The Sentinel=record., 1917-12-30

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 their demands for perhaps some time in the belief that in the present un- settled railroad situation their request for wage raises would meet a better response at @ later time
 Creation of a government corpora tiOn for handling railroad securities and for financing the purchase of rail- way equipment is the best plan, off cials believe, for handling this end of the financial situation. The govern ment financial situation, it is held, is too cumbersome. Under the scheme proposed the railroads would submit 10 the corporation all refunding is- sues for approval as we'll as all new ssues of securities The corporation then would buy them in and hold them for sale to the public at convenient time.
 In this way the government could keep railroad securities off the mar ket when 1t was offering for sale Lib- erty bonds and other government se- curities The feeling among railway executives that government assump- tion of control makes government ownership inevitable is based on two l premises
 First 1t is held that once the roads are co-ordinated and operated as one l system it will be impossible to go l back to the old competitive system
 The public, it is decnred. never would
 be willing for such a gigantic com l bination 10 operate as a private cor ! poration
 l The second reason is that stock holders once guaranteed a fair return
 on their investment in railrod stocks 1 would not want 10 return to the un-
 certainties of private operation The eastern roads operating com
 mittee will be brought to Washing ton from Pittsburgh, officials said, be kcause 1t will be in closer touch with
 the war board and because the cen
 ter of congestion is shifting from the l Pittsburgh district to the seaboard It's offices will be established in the
 building occupied by the war board
 Another reason for the apparently l cheerful acquiescence of railroad heads to the governments plan of l operation, is the assurance given by | MT. McAdoo that roads which did not
 make fair earnings in the pre-war | period will be provided with adequate I ha ant I The foundation for this arrangement ! will be laid in Legislation now being 1 framed and to be introduced imme@ diately after President Wilson ad- dresses congress next week
 Secretary MeAdoo spent today at
 his office in the treasury building but arranged to open headquarters next week in the interstate commerce building.
 Among the men with whom he con- iefred today were Daniel Willard
 president of the Baltimore G. Ohio
 nd chairman of the industries board interstate Commerce Commissioners Anderson Meyer and Wooley. Sena- tor Cummins. Representative Reyburn
 # the house interstate commerce committee and John Barton Payne, counsel for the shipping board
 Although Mir McAdoo has not yet
 lhen up the subject of cuFtailment )f passengers schedules this course isl anticipated later Postoffice officials today arranged to revise their mail schedules accordingly
 In his statement before the senate
 interstate commerce commission te-
 lay Chairman Hall took occasion fol exonerate Chairman EOyett of the prl- ority board of blame in the issuance
 of unnecessary orcers, placing re
 possibility on the action of the boards of the board and the navy department. as well as with the ship ping board which designates which freight for these departments is Co be given preference
 Couldn't the president have im- proved the situation last July hy hay ing these priority orders pass through one man 22 asked Senator KellOg. Ou can draw your own COnclu- sions as well as can" Chairman Hall replied
 The head of the railroad commits sion in response 10 questions regard
 ing the probable expenditure that would result from government control
 If the railroads said he believed the plan could be carried out without great cost No money might be need