The representative. [volume] (St. Paul, Minn.) 1893-1901, 1895-11-06
SQUIRTING AT IT.
CARNEGIE THINKS THE STATE
SHOULD OWN 1T.
Illustrations OF How the Corpaf-a
tons Circumvent the People.

Pittsburg, Oct. 24.-Andrew Carne-
gle tonight furnished statement t
his views on the projected Lake Erie
and Ohio River canal. In discuss
ing the question whether the
canal should be public or private en-
terprse, he urged the latter. In the
course of his discussion Mr.. Carnegie
handles corporations without gloves
and makes public some spicy reading
of transactions in which he has been
interested in past years. He says in
part:
"Let me relate our experience with
regard to private enterprises intended
to benefit the city on a large scale.
The principal manufacturers Of Pitts
burg banded together to build a COM
peting railroad to the lakes, the Pitts
burg and Lake Erie Railroad. A vot-
ing trust was formed, the road was
built and we supposed something had
been accomplished for Pittsburgs
permanent good. Our firm were stock
holders. One day we were apprised
that Mr.. Vanderbilt had purchased a
large interest and short time after
ward that he had obtained majority
of the stock.
We asked our counsel. now our dis
tinguished Chief Justice Shiras,
whether the voting trust could be up
held. That eminent authority doubt
ed it. While voting trust may bind
the original who makes it, although it
is doubtful whe ther even he cannot at
any time cancel his act, it is thought
to be impossible to prevent new
nvnrciC intr hiC riUhf tn
vote the property he owns Knowing
that if the Vanderbilt interest OBJ
tanned a majority, the minority stock
holders would be at their mercy. and
we accepted the offer for our stock wit tn
reluctance. We made money by the
investment-$3 for Shut the object
we had in view was defeated, and the
money made no recOmpenSe for our
failure.
We had another experience trying
to get Pittsburg her rights. My part
ners and myself subscribed $500, 900
to get an eastern competing line Whe
the policy of the Pennsylvania Rail
road monopoly seemed to be to regard
Pittsburg as it's enemy and only to be
Enthusiastically a policy greatly
changed nowadays. We were sold out
in this case also without our knOWl-
edge or consent, and not even to our
profit, as in the first case, but tc
our pecuniary loss
Ii any person believes that a trust
can be created or law passed which
will prevent the owners Of capital in
vested in railroads between Pitts BURG
and the lakes and the millions behinC
these lines from obtaining control OF
the SIS, 900, 600 canal, | am not that
man. Nor would l blame the rail
roads for trying to do so, for it is the
duty OF railroad officials to protect the
property Of which they have charge.
The canal enterprise should be I'm
dertaken in no spirit Of hostility tt
our railroads. which have done 81
much for Pittsburg. On the contrary
we should proceed reluctantly tt
build up competition, and only be
cause necessary to maintain our posi-
ton, and because transportation b.
rail does not meet the case. If TIN
canal is built,s stockholders N ght prob
ably be paid 50 for 81 for its control
just as the Vanderbilts paid us three
for one for the Pittsburg and LAX
Erie Railroad. which the leading
manufacturers built. Death soon dis