Every evening, Wilmington daily commercial., 1918-02-19
HIRAM JOHNSON OUT
FOR RAIL OWNERSHIP
Senator From California Says Pr
vate Companies Have Broken
Down" People Must Take Them
w WASHINGTON. Feb. 10.

Permanent government Ownership OF
railroads rather than government control,
for the period OF the war, WAS advocated
by Senator Hiram Johnson. of California,
today. IN speech opposing the Senate
draft of the Administration q Railroad
bill
II would now take tho inevitable next
step IN government control of our rail
roads, Senator johnson declared and do
whatever might be essential 10 make that
government control permanent govern
ment ownership, or at least, leave the way
open SO that immediately upon the ter
mination of the war, VIC might follow To
its logical conclusion what afready we
have partly done.
The California Senator protested vigor~
ously at the proposed rate OF compensa-
ton to be paid the railroads under the
provisions of the bill, and also opposed
the Senate plan to turn the roads back 10
private management eighteen months
after the conclusion OF peace.
In support of his declaration for govern
ment ownership, Senator Johnson said
the railroads had broken down under the
stress of the last few months; that, If the
country is TO have efficient national
transportation, the roads must be nation
allied and operated by one directing head;
that the American people have paid the
price of private ownership, and that
despite barriers or obstacles, the nation
Is marching straight to the goal Of public
ownership, and the people at last will
come toto their own.
Senator Johnson argu ed that the
maximum compensation should not be
paid the roads al a time when all the rest
of the nation Is being asked to make the
greatest sacrifice.
TOO MUCH TAX ON PUBLIC.
What this proposed rate means, "
added Senator Johnson, is that the
interest on the outstanding bonds of the
railroads will be paid in accordance with
the interest rates now fixed; 1t means, IN
addition that upon the stock of the rail-
roads of the country will be paid by the
government of the United States some
thing in excess of s per cent per annum;
1t means that this percentage IN excess of
s per cent per annum is paid upon all the
stock of all the railroads; IT means that
this percentage Il am speaking only
of the mnimum) shall be paid by the
people OF the United States not only
upon the legitimate issues OF the stock of
railroad corporations, but upon every
issue OF stock that has been lllegitimately
issued watered stock estimated at al
most so per cent of the total stock of these
corporations stock representing nothing
but the greed and the avarice of railroad
magnates.
Senator johnson digressed from his
discussion of the railroad legislation to
express his approval of President Wilson's
recent stand against secret diplomacy and
the Presidents policy of addressing Con
gross from time to time IN "the open
Forum of the world
SCORES HOG ISLAND WASTE.
Senator Johnson referred to the work of
the Senate commerce committee, of which
he is a member, and its investigation of the
shipping situation. Regarding the Hog
Island, Pa, inquiry, he asserted:
'In one OF the contracts entered INTO by
the government-that with the American
international Goa state of affairs beggar-
ing description has developed. The evi-
dence demonstrates wild saturnalia of
extravaganza, a brilliant phantasmagoria
of patriotic pretense. And the pity and the
shame of it are, that those who, with a
cheerful and almost studied disregard for
every principle of economy, are wasting
the money of tho taxpayers are some of
the great captains of industry of the
nation.