The sun. [volume] (New York [N.Y.]) 1916-1920, 1917-12-11
President to Send Special
Message Asking for
Legislation.
TO APPOINT DIRECTOR
Systems will Be Operated
by Same Organization
as at Present.
RAIL CHIEFS CHAFED
Their Appeal for Corporation
Control Sent to the
White House.
RAIL CHIEFS CHAFED
Special Despo,ch 70 T.s suS

Special Despoich 70 Tss suS
WASHINGTON, Dec. 10.-The railroads
apparently have lost their hght to con-
vince the President that they can BE-
operated best for the nations war pur-
poses under their present management.
The President indicated to-day that he
believed it was best for the nations in.
terests as a whole and also best for ~
stockholders OF the railroads II the roads
were operated for the rest Of the war
by the Government with a guarantees Of
their earnings on a basis to be arranged
later.
Unless the President shall change his
mind in the next forty-eight hours he
will make this attitude clear in a sps
cial message to Congress which is in
preparation and in which he will outline
the details OF the plans he has in mind
for the operation Of the roads.
Presiden, Wilson is understood to take
the view that Government control OF the
railroads is a war measure pure aud
simple and that not in any way should
it be accepted as committing the prcsen,
Administration to the principle Of Gov
crnment ownership. The President. sc-
cording TO his friends, is against Gov
ernmcnt ownership OF railroads in spi,s
OF views known to be entertained by
| certain members OF his Cabinet.
TO Turn Roads RacL.
The plan the President has IN mind
! contemplates turning the roads hack infn
private hards al the expiration OF ,he
, war and by reason Of the financial aid,
! whtcA they arc 70 receive during the
, period wAen they will be under Goverr-
! nent control. The President believes thai
! they viii he Ia much better shape thar
! they are to-day.
! Mr.. Wilson il in favor Of utilizing all
| existing agencies IN their operation h,
| the Government. which means that their
present managers will be retained; IL,
! fact. that there will he little change
! noticeable in organization except tina
! there will he 2 Government officer ~
! charge o' the roads whose orders will f>s
; carried out by the present system Of
committees Of railroad men.
! This attitude OF the President h"
came known to-day after he had had
conference With Senator Newlands
chairman OF the Senate Interstate Com
merce Committee, who had taken with
him TO the White Hou$> a statement
by tho railroad heads which was an Al
cument for the continuance Of the pres
ent system. Senator Ncv,and. merel,
acted as the bearer OF this ststemen'
and did not appear as Its advocate.
In fact II Is understood that Senate
NeNiands declared himself in favor OF
Government control ard believe. that /,
I 10 has
stockholders OF the railroads. This re-
ported attitude OF senator Nevlands
caused somc surprise, as tho Serator
has generally taken the railroads side
Railway Heads Oisappointed.
Despite the fact that som. form o.,
guaranteed earnings would seem to he
assured. thc railroad presidents are >
disappointed lot to-nieht Thev reaIiss
that they have virtually lost their nka'
and arc -ow holding conferences with 1
View OF determining what their future
action viii he in protecting thoir stock
holders and in meeting the tremendou-
problems which they feel are about to
arise.
/, \ host OF railroad executives are here
many Of them sleeping ia their private
ears because of the insuficiency Of hotel
4 accommodations Tonight members of
= the Railroad War Board were In confer
cnce with pariel willard. who is Il mem
e her OF the War Industries Beard. go!ns
7 over the situation.
Thu President has not sent for NJ
: Willay |, nor has he conferred With
: Judge Robert s, l.ove'', chairman % the
rr,orities Board, despite the fact ,ha
p those men know the railroad situai!ou
thoroughly, The P,ea!dort II reports sd
to believe tina; he understands No pos
ton OF the railroads sufficiently witiou,
: the necessit" Of further "on:oreNcs
= Although under the ride ia the arm,
o bill passed August -, 1915. the prcsi.
= dent undouh, eilv has tho right to tska
II over the railroads withouj further lesls
: laton, he IL reported 10 feel that f.
j. would he hettcr IN the present c,ner
gency for Congress to enact spa,'a
&c law ~hich will cover thc dntsils Of thr
- plan by which not only vii there Ns .
guarantee Of earnings. but also a PROV
- sion for financial aid iih wHtCh To max.
!. Improvements.
" While convinced that tho Ere. dem il
', t. urge suitable GuaTsnte" to es"t
~ carrier "a roromme aided ',y ihc Inter
state Commerce CommiSyiou In the a
ternatiNe plan the railroad executive,
here are fearful OF tie action ~ rou.
Ettss
D. Poi"ts In Oouh.
y Only tho President and TO-, ~ N'
- Ultimate advisers apparent, LnoV Tue
10 what is oontcmpia,ed in this direction
whether the carninas of the pre.,s
. year ot 1915 are to be taken "a has,.
, ! whether the earnings NJ the thrAe nrt
war years are to be taken or vhcthc
these shall he passed on the ,o,r g
wears rrecsdine the beginning Of IN
: war in Europe.
I II Ia not knoNn either whether al
: President intends Ia turn the contrr
G. the roads orcr to the Interstate com
merr~ commission. In the War Depart
r ment or "A railroad administrator 10 \
app,Atej for this purpose.
l. These questions are asl,stin<ths raj