The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1896-09-18


AIRLINE had acted properly in regard
thereto.
at is amusing to note your claim
that the surrender of the lease of the
Northeastern Railroad of Georgia is
an evidence that the Southern railway
does not wish to monOpolze. No rail-
road man is ignorant of the fact that
since the Seaboard AIRLINE has been
built, the Northeastern railroad cam
not but choose to operate i'm connection
with the Southern railway. 1t is also
true that the Southern Railway Com
pany did not surrender the lease Of
the Northeastern railroad, but that
the Richmond and Dauyille Railroad
Company, of which the Southern is the
successor, defaulted upon the payment
of the interest on the bonds Of the
road Endorsed by the State, that the
State was compelled to pay these
+, bonds, to re-take possession of the
road, and has not yet been able to re-
. imburse itself therefor, and is a great
loser by the failure of the Richmond
and Danville Railroad Company, or of
the Southern, to carry out the lease
obligations,
AS TO THE SPECIAL ATTORNEYS.
CAS- your letter purports to be
complete reply to all matters i'm mine
affecting the Southern hallway Com
pany, and as it is a carefully prepared
piece of special pleading to the several
charges therein contained. it is fair
to assume that those matters not de-
MED are to be taken as admitted.
note that you say nothing in regard to
the peculiar class of attorneys employ
ed by the Southern Railway Company,
whose duties appear to have no con-
nection with litigation, nor do you see
fit to mention any of the statements
in regard to the political influence
which the Southern railway seeks to.
exert.
"There may be some matters in your
letter which / have overlooked, as I
have not sought to reply in detail to all
of your statements, but there is one
matter in conclusion to which I wish
to call attention
"You note the fact that cerain rail-
roads which are natural connections
of the Seaboard Airline, but which
you have absorbed while owning COM
peting lines, could have been purchas-
ed by the Seaboard Airline, and were
not bought by it.
I'm regard to the Macon and North
ern railroad, permit me to say that
at the request of the people of Ma
con, the Seaboard Airline did, after
an examination of said road and an
investigation of its earning capacity,
make a fair business proposition for its
control. But railroads which pur-
chase properties for the sake of their
operation can never afford to offer as
much therefor as those who acquire
them for the purpose of charging
a monopoly, and the Seaboard Airline
could not have afforded to pay i'm cash
the price i'm new securities which the
lines controlled 10y the Southern saw
fit to offer.
SEABOARD NOT A MONOPOLTST.
''As to the Atlanta and Florida be-
ing offered to the Seaboard Airline,
you are mistaken in that statement. 1t
was never so offered. Had it been it
is doubtful if the Sea.board Airline
would have wished to purchase a prop
erty confessedly not self-supporting.
But this portion of your letter betrays
the impress of the capitalistic tenden-
cy of mind which inspires those who
dominate the Southern Railway Com
pany.
1T is assumed that if the Seaboard
Airline is not willing to purchase and
to own any of the railroads in the State
of Georgia or elsewhere, which it
deems important as connections, the
Southern Railway Company is quite
free to buy them, and that such pur-
chase is merely proof of progress on
the part of the Southern. That such
purchases are in violation of the laws
and the constitution seems to go for
naught. That the Seaboard Airline
has the right not to purchase these
roads, and vet to insist that the South
ern RailNNt Company, vile owning
competitiyr lines should likewise re-
frain from Purchasing them, seems to
be ma tt,r ~ NJ moment.
''In shot Il you have the money to
make the purchase or can induce those
who own properties 40 sell them for
new securities, the constitution and
laws of the State, or the public policy
of the land is not to stand in your way.
aggregated capital may consider
this species of management more pro-
gressive than a compliance with the
law, but the people do not so consid-
err. and will sooner or later demand
the vindication of their violated con-
situations and statutes. Very respect
fully, E. ST. JOHN.
"Vice-President and Gen. Man.
TO CURE A COLD IN ONE DAY