The news & observer., 1897-02-07

Judge Avery referred now to the 20
year offer of the Seaboard Airline and
its advantages, with comparison by
him Of figures, as printed few days ago
in the News ard Observer. Chairman
Cook said ne had heard this was q straw
but he did know that the Southern was
just out of receivers hands when this
deal was made. The road had failed to
pay Indebtedness on the little narrow
guage road and other obligations. The
Seaboard Air -Line-if they had ever de-
faulted he had never heard of it. Drexel,
Morgan & Company and others might be
behind this, but they were too far behind
to ovetake it. 1t don't lie in the mouths of
gentlement to come here and be squeam-
ish when they adjourned from Raleigh to
Burlington and made lease before amy
money was put up. He believed the Sea-
board was solvent, and it's stock had been
quoted a Ia higher price than that of the
other corporation, certainly of the Rich
mond and Danville.
The judge referred to the arguments of
the "approachers' of members that
there would be no competitfon-(here
Judge MacRae read the provision of the
bill covering this for Judge Avery.)
Trackage charges, rights and privileges
were referred to from section II, and
reasonable terms-which the judge held
met the objection of mo competition"
Having thus gone through the main
provisions of the bill, Judge Avery took
his seat, having been speaking over two
hours.
President Alexander was somewhat
astounded at the failure of Judge Avery
to tell what there was to lease on the
North Carolina Railroad. He wanted to
make plain statement as to the reasons
governing those making it.
The only dividend between the war
and 1871, was known as the Joe Turner
dividend" which was an s per cent mort
gage to pay q 6 per cent dividend.
The Governor had appointed him di-
rector. The Captain told the history of
the committee meeting in Raleigh (all
told last Sunday week in the News and
Observer); referred to the Norfolk termi-
nal argument advanced by the Southern,
and the expense involved to consolidate a
through line from Tennessee to the sea-
The old lease gave the Southern the
right ito return the road as they received
it in 1S71-and had four months in which
TO remove the betterments. So that to
him it was the stripping of the road or
the building UP of a greater system from
the Tennessee hne. He though that six
years was very short time to give the
Southern to make future plans-the
board had been the most conservative
body of men he ever saw. When they
were told of the new heavy rails, the
railroad shops and other expenses, they
had agreed upon per cent and all taxes
paid; they could not bind but they could
recommend; they had later as hours after
the Andrews meeting) met Mr.. Hoffman
by his request, and he demonstrated, when
Capt. Alexander asked him could ne
make a proposition. Hoffman replied:
"No; they would run the road down on
me-" He made mo proposition, and he
was surprised at the language used in
the Governors message. Governor Rus
sell had refused to meet them, and yet
had sent that ex parte statement to the
Legislature.
Captain Alexander defended the rate
of per cent and thought the example
of n higher per cent might be bad one
to other corporations. He believed in
fair rates and fair freights.
The road was foreign corporation
where was the road in the State that was
not? What difference did it make whether
ii was a corporation, governed by a
Baltimore pool or a New York company?
Mr.. Hoffman would not have made that
offer then--he made it now on the basis
of bill that bottled up all those little
roads in the west. Il reckon Mr.. Hoff-
man would take it." continued Capt.