The Detroit times., 1913-04-16
DETROIT end
/ OF Pm. INQUIRY
IS COMPLETED
Lieut.. Gov. Ross Reads Into
Records Minutes of Meetings /
Authorizing Dividends
SOME PROVIDE FOR
PAYMENT FROM EARNINGS
Hearing To BE Completed Wed.
nesday, when Arthur Pa
triarche Will Testify

Lieut-Gov Ross finished the De-
rroit end OF the investigation by the
legislative committee into the anairs
OF the Pere Marquette railroad, Tues
day morning, when he read into the
committees record certain excerpts
from the minutes OF the annual meet
lngs OF the roads board OF directors
Al which dividends were voted.
Rep Oryice X. Leonard was the
only other member OF the committee
present, Senators Verdier and Smith
and Rep. Young having returned TO
Lansing Lieut. Gov. Ross also left at
| o'clock. The final sessions OF the
hearing will be held, Wednesday.
Arthur Patriarche, former vice-presi-
dent of the road, will then testify as
10 his knowledge OF the roads his
tory. 1t Is possible that few ship
pers will also take the stand
Lieut.. Gov. Ross investigation.
Tuesday, showed that in all but four
instances II was voted to take the
dividends from the company's net
earnings The four exceptions, in
which the resolution said nothing as
the action OF Aug ~, 1904, declaring
4 two per cent semi-annual dividend
on the preferred stock. and those OF
July and Nov. 4, 1903. and Harch p,
1906, declaring one per cent. divi-
dends on the common stock.
Mr.. Ross also read into the record
,he fact that the annual statement for
1905 shows that $4,000 the full
amount voted. was paid as common
stock dividend, though +. w. Stew
ems testified that the &. ri. AZ ID, did
not accept it's share Of the dividend
w NJ Crapos letter OF resignation,
written Dec is, 1902. was also made
part of the record In II Mr.. Crapo
referred TO his 40 years connection
with the railroad which is now n
IA prosperous and healthy condition,
with it's local traffic increasing and
| lis through traffic showing satisfac-
tory results IL was but a few years
later that the road went into re-
ceiver's hand through operations that
took place after Mr. Crapo bade fare
we'll to the Pere Marquette with such
faith In It's hourishing future.
While MIR. Ross was reading the
minutes, Clarence ). Skies. general
auditor of the company, who testihef
Monday, came in TO say that he had
sent the Toledo Railway a. Terminal
Co.'S records. demanded by the COM
Tittee, TO Lansing.
It's queer that IN all these years
| Of business the railroads haven't ar
lived at a proper basis for fixing de-
|preciation," said Gov Ross, barking
back to Mr.. Skies testimony I'm
connected with four manufacturing
companies. and every one OF them
charges Oft certain amount OF de-
preciation II we can find out what
that charge should be, railroad
ought to be able To do the same.
But you don't reckon actual money
rs depreciation charges" said Mr..
Skies
NO. but we deduct the depreciation
rom the property account. so that the
books show that our property isn't as
valuable as II was, replied Mr.. Ross.
rThe Pere Marquette didn't do that. II
any company in which | was concern
I'd should attempt 10 Issue bonds ana
use part OF the proceeds for repairs
pen 10 IL, too Its affairs would be
taken before "A referee in bankruptcy.
Yet that's what happened on the Pere
Marquette
Mr. Ross gave no indication of what
the committees recommendations 10
TIE legislature may be. The report
will probably be transmitted next
week