Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1906-01-21

value for these stocks and bonds the
average value per mile Of the road would
be SlS3,OOo But IL we accept the value put
upon the stocks by the company In its
return to the state board, the stock value
would be about Sis, 10000, which, added to
the bond value. would result in an average
value per mile of the road, wherever sit
uated. of about 5000 per mile
Stocks of other Companies.
But in this case the return OF the COM
pany shows that the corporation held
stocks and bonds in associated railroads
of the value of upwards Of 500 100000 1t
Is asserted by the company that these out
side stocks and bonds should be added to
the stocks and bonds OF the original COM
pany and that that sum should be divided
by its total mileage. 1900 miles, increased
by the mileage of these associated lines
1900 miles more. Thus in finding the aver
age value per mile of the road the divisor
would be not the 5000 miles Of the original
company making the return and being
sessed. but the additional mileage of the
associated lines, which make no return
and which are not assessed. The report
further shows that the company had pur-
chased stocks and bonds In other corpora
tions and these associated lines referred
to, to the extent of sl76,OOO,0o0 1t is con-
tended that these last named securl-
ties and stocks are outside OF the state and
are locally assessed. Then follows the
contention that the s175,O0O,000 last referred
to must be deducted from the total value
of the stocks and bonds of the original
and the associated railroad companies and
that result divided by the increased mileage
In order to give the value per mile of the
road. The result of this last computation
would make the road worth on an average
per mile $4,000, or $4,000 a mile less than
its assessed value in 1904. But 1t must be
conceded that the claim of the company
OF the right to use the mileage of the as
ISOLATED lines is not justified and that it's
right TO have the deductions claimed can
not be sustained except as to those prop
critics In which the company owns stock
and which are entirely disconnected and d s.
associated from 1t in the operation of It's
railroad business. Such l understand to
be the rule of the courts There is no
authority of law for the company to report
to the state board any capital stock or
bonds except that issued by itself, or the
mileage of any other railroad but its own;
and the report of this railroad company,
which showed 1t to be an investor in stocks
and bonds Of other companies and gave
tho mileage of other companies, was en-
tirely voluntary and without requirement
of the statute, and If not made for the
purpose of confusing the subject upon
which the state board was seeking inform
alton and light, such was nevertheless its
effect. But 1t was necessary in this case
from the standpoint of the company to
make this showing with respect to its out
side holdings in order to get the advantage
OF an increased mileage of more than three
thousand miles, to be used as a divsor in
finding the average value per mile after the
board had found the total value of the stocks
and bonds of the company proper, issued by
Itself and outstanding against itself 1t
was not the purpose of the Legislature, IL
the law be taken to mean what 1t says,
to allow the railroad to interchange and
Intervene and intertwine its stock and