Evening journal., 1912-12-05
NEW NEWS OF YESTERDAY
The Wise Men Who Acted
FOOliShly
By Holland.

In May, 1891, the late Cornelius
VANDERBILT, as the head OF the Wander
bilt railroad system, announced that
the New York Central Railroad Com
pany had just executed an agreement
with Charles Parsons, president OF
the Rome, Watertown g. Ogdensburg
Railroad Company, for 99-year
lease Of the entire system, and that
the New York Central would immed-
lately begin the operation of this
system as a part of the New York
Central.
The Rome, WATERFOWL & Ogdens-
burg Railroad system was built up
by Mr.. Parsons, who died in 1904.
1t practically covered all that part
of New York State north Of the New
York Central lines. 1t occupied a
highly strategic position. It's lines
furnished direct railway communica-
ton with Montreal, which the New
York Central did not, and with the
West by means of traffic alliances Sc
cured at Niagara Falls. The Wander
bits looked upon this system as enc
which might offer very damaging
competition to their own lines; hence
the leasing of it.
Just after Mr.. Vanderbilt had made
the announcement of the leasing of
the Ogdensburg railroad, the late
Major II. Walter Webb, the vice presi-
dent of the New York Central, said
to me:
THE contamination Of this deal
this morning termintes three years
Of absolutely useless struggle, which
clearly shows that even the ablest
men have some times a weakness to
act in a most foolish manner.
This struggle began when Mr..
Parsons threatened to extend the
Ogdensburg into New England He
emphasized it by securing, through
alliance with the Grand Trunk, direct
entry into Montreal, something that
the New York Central did not pos
sess. By allowing the Ontario e.
Western, which enters New York city,
to use that portion of the Ogdens-
burg lines which parallels Lake On
tario and which makes direct con-
nectiOn with the Grand Trunk az
Niagara Falls. the Ontario & West
ern was able to secure a large
amount of traffic from the west-that
otherwise would have fallen to the
New York Central. And all this was
done solely with the intent to turn
the Ogdensburg system over to the
Vanderbilts on a profitable basis.
'As for the Vanderbilts, they recog-
nized that Mr.. Parsons had made his
system a dangerous competitor Of the
New York Central, and they were
very anxious to secure control of IT,
But in order to do that our people
believed that it was necessary TO
chuck a bluff. If / may use a some
what coarse expression, so that Mr..
Parsons would believe that we in
tended to build right into the Ogdens-
burg railroad territory. We sent out
corps of engineers ostensibly to sur
vey new route from Utica, north
ward, toward Montreal. We did Nther
things, Of which I am not at liberty
to speak, solely for the purpose OF
persuading Mr.. Parsons that we in
tended to get for the New York Cen
trail a fair share of the great bust
ness originating and terminating in
the St Lawrence valley and at Os-
wego.
The fact is. both sides carried on
these bluffs for two or three years.
Each side believed that the other was
sincere The Vanderbilts were GER
tain that Mr. Parsons was trying to
create a great railway system In
northern New York that would prove
fairly successful in competition with
the New York Central On the other
hand, Mr. Parsons believed for long
time that we really contemplated
building two or three new lines in
Northern New York, so that we would
I be able to compete with him.
1T was while ] was in upper New
York about six months ago that a
good friend whispered to me this
hint. What is the use of your fight
ing Mr. Parsons and Of his fighting
you? You can spare yourself any
further expense by getting together.
lie wants you to take the Ogdensburg
system off his hands and you want
to take It. Now, it is only question
Of negotiation as to terms
al acted instantly on that hint.
found my friend was right We agreed
upon the terms without any difficulty
and the deal was consummated this
morning. As a matter Of fact. we
might have had that system three
years ago II we had been little
wiser and Mr.. Parsons might have
turned II over to us three years ago
If he. too, had been little wiser.
Copyright. 1912. by e. J. Edwards.
All rights reserved.)
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