanding day by day the longer you postpone
the more expense you will have to 60 to. In
MR.. uUBBARD's BILL
there is provision to authorize him to acquire
the title OF the subsisting companies, and there is
no limitation upon the rights OF the company
which he would create. He can do that upon the
best terms attainable II the government gives
the authorization the upshot will be that n th1s
company will fail to cheaper the rates and then
afford the facilities which the cheapening Itself
costs, because Of the increased business, the
government win be compelled to buy out the Hub
bard and people then will he obliged to recognize
the prices which he paid, because 1t was recog-
nized in his charter. Bcsides all the work
and responsibility would be upon the gov
ernment, for which 1t would derive only .
small portion OF the recepts-not enough, per-
haps, to pay its expenses-when the company
would have handsome profit upon Its invest
ments. Experience shows that If you reduce the
price fifty per cent you double the messages and
have no doubt that the rule will hold good until
tn fba nraa ant AT n
Everybody would then use the telegraph instead
OF the mails. 1t Is more impossible now to trans
init a telegraphlc message from
NEW YORK TO SAN FRANCISCO FOR TEN CENTS
than It was deemed to transmit q message BY
mail from New York to New Orleans when the work
was first entered upon for cheapening postage.
In case of disagreement the government would
not have sufficient control over the lines to have
the messages on hand transmitted. All 1t could
do would be to seize the lines and advertise for
somebody else 10 do the same service. In the
meantime messages would accumulate by the hun
dreds or thousands and could not be forwarded.
What would be the effect you can imagine. Just
suppose the whole mail service were stopped for
one day5',
WOULD THE TELEGRAPH BECOME POLITICAL MA
CHINE?
Your correspondent then queried, "W0nld not
the postal telegraph become political machine in
the hands OF the governments" To which the
Postmaster General replied:-"In the first
place the number OF additional employees
would be nothing like as great as has been
represented. In about five thousand post ofIlces
the same officers who attend to the mails could be
telegraph operators; that would necessarily impart
a higher tone to the service, as they will have to
be skilled operators The other Offices, about one
thousand five hundred in number, with their
branches would probably require 1900 persons
all told Including telegraphic operators, as wei
as messengers. Thus the whole number OF persons
In the separate telegraph service will only be 1900
men after combining the duties In some fOnr thou
sand or FIVE thousand officers. These people must
ali be skilled operators-even the boys and girls
and they will, therefore, have to be OF superior
class So, instead OF lowering the tone OF the ser
EXCEPTIONAL ADVANTAGES TO THE PRESS.
Regarding press rates the Postmaster Generaf
ceptional advantages inasmuch as the press is re-
garded as the great educator Of the people; but
exclusive press dispatches and exclusive press as
ISOLATION are monopoly, and both operate against
the diffusion OF intelligence While the rates OF the
press would be a great deal cheaper than they are
now, the same privileges would be given to alI
papers alike and many OF the stronger papers
would have the opportunity to rent wires-as system
~neh o Is uther question: ues Me wheer he felt certain
that the postal telegraph would be more advan-
tageous to the public, Mr.. Creswell answered:-"L
believe in the government doing the work for the
benefit Of the people. The government has advan-
tages over private enterprises which 1t ought to-
the telegraph which has just practical
system far superior to any other, and is
ceptibe OF improvements IN the hands OF the gov.
ernment.
TIE PROFITS OF THE TELEGRAPH
are large in proportion TO the capital invested, and
the government would have 1t in its power TO lessen
the rates its business increases and It's facilities
are extended II the business OF telegraphy is
such that the government can do 10 better for
the interest OF the people then the government
should have the exclusive management OF 1t. II,
on the contrary, 1t can be done better by private
enterprise then it should be left entirely to private
enterprise. think this country, above all Others
should have
NATIONAL TELEGRAPH SYSTEM.
Our political, social and commercial relations would
not only he improved and strengthened by means
OF ready intercommuncations; the Republic Itself
would be strengthened and perpetuated. The gov
ernment ITSELF with all its extensive ramfcatiOns,
and working upon IT., the principle ln m % not 70 make
for cheapening telegraph rates. In case OF war the
government would have the power to seize all
siye telegraph OF Its own"
This Is somewhat remote contingency" re-
marked your correspondent
"True,u replied Mr. Creswer, "this is q remote
contingency; but he Is o poor prophet who says we
shall never have war again"
To the question, ''is the Postal Telegraph meas
nre likely TO pass this session ~ the Postmaster
General made answer
sion by Congress, consisting OF gentlemen OF In
tegrity and general knowledge, to set to work AMI
elaborate plan: TO . This end they & w n have to
be had.o
Your correspondent again queried :-"Supposa
the government pought the Union Telegraph Com
pany lines, w0nld IL have to pay for the stock at
the market price or at par ~
"That would be determined by appraisement, as
it is prescribed by the act of 1865 The cost Of the
line was $40, 000, ,000 and the intrinsic value Of
THE WESTERN UNION TELEGRAPH,
without regard TO It's good will or its watered
stock could only be the basis OF the purchase.
Congress would place such safeguards upon tho
action OF the appraisers as to provide whatever
they might do shall be subject to their confrma-.
tion before the government shall be bound by It,.
The Western Union Telegraph lines could be re-.
placed at a cost OF S10 900 000 for $l1 OOO OGO the
government could put up a better system or itsl
own and by the act of July, 1866, 1t Is empowered
10 construct telegraph lines without regard to the
existing companies. 1t is certain that In Q few
years the telegraph will be just as much In the
hands Of the government as the mails now aren
rrYy, rronAr prrr ano0r~