Fort Worth daily gazette. (Fort Worth, Tex.) 1882-1891, 1890-06-22
WATTS STATEMENTS.
He was Quoted as the Dallas News.
Printed Him, Whether Right ~
or Wrong.
Taken to Task for Misapplications Of the
Principle of Perceniagr-Texas' Right
of Eminent Domain.
MIDLAND. TEX. June 10, 1885,

MIDLAND, TEX, June 10, lsaes
Editor Gazette.
1t is not our intention to hold Judge
Watts responsible for statenaehts for
which he was given credit, in Oar recent
letter to THE GAZETTE, since 70 has de-
MED them; but in order to olea US from
the imputation that we deliberately
placed words in the Judges mout never
used by him, we quote from the Hfllas
News of tn 18th INST, page five, whore,
in the report of the judges speech, the
following language appears, and we re-
fer all to that paper as to the accuracy
of our quotation: ''The railroads are
not afraid of the commission in the pres
emit state of affairs. for am prepared to
say that not one single railroad in TexsS
since 1884 has paid running expensesyi
land all but two have been through the
Hands of receiver, some of them being
now, for the second time, in the hands
of a receiver - If the judge is a mind
to shift the responsibility of this state
ment upon the reporter we have no
aobjection, for reporters are used to such
3treatment, but we refuse to take any
spart of it upon ourself. -
Here this article would end .sblIt Tor
scertain Interpretations of thslBfinciple
4 percentage which the judgeHas made,
unless the Reporter is Sfto blame
again, or someone else. The Judge says
after paying the operating EXPENSES the
earnings of the railroad paid &ply per
cent. upon SIG, 500 to the mile aid road
being mortgaged for S25 200 peffkpile.
The judge bases bis calculation %65}an1
figures given in the annual report to th9
stockholders; from which we find, on
page IS, that the net earnings per mile
of said road amount to 1929. Then
upon what principle will This amount pay
5 per cent. interest per annum? Judge
Watts says SIG, 800, but in our opinion
S24 $40 is correct. If SO, the road re-
ceives per cent. upon S24 $40 per mile,
only $50 less than that amount for which
Judge Watts says the road is bonded.
This is significant when it is remem bered
that the road pays taxes only on S6839
per mile. The value of the road de-
ponds upon whether the money is coming
in or going out. Yet some talk as though
the road were an elemoseuary associa-
ton, operated for the health % of the
stockholders.
Judge Watts also says that as this road
was chartered and permitted to be
bonded by the general government, he is
at a loss to see how any state could in
terfere with said bonded Indebtedness. =
Texas, as Judge Watts well knows, was
not admitted into the Union but was an
nexed, and the articles of annexation
provided that Texas should maintain the
right of eminent domain over all her
territory. Therefore, the said railroad
could not enter Texas without q charter
from the state, aud when that charter
was obtained under the constitution of
Texas the road in Texas became subject
to all laws passed under said constitu-
ton, and one law is to the effeot that no {
bonds or stocks shall be issued except for.
money, labor or property actually re-
ceived and applied TO the purpose for
which said corporation was created.
See R. s., Art. 4154. 1t may be that
other states have no right to interfere
with the bonded Indebtedness provided
for by congress in original charters, but
congress has no right to violate the arti-
Giles of annexation, which provides that
Texas shall maintain the right of emins1H
domain invlolate. Most respectfully
A. S. HAwxEs.