The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1884-02-01
THE SYSTEM OF TELEGRApHY.
DR.. Green, of the Western Union, Opposes
Government Control of the Business.

DR.. Green, of the Western Union, Opposes
Government Control of the Business.
WASHINGTON Jan. 3l-Dr Norvin Green,
president of the Western Union Telegraph Com
pany, addressed the Senate committee post
Offices and postroads to-day in opposition to the
proposed government control of telegraph. He
said that unless there was something defective
in the service rendered, there seemed no reason
why the government should take hold of the
telegraph. He maintained that we had tele
graphic facilities in larger proportion to the
population and better and cheaper service than
any country in Europe. He was prepared to
substantiate that in careful ivestigatiOn. He
explained the apparently cheaper rates in Europe
by saying there message was counted once in
every country throughout which it passed, while
in this country it was counted but once. Press
matter, moreover, was received at many points in
the United States and delivered as as many
messages, while only the one copy filed was
counted, thirty words being counted as mes
sage.
The chairman asked for further explanation.
He thought the statement an extraordinary one,
and referred to the rates of France as being only
twenty cents for twenty words within the limits
of that country and an average of a half cent a
rates from France to Algiers, 1000 miles, which
was only twenty cents for twenty words.
Mr.. Green replied that the Algiers line was
operated at q loss. Their employees were hired
for much cheaper rate, and even then the
service was done at loss. The company could
send twenty words for 20 cents without loss.
A new tariff is in process of preparation to go
into effect on the LIST of March, giving a maxi
mum rate of 81, for which sum message could
be sent 4, 500 miles, from Halifax to Wash
ington Territory. DR.. Green, referring to the
press contracts, said he would furnish the com
mittee a copy of the contract with the Associated
Press. 1t contained, he said, clause that no
cheaper rates should be made with any other
association without giving the Associated Press
advantages of the reduction. Some papers com
planned because the Western Union could not
transmit them news at the same rates as their
neighbors were receiving it from the Associated
Press. 1t was manifest that papers could
get cheaper work done by an association, and
that the Western Union company could not trans
nit press dispatches to single paper at as low
rate as it could carry the dispatches of an asso-
citation. Dispatches from Washington to New
Orleans, for example, were dropped at sixteen
different points along the line. A careful esti-
mate of the cost of the press work performed by
the Western Union showed an average of IL
cents per one hundred words.
Referring to the talk about the accumulated
wealth in the hands of individuals and corpora
tons, DR.. Green said he had become satisfied
that the great power of England consisted in the
wealth. OF her clUlZenS. MUCH Oh GIDS capital
was invested abroad, and about EGO 600 900 de-
rived from it, much of it going from this coun-
try. In his early manhood there was not man
in this country possessed of million dollars
In these days our own men of wealth were in
vesting in American securities and property, and
the revenues therefrom were expended at home
II would be better, TO be sure, if this wealth was
more evenly distributed. Everybody knew that
Western railroads had been built ten years in adj
vance of necessity by this excess OF capital
With reference to the capitalization of the
Western Union company, he said it made no
difference with rates. In conclusion, he asked
that the Western be heard before the committee
through an attorney, and that the committee fix
a day when it would hear VIM. M. Evarts.
Gardner p. Hubbard stated to the committee
that he desired to be heard, and would attempt
to controvert some of the points made by DR.
Green Dr. Green had said that unless there
was something defective in the service no rea-
son existed for government interference He
would undertake to show there was something
defective in the Western Union SERVICE that
their rates were excessye in other words, if they
had rate not exceeding sixty cents for the
whole country they would make more moneyand
give better service than at the present rates.
and that one company could not serve the eoun-
try when allowed to capitalize as rapidly as it
pleased without reference to the value OF prop
erty.