The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-02-13
s40,000,O0O WASTED
IN CANADIAN R'WAY
Government Spent That Much
Toolishly on TranscOnti-
mental Road.
THE INVESTIGATORS
Grand Trunk Not Likely to
Take over Line. as Origi-
nally Arranged.

,rr,v, Feb. is.--"Forty million dol
,a-. thrown away" is the substance of the
,srdict rendered by the National Trans
sentimental Railway Investigating Com
,,i.sion appointed by the Government two
tears ago. whose report was delivered TO
parliament to-day by the Minister OF
Railway
Will. the report Is being used as q
ro,itical weapon by the Borden Govern
,,out against the Liberal party. which
under Sir Wilfrid Lauriers leadership
started the National Transcontinental
Railway. II has created n tremendous sem
sation entirely aside from its political as
pec:. The result of the investigation is
expected to have far reaching results on
,he Canadian railway situation and Ii Is
openly predicted here that the Grand
Trunk will not actually take over and
ops-ats the National Transcontinental
but will leave ii. or large part of 1t. on
the hands OF the Government.
Tho conclusions of the commission are
summarized thus:
we lind that the Transcontnentai
Railway Commission. the Grand Trunk
Pacific Railway and those having charge
o. the construction of the railway did not
consider II desirable or necessary to prac-
,!se or encourage economy in the con-
Gruction Of the road.
I'VE find that, without including the
money unnecessarily expended IN building
tie railway east of the st. Lawrence
River. siV.0o0,o00 at least was needlessly
mn a.
Tie National Transcontinental is being
built BY the Dominion Government as the
eastern section of the Grand Trunk Pa
tie ard exteuus east from Winnipeg to
Norcion. New Brunswick, more than 1900
1.'ns After Its construction by the Gov.
eminent the road. according TO the terms
y the agreement. which Is embodied in
tie acts Of Parliament. is to be leased TO
tie Grand Trunk Pacific, which is to
operate it for fifty years Tor "a rental "
per cent. OF the cost OF construction. the
Government renting the interest for the
1rst seven years.
The comnisso reporting to-da, SAWS
that until the appointment OF Major Leon
ara. the present chief of the Trans
Continental Railway Commission. no
member OF the commission had any en-
lerlence or knowledge OF railway building
or operation" and that the roads stand
G'u "dS usCiueu Oh WITHOUT any kNOWl-
edge Us to whether or not IL was suitable
.9f tn. country and on assumptions as TO
business expected which We're unwar.
rantsd'
The report says tina; the original esti-
mate OF the Laurier Government OF the
cost Of the road was s61,4l5,0Op. and ADDS
hat Vu september so. 1871, there had
already been spent sl0y. zoe. and that
tn chief engineer then estimated that
when completed the road will, exclusive Of
Interest. have cost 1851, 100000. Assume
ing that the Grand Trunk Pacific will
commence to pay interest in l432 the
road will have cost the country s234,G5l,-
vi.
The commission ilnds that huge sums
We're made by subletting and that the
original forms OF tenders restricted bid
dag ~ = lew big contractors. eleven
firms having made about 100000 with
ont doing stroke OF work. The late
Charles VI. Hays president of the Grand
Trunk, the report says. WAS aware OF what
Vas gong on and protested yainly to
the Government, and that In the case
OF one contractor, whose case Mr. HAYS
complained OF, a profit of $4,000 was
received FOR doing nothing"
Improper classification accounts for an
other $4,000, 900. No actual corruption is
'Aarged
II Is asserted that the Borden Govern
ia-Nt' when Inherited the enterprise from
me Lautier Government has made changes
=" grades and curves, which will give the
'irand Trunk AN excuse for refusing to
axe over N" road when completed and
tat L Intends TO do so. thus leaving the
EASTERN section az purely Government
foad' No official statement as to this
.s forthcoming