The Barre daily times. (Barre, Vt.) 1897-1959, 1919-03-22
WAS REMOVED
BY BURLESON
Clarence H. Mackay, Presi.
dent of Postal Telegraph
& Gable Company
OTHER OFFICIALS
ALSO FORCED OUT
General Counsel w. w. Cook
and Sec. w. S. Deegan
of Trustees

Washington, D. c., March 22-Clarence
H. Mackay, president of the Postal Tele-
graph and Gable company, was removed
to-day by Postmaster General Burleson.
The postmaster general issued an or
der relieving besides Mr. Mackay, w. w.
Cook, general counsel, William S. Dee
gan, secretary, and the board of trustees
or directors and the owners of the Mac
kay companies operating the postal sys-
TEN, from all duties appertaining to the
control and operation of service under
government control. t.
A. F, Adams, president of the Kan
sas City Home Telephone company, and
member of the General Telegraph and
Telephone Operating board, was ap-
pointed by the postmaster general to SUI
percede the postal officials in the man.
agement of the systems. Mr.. Adams
presented the order to-day to Mr.. Dee.
gan, and Immediately took over control.
Mr.. Mackay was not in the office at
the time.
partment says that the order removing
Messrs. Mackay, Cook and Deegan from
the operation of the postal company's
land lines under government control
''was made necessary by the fact that
since the postofiice department refused
to grant the company the compensation
asked for by them the officials have re-
fused or failed to follow out the instruc-
tions of the department in the manage
ment Of the properties; and failed to put
into operation promptly the wage sched-
ule and the eight-hOur day; and in vari-
GUS ways endeayored to embarrass and
discTedit the government operation Of
the wires.
"The reason for the refusal of the de-
partment to grant the compensation
asked for was that the sworn statement,
submitted TO the interstate commerce
commission in behalf of the company,
placed the net income for 1917 at $ll7,-
264, while the sworn statements they
made to the wire control board as a basis
for compensation placed the net income
for the same year at S4,s45, ,593.34."
The announcement adds that the value
of the plant and equipment of the Post
al Telegraph Cable company, sworn to
in the eompany's return to the inter
state commerce commission for 1916, was
So 6,647 ,472, but the officials of the com
pany declined to make any statement
Of valuation to the wire board. although
repeatedly requested TO do so"
To-day's order cites the legislation and
the proclamation of the president under
which the government assumed control
Of the wire systems and the order Of the
postmaster general directing all of the
officers, operators and employees of the
telegraph and telephone companies to
continue in the performance of their ex-
isting duties and announcing il TO be the
purpose Of the department TO coordinate
and unity these services so that they
might be operated as a national system
having regard for the interest of the
public and owners of the properties. 1t
then continues:
Whereas the president of the said
Msckay companies, Clarence H. Mackay,
its general counsel, w. W. Cook, and its
secretary, William J. Deegan, have failed
to carry out the orders and instructions
Of the postmaster general and conducted
the operating force of the said system in
such a manner as to materially and dis
advantageously affect the interests Of
the government in the operation of this
and other telegraph and telephone sys.
TENS under government control;
"Now, therefore, it is ordered; That
Clarence II. Mackay, president; W. W.
Cook, general counsel; William J. Dee
gan, secretary, and the board of trustees
or directors and the owners are relieved
Of any and all duties appertaining or
incident to the supervision, possession,
control and operation of the said teie
graph and telephone system the super
vision, possession, control and operation
of which was so assumed by the presi-
dent in his said proclamation of July %,
1918, and | hereby substitute A. f.
Adams for said Clarence II. Mackay and
said owners and said board of trustees
or directors in the management of said
system, and direct said 4. +. Adams to
take possession for me of all records,
books and papers, made and used in the
operation of said system since midnight
Of July 81, 1918, and also the net bal
ance or balances of the funds derived
from the operation thereof since mid
night of July 81, 1918,
"All officers and employees of the said
telegraph and telephone systems except
as in the capacity in which hereinbefore
relieved therefrom, will continue in the
performance Of their present duties, re-
porting to their respective superior Off
GERS and on the same terms of employ
ment as heretofore, the purpose being
with respect to this system and with re-
spect to all other telegraph and tele-
phone systems under government control
to so operate said system as to maintain
it's integrity and value as a going con
Germ, the efficiency of the organization
and adequate service to the public"
TELEPHONE TOLL SUIT