Evening journal., 1911-09-28
NEW NEWS OF YESTERDAY
The Turning Point In the
History of Two Great
Railroads
BY Holland.

When the late William Bliss be-
came, in 1880, president OF the Bos-
ton 4 Albany Railroad, then the big
gest Transportation line In New Eng
land. he went TO work very quietly
but very energetically to obtain for
that railroad a through line from
Boston to New York, and make it a
competitor Of the New York, New
Haven & Hartford for through busi-
ness between New York and Boston,
on which the New Haven line, then
just beginning TO come into the field
as a great national system, had a
monopoly. With that end in view
he made plans to get control of the
Canal" Railroad.
The Canal" Railroad was the ere
alton of the late Joseph p. Sheffield,
the founder OF the Sheffield Scientific
School. one Of the leading depart
ments Of Yale University. The road
officially, the New Haven g. North
ampton RailrOad-owed the name by
which It was popularity known to the
fact that It followed the line of the
old New Haven and Northampton
! (Mass.) canal. The canal was built
in the early part of the last century,
before the era of railroads, to afford
the farmers of central Connecticut an
easy outlet for their produce 1t was
begun-like many of the early trans
pOrtation enterprises-more as a mu-
tual benefit proposition than as a
speculative undertaking. Most of the
stock was subscribed by the agricul-
turalists who were to be most bene-
fitted by the canal in their farming
operations.
The canal was indirectly of great
benefit to the farmers, but as stock
holders they got very little out of it.
Mr. Sheffield discovered that they
were willing TO sell their shares
cheap. He bought a majority of the
stock. and then built a railroad on
the towpath OF the canal. 1t was an
easy railroad to build, for the grad
ing was practically all done.
OF itself of minor Importance, the
Canal Railroad became of great STRAIT
egic value as a link In the projected
Boston & Albany through line to New
| York. Connecting with the Boston
& Albany at Westfeld, Mass, Il
would serve TO extend the Boston &
Albany 10, New Haven. Thus, the
completion of a through line TO New
York from Boston would involve the
construction of only about seventy
miles of new railroad, paralleling the
New Haven road between New Ha-
ven and New York.
In the later part of 1880 and the
early months of 1881 purchases Of
New Haven & Northampton stock
were made in the open market from
the Boston & Albany interests. The
stock was then selling at from
about 80 to 80 A few years pre-
viously It had sold as low as 13. The
road had not been paying dividends
regularly, but only a little before
this dividend of four per cent. had
been declared
There were some vague rumors
about these purchases. but they caus-
ed the directors Of the New Haven
road no alarm II is understood that
a paragraph which appeared about
March, 1891, in. paper published IN
Springfield, Mass, President Bliss's
home, first aroused the New Haver
peoples suspicious. The writer of this
paragraph appeared to have inside in
formation. and the directors of ths
New Haven by some cautious inquir.
les, quickly convinced themselves as
to what Boston g. Albany interests
had in view
The discovery gave them a bis
fright For years they had beer
haunted by the bugaboo of a parallel
railroad between New Haven anC
New York, and here It was about tC
be materialized as part of a new
through line from New York to Bos.
ton
The late William Barius Bishor
had only recently retired from the
presidency Of the New Haven sys-
tenn. his successor in that office beins
the late George II. Watrons, but Mr.
Bishop was still regarded as the tu-
talary genius of the system. Hii
father was the man who built III,
New York & New Haven Railroad
which forms part of the main linz
of the New Haven system, and tn,
son had a family pride in it. i
has always been understood that his
was the guiding mind in the move
that was made by the New Haven peo
pie when they learned of the danger
threatening their road.
There were some hurried consulta
tions, and then some of the New Ha
ven directors went to see Mr.. Shef
field. Mr. Sheffield, who was then
man of advanced age. owned abou
one-half of the S2,46O,OOO of the capi
tai stock of the New Haven & North
ampton Railroad
"Will you sell your Canal Railroad
stock?" his callers asked.
YES. at my figure"
what is that?"
par value. one hundred dollars
share"
'Very we'll We will buy il now.
A few days later, to the great as
tonishment of President Bliss and tn
Boston & Albany interests, which ha
been dickering with Mr.. Sheffield 70
his holdings, the stockholders of tn
Canal Railroad elected a new boar
OF directors, majority Of whom wer
identified with the New Haven sys
tenn; and the majority of the stoc
was voted by a capitalist who, a
trustee for the New Haven, ha
bought from Mr. Sheffield, at the lat
/ ter's own terms. a controlling inter
est in the Canal road at a cost q
$1,229SOO.
This was the turning point IN tn
a history of these two roads. Toda
the New Haven practically control
Z all New England transportation
\ while the Boston and Albany ha
I lapsed into the condition of lease
railroad. and is now indirectly par
z of the general New Haven Railroa
: farlily.
3 Copyright. 1911. by r. j. Edward
s All rights reserved.)
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