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

such agreement is contrary to the laws
and public policy of the State OF
Georgia, is in violation of her constltu-
ton and will place the Southern Rail-
way Company in the attitude OF law
breaker.
THE CENTRAL AND SOUTHERN.
"As to whether or not the Southern
Railway Company owns the stock OF
the Central of Georgia railway, l have
stated the same upon authority winch L
deem to be sufficient, the authority be-
ing none other than YOU own utter
ances. / have before me the speech
of Mr.. Samuel Spencer made at the
public banquet in the city of Savan-
nah on the same night the Central of
Georgia was taken possession OF by it's
new owners. This speech is in reply
to a speech made by Mr.. Conner in
your presence. After stating the phe-
nomenal rise which you had made from
the humblest position in the railroad
service to that of president of the
Southern Railway Company, and pay
ing tribute to your great ability as
a railroad man-which will receive the
assent of all who know you-after in
dulging in laudation of the persons
who had given the financial backing
to the reorganization of the Southern
railway, he said as follows:
'''These are the people who own the
corporation of which our guest is the
executive head, and to him will pass
tonight the control of the Georgia
Central railway road and all its proper
ties
''In response to these remarks you
stated among other things:
/" The Central railroad has had
great history. The company
has had a sad end since then. 1t now
passes legally under the control of the
company with which / am connected,
and | understand that there is circulat-
ing in the atmosphere all around the
question as to what is to be the fu-
ture history of that property.
1.-THE leading apprehension on that
subject, [ think, is that being legally
under the control of the Southern
railway, it may be made so subordinate
to that as to be detrimental to yours
THE CONTINGENT INTEREST.
in illustrating the relations which
would exist between the Central and
the Southern you took as your illustra-
tion the relations existing between the
Central and the Ocean Steamship Com
pany, whose entire capital stock is
owned by the Central, and you said as
follows:
THE Central Railroad Company
built up the lines of the Ocean Steam
ship Company and New England and
Savannah Steamship Company. All
the freight received and brought out
by these lines was not required to GO
to the Central railroad, but they have
always been operated principally in
their own interests, and the interest
of the Central railroad, the owner of all
the stock has been secondary. Does
it require any stretch of Imagination
upon your part to apply that to the
Southern's holding of the Central rail-
roads stock? The ownership of the
stock gets its benefit collaterally and
incidentally, instead of directly.
All, I say, that the Southern is going
to ask the Central is that where the
Central's interest does not conflict its
influence, power and business shall be
thrown 10 its owner.
IF these quotations are not direct
statement upon your part that the
Southern, at the time when the present
Central of Georgia Railway Company
took possession of the Central railroad
was the owner of all of the capital
stock of that railroad, / fail to under
stand the English language.
"That being so, when did the South
ern's interest become a contingent
beneficial interest in that stock? Who
is the immediate beneficiary? Who
holds the legal title? For whom is
it held? When have all these things
been done? If it is held under court
decisions, giving the manner of its
holding with which the commission
is familiar, where are these court de-
cisions to be found, and what do they
disclose? Why is it that the commits
sion is now vainly endeavoring to as
certain where the ownership of the
stock rests, and why are the exact
relations of the Southern to the Cen
trail of Georgia. now under the con-
sideration of the commission?
1T is very easy to say that a GER
tain thing is not SO, but if the state
ment which you made in Savannah
is not now correct, please do not tell
the people of Georgia what is not so,
but fully, frankly and freely inform
them what is the true condition. They
do not care what may be the techni-
cally legal scheme by which verbal
compliance with, but practical evasion
of their constitution and laws has been
attempted. They are after the sub
stance, and desire to know whether or
not behind all forms the competition
which their constitution guarantees
to them has or has not been in
fringed.
THE ATLANTA AND WEST POINT.
''If the Central Railway is controlled
by the Southern Railway Company
through a complete stock ownership,
presume you will not deny that the
Southern has an interest in this way
in the Georgia Railroad, the Atlanta
and West Point Railroad and the West
eIn Railway of Alabama.
1.-THE change in the management and
directory of the Atlanta and West