The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1906-12-16
MEXICAN ROADS
; HAVE ESCAPED
Government Took Over the
Railroads to Prevent Ameri.
cans From Grabbing Them.
SENTIMENT FAVORS PLAN
SPEECH OF FINANCE MINISTER
LiMANTOUR.

Mexico City, Dec. 15.-There has been
plenty of discussion in official and COM
mercial circles of the frank speech in
which Minister of Finance Limantour
last night explained to congress the gov
ernment's action in buyi-s the Mexican
central railway. Fear 81 what he styled
the great railway trusts OF the United
States was the principal reason. for the
speech, the minister declaring that the
government had been forced to enter the
railroad field on a gigantic scale. He init
mated that the merging of the National
and Central is but the beginning of the
plan, although the republic now owns
all the big operating lines in the coun-
After delivering his speech he presented
bill at the request of President Diaz,
asking that the session of congress which
Is about to close, be prolonged, that the
whole situation might be carefully con-
Sldered by the deputies and the senator's.
Minister Limantour said that the gov
ernmsnt was first forced into the rail
road business in 1908. when the National
was purchased because a merger between
that line and the Central was about to
be conSummated.
Reasons Advanced.
At that time the government declared
that its attitude in railroad affairs would
be passive. but a change was forced by
the ATTITUDE of American railroad finan-
ciers.
The minister said:
Gentlemen, you are familiar with the
aspect Offered by the transportation
question in the neighboring nation; the
problem there is only phase of the trust
question which may be characterized as
a peril. Those great corporations are be
ing extended every day and expansion
has been so pronounced in recent years
that it may be said that the aim of most
OF the financial interests controlling the
b transportation systems of the United
States is TO absorb as many other lines
possible.
THE United States government
alarmed by the tendency and DESTROYS of
initiating a reaction against it. has taken
action which aims at combating those
organizations and checking their contin-
ued expansion. Under these circum-
stances il was natural that we should en-
deaVOr TO prevent the powerful corpora
lions in question, attacked as they are
by all legal means in their own country
as well harrassed by the pressure of
public opinion, from coming hither and
seeking TO absorb those Mexican rail-
roads which are not already under the
direct control of the government
the minister summed up his argument
as follows:
Sentiment FaVcrs the Plan.
Thus. gentlemen, there are three main
arguments for the merger: First, to
avoid friction between the different cor
pOratiOnS when the two are competing
lines, or when one of them fears being
antagOnlzed by a concern in which the
government holds a controlling interest:
second, to avoid the absorption of
properties not controlled by the govern
ment by one of the great railway sys-
TENS of the United States; third. the
prospect of realizing economies through
consolidation under a single manage
ment.
The speech was frequently applauded.
and there seemed an Overwhelming SEN
timent in favor of the ideas advanced by
Senator Limantour.