Evening journal., 1916-04-24

speculation by stock gamblers IN wall
Street, whose eyes are on the ticker and
not on the trains and freight houses.
Let ms take. for example, this very
railroad of which Mr.. Elliott is prcsi-
dent The New Haven Railroad has
within ten years lost. through waste,
mismanagcment aud general lawless.
ness. from one hundred To two hundred
million dollars. Now, that is part of the
cost of operation under present business.
standards in the railroad world. The
New Haven is not an exceptional but a.
typical case The Boston s. Maine has
had the same history recently. So has
the Chicago & Alton. which Hartman
looted. SO has the Rock Island and the
st. Louis & San Francisco the Missouri
Pacific, the Santa Fe. the Union Pacific,
and nearly all the railroads in the coun-
try.
They have been in bankruptcy several
times. and huge profits have been made
by those who put them IN bankruptcy
and who were given control of their re-
organization. In the old days this mis-
management not only came out of the
public ultimately. through an increase
in the freight and passenger rates, but
it used TO come in the first instance out
of the railroad employees themselves;
for these wreckcrs OF railroads. when
their conspiracy was ripe. would apply
10 friendly Federal iudge-a SCALA
wag whom they had put upon the bench
for the appointment of a receiver, and
the Judge would appoint one Of the con-
spirators receiver TO run The road dur
ing reorganization.
The first thing that Mr.. Conspirator
and receiver always did was TO reduce
wages ON the roads Naturally. the
railroad men struck. But to strike was
/ to be in contempt Of court lecause the
/ ceiver was an officer of the
court. so the Federal Judge would
issue an Injunction against the work
men who struck, because the reorganiz-
ers were trying to recoup the money
which they had stolen out Of the pocll.
cts OF the workmen. If the leaders OF
the railroad men had the audacity ia
continue the strike, they were thrown
I into Jail for contempt of court.
Fortunately public opinion has com
.. PEELED the courts TO stop this discredit'
Il able secret alliance with railroad loot
ers. but unfortunately the legal princi
pies upon which the courts operated
4 have not vet been disavowed. We hop,
that Mr.. Brandeis, when he takes his
] place on the Supreme Court bench, viii
help the court to disavOw them, so that
! these things may not happen again
when the audacity of spectators rises
TO its old pitch.
u Now. the New Haven Railroad has
i, lost from one hundred 10 two hundred
!, million dollars in short period by ag
grandizing schemes not unlike these II
, character. If that railroad were on iti
feet; It IL had not suffered the cOnse
quent loss of morale and efficiency, will
f their train Of evils. the New HaveT
D would be amply able to meet any IN
crease i'm the cost Of labor. though thil
demanded decrease in the hours of labor
ont of its surplus prosperity. There
D.. fore another answer TO Mr.. Elliott
, contention is that the railroads cal
change their methods; can operate d
D railroad as IT, was meant to be operated
( as a railroad, and not as the victim o
p INSCRIPTIONS spectators. Mr.. Elliott Il
RI himself trying TO do this very thing an'
5 is meeting with considerable success
4 Mr.. Hustis and the Federal trustees ar
10 irving to do this very thing on the Bos
Y ton & Maine, and arc meeting with YER
o great success. They have in year cor
g yerted deficit into a surplus, and in
C short time, If its condition improves j
C the ratio Of last year. the Boston
Maine will be on its feet again merel
b hy decent management.
q Now. change which viii make
4 impossible for repetition Of these oy
,. aies Of railroad speculation and wreck
F. ing will completely offset any increase
i cost of labor which may be involved i
the demands Of the railway employei
l. even If the increased efficiency Of IN
& labor does not help very much.
e Doubtless Mr. Elliott will say tina
20 the railroad managers have learned thei
r. lesson: that the stockholders have bee
10 the most 20 suffer. and that these condi
; tions will not return. But "whou th
C devil is sick. the devil a monk woul
l. he. and when the devil is we'll, tho dew
+ n monk is he" These periods Of dissi
4 patton. followed by periods Of reaction
20 repentance and convalescence. have bee
i j the history of railroads since the frs
- 1.