Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1917-12-27

FAo 0S tAAS lC.1OOSA4l6 H-Ol
much freight now passing over con-
Eested lines. particularly in the west.
The railroad war board has sought to;
divert traffic to lines leastgf.over-
,burdened but, anti-pooling' regulations
have hampered 1t. . .. :" = = 60 " =
Z The name Of John SHELTON williams,
now comptroller of the currency, and
n of Mr. McAdoo's principal lieu,
tenants in the treasury, is being men
toned today as chief executive direc-
tor under Mr.. McAdoo.e He formerly
was a railroad financier. :
CONTROL TO BE
TAKEN FRIDAY.
Washington. Dec. 27.-Control Of
the nations railroads to bring about
uniform operation for the war will be
tomorrow with Secretary McAdoo,
still retaining his cabinet post,tsi In
charge as director general Of. rail-
roads. :4 w GsY@ Sr,-
This decision, the governments So
luton for the difficulties Of the pres
ent transportation situation was an
nouncedt last night in a proclamation
by President Wilson aking over every
railroad oengageds.in generalgtranspor-
tatiOn in continental United States,
with it's appurtenances, including
cLCnlIko4Elp lAIlC6. All AllGS Will NC OHs
Grated as a single system.
In a statement issued with the for
NAL proclamation President Wilson
declared he would ask congress as
soon as it reassembled for; legislation
guaranteeing: caJ.a, FL -
First, that the railroad properties
will be maintained during the period
of federal control in as good repair
and as complete equipments as when
taken over by the government and.
second, that the roads shall receive a
net operating income equal in each
case to the average net income of the
three year, preceding June 80. 1917"
FEDERAL BACKING
FOR NEW ISSUES.
Government backing also i. will be
given new issues OF railroad. securities
so tina a.market may be readily found.
Railroad officials w~illsretain' direct
management of the roads and the rail-
road war board composed sof sfivs rail-
road heads will continue. actual: opera
ton under Director McAdQOss super
vision. FIX [.5.SsS
The presidents statement made
clear that his decision was not due! to
any failure Of the railroads to per-
form their duty as we'll as they could
4 NAAACA p -
the real reason for the plansof gov
1ernment@operation was to permit COM
plete 3unffication of, alt rail- systems
impossible through private --QpeTation
by statutes prohibiting spoolings~:of
traffic and earnings. 80 I!
Although electric lines engaged In
general transportation ar included
In the proclamation street railways
and i~nterurban lines are specifically
1 exclude al X @ .s5S. 4
COMMISSIONS TO
MAINTAIN DUTIES.
The interstate commerce commits
sion. and other government. and state
agencies 3whichIhave to do With, rail-
Junction Under the new plan except
that they WILDE subject to order OF
1.-THE railroadA5Sdirect0r. Railroads still
will npplys4to the commission. Ssfor
changes In rates and practices,
Early decision In the application OF
eastern and western roads 8 q is
lpericent advance All freight rates
ptnding before the comraisAton now ia
Expected The gproclamstion failed 70
~ but II g insrprstedss u innciutIdslins
Although the plan IL control is.n,ot
lGutlineds In detait It WAS the opinion
That the 3JBrttish systsmswoYldAbe fol-
lowed closely except in9 the matter o4
fEaying forggoYerntneIt freight. IN
England sthe k~oYernrlent fretght SC
carried free Mhile. Ant the spnttsd states
the government will pay, for lta
1frsight.S s%sgEEG Il ss@ s#Syg 80
Railroad experts estimate. tha4 The
tspySrnlnent. spl4n GuarAntSe earn
iing A~duivalent to saSslaSe INST operat.
ling lhcolnoaofT4ho1AS 5threeSyeAfs Will
Iccllf thsss lsovsrnnisnt aboutaas1oo,o90,-