Gainesville daily sun. (Gainesville, Fla.) 190?-1938, 1907-03-17


not Ia better or cheaper transporta-
ton. but In more stocks and bonds.
upon which the public must furnish
money 20 pay dividends.
"The control Of the railroads of.the
country has passed from trained rail-
road operators TO bankers, who specn-
late in railway stocks. A notable result
OF this condition is the withdrawal OF
authority from the local management
and local superintendent, the re-
ductlon Of salaries 20 those actually
doing the work Of transportation, and
the dwarfing Of the power and capael-
~ OF the men upon whose manage
ment the public must Immediately
depend. To this. at least In part
Is due the recent tendency towards
q less efficient service.
The interest controlling the rail-
roads. as q rule, study the prob
lem OF making immense fortunes at
once out Of the increased stock and
bond Issues. The right 10 earn a
just income % the actual invest
ment in the properties does not In
forest them. They are careless OF
the duties owed by the transporta-
tion companies 20 the public.
"The railroad properties OF the
United States are capitalized at over
81 3. 200 200 900. Careful estimates
OF their actual value show them TO
be worth less than Sc, 900, 900 900.
The public, therefore. are being
called on to pay excessive rates for
transportation 10 make interests and
dividends on 81. 600 900, 900 OF wa
tered stocks and bonds. These bonds
and stocks rest like a permanent
mortgage on the industries Of those
engaged In, the various avocations
OF life.
"The transportation company Is
public enterprise. The railroad Il
built by the use Of the states power
OF eminent domain. The public are
entitled to a voice In the charge;
which are made by the railroad com
pany for carrying passengers ard
freight. These charges must be rea-
sonable and free from discrimina-
lions.
The duties OF a railroad company
are dual: First. TO the public: Sec
oud, 70 It's stockholders.
the public must look 10 the
states and 10 the nations TO protect
their rights. When we realize that
over half the stocks and bonds is
sued by the railroad companies OF the
United States are SPECTATORS. and
not based upon money actually in
vested in the properties. we see how
recklessly the rights OF the public
have been disregarded.
Il present 10 you no struggle OF
labor against capital. I urge no
contest Of poverty against property.
plead for the rights OF the prop
erty owners and their employees OF
the United States, OF the men own
ing Industrial and manufacturing en-
terprises. OF the men owning agricu!-
tural interests. and OF the great body
Of men dependent upon their efforts.
plead for the legitimate rights OF
the public against the mismanage-
ment OF quasi-publlc corpora ions.
Instead Of exhausting the capsc-
~ our transportation companies 10
ttfN a. nd
the public were entitled 10
d. all the money realized from the
sale OF stocks and bonds invested in
the properties. Thereby the IA
cilities OF the transportation compa-
mics should have been improved. The
public was furthermore entitled 10
a reduction in transportation charges
as the volume OF business increased
and the cost Of service lessened
"That there Is a friend ~ thought
more and more favorable TO govern
mef ownership OF transportation
companies. do not doubt. While
there are advantages as well as dis
advantages 20 be derived from gov
eminent ownership Of all the rail-
roads, II Is hardly more than acade-
&c question at present. Anything
approNmating wholesale government
ownership would be impossible for
many years TO come. and the remedy
Immediately before us mast neces-
sarily be, 10 perfect the legal author
ily in properly constituted agents %
regtlaie and control. AID th.n in