Evening bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1895-1912, 1907-03-29

securing the advantages Of each
II is now time to consider whether it he possible 10
these mpcat,cly needed facilities VI transportation for the
Islands of Hawaii aud Kauai under railway corporations
in which the Government shall have and the Bonds aud
Capital stock Of which shall not exceed the actual cash paid
in and reasonable percentage for promotion aud discount the
issue of both to he legally limited aud interest and dividends
be- souudlv and justly limited that the people aud industries
Of these districts may be exploited forever and that
increase traffic charges I've reduced that the people
aud their industries may thrive. increase and prosper
The ockiobbng, manipulating, watering and initiating of
the bonds and capital stock of the railroads of the mainland
aroused the President of the United States of America and
public opinion this shameless and corrupting exploiting Of
the people commercial corruption and destruction of all nan
cal integrity.
1t is the duty of the Legislature of the Territory of Hawaii
to 10 it that neither the Legislative Executive powers
the people, ovcreacled by those who would fasen
forever millions of dollars Of bonus stock the people and
industries of this country
The Territory has in the past given financial aid TO railway
development may seek ascertain if its financial aid is
csay protect its people and industries in their imperative
need of cheap transportation and should prove seek the
necessary authority TO render such aid.
When railroads established in these districts and
issues of capital stock emitted the people and their indus
tries can never secure relief through competitive lines of trans
poraon but will be subject traffic rates best described by
the words "a the traffic will bear.
The Executive should any alienation of public
heads pending the determination of the best methods of pro-
vdng needed transportation facilities within the Territory
The Legislature should carefully consider the interests and
welfare of the people of the Territory of Hawaii and guard
them in every possible and reasonable way from the results of
excessive capitalization and unlimited powers of corpora
ton organized for the purpose of furnishing public railway
transportation. NHAM
The operation Of he imendcd General Railuay Lac and
he Act "To ENCOURAGE THE BUILDING OF PUBLIC
RAILROADS ON THE ISLANDS OF HAWAII AND
KAUAI" wW be approximately ms foiiorS:
1t impossible make close estimates for the Island of
Kauai as terminals have not been determined upon
northeast of Hawaii fair conclusions be arrived at
and the principle of Government aid be illustrated
Under the old General Radray Lar, the cost of railway
in the districts of lIio and llamakua, Hawaii consisting of
Is miles of coast line miles of connecting line and miles
of main line, total of ~ miles, would be-
In LIST Mortgage Bonds .................s 3OOOOOO 90
In Capital Stock 5000 of which would be bonus 5000
Total ........................$G ,OOO,OOe 90
To reach Kawahae would cost:
In LIST Mortgage Bonds ...$l ,00O,000.OO
In Capital Stock, 800 bonus 1,OOoooOO 100000 90
Total cost Of "arOad lilo 10 Ka~aihae SIS, 100000 90
The corporation could increase this capital stock as they
might choose.
Undcr The Atacnded Geneul Lac the lines of railroad
would cost:
In LIST Mortgage Bonds ..............$2 900 900 90
In Preferred Capital Stock .......... 1000 900 90
In Common Capital Stock for promotion, fnan-
ceering, &c. ......................... 75oooo.oo
Total So 100000 90
To reach Kawalne would cost:
In LIST Mortgage Bonds .....$ 100000. 90
In Preferred Capital Stock $4,000 90
In Common Capital Stock. 100000 90 100000. 90
Toal cost of Raroad lilo to Kacaae So oOo 900 90
Under the Anended General Ralpdy Law applied above
those paronizig this line of railway will be freed forever of
the possibility of paying traffic to supply dividends on
$4,000 900 90 of watcred stock.
The whole proposition becomes fair square deal in which
the Territory the people and promoters protected and pros
percd.
Another feature of the amended General Railway Law is
that the people and not the corporation get the benefit OF the
sinking fund.- which is of originally taken out OF the
pockets of the people and from the stockholders that when
the $2G50OO000 Of bonds paid off by the operations OF the
sinking fund stock be issued in their place and the people
need furnish traffic charges for dividends %2,35OOOooo
only, instead of on SIS 900 900 90 or
This means, eventually lower for transportation,
products be brought very chepv tide and thence