Daily Kennebec journal., 1899-02-24

authority Of the state. may fix its rates
with a view solely to its own interests,
and ignore the rights Of the public"
ana asked here. although do not know
with what degree of sincerity. that II
these rates are changed, it is In contra
states. and 1t il taking private properly
without due process Of law and without
due compensation. This court seems to
the language in the same opinion. from
which continue to read:
III railroad corporation has aban-
ceeds its fair value. 20 or Il % It has ta CAPITAL
fzation that is largely fictitious, It may
not impose upon the public the burden OF
such an increase of rates as may be re-
Quired for the purpose of realizing profits
upon such excessive valuation or fictitious
capitalization, and the apparent value Of
the property and franchises used by tho
and bonds and obligations, is not alone
to be considered when determining the
rates that should be reasonably charged
of the highest tribunal in this land:
1T cannot be said that corporation is
entitled as of right and without reference
to the interests Of the public to realize a
When the question arises whether the
Legislature has exercised Its constitu-
tional power. after prescribing the rates
trolling the public highway, the stock
holders are not the only persons whose
rights and interests are to be considered.
nored. 1t is alleged here that the rights
prescribed are unreasonable and unjust to
the company and its stockholders. and
reasonable and just for the public"
Think Of that. gentlemen! 1.-THE public
cannot properly be subjected to unreason-
holders may, earn dividends. The Lesis-
lature has the authority in every case
where the power has not been restrained
that the public may not rishtfaiiy be re-
quired to submit to unreasonable exac-
tions for the use of a public highway es-
tablished and maintained under legisla-
tive authority. II the corporation cannot
maintain such a highway and earn divI-
dends for the stockholders it is mis-
fortune for it. but which the constitution
posing unjust burdens upon the public.
"A corporation maintaining public
highway, although It owns the property
ness, must be held to have accepted its
rights and privileges and franchises sub
ject to the conditions that the government
limits 1t conducts its business, may oy
legislation protect the people against un-
reasonable charges for services rendered
road corporation accepting franchises and
rights and privileges at the hands of the
public ever supposed that 1t acquired or
that 1t was intended to grant to It the
highway simply for its benefit without
regard to the rights Of the public"
That, gentlemen is the text upon which
I base what few remarks ! may make in
answer to the 10 eminent counsel who
have been brought here upon the other
side. 1t may, perhaps, be proper for me
directly here In this connection to speak
for moment out of place, and one sub
ject that comes to my mind now. and that
is because It Is SO connected logically In
the United States has said. and that Is In
reference to this poor road. the Portland
& RumfOrd Falls.
ing cents a mile upon that road, they
are SO poor that they cannot declare any
dividends and that II they were subjected
to this exaction which Is demanded by
all riding on. today, that 1t would bank
rupt that road. l now state what have
to say without fear OF contradiction. be,
from the railroad commissioners report
in this State In 1885, 1885 and 1898. speak
Of this at this moment because the su-
preme. court Of the United States has
said that a corporation operating q pub
lie highway cannot declare dividends upon
stock that is watered. stock that does not
represent its actual value although It is
capitalized for a sum greatly in excess OF
its true value.
Now, my learned brother. don't intend
brother tS @ s' from my 1e's cd county. who stood
up here and drew tears from the eyes Of
some in regard to the poverty of that
poor road, said that In 1eSo that road was
metropolis of this State. In 1880 the rail-
road had completed its roadbed. had II
not? The road had been extended from
Canton, what we called the old Portland
& Oxford Road when F. o. ]. Smith was
the owner. 1t was extended from Canton
to Rumford Falls in 1890. Let US see what
the railroad commissioners say was tho
bonded Indebtedness. on the bonds. or !
railroad when It was completed through
to Rumford Falls.
In 1893 tribunal Of this State appointed
an officer whose duty It was under the
and find that in 1888 its common stock,
three years after the road was COM
pleted, that its common stock was $780,
9 n is ss ase year stock 4. was mp 70
stock stood at 100000 and that my
brother says Is not what 1t has been CIV
ing the State Of Maine in its development.
sna, hs % sns tna that s ~a
Portland & Rumf0rd Falls Railroad has
done for the State Of Maine.
My brother stated that had he been
on the Supreme Bench he would have
moved nOn-suit. will tell you what
/ would do: now l will turn around and
help my brother get q corporation here
500, ,O0O of that represents pure water. gen.
tlemen. The supreme court says that
watered stock shall not be basis upon
which to declare DIVIDENDS to the detri-
got to say OF the Portland & Rumford
Falls Road at present. 1t was not logical
CONTINUED on page 81
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