The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1897-04-18

road, and have begun suit 10 break the
lease. If this is done the Central would
have entire possession Of the Georgia,
and the Louisville and Nashville be
forced to terminate at Atlanta, thus
seriously Gripping it. 1t is noticeable
that the attorney for Thomas and Ryan
is the Southern's attorney, Henry Craw-
ford, of New York, who was active in the
reorganization in 1894. The Atlanta and
West Point is another small line which
is Of much Importance as it controls the
traffic between Atlanta and New Orleans
and the Southwest, there being no COM
petition. The Southern has thus far
kept the Seaboard and other competitors
out of this road which is THE only COM
pany which maintains through train ser
vice between Atlanta and New Orleans.
A fight for this road is now ON In the
courts. The North Carolina Railroad
lease to the Southern, Governor Russell
Of that State, is now trying to break.
For two years the Southern has been
trying to secure control Of the Seaboard
Air Line, and has fought it in every way
possible. This was where the govern
ment came in handy. 1t attacked the
Seaboard through the Postoffice Depart
| ment by having charges made that the
railway company was fraudulently pad
ding the mails during the weighing Pc
Rod, in order to get an increased appro-
priation for carrying the mails for the
next four years. This charge was denied
and an investigation asked, but none
was ever made, and no further inquiry
made by the government. whenever
possible Morgan's company was given the
mail contracts to points touched by both
railroads and within the last hours OF the
Cleveland administra ton Postmaster
General Wilson transferred the contract
for carrying the mail on Chesapeake Bay
from Baltimore Steam Packet Company
the water connection Of the Seaboard, to
the Baltimore, Chesapeake and Richmond
Steamboat Company, the vessel line CON
trolled by the Southern. The last effort
to get the Seaboard was made by Ryan
who was placed in charge of several
thousand shares of the principal divis
ion Of the system and claimed to have
mia jority of securities. Morgan induced
the Mercantile Trust Company, Of Balti
more, financial agents for the Seaboard
to work for Ryan and an effort was made
to Dust President Hoffman and the pres
ent management, at the annual meeting
Friends of the Hoffman party formed
pool and secured enough stock to defeat
l IL.
possession, but this has never been tried
Recently it is asserted that the Hoffman
party have arranged in such a way that
no one can get control Of their securities
for several years.
If Morgan could get control OF the Sea
board Air Line, the Georgia Railroad
and can hold the lease Of the North Car
Iolina he practically has all the States be-
tween the Potomac and Mississippi riy
ers, and north of Florida to the Ohio
river, i'm his grip. He can squeeze mer
chants, manufacturers and farmers by
forcing freight rates that will wiring from
them every dollar of profit. There's mil
lions in it to him, and his associates, and
this is the secret Of his activity in the
ICarSfinas and Georgia, through represen
tatiNes. AS already stated, he seeks
the Federal Court in this district, as vel
adapted for the legal measures required
A dale of the Port Royal and West
Tern carolina, was decreed to Thomas and
Ryan Federal Judges granted Morgan's
railroad company injunction after injunc
ton against the Seaboard and other com
peting lines, to prevent rate cutting
which were afterwards dismissed. One
of the last was given at Asheville, N. G..
whittier the judge had travelled more thar
once in a private car OF the Southern
Railway. 1t was Judge Sfmonton who
Ienjoined Governor Russell from interfer
ing with the lease Of the North Carolina
and who has now raised the question OF
Estates rights in North Carolina-whethel
a Federal judge can interfere with the
Executive in the duties Of his office OIL
mot.
But all this is immaterial to Morgan il
he wins. He is playing for big stakes
and has already shown by his course in
the South that he will make use Of every
influence possible, in the Legislature OF
on the bench, to accomplish his end.
But he has stirred up the Legislature
Iof North Carolina, South Carolina and
Georgia, who realize the danger to these
Isections from the Railroad Trust and are
passing laws to defeat him"
x.