The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-12-16
PHONE RATES TO BE
UNIFORM JAN. 81

on Long Island, returned to this city
yesterday. He said:
ION my return to New York last
night learned Of the removal by Mr..
Burleson OF Mr.. Ward, Mr.. Cook and
myself from the direction of the opera
ton Of the lines OF the Commercial
Cable Company. A few days ago he
removed Mr.. Reynolds as general
manager Of the Postal Telegraph lines.
More startling still, Mr.. Burleson
has turned over our entire cable sys-
tenn. including Ave cables across the
Atlantic and the 10000 mile cable
from San Francisco to China. Japan
and the Philippines, n cable from New
York to Cuba and a cable from New
York to Hayti. to our competitor, the
Western Union Telegraph Company,
which owns no cable lines whatsoever
Except a few short cable lines from
Florida to Cuba), but merely leases
some cable lines in the Atlantic Ocean.
Mr. Burleson has also called In as
his adviser Naval. who caused the
Bell company in 1909 TO acquire con-
troll OF the Western Union and then
proceeded to wage INSCRIPTIONS war
fare on our land and ocean systems
until stopped by the Attorney General
OF the United States, who forced those
two companies apart.
Il see now that Mr.. Burleson has
appointed new committee to control
all wire communication-cab tele-
graph and telephone-namely. Mr..
Bethel OF the Bell company. Mr..
Stephenson of the Bell company, Mr..
Yorke Of the Western Union and a
Mr.. Adams OF the Kansas City Tele-
phone Company. In other words. the
Western Union and Bell Telephone in
terests are in the saddle.
Sees Evidence of Plot.
"All this consider n part and par
Gel of a widely spread plot to bring
about Government ownership of all
wire communications and incidental
~ enable the Western Union and Bell
Telephone companies to sell out to the
Government at high price. My COM
pnnies have opposed Government own
ership for years at all times and still
oppose il. Hence, we are marked for
humiliation with no delicate processes
in the way OF bringing it about. We
will see about that.
"The course OF events is significant.
Last spring the telegraphers union
suddenly developed activity. The diff
ferences between the union and the
companies were finally referred TO the
President Of the United States and in
a personal letter to both Mr.. Carlton,
the president OF the Western Union.
and myself he requested US to carry
out the mandate OF the Labor Board.
THE Postal company promptly COM
Piled with the Presidents request. The
Western Union refused. The union
threatened a strike. The strike did
not materialize. Then in a vague way
the proposition was presented to Con-
gress to pass a joint resolution au-
thorizing the taking over Of the tele-
graph, telephone and cable lines. The
Senate was assured that passage Of
the resolution would not be followed
by action unless circumstances
changed.
Difference in Compensation.
"The resolution was passed on that
understanding and Immediately the
telegraph and telephone lines were
taken over, and later. five days after
the armistice had been signed, the
cable lines were seized. The compen-
satiou OF the Western Union and Bell
Telephone for the use OF their tele-
graph and telephone lines was fixed
, lby the Postmaster General at an ex-
tremely high figure. The compensa-
ton of the Postal Telegraph Cal bic
Company was fixed at about two-flfths
of what that company actually earned
last year.
Then came the removal OF Mr.. Reyn-
olds as manager OF its lines, and now
comes the removal Of Mr.. Ward, Mr.
! Cook and myself from the manage
ment Of our cable lines, which have
? been turned over to our competitor, the
Western Union, with which company
we have been in competitive war for
thirty-four years-ever since oar ex-
I istence.
, AT the same time a resolution is
, introduced In Congress by the chair
> man of the Post Office Copnmittee In
the House for Government ownership
: OF telegraphs and telephones.
"Ttese are facts, and 1 think they
, show clearly the purpose OF II all
a namely Government ownership for pc.
I litical purposes. with incidental high
| prices to the Western Union and Bel
I Telephone companies for their proper.
. ties. And this in America! / DOM
> believe it will succeed.
Quotes College Professor.
: "Only last night was reading a
] book just published by Max Farrand
= professor of history at Yale Univer.
] sity. entitled Development of thu
] United States in which he says thai
3 one OF the causes leading TO the trou-
\ BILE with President johnson was the
! stubbornness OF Johnson in regard tC
. the continued exercise OF excessive
= executive power. Prof Farrand says
I (page 295) 1t would seem as II the
1 members of Congress were instlnc
lively right in opposing the overween
ing power OF tho President which hac
grown up in war times
= I'm way that Is the situation 70.
= day. The Selling of the cables after
II the armistice had been signed was ar
|. unwarranted use of war power after
y the war had ceased. 1t falls to our ioi
& to be on the firing line The contest
IS n much broader one than the mere
= Selling OF the cables.
e 1T IL contest 10 restrict the exer.