Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1915-12-22
GRANGE MASTER STETS0N
CALLS FOR INVESTIGATION
OF RAILROADS OF MAINE
Farewell Address of Retiring Leader at Portland
Convention Adopts Resolution Favoring
National Amendment for Suffrage

condition. and specific instances were
cited. among them being investments
in hotel property, the Portland Term
inal Co. the Somerset & Sebasticook
Railroad purchase. the Rumford Falls
lease. and transactions growing out OF
the organization Of the Maine Railway
| Co. to take over the Maine Central
stock owned by the Boston & Maine
| Railroad. March 20, 1910. the Maine
Central loaned the Boston & Maine
100000 and three days later April
LIST, it issued and sold 100000 of 4 12
per cent. coupon notes at discount
Of $4,000. The Boston & Maine an
nual report shows the borrowed money
| still owed to the Maine Central, June
30th.
! The investment Of 100000 in the
Somerset averaged an annual loss of
about $106,0O0 UP to the time of the
merger in 1912. The investment Of
s225,000 in the Sebasticook & Moose
head Railroad was at a loss Of about
s1S.5O0 annually. The investment of
$1,45o.0O0 in hotel property is losing
about $4,000 annually. The invest
ment of s250.0o0 in Rangeley Lakes
annually.
The investment of s325,0oO in the
stock and s222.000 in the bonds of the
Sandy River Road is losing about SEQ
900 annually.
July |, 1911 the Portland Union
Railway station Co. became the Port
land Terminal co. and took over the
property Of the Boston & Maine. and
Maine Central situated in Portland.
South Portland and Westbrook. In
part payment for this property the
Boston & Maine took s250.0o0 of the
stock Of the Portland Terminal Co. at
par ($l00 per 'share)
The Maine Central took the same
| amount at the same price: after which
the Maine Central took over the $3.50, 900
Of stock held by the Boston & Maine
and paid s3l2,500 or 1925, per share,
making g. loss to the Maine Central of
$4,000. The bonds of this company
were sold for So per cent. Of the prin-
cipal and interest guaranteed by the
Maine Central In the report Of the
Pujo committee, House Resolves 429
and 5O4. PaSc GO, you will find that one
issue Of the securities Of the Portland
Terminal Co. in 1912, was taken by j
p. Morgan & Co. amounting to s4,-
100000. with principal and interest
guaranteed by the : Maine Central
These securities should be worth
more than par, but on a par basis the
Maine Central lost $4,000.
The ;laine Central lousht the stock
OF the Somerset road for $3.50, 900, or
s"a per share The operations of this
road for the succeeding five years
| showed q deficit Of $4,000 and loss
OF interest Of sc05, 600 making a total
! toss N FIVE years. of $4,000
P2trons. one of the resulting bene-
! nus OF this attempted investigation is.
IN the future. it will be impossible for
! one man who is paid $4,000 Der wear
! lof TINS purpose. to dictate and dom
, mate such legislation as I have here
indicated. With this awakened public
sentiment, the Patrons of Maine NAV
grasp and use the power which ;s
theirs. We hold the balance If mower
ana the only need is to see thai mon
arc elected to the LEGISLATURE n,eaood
10 the enactment Of laws for the hone
NJ OF all the people. and that the tools
OF SPECIAL privilege are left at home