The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1905-09-17
RAILROAD MEN ARE
CITED TO APPEAR
Spencer and Hanson Called Be-
fore Commission
MUST TELL WHO is OWNER
Minority Stockholders of the Augusta
Southern Are Behind Movement to
Find Out Who Owns the Gen.
traI of Georgia Railway.

Atlanta, September Especially )-Presi-
dent Samuel Spencer of the Southern Rail-
way and President j. b. Hanson of the
Central of Georgia. will be cited to ap-
pear before the state railroad commission
on October 10 next and give evidence as
to the ownership OF the capital stock of
the Central OF GeorTia,
The commission has directed that this
citation issue as the result of petition
filed by Former Congressman w. IL.
Fleming of Augusta, representing the MI
nority stockholders of the Augusta South
ern Railroad company. all of whom re-
side In Augusta.
1t was charged in this petition that the
Southern railway, which owns the con-
trolling interest In the Augusta South
ern, is operating that road contrary to
the laws and constitution of Georgia,
because, it is stated, the Southern is the
real owner of the capital stock Of the
Central of Georgia, and the Central of
Georgia has a competing line with the
Augusta Southern in its Augusta and Sa-
vannah branch. 1t Is the ownership and
control of these two competing lines that
the petition charges Is in violation of the
state constitution.
plea of Minority Stockholders.
The minority stockholders base their
case upon the claim that the Southern Is
operating the Augusta Southern to their
detriment. They therefore ask the rail-
road commission not to consider as final
the answer of the Central of Georgia
made about year ago, to the effect that
1856 of its $1,000 shares of stock are
owned by a committee composed of Ad-
rian II. Joline. George Sherman and Alex
ander r. Lawton. but to insist upon an
answer as to who this committee repre-
sents and who is the real owner of this
stock which controls the Central.
1t will be remembered that the Atlanta
Freight Bureau filed similar petition
regarding the ownership of the Central
about a year ago, and 1t was In answer
to a demand from the commission based
upon this petition that the Central replied
stating its stock was owned by the fore
going committee.
The object of the Atlanta Freight BIZ
reau's petition was to seek to bring the
Southern and Central Of Georgia under
Rule of the commission. under which
the continuous mileage rates would have
applied. In other words IL the ownership
of the two systems is the same, the
rates on freight going over part of both
lines, would be the same as II the two
constituted one single system. Such rates
are considerably lower than where two
separate and independent lines partici-
pate.
After the filing of the answer of the
Central of Georgia, setting forth the
ownership of its stock by this committee
nothing further was done in the matter
until now, when the minority stockholders
of the Augusta Southern have taken the
matter up. insisting on further investiga-
tion. but for rather different reason.
VIII Call on Officers.
Realizing that 1t had gone as far as
It could with the Central itself. the rail-
road commission will now call upon Pres
ident Spencer of the Southern and Presi-
dent Hanson of the Central, to tell what
they know about the ownership of all of
the Centrals stock except the fifteen
shares held one share, each, by the rail-
roads directors. Notices requesting Pres
idents Spencer and Hanson to appear
before the commission on October 10, will
ba sent out Monday by Secretary George
r. Montgomery.
Should 1t develop that the Southern Is
the real owner of the Centrars stock,
1t will be seen from the foregoing that
the result might be twofold. The two
lines might be put under Rule !. of the
commission, with the effect stated. and
litigation might be instituted to create a
change in the ownership or control of
the Augusta Southern.