The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1889-08-06
In 1t He Shows How the Telegraph Company
Has Benefited by Congressional Acts, and
Cites Number of Other Cold Facts.
How the Black Diamond Affair Is Re-
garded at Ali Points of the Compass.
Deserving Hoosiers Recognized by the Admin
istration-Mr. William H. Hart for Third
Auditor-The First known Boycott.



Union, Sustaining his Former Views.
Special TO tie indianapolis Journal
WASHINGTON, Aug. 5.-Postmaster-g gen.
.eral Wanamaker has addressed long let
ter to Norvin Green, president of the West
ern Union Telegraph Company. in reply to
the latter's protest against the proposed
ruling in government telegraph rates. The
Postmaster general insists that President
Green's unqualified statement that the
privileges and benefit derived by the West
ern Union Company. under the act of 1866,
are purely imaginary, and that the com-
pany has never taken a stone, or stick. OF
timber, or appropriated foot of land be-
longing to the government, under this law
and supplementary act are not
sustained by the facts. The telegraph
companies. he says, not only accepted the
acts, expecting that substantial benefits
would ensue. but in the case of the Western
Union Telegraph Company. notably. great
and conspicuous benefits have already ae-
crued. Under these laws the company has
claimed the right to use, without compen-
sation of any kind as to right of way. all
the highways of the country. on the ground
of their being post-roads. More than this.
it has broadened its claim to the extent
that the streets of cities and towns are also
pOst-roads, and. therefore, open and free TO
its occupancy and use, and in this claim
the company has been sustained by the
courts. "Thus." he says, under the
benefits Of this act, instead of not
occupying foot OF public Land.
as you assert, you are, II fact,
occupying many thousands Of miles OF
the highways of the United States You
have thus been able to occupy and use the
streets in the large cities Of Philadelphia
and New York, regardless of the views of
the local authorities; and almost regardless
roads in New York city have been claimed
as post-roads. and the claim sustained. The
State of New York may regulate In the use.
but is not able to deprive you of these
great privileges secured to telegraph COM
panies. and maintained to them alone by
the congressional act of 1866. Beyond this,
the streets of all other cities and towns or
the United States have been kept open TO
You will hardly claim that such great
benefits as these are purely imaginary. In
other respects your company and other
telegraph companies have secured sub
stantial benefits from the government and
from the public, under acts of Congress,
but these have mentioned are enough. /
think, to sustain my former reference to
the privileges and benefits given to you by
the government the value of which. In my
ferring such great privileges upon you. the
government In my belief, expected. and is
entitled, to receive not simply your ex-
ceptionally low rates 20 others, but even a
lower special rate"
eIn Union official has admitted that
some of the press associations get
their news reports for mill
word to each newspaper, and
in one association the rate is even lower
rate; it is not too low. 1t would be better,
no thinks. for the public. the press and the
telegraph companies if it were lower. He
asks President Green if it is not true that
the patronage from the enterprising press
is the most profitable that the company
have, and If it would not, in fact, give still
more profit if made still lower. Reduced
rates bring increased business and enlarged
lieves that the new rate proposed for the
government would not materially alter the
amount OF cash received by the company.
while the government wonld be enabled
to greatly quicken and yitalize the transac-
tOn of its business in all departments. Mr..
Wanamaker says that ON signal-serv-
ice business no reduction whatever
has been made in the government
rates =, since 1877, but that SINCE that
time the Western Union Telegraph Com
pany has reduced the public rate from e2 Z to
80 cents per message. Within the past five
years the public rate has fallen Is per cent;
but there has been no reduction whatever
in government rates. Taking these facts
in account he believes that the government
has been paying for its telegraphic services
more than any other customer giving like
or approximate amount of business. and
waving entirely the question of benefits
accruing to the telegraph companies under
| the act of 1866 the government. he thinks
ought to be put upon as favorable a basis
with respect to rates as their most favored
| customers. Mr.. Wanamaker closes his let
| by saying that as to a request for a confer
| ence ON the subject before any official order
| fixing the rates should be issued he is yet
| quite willing to entertain any reasonable
| proposition based upon the known facts.