The Owosso times. (Owosso, Mich.) 1897-1926, 1911-02-24

uuty hHOW IndJ GOVeInOT OSUOTu Will
veto the measure. They then can
square themselves with their constitu-
ents and blame the governor for the
failure Of the bill to become law.
Two-Cent Fares for U. p.
This is hard year for poverty
stricken corporations. Judging from
present indications the legislature will
pass a two-cent fare law for the upper
peninsula Land Commissioners Nc
Pherran of the Duluth South Shore
railroad is working hard against the
proposition, but finds little encoura 20
ment among the members. The pas
senger earnings Of the y. S. & A. are
over $1,000 per mile OF their system
The law now in force in the lower
peninsula compels railroads to carry
passengers for two cents per mile
when their earnings exceed $1,000 per
mile.
The ID. S. e A. road claims that they
are the only road in tile upper PENN
sula that will come under the proposed
act, as the. other railroads in that Sec
ton of the state compute all the side
tracks and timber and ore spurs in
their total mileage. Representative
Oppenborn, however, will introduce an
amendment when the bill comes on
the floor, which provides that only
tracks can be considered over which
one train each way is run every day.
Representative Keppler of Houghton
is taking active part r trying to Sc
cure two-cent fares for upper peninsula.
Frenzied Finance In Railroads.
A sample of high financing and stock
watering which was practiced in for
mer years before strict laws against
effect is found in the affairs of the
Duluth, South Shore & Atlantic. This
read received land grants from the
United States government and the state
OF Michigan for more than 100000
acres. Later this land was bonded
most Of the land, valuable for ore and
numbering purposes, was disposed of.
Later the road went into the hands of
a receiver and was purchased by the
present owners. Now 81 per cent of
the stock is owned by the Canadian
Pacific railroad. which uses the u.
S. & A. as feeder for their Canadian
system.
The capital stock of the road con-
sists of $10,0OO,0OO preferred stock
and $12,000,000 in common stock,
total of $22,O00,0O0. On top Of this the
road is carrying a burden of bonded
Indebtedness of $2S,000,000, bringing
the total liabilities of the road up to
$50, 100000. Professor Cooley, Mich
igan's authority on railroad valua-
ton, claims the road can be repro
duced for $4,000 600, leaving $3S, O00,-
COO of stock and bonds of purely fic-
titious value.
These railroads expect the people of
the state to pay them a reasonable in
terest on these investments and, when
forced to reduce their freight and pas
senger charges by the Legislature, they
seek refuge behind their watered
stock. Governor Osborn, in his mes
sage to the legislature, called attention
to this fact and stated that the people
will not stand to be fleeced any long
er by transportation companies in
order that they may pad dividends on
stock and bonds.
Employers Liability.
Seven or eight different bills relat-
ing to employers liability have been
drafted and introduced in the house.
The senate has passd the James Nor
iarty bill, which is favored by the
mining interests. This bill provides
that In case of accidental death while
In the discharge of his duties the heirs
Of the laborer will receive a settle
ment OF $500 from the corporation
Some members In the house are in
favor of making the indemnity pay
able in the form of pension at the
rate of $35 per month. This, they
claim, would protect the children in
case the widow remarked.
Another bill will shortly be intro
1uced along the same line, but radical.
y different in form. This bill was
drawn by the attorney general at the
suggestion of Insurance Commissioner
Palmer. sThis administration measure
will provide for the creation of a fund
from the employer and en-
ployee at certain periods, and out of
his fund all claims relating from in
uries and fatalities will be paid.
February % Is set as date when a
Du y hearing will be held on this
subject and when representatives of
trades councils and corporations are
to make their appearance be.
ore the committee and thrash out the
natter Of workingmen insurance.
Bill For Torrens System.
Representative c. d. Symonds OF
Menominee introduced a bill provid-
ng for the adoption of the Torrens
system Of registration OF land and land
tiles. This bill is intended to simplify
he records now in use and provides
or speedier examination of alb
,tracts.
Abolish School Fraternities.
Representative Rankin's bill prohib.
ting the formation of fraternities, sor.
,rities and other kindred high school