The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1895-12-24
Mr.. PATTIS0N responsible
He Signed the Bill Giving Union Trac-
tiOn Company Unlimited Powers.
FACTS CONCERNING THE CASE
Business Attributed to Governor Hastings
Was Transacted Before lie Game Into
Office-llistOry of the Legislation
That Removed All Restraint.

Harrisburg, Pa, Dec. Ex-Governor
Hastings was indignant this morning
when his attention was called to the
fact that number of newspapers in the
state had advertised that he had ten
dered the National Guard to the mu-
nicipal authorities of Philadelphia. He
had done nothing of the kind nor had
the municipal authorities called upon
him. 1t is true that Mayor Warwick
has kept the governor fully posted as to
the situation from day to day.
In speaking of the PHILADELPHIA situa-
tion. leading officer of the administra-
tion said another publication absolutely
without the semblance of truth has
been going the rounds of the state pa
pers to the effect that the legislature Of
1895 passed a bill which made it pos
sible for the Union Traction company
to be organized with capital of thirty
millions, and that the governor is to
blame for legislation that brought the
Union Traction company into existence
and induced the reign of terror in Phil
adelphia. Here are the facts, said he:
The Union Traction was incorporated
under the provision of the act of the
18th of March, 1887, eight years before
Governor Hastings came into office.
The Union Traction company obtains
its powers from that act and under its
provisions it had the right to acquire
as many passenger railways as desired
either by purchase or lease, the pur-
chase taking the form of perpetual
lease. The distinction between a pur-
chase and lease is a distinction with
out a difference so far as the practic-
able effect of the consolidation of the
passenger railways is concerned. BY
the act OF June 8. 1891 corporations
We're permitted a capital stock of ten
million dollars and again by the act of
June 10, 1898, a further increase to thir-
ty million dollars was permitted.
Its Powers Unlimited.
Under the Act of May 16. 1861, street
railway companies could be merged and
consolidated and as n matter of fact
have been during the entire period since
that time merged and consolidated in
Philadelphia and elsewhere The only
limitation upon the power of consolida-
tion of all the passenger railway COM
panies in Philadelphia into one was
that the capitalization was limited by
law until the Act of 1898 permitted a
capitalization of thirty million of dol
lars. the amount found necessary for
the organization of the Union Traction
company.
There has been no sales of the inter-
eSts of the three constituent companies
now composing the Union Traction COM
pany. The agreements entered into
have long since become public property
and the public has had the opportunity
to become fully aware of their condi-
tions. The only additional power grant
ed to traction companies by the act of
1895, was to authorize the sale and pur-
chase by any to passenger railway
companies and this power, to wit:
The power of purchase does not ap-
pear to have been exercised by the
Union Traction company. Should, how
ever the Union Traction company have
seen fit to acquire any one or more of
the railway companies entering into the
agreement. 1t certainly had the power
under previous acts of assembly. When,
therefore. the allegation Is made that the
last Legislature i'm the passage of the act
of 1895 and Governor Hastings in sign
ing the same made it possible to organ
ize the Union Traction company, 1t Is
gross misstatement of the fact. Act
of 1895 was not an element in the organ
iZation of the Union Traction company.
The legislation that made the Union
Traction company possible was the act
of 1887 and the act of 1893. the latter
being the one authorizing the increase
Of the capital stock to thirty million
dollars, which was signed by Governor
PattiSon.