The morning call., 1893-02-10
RAILROAD FiNESSE
The Consolidation Bill Is
DisseCted.
Why California Farmers Do Not Raise
More Poultry-SOme Malicious
<um0rS Denied.

There is not a day that passes without
loud complaints being heard from every d.
reetion about the 0utrages committed by the
Southern Pacific Company in the way Of
freight charges.
flow is it you do not raise more poul-
try ?" an Eastern man asked of farmer
from the southern portion Of the State In
downtown hotel yesterday ia the presence
of CALL reporter.
Raise poultry. Great Scott! man, don't
you know that they can ship poultry from
the East TO San Francisco much cheaper
than we farmers in this State cen dc 1t
''How can that be?" the man from the
East asked iDnoeently.
Because they charge less freight for long
distances than they do for short hauls in
proportion. and the California people can
not furnish fowls for the San Francisco
market as cheaply as the man on the other
side Of the Rocky Mountains" said the
farmer and the fastener was conviced.
The new commodity tariff is absolutely
useless as far as the general public is con-
cerne1. because il deals with carloads only,
and the only object for its issuance at this
time is to influence the legislators.
But there is hardly man in the State
Capitol who can be hoodwinked by such a
clumsy device unless he Is willing to be
fooled
The Traffic Associations executive COM
mlttee has issued a circular letter. which
says that the Tum0rs Of their disapprnYal
OF Manager Leeds actions were unfounded,
and that they heartily indorse all ne has
done since he has been in their employ.
This action on the committees part was
made necessary because malicious persons
hired by the Southern Pacific Company en-
deaVored to spread rumOrs that Leeds de-
parture for the East was the result Of dis
agreement between him and the executive
committee of the Traffic Association.
Leeds trip to New York was made solely
in the interest OF the association he repre-
SenlS and for the purpose of negotiating
with President Newton OF the Panama
Railroad for favorable terms to San Fran
cisco merchants In his contract with the
North American Navigation Company.
John L. Doyle is strongly Of opinion that
there Is railroad "nIgger 10 the fence IN
the bill now before the Legislature relating
to the consolidation Of railroads.
In conversation with reporter yesterday
be said "a corporation created By or un-
der the laws of California is amenable TO
the courts Of our State for its conduct.
The preservation of this power by the
State Government is essential to its SOW
ersgnty and independence.
"1 ct here IL Is proposed to allow railroad
corporations created under our laws TO Unite
with other corporations formed in adY
other States, and merge as many OF them as
20 into the consolidation into one company,
on such terms and with all details at the
pleasure Of the companies themselves.
IF the bill should pass. you will probably
see before the next Legis lature meets
consolidation of the various companies
mentioned 10 the resolution Of the Traffic
Association, with as many Eastern roads as
Mr., Huntington can control, into one gigan-
tic concern with a nominal capital of $780,
IN nd q daC dahl ~
as much more, with its claws hard fastened
on all the States and Territories through
which its roads pass, controlling perma-
nently and, OF course. corruptlng profoundly
every branch OF the pu bile service, and free
from all legal control.
THE repeal Of the law under which it was
made would not destroy the contract Itself,
bat would merely prevent the making Of
similar ones thereafter.
The passage of this law would have great
pecuniary value to the Southern Pa, ific
Company owing TO their financial position.
Their bonds are now beginning TO ma
TUE, but will no. be paid at maturity. An
effort will be made to replace them by an
other issue of bonds for like amount.
But right here there is liable to be
fatal hitch which is likely within y couple
of years to give the Southern Pacific people
no little trouble. The road which, when
built many years ago, was accepted as
security for S6000,000, because it was the
only one in the San Joaquin Valley, is now
paralleled by two others. owned by the
same parties and capable of doing the same
transportation. Knowing the character OF
the concern. the bondh olders are likely to
say we prefer TO take our money, and The
probability is that the renewals OF those
loans secured on isolated morsels of roads
will give considerable difficulty
But If they can merge all the companies
in ore big consolidation and make a
blanket mortgage to cover the whole of the
roads the Whole difficulty is got rid Of
This would practically be to mortgage our
California roads to pay the debts Of those
Of New Mexico and Arizona.
the bill proposed is essentially bad and
indefensl BILE. This is not the first of it, aud
probably won't be the last. AS long ago as
1888 the Southern Pacific Railroad tried TO
get such an act through Congress.
ut failed, however, for, as a general rule,
exposure is sufficient to arrest such objec-
tionable measures"