The Birmingham age-herald., 1913-02-23

methods which will have to be done
away with in order to make the public
believe it is entirely in earnest in the
expressed desire to save the public from
being ruthlessly robbed-and that is,
to keep rotten properties off the trad
ing list. Dozens of stocks have been
worked off on the public through the
Endorsement which the exchange gives
them by permitting their purchase and
sale on the floor when in fact tho pur-
pose of the campaigns was to plunder
deluded investors and Spectators
Headway has been made to- put a stop
to this collusion with swindlers but the
brokers who share the commissions on
rotten promotions as well as good
stocks hate to cut down their incomes
Western Pacific White Elephant
The taking over of Central Pacific
by Union Pacific destroys whatever
little chance George Gould's Western
Pacific had of getting a foothold
There never was a more senseless
piece of railroad building ever put
through as this construction of line
from Salt Lake City to San Francisco
across a desert country, barren of
paying business and serving only as an
ostensible outlet for the traffic of Den
yer and Rio Grande with Missouri
Pacific and other eastern Gould con-
nections.
1t was sad piece of business and
represented the virtual burning up of
nearly S100,OO0,000. 1t Is now left by
the wayside a hopeless and helpless
orphan. Under the rigid ruling of the
Interstate commerce commission it is
no longer easy for a poverty stricken
/ and useless railroad to acquire what
was formerly known as a nuisance
value" Western Pacific will always be
a white elephant derelict on the
Rocky mountain railroad map The con-
struction of this useless road con-
tributed largely to the almost forcible
election of George Gould from active
railroad management of the system
with which the Gould name had been
identified for more than a generation
Another rash investment which is
now going through the reorganization
stage is the Hudson Manhattan un-
foreground system of railroad connect
ing New York with various points in
New Jersey. The road has been a
great convenience but never q pay
ing adventure. 1t serves very use
ful purpose of giving the public a
chance to get back and forth between
New York and many of the nearby
New Jersey towns and also to make
connections with Jersey City railroad
and steamship terminals, but there are
not passengers enough to yield the re-
quired income and the property has
gone on the shoals. At present quo
tations for the securities, the hackers
of the tunnel system are out about
$50, 100000 in the net aggregate. The
work was the creation of Mr.. w. G.
McAdoo, a politician and financier of
local note. As a gift to the people, II
has been in every way a success but
as q financial investment 1t may be
years before daylight is SEEN
Prices this week at low point made
bottom record for the year and for
/ last year. The depression was caused
primarily by the Balkan Turkish wal
and consequent liquidation of i'm
mense quantities of American secur-
tiles of foreign holders. The decline
tinued with only occasional interrup
tions down almost to the present mo-
ment. 1t has caused enormous losses
hundreds of millions of dollars. but the
end of the decline seems to have been
reached. The leaders of Wall street
are as yet lukewarm but Investment
capital in large aggregate volume is
finding its way into the street The
financial district is full of bargains
which are being picked up for the ac-
count of shrewd and cautious people
who are always on hand to take ad-
vantage of breaks in the market to
find lodgment for their capital on an
income bearing basis of 51s to s per
cent. These people will be the saliva
tion of an otherwise despondent situ-
alton.