The Washington herald., 1907-03-30

New York. March 29.-At the instance
Of Henry N. Whitney. OF Boston. william
]. Bryan recently wrote out and sent to
Mr. Whitney a detailed statement OF his
views concerning railroad supervision,
with particular reference to the evils
arising out OF the present anti-rsilroad
Legislation.
This statement, which was solicited by
Mr.. Whitney at a dinner recently at
tended IN Boston. at which Mr Bryan
was a guest, represents a modification
OF Mr.. Bryans original attitude toward
government ownership.
Mr.. Bryan says In part:
I am in favor OF both national and
State regulation Of railroads, but I also
believe that public ownership is the uIa-
mate solution Of the railroad question.
In my discussion on the subject, I have
pointed out that because of the danger
| OF Capitalization IN ownership by ths
Federal government OF all the lines,
prefer a system by which the Federal
government will be confined % the neces-
sary trunk lines. the ownership of the rest
OF the lines 10 be left 10 the States.
| Not an Immediate Question.
| This. however, is not an immediate oues-
ton. at least I am not sure that the peo-
/ pie are ready TO consider the question Of
public ownership, and until they are reads,
to consider that question. the interest is
eentered in regulation. As an advocate
/ or regulation Of the strictest sort, I can
say to you that there is no danger what
ever that this regulation will be carried
to the point Of preventing a reasonable re-
turn on money invested IN the railroads
Of the country.
and 1 can assure you that whatever
public ownership is adopted by the states
or by the nation. the stockholders NAV
expect 70 receive a price at least equal 10
the value Of the physical properties Of the
road
The trouble is that the railroads have
Watered the stock and have cofnneiled fha
public 10 pay dividends and interest upon
fictitious capitalization. This is resented
BY the public and very propaFly IS. bur
their resentment VIII not be carried to the
point Of doing injustice to the owners Of
the stock.
No Disposition to Csnfaeate.
when the value of the roads is ascer-
tafned, I am satisfied that public senti-
ment viii insist that the returns shall be
sufficient TO Day reasonable dividend
upon The money invested.
In case the various States or the us-
ten decide to enter upon public owner
ship of the roads, there would be no
disposition TO cOndscate the property.
am satisfied that in the purchase of roads
the public would be much more apt 10
pay more than the roads are worth. rather
than less. There is. therefore. no rea-
son why a person having money to invest
In railroads should not be willing TO in
vest upon an honest basis al this time.
for no future legislation would deny him
a fair return
No railroad regulation will be sustained
by the courts that does injustice To the
owners Of the railroad, and If public
ownership is decided upon the govern
ment cannot take the roads without pay
ing what the roads are worth.
Courts Would Give Protection.
II think / can speak for those who be-
lieve in regulation, and know that there
is not and never has been danger Of in
justice TO the owners of the railroad. ami
Il I can speak for those who believe that
the ultimate solution Of the railroad is to
be found in public ownership, 1 can say
that there is no disposition TO cenfiscate
railroad property even If the courts
would premit it.