Norwich bulletin., 1922-02-02
. Of Railroads
Ruined Before War
McAdoo Claims Physical Con-
dition of Railroads Improv-
ed Under Federal Control.

Washington, Feb. 1.-The railroads of
the country were in better physical con-
ditIn at the end of the period of fed
eral control than they had been when
taken over during the war, William G.
McAdoo, fomer secretary of the treas
ury and war time director-general of
railroads today told the senate interstate
commerce committee in giving an ac-
counting of his guardianship of the
properties during 1918. The commit
tee which is conducting an inquiry into
recent conditions was unale to hear all
of Mr.. McAdoo's testimony today and he
Will continue his statement tomorrow
Mr. McAdoo contended railroad labor
had been loyal, remaining at its post
when more lucrative employment was
offered in other industries and that wage
increases made while he was director
gentreal were not excessive but sub
sequently were further increased.
The railroads were turned hack to
their owners. he declared, with 1000
more locomotives, 2S,S15 more freight
cars and 1,051 more passenger cars than
they had possessed at the beginning of
federal control and were In condition to
meet the heaviest demands In their his
tory"
The credit of the railroads was de-
stroyed before the war" Mr.. McAdoo
told the committee, quoting statements
by railroad executives on the subject.
! The railroad executives he added did
not produce under federal control the
results as to revenue and operation
they had brought about prior to that
time
The railroads were permitted to con-
tinue for four months after federal con-
troll was established with little inter.
/ ference In the way of management, said
| Mr.. McAdoo, but the regional reorgani-
/ 'zation he contended, was necessary ir
| May, 1918, when he became convinced
| that the management of the railroads
| by the railroad corporations could no.
| produce desired results"
Cnihcation Of the railroads. the form
! er director-general continued savet
! S118,00o,000 in operating expenses il
1918. Throughout federal control, ex
perienced railroad executives were il
| charge of the properties under his di
rection he said, denying "the deEberat
attempts made to create the impression
that I made immediate drastic change
in the mana cement of the railroads and
disregardinr the experience and abilit
Of the pble railroad men of the country
attempted to run the railroads upon ne1
and untried theories of my own"
Replying to a question by Senate
Fernald republican. Maine. Mr.
MoAdoo declared he did not advocat
pooling of, business by the railroads UT
der private control but favored as
sisting the roads in correcting for traffit
If the railroads were in "deplorabl
conditions" when returned to the cor
porations March l. 1920. and if thei
equipment was in the worst conditio
ever known" Mr.. McAdoo asked ho'
was it possible that in that year as stat
ed in the testimony of their executi@e
they handled "the largest volume of traf
fcr in their history.
Performance of this greatest task" +
added, was possible because During II
period Of federal control, s1219S402e
was expended in improvements. add
tons. bette1ments and equipment whie
) made the railroad properties a bett,
transportation machine than on Januar
I. 1918 when the government took po
session"
Considerable time was given bv NJ
McAdoo during the afternoon sessic
0 to discussion of raiIriad wage cond
tionz. He said that in his opinion raj
= road labor WIS grossly underpafd at Il
r time the government took control ar
d that there We're MANY grave abuses
s the matter of working conditions.
/ was necessary. he contended, to fix rat
r Of nav for raih Dad employees that wou
: enable the railroads to command the
snare Of the country's labor $50 that tn
s. basic necessity Of the war could fun
l. ton at the required point"