The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1897-02-17

les. This Legislature has nothing to do
with this business. Legislation that
made per cent interest injured the
State.
Mr. HARNESS, of iredell, spoke in fa
vor of the bill. Generally admitted that
The people favor annulling, but claimed
here to-day that the representatives
ought to be guardians of the people. ]
often wonder if people elect representa-
tives to be their schoOl-masters.
This lease would not have been
made if the people could have been heard.
1t crept out 80 days before contamination
that the directors thought of leasing
The press was a unit appealing to the
peoples representatives not to lease five
years before expiration. These trustees
were warned. So was the Southern warn
ed. The contract was made with notice
Of opposition. 1t is not an honest, square
contract. No notice Of meeting for pur-
pose of leasing Southern Railway said
we will give you so much time to make
this lease If you don't, we will parallel
your road and destroy its value" The
people didn't even know when or where
the contract was made. Some say
would vote to annul if we had a better
proposition. He reviewed the action OF
the legislature of 1S71-'72. He showed
that in 1871 the North Carolina Railroad
was making $4,000 per year and that
Jno NJ. Worth, Jno. A. Gilmer, e. Il.
Withers and Jno. w. Graham said the
lease rs years ago ought not to have been
made The present lease pays only 3
per cent ON the actual value Of the road.
This bill gives the people an opportunity
to appeal:to the courts That is all The
courts will settle the matter. If the
court af1irms the lease, it Will stand. If
the Supreme Court says it is not legal,
the State will get an increase Of $12000O
per annum. He reviewed with great
clearness and ability the terms Of the
lease, and made a strong, succinct, clear
and able argument in favor Of the bill,
declaring that nobody doubts the s. A.
L. would jump at the opportunity Of
leasing this road that the Southern
would pay more Why not give all who
desire an opportunity?
Murphy said the bill vested the Gov
ernor with more power so far as rail-
ways are concerned than the Gar OF
Russia had. He denied that the lease
was either secret or fraudulent, or with
| fraudulent intent, for prior to the making
of the lease President Alexander had in
vited Hoffman and St John to be present
at a meeting at Burlington; that Hoff-
man said the s. A. L.. would not compete
for the lease because the Southern could
return the North Carolina Railroad in
the condition in which it was received in
1871; that the Supreme Court in three
cases decided the 1871 lease to be valid
and good and that the Southern had n
right under its terms to surrender the
road in the condition in which it was in
1871. He considered the bill unconsti-
tutonal because it violated the obligation
of a contract which binds the State and
the private stockholders, and any law
would be n retrospective law. He re-
piled to Schulken's remarks, saying he
wanted to be spotted" He declared
the true cause Of the great value Of the
Southern was that it was link in a
great trunk line from North to South;
that the bill would allow the s. A. l..
TO parallel itself from Raleigh to Char
| lotte; that he did not believe the s. A. l..
offer bona fide one. or that it could
| make one; that this lease matter was
not brought into politics last year. He
insisted that the minority report ought
to be maintained
Sutton said that the audience and the
lobby was both the largest ever seen in
| this House. He declared that the mi
nority report gave the Southern
Railway the first speech: that it was the
Identical words used by speakers in the
argument before the committee; that the
| lease must be settled, for it would for
| ever rise as a question before the people;
that the opponents of this bill were try
ing to throw sand in the eyes of the
| jury; and so there is an attempt to make
it appear that this was a fight between
two railways; that the directors made
an honest mistake and so did Gov. Carr:
that the latter was circumYented; that
the people have never been satisfied
since this lease was made that $. h.
Alexander said he had no objection to
investigation by the courts, which was
the same as saying he thought it ought
to be investigated; he denied that it was
unconstitutional or impaired the obhga-
ton of a contract, for if this were true,
why was the Southern fighting against
any investigation; that the s. A. l..
would make good its bid; that the people
wanted to know why Attorney General
Osborne did not bring suit; that he did
not know, he paid no heed to rumors as
to this; that he desired know why the
rental was 50 much less than Georgia
obtained for a road which gen
eral counsel Henderson, of the Southern
said was the finest property in the South
he wanted to know why, with per cent
safe, it was not worth while to try to
get TO per cent; that the State had all to
gain and nothing to lose; what has the
Southern to fear? That every paper in
the State had attacked the lease; that
in spite of this the deed was
done; that the people will be sat
isfied that the lease was rightfully made.
lie said that General Counsel Henderson
had said this Legislature did not dare to
vote for this bill, because it was strike
at the States mother; but that he
would reply TO Henderson that legislators
did dare to vote for it; that this is a ques-
ton between the people and the Southern
Railway, which they believe has got their
property without adequate compensation