The morning news. [volume] (Savannah, Ga.) 1887-1900, 1891-06-07
DANGER OF DISRUPTION.
THE s. T. a. DIVIDED ON PRESIDENT
TOWNSEND.

nah Branch-lt is Received as lnIor
nation and MFR Townsend is Request
ed to Appear Before the Branch a
Its Next Meeting.
The Savannah branch of the Southern
Travellers Association appears to be in {
bad way. The differences between Presi
dent Townsend of the state association, I
member of the branch, and the naval store
men, arising from the recent petition Of tbs
railroads to the railroad commission for th'
privilege Of increasing the rates upon nava
stores and lumber, in which Mr.
Townsend, as president of the
information to the railroads. threatens Il
disrupt the organization, aided by the un
satisfactory condition Of its finances.
The Savannah branch met last night tc
hear the report Of the committee appointed
to investigate the charges against Mr..
Townsend. Several naval stores men, men,
bers of the branch, were present, and there
was a lively discussion.
TIE WAY THE MAJORITY SEES IT.
The majority did not appear to believe
that Mr.. Townsend had Intentionally done
anything wrong, though he might have
made some serious mistakes and had been
placed in very bad light by his friend Mr..
McLendon, who used his name as president
of the Southern Travellers Association as
authority for the information produced in
behalf of the railroads.
The matter is aggravated by the fact that
Mr.. Townsend ia an employee OF the Stand
ard Oil Company, which Is in the field az q
purchaser of naval stores direct In compe-
tition with the commission Il 10 be be-
lieved that the Standard Oil Company used
its efforts to secure the increased rates,
which would operate against Savannah,
as most of the company's supplies are
shipped westward.
The naval stores men manifested de-
termination to have the matter sifted.
Their position is that they cannot afford to
lend their aid and encouragement to an
organization whose chief head is seeking to
prejudice their interests, IN which light
they regard the statements Of Mr.. Town
send used before the railroad commission.
The opinion was expressed by members
other than the naval stores men
an employe Of the Standard OIL Company
to remain a member in good standing Of the
Savannah branch es long as the naval
stores men are connected with 1t.
THE COMMITTEES REPORT.
The committees report is lengthy one,
and is as follows:
The COMMITTEES appointed to Investigate the
matter of C. b. Townsend's aiding the railroads
in their effort to secure higher rates on lum ber
and naval stores, aud thereby subiecting this
association to the criticism of using les influence
against the commercial interest of Savannah,
and against the intel est of shippers of lumber
and naval stores to this market, beg to report
as follows
Mr.. Townsend admits having made state
ments and estimates which were used by the
attorney for the railroads before the commits
sioners for higher rates. These statements and
estimates, used as they were. in the opinion of
your committee, tended to in3ure the interests
of the lumber and naval stores manufacturers
throughout Georgia, and thereby the COM
mercial interest of Savannah.
Our investigation led US to inquire into the
full cause of grievance on the part OF the lumber
men and naval stores producers against Mr..
Townsend and against this association by
reason of his prominent connection Herewith,
and we beg to report in addition the following
information:
On Monday prior to hearing of the rate case
on Tuesday, Mr.. Townsend made certain state
ments 20 a friend Of his, which led that gentle
man to believe that Mr.. Townsend and the
Standard Oil Company, which he represented,
had for some time been advised of the charac-
ter OF the argument that the railroads expected
70 submit, Mr.. Townsend expressing the opinion
that the rate would be advanced. This infor-
nation was communicated to Atlanta to the
committee representing the producers.
On the day of the hearing of the case we are
Informed that the manager of the Standard Oil
Company's naval stores department was in
Atlanta and appeared interested In the case
Some Of the arguments submitted to the COM
missloners went to show that the advance of
rates asked by the railroads would make the
comparative rate between the initial point co
the home markets of Savannah and Brunswick
and to western points unjust to the former. The
Standard Oil Company, MIR. Townsend's en-
ployers. are buyers from interior points for
western shipments
Mr.. Townsend has admitted to your commit
tee that an increase in the rates asked by the
railroads would be advantageous to the Stand
ard Oil Company.
In view Of these facts and circumstances, in
the opinion of your committee the representa-
tlves OF the lumber and naval stores trades of the
city had just grounds for grievances against Mr..
Townsend as representative of this association.
We beg to report further that Mr.. Townsend
does not deny having furnished the statements
and estimates mentioned, in reply to q letter
from s G. McLendon, who he represents as q
personal friend, and says that be had no idea Of
the object or purpose of the information.
He claims that Mr.. McLendon did him an In
justice by magnifyin< his letter to such an ex-
tent in presenting his argument to the commits
sioners, and that he intended no detriment to
Savannahs commerce In making these esti-
mates. These statements and assurances your
committee accepts.
We take pleasure in reporting that there ere
no expressions OF unkind feelings toward Mr.,
Townsend personally among the representa-.
cves OF the lumber and naval stores trade oil
Savannah.
Mr.. TowNSEND's TELEGRAMs.
Mr.. Townsend's kilograms to President
John ID. Greene of the Atlanta branch
which have been published, and in which
he spoke of his accusers as liars and un
principled business enemies, dc not tend tc
peaceful solution of the trouble.
A resolution was offered that Mr.. Towns
end be required at his appearance before
the next meeting to give the names of th,
gentlemen 20 whom he had reference.
was stated by two members that Mr.. Town
send had informed them of the names Of
parties TO whom he referred, and that they
believed that he would give the names if b.
were called upon 60 do so.
k2President WOOD, who presided at tn
meeting, is also in possession of a copy o.
the original letter from Mr.. Townsend K
Mr.. GcLendop containing the information
complained of. As Mr.. Townsend was moi
present the letter was not read.
TIE REPORT RECEIVED.
A resolution was adopted receiving tn,
committees report as information, request
ing Mr.. Townsend to be present at the mex
meeting to answer the charges preferred
against him, and laying the whole matter
over until that time. The next meeting will
be held next Saturday night.
Immediately after the disposal of thi
question Joseph Lovenstein took tn
floor and offered resolution that the Sa-
vannah branch decide upon a time for it,
dissolution as an organization, and that
committee of three be appointed to wind nj