Every evening, Wilmington daily commercial., 1919-02-03
RAIL OWNERSHIP
BY us. GOVERNMENT
OPPOSED BY HINES
New Director for Radically Recon
struc cd Private Ownership I'm
der Close Federal Supervision.
FOR FIVE YEAR EXTENSION
ny Associated Press to Every Evening

ny Associated Press tn Every Evening
Washington. ID e. Feb. b Director
General Hines, testifying today before
the Senate Interstate Commerce Com
nittec for the first time since hts APP
pointment ms railroad head, declared he
did not believe IN government ownership,
but III organization Of a few big railway
companies. subject tn ciuSe government
supervision.
II do not believe there IS anything
substantial IN the argument that "A five
year extension Of government operation
~ould necessarily mean government owner
ship" Mr. Hines sad Il do not per
sonally believe in government owner
ship. | believe there can be form OF
radically reconstructed private owner
ship with auch close government super
vison. including government representa-
ton on he noard of directors, ~ will
give the l,u ic and labor all the benefits
Ct government ownership and at the
same time will preserve the benefits ot
private and self-iuteresteef initiative and
will avoid tho political difficulties which
perhaps are inserarahle from govern
ment ownership
II believe that all the objects which
! | think must he achieved in order 10
obtain permanent solution ran he ac-
cotnpiished through the creation If a
! comparatively few railroad companies
which will have capitalization equal
only ~ the real value Of the property
/ ard which will have q moderate guaran~
/ teei return with the right to participate
moderately in any additional profits
To permit development ri q com
| prehensive and permanent solution. Mr..
! Hines renewed Mr. McAdoo'H recofn-
mendation for i've wear extension Of
government control. and explained that
/ If this were not done he believed II
would bo best for all interests concerned
to relirn,ush government control with
out waiting for expiration " the 2l
month period provided by existing law.
Discussing the reasons for taking more
time Tor considering legislation. he said
a very strong feeling prevails that
this question is being pushed now by the
railroad executives. because they feel
that the going il particularly good and
that hey had better make private manage
ment hav while the antI-government
ownership continues TO shine do not
believe A solution in this spirit rs gornp
to satisfy the public.
80 far M physical operations are con
ccrnel, said The Director General, there
IL NOW no emergency which calls on the
government to- continue contrn4 Of this
railroads He explained that the methods
adopted by the railroad administrators
during the war new are open fo recon
s,sisrntion N the lieAA a Y,~.~r cnnelstsosas
aitfinr that this haH been Nr. NcAdoo'i
attitude
Mr. Hines presented the foIlowIns
arguments for a five-ycar extension
1T Will give advocafes Of government
ownership full opportunity to press then
views without heing influenced by tbs
temporary reaction agalnst government
control
1T will remove the necessity for undue
haste in SOLVING such u big problem n
The future ot the railroads, II will stabilize
employment and wage conditions, per
init prosecution OF big program Of bll
improvements and extensions. help e
take up the slack III employment anC
materials during the CRITICAL period o
rcadlustment.
at will protect security holders pend
ing an ultimate solutlo
1T viii minimize the danger OF maklnl
the railroad question a purely partisan
issue, to be considered in an illogica
manner, in the Presidential elections.