Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1904-04-08
Mr.. WELD MAKESATTEMPT
TO EXCUSE QUO WARRANTO
He INDUCES in an Extended Attack on the Tri-
City Railway Company in Exp1ana-
ton of Persecution.

OF eminent lawyers regularly employ
Ell in Rock Island. one firm in Daven
port and divers special counsel always
subject TO call. If it - not right then
it il no better than any other person
or corporation and should seek nc
special privileges. and should stand
or fall on its rights independent of
outside influences.
The Tri-City Railway company was
organized Aug. y. 1895 under the laws
of the state of Iowa. for the purpose
of taking over the various lines then
operating in the three cities under nu-
merous and varied franchises. The
capital stock was $500. 900. On Feb. 20.
1899. ii was granted franchise i'm the
city of Rock Island, under the pro-
visions of the famous or infamous
FALLEN" law then in force and shortly
afterwards repealed. That franchise
was to run for - years and is the
franchise attacked in this quo war
ranto proceeding.
On Oct. -, 1900 the company in
creased its capital stock to $1,2OO.OOO.
On Aug. -. 1902 trust deed was filed
authorizing the issue of ) per cent
| gold bonds to the amount of two
thirds of the capital stock Ia the Ger
man Trust company. At that time the
deed authorized the issue of 100000 of
bonds since the capital stock was ST.
100000. On Oct. 70. 1902 the capital
- ok was further increased to ST.
100000 thus authorizing a bond issue
of S1.OOO.OOO.
This company has fine equipment.
II naturally and necessarily exercises
Il monopoly of the passenger traffic
i'm the three cities and serves popu-
latiun of approximately 100000 people.
1t serves them well. It's long glisten
| ing green and yellow ears traversing
our streets and swinging gracefully
around the corners are Il delight to
the eye ana credit to the com.
munity.
But this company * not Il philan-
thropic institution. 1t exists for gain.
and being necessarily and naturally
"A monopoly competition cannot be de-
pended upon a. in purely private bust
ness 10 secure for the people what
they are entitled to. namely: the best
service for the least money possible.
The relation between the company
and the people iS, of necessity, very
intimate. The people furnish the
streets. grant the franchise and pay
the fare; the company LAYS the track,
runs the cars and collects the money.
The people desire that the rate OF
fare shall he 50 adjusted that the com
pany will have revenue enough 10
pay all its operating expenses, which
should include liberal wages for its
employees, fair salaries for all its Off
Gers. taxes and other expenses neccs-
sary to maintain high standard of
efficiency. and. further. that fair
return should be made on all money
actually invested by the company.
They have the right To ask. on the
other hand. that their streets. their
franchises and themselves be not OK
plotted for personal gain beyond just
compensation for services rendered
and capital invested. They further
have the right to ask that taxes paid
upon franchises given by them be
paid into their own city treasury and
not into that of Davenport. 1t is
therefore a matter of public concern
how much the company i making up
on its investment. because only by
such knowledge can it be known
whether it is fair with the people.
The franchise under which this
company il now operating. and which
this suit seeks to set aside. was pre-
pared in secret. passed without pub
lie discussion, and 80 passed over the
protests of many influential citizens.
The company absolutely refused to
give information as to its profits that
would enable the council to act intel
ligentIy. y committee was appointed
10y the Rock Island Club to- investi-
gate and report upon the terms of the
proposed extension.
They were not allowed to know
what the terms of il were to be. &. !.
Scarle, one member of that commit
tee, published an extended report
Feb. Is. 1899. in the Rock Island
Union. only five days before the fran
chiSe was granted. in which he stated
that he was not advised of what
terms il WAS to be granted upon. In
that report. among other things, in
speaking of what terms should he re-
quired. Mr.. Searle said:
I'm Justice tn ourselves. i'm this con-
nection we Will state that in order To
arrive at Il just conclusion as To the
eNpediency of granting the desired
extension. n well aS the terms on
which IL should be granted, we sought
from the company information as TO
its past and present financial condi- |
ton. cost of operation. rate of in
crease of traffic. probable future
earnings of the company. etc, data
which the company does not see fit To
make public. and which. in our judg-
ment. il is absolutely necessary to
know before forming a correct judg
ment in the matter. Unless il can get
this and other data suggested by that
sought. how can the city form even
an approximate estimate of the value |
of the franchise sought. or on what |
terms IL should Ice granted?
Furthermore we think il i the alb |