The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-04-30
BURLESON GIVES UP
CONTROL OF CABLES
All Systems Taken Over Will
Be Returned to Owners
Midnight Friday.
WIRES RELEASED LATER
POstmaster-General Defends
" Past POlicy-Asks Legisla-
ton for Next Move.
Special Despatch to TIE sen.

kss,N
Special Despatch. to TIE Sen.
WARRINGTON, April 2s.-Postmaeter-
General Burleson, at the direction OF
President Wilson. announced to-day that
the cables taken over by the Government
would be returned to private ownership
10 take effect at midnight Friday. Al
the same time he reiterated that the
other wire systems would be turned bscn
TO their owners as soon as suitable legis-
lation to safeguard their owners could
be enacted, and made a defence Of the
administr alton Of the systems under his
control. The Official announcement OF
the return Of the cable systems follows
THE marine cable systems Of. the
United States and every part thereof.
including all equipment and appurte-
nances thereto whatsoever, and all
material and supplies. the possession,
control, supervision and operation of
which was assumed by the President
by his proclamation of the second day
OF November, 1918, to be exercised oy
and through the Postmaster General,
Albert s. Burleson, are hereby re-
turned to their respective owners,
: managers. boards of directors or re-
( ceivers to take effect on midnight
1 May 2. 1919.
Representatives OF the Postmas-
ter-General now operating said prop
critics will take immediate steps to
l carry this order into effect.
3 BY direction OF the President"
s Defends Policy of Control.
Despite the showing OF the land com.
Spanies since Mr.. Burleson has assumed
control OF them. he mapped out a de-
stalled defence not only OF his admins.
ttration but OF the theory OF Government
Ownership Of the wire systems, or fail
fling that. at least unified private control
eunder the strict supervision Of the Fed
seral Government. In Mr.. Burleson's
town words this defence follows:
by direction of the President the
requisite orders have been issued restor-
Ting the various cable lines to their re-
fspective owners. effective May Q. 1918.
fThe telegraph and telephone lines will
be returned to the various companies as
tsoon as legislation can be secured from
congress safeguarding the interests of
1.-The owners thereof
! For a number Of years the Postmas-
has advocated the Govern
finent ownership OF the telegraph and tel
fephone systems. and has urged that
sthey should be blended with and be-
scome part Of the postal establishment
las essential agencies OF communication.
! 'He Is firmly convinced II such a
policy were entered upon that where
there are now three telegraph and tele-
phone pole lines and sometimes four &C.
mense waste. better and cheaper service
could be given by one coordinate wire
agency that by the abolition Of various
supervisory forces Of the wire systems
which would tten be unnecessary: BY
complete unihcation Of the systems
thereby eliminating the operating cost
OF tho useless system: by thoroughly CO.
.ordinating tho remaining telegraph and
telephone services: by the consolidation
cf offices and the utilization Of post
Dffice buildings where practicable; by
the use Of stamps as a means Of elimi-
mating costly and complicated account
lngs. and the utilization Of the auditing
and accounting forces of the Post once
Department thereby largely eliminating
those OF the wire systems. that such
savings could be effected that would en-
able those In authority. during normal
times, to materially reduce the cost OF
the wire service to the people.
Has Not Changed Views.
: las to the wisdom OF this course the
Postmaster General has not changed his
Views. At the time the Government took
over the control of the wires extraor-
binary and abnormal conditions ex-
listed. resulting in a constantly in
rcreasing and very high operating cost
which has necessarily continued. The
early coming OF the armistice. the ac-
,centuated cost of oper alton and dimin-
fishing revenues. the uncertainty in the
nav vi NJ
scented such a situation that those in
Charge for the Government were able
ito accomplish very little by way Of uni
tfication. or to go forward with their
policies Of economy, and consequently
were soon brought face to face with a
very serious but quite simple problem. to
wit: Given increasing cost of operation
plus diminishing revenues. equals
what? There can be but one answer
increase Of rates.
; This action was taken 1t was quite
unfortunate, and was taken with deep
Test regret. but It was imperative To
an intelligent mind this increase OF
rates constitutes no sound reason for n
change Of view on the original PROPOSE
tion that It is economically wise for the
Government to own the wire systems as
"A part of the postal esta blishment, and
in no sense tends to refute the sound
ness of the contention that through such
ownership SAVINGS would be affected
that would result in reduction OF rates
& For example. street car companies
and other public utility organizations
Throughout the country which are being
operated under private control are ir
many cases on the verge OF bankruptcy
and are petitioning for an increase ir
rates for their services; and when hav
ing been granted the increases sought.
often return with petitions for still fur
. ther increase. basing their claims upoI
the higher wages and increa sed cost o.
material. The wire administration
could not escape this condition which
extended throughout the country in re-
lation to every form OF service. public
or private.
( Calls Contest Not n Test.
There Is quite a difference between
Goverment ownership and Government
control for limited and very uncer tair
period. The present control affords no
more a test OF the virtues OF Government
ownership than could be had through a
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