The Glenwood post., 1918-08-24
Large Gathering Appeals Direct to
McAdoo Through Special Commit.
tee and Definite Resolutions
COMMITTEE TO WASHINGTON

purchased the Midland when we were
confronted by great increases in the
cost of every element which goes to
make up railway construction and op-
GRAFTON, but Notwithstanding these
facts we were getting to. point where
| the road was being operated at no very
! serious loss. This was the situation
when the government took control of
all the railroads of the United States
through presidential proclamation on
December 2S, 1917. AS you are aware,
this was followed by an act of congress
placing the railroads of the country
definitely under government control.
81 cannot but believe that the pro-
visions of this measure are entirely
misunderstood. During the considera-
tion of the bill in congress, there was
added to it a provision known as the
Cummings amendment, to the effect that
where a line was taken over it should
be obligatory upon the government 20
take over any competing line. In 9th
visions for the protection of a weak
line of railroad against competing with
the government, it being realized that
the government, through the routing Of
traffic over government controlled
road, could completely and entirely de-
stroy competitor which was not under
tically the situation with the Midland,
and more striking example of the
wisdom of such a provision could not
be found. 1t is because the intent of
congress is being ignored that the
Midland is facing Bankruptcy
Speaking of his conference with
Judge Payne, Mr.. Carlton recited VIII
he has frequently said before: that
he never made any demand for $780,
600 compensation or any other sum,
but admitted that he told Judge Payna
that he considered 100000 a very
reasonable amount, and he further con
tinued
"And here let me intcrpose word
with reference to compensation. Any
one must admit that the original pro-
posal of Judge Payne to run the road
with no compensation whatever is man.
ifestly unfair. And | cannot believe
that his offer of 100000 per annum is
hardly more fair, and let me say that
while this offer has been wired to the
governor, judges of the court and rail
road commission, it has never been
submitted to me. We have no assur-
ance that even this sum would come
into our hands, as the standard con.
tract submitted to me by the govern.
ment provided that any bettermcn,s
and improvements, made in the sole
discretion of the government, would
be deducted from the compensation. ,
But the most important and serious
question from financial standpoint
is the return of the road to it's owners
divested of large portion of its busi.
, ness, the standard form of contract
providing for the signing away by the
owners of any claim arising from such
, condition.
, "The act Of congress under which
. the railroad administration controls
, certain Of the roads of the country,
and did until its REIMBURSEMENT con.
troll the Midland, provides: in Section
3, that 'all claims for just compensa-
} tion not adjusted as provided in Sec
J tion l shall on the application Of
the president or Of any carrier; be
submitted to boards, each consisting Of
three members to be appointed by the
interstate commerce commission, men,
, bers of which and the official force
, thereof being eligible for service on
7 such board without additional compen-
sation.' This section also provided for
: an adjudication by the court for the