New-York tribune., 1875-01-26
LETTERS FROM THE PEOPLE.
GRANGER RAILROAD LAWS.

GRANGER RAILROAD LAWS.
THE COMPULSORY REDUCTION OF TRANSPORTATION
RATES PRACTICALLY A CONFIsCATION OF THE
STOCKHOLDERS PRoPERTY-PRoDABLE REFUSAL
OF EASTERN CAPITALISTS TO MAKE FURTHER IN
vEsTMENTs.
To the Editor Of The Tribune.
SIR: Charles Lamb, i'll one OF his essays, after
contrasting the brisk and confident air of some bor
rowers his day with the meek domeanor of the lenders
sserts that the lenders had awaked TO the mortifyDg
fact that they were little men. Had Lamb lived Ill our
day be would have lower grade of lenders than
he had known and more dimnutve style OF pecunlary
ttleness than he had heard Of He would have found
class Of men who furnish money for public improve
ments only with the result OF being turned upon and
pitched into" from all sdes-a class too so conscious
Of their degradation scarcely to have spirit TO utter
squeak much less grOw under tins treatment. Never
theless as of this mauled aud rlfed company OF
boated aristocrats," and having few dollars, the
savings of honest industry, invested In one or two
"odious mOnopolies," would like to say word es-
pecally with reference to railroads.
In building railroads stockholders fail to receive inter
upon their money while the work is In progress and
unexpected obstacles greatly increase the expense or
construction in cases. Time also required to OBJ
tain equipment and to get the work in good condition.
and this entails continual expense. the damage and
loss caused by accidents fall upon the owners OF the
road and so also does growing out of the
agement of incompetent reckless officials or employees
II directors road to promote their own interests or
those OF their friends by exravagant contracts for re-
newas, by the addition Of Improbable branches, by
free passes by undue privileges to express or freight
companies which they have share, the stockholders
suffer. In all these things they are the victims moro
than Others except of bodily injury; and
of railroads would usually be glad TO be informed
abuses that they might correct them Sometimes it
true, drcctors by controlling majority OF the stock,
can prevent reform and make connections to
nF 1Ooi. .i1fio nov
rect Herbert Spencer says that neither directors nor
majority of stockholders have right to do any thing
but manage road for the benefit OF the stockholders
according to the charter, having due regard to the
public interest Another wrong TO stockholders Is that
in of business depression the rates OF transporta
tOn reduced to bare cost by the practice OF cutting
UNDER There being less business owners cannot afford
to carry at as low rates usual but officers and en-
plOyes kept i'll place and receive pay, whilo beg
carly report to fOrbids dividends and leaves them
TO starye Here also the public gains and the public Is
always able bear the losses OF stockholders with sub
hme equanimity. But stockholder, unless holding
sufficient stock to influence election would think OF
demonstrating with an official" of seeking from
any information concerning his own property The
time will come when directors and officials Will be held
to proper responsibility.
The legislative acts passed In the Western States
cerning railroads the Instiga0n Of Grangers have
inspired stockholders with astOnlshment and indigna
fud lawyers argue for them and do eminent law
yers argue VIM NJ Tweed Railroads in the West were
called for TO develop the country and TO promote the
convenience of the people and they have not failed TO
do Every railroad is Understood to be an enter
prise in which associate their capital expecting TO
get fair return The right of way granted because
the road is a public benefit. but under general laws is
seldom exclusive advantage to the owners III IL de-
sirable for the well as the public that the
Legislatures should reserve sufficient control to prevent
aagrant abuses But If Legislature reserve the
right TO repeal charter il is fraud aud robbery to
seize road and tx rates OF transportation arbitrarily
There is in every implied understanding that
the owners ate entitled fair return for their money
No charter was ever granted with the idea that 1t would
be revoked without great aud pressing necessity. The
neone of the West have found the value of their lands
greatly increased. Tney enjoy facilities for travelling
and of transporting goods and products which enable
them to work their farms to manufacture or TO do ner
camille business. The rivers, canals ana roais Whch
reds of millions nave been lost 10y those VINO furnished
these advantages. Some of the railroads nave never
Maid MANY have been greatly improved and extended
during past few years; while the cost OF dteras
for enlargng and repairing as wei as Iof cqmpment
and Labor was more than double what it had been be-
fore and stock OF bonds had 10 DE ISSUED 10 repre-
sent the cost COmpsnt Is aGe sa M tI nc q!
red working branches which eXleho mo uhseltgu
portions of the State. the public Is thus Injured clearly
tbe state is benefited While the stockh0ider suners
While the cost OF building ana repairing roauS so
greatly increased the charges for transportation de-
creased Ii GraDgers made little hy raising wheat, the
ra irOad owners made less by carry ing It, The lakes
have also been filed this wear by YcshclH carrying
freight at the cost Of running, Win WDlcn the
roads have been obliged 10 compete.
II is 10 be remembered that road carrying az low
Of low cost, may require 10 De re-
newcd al high cost III short time the faceO OF ne cOuh-
which road runs, the occupations OF the
ue0pe the wealth and habits OF the people tbe cOnnec
lions at terminus of road may greatly hHcct the
ept well the cOst OF operating IAus one road
is not criterion for another. IL ~ Su1Cienty evident
that way regh. cannot be carried as cheay as through
freight Ten per cent net income in prosperous times Is
MOI more enough TO prONlGc against msDaps oruh-
favorable GrdpgeIS boast OF earning ~ per
cent upOn the capital invested i'll elevators III mas Dcen
for the state of Minnesota 10 cap the climax OF
outrage Railroads in that State do not pay even the
inirrcf on the first mortgage bonds aud yet they arc
srzed on the ground OF unreasonable charges This is
Incoming in STATE that repudiates Its own obligations
Those who make private loans tDere may expect Their
security to from them as the next ng III Order
IN rs not remarkable that the opinion or attempted
analogy for the Railroad acts given by the states AT
tnrney was so yoluunous that State had not the
finds 20 print it, Finally the people OF the West should
rTineuIber a we'll known incident az fonows; A sailor
saw at one time young lady looking dscOnsolaely AZ
the deep mud which prevented her crossing street lie
tno beT carefully up and carried her To the other sde
She Gale him brute, and very Cehty nc poIe her
hack again Unless legislation Is chanSen, tne peopIo
of the West will get back again 10 helr FORMER oueS vi
trsy1 The present railroad capital may DC SUNK Dut
'i"''t, 10 frr.bcomiuv W,
NtN!On. n. j., Jan. 6, 1870
SOLDIERS MESSAGE.