The Ohio Democrat. (Logan, O. [Ohio]) 1886-1906, 1901-12-26
THE NEW SUBSIDY BILL
Really the Old Hanna Measure
In New Clothes.
BOLD ATTEMPT TO ROB TREASURY

Proceeds to BE Turned over to the
International Navigation Company.
Would Enable 1t to Pay Fifty Per
Cent Dividends on Capital Invested.
An Outrageous Scheme.
Mr.. Frye has made frantic attempt
to popularize his subsidy bill. He has
dressed it up in new suit of clothes,
but 1t remains the same bold beggar
still.
Senators Frye, Hanna &c Co. purpose
to accomplish the following ends with
their subsidy bill:
ITO provide for ocean mail service
between the United States and foreign
parts and the common defense; to pro-
mote commerce and to encourage deep
sea fisheries"
A more accurate statement of the OBJ
ject Of the bill would be: To provide
profits for the International Navigation
company. 1t is significant fact that
the speed Of the four fast steamers be-
longing to the International line Is just
sufficient to put them in the highest
class provided in the new bill, with the
largest subsidy attached. Is this mere
ly s. coincidence, or was the classfica-
ton made under the supervision Of the
International management
Under the law of March 3, 1891, the
International company draws $757,000
year for giving a weekly mail serv-
ice from New York to Southampton.
England. The steamship company de-
| clares that this sum 10 insufficient to
pay the extra expense Of the contract
| service. This statement will bear in
vestigation. The four international
liners have gross tonnage of 44,600
tons. English shipowners estimate the
value Of steamer at flo, or about
| $50, per gross ton. On this basis these
four mail steamers would have a to-
tai value Of 81, ,230,O 900, and the govern
ment mail subsidy would amount to
"a per cent of the capitalized value Of
the line. The subsidy seekers say that
the building and running expenses Of
an American steamship line are much
greater than those Of an English line.
But even If we double the English val
uation of the International coinpany's
four mail steamers we still are con-
fropted with the undeniable fact that
the government pays to the company
II per cent on the capital invested. 1t
would seem to the ordinary man that
this ought to be sufficient to keep the
company in fairly prosperous condi-
ton. Yet the first dividend paid by
the International company was in July
Of last year. No information concern
ing the inner workings Of the corpora
ton is available. The management is
not willing that the audacious and in
sufferable public shall pry into Its
private affairs, but 1t is more than
willing that this same public shall 90
down into its pocket and hand over
whatever sum the company may wish.
Under the new bill the subsidy nor
nally earned by the company's four
liners would be about $1,200,000, or 81
per cent per annum on the capital In
vested on the English basis Of yalua-
ton and 27 per cent according to a
most liberal estimate. No man, WON
an or child on familiar terms with the
multiplication table needs to be told
that such payment under the name OF
mail subsidy is outrageous.
If congress shall in its wisdom vote
this little thank offering to the Inter.
national company in order to reduce
the surplus sufficiently. we hope II
will not deceive itself or the people
, by calling the measure an ocean mail
subsidy. 1t is purely charity, an aims.
giving to the owners Of the steel
(steaD screw steamships, We would
suggest that the measure be called "a
bill to provide 80 per cent dividends to
the present owners of steel screw
steamers above 10000 tons, alias the
International Navigation company"
= ROYAL MEEKER.