The Topeka state journal., 1922-02-01
Before /. c. c. Makes Charges
of Extravaganza.
and Best Ally OF
Kaiser, He Claims.
SAYS EMPLOYEES CO-OPERATED
Picked Railroad Men to Run
Roads for Him.
Declares Roads We're About to
Smash, in 1917.

Washington, Feb. Charges of in
efficiency in federal wartime control
of railroads have been made and
published with a recklessn ness-for
which Ignorance. design. or selfish
purpose alone can account William
G. McAdoo. former director general
of the railroad administration declared
today at the senate interstate commit
tee investigation of the present rail-
/ road situation.
Beginning what was expected to be
a two-day statement on the situation.
! Mr.. McAdoo told the committee the
government took over the railroads in
1917 because they were breaking down
under a private management, unable
J to meet the stress of war demands,
and that federal control and unified
operation saved the situation.
Roads Were Improved.
J Not only was the transportation ma
chine kept running, he insisted, but its
condition was improved, its equipment
| extended, and it was returned to pri-
vate owners. in such shape that 1t
was able to handle greater volume OF
| traffic in 1920 thar, ever before.
Mr.. McAdoo took sharp issue with
! railroad presidents who have. before
! congressional committees and the in
terstate commerce commission. made
declarations to the contrary. He pre-
| sented copies of letters sent by him in
1918 to Presidents Rea of the Penn
| sylvania, and willard of the Balti-
more & Ohio amoIg others. notifying
them he considered their management
unsatisfactory and inefficient.
THE measures taken during the
year 1918 called for no apologies" said
| a report signed by A. II. Smith, presi-
dent of the New York Central. and six
other railroad men, who were regional
directors under the railroad admins
tration, which Mr.. McAdoo presented
as conclusive answer to the charges
he mentioned. "They We're caused by
| war condition s. and the efficient oper-
/ ationS of the RAILROADS. I'm support OF
the support of the government during
the war justifies every act of the ad-
Ininistration."
Ally OF the Kaiser.
| Dsregarding the unfairness of COM
pairing railroad operations during war
when general needs of the country had
to be put secondary TO the "imperious
necessity of war" Mr.. McAdoo said
the report he cited and also the rec
ords showed that by any test railroad
operations in the year 1918 were con
Quoted with great efficiency. skill, and
ability" Contrasted with that in 1917
their condition, approaching paralysis,
he said. made the railroad system OF
the United States the strongest ally of
the German kaiser" Mr.. McAdoo
quoted from the statements of rail-
road presidents before congressional
committees and the interstate COM
merce in that year, to sustain his re-
mark. mentioning notably testimony
of President Rea who said thetr con-
dtion had boone menace TO the
country
There was a deficit in railroad reve-
nues during 1918. under income and
rentals to their owners of S216,00O,00
hI1tf aF1tp
"a part of the war cost. expendi-
ture for which there is no compensa-
ton but victory" He cited MESA ges
sent to former President Wilson by the
premiers of England. France. and
Italy, in February. 1918. begging for
100000 tons of broadstuffs. to supply
which whole trains of empty cars had
to be rushed from the Atlantic coast
Ito the Middle West. for weeks. and
rushed back with equal expedition to
the ports. loaded.
X. X. Men Ran the II. RS.
RAILROAD mon ran the railroads OF
the United States when ] was director
general" he claimed. and il they were
inefficient or disloyal to their govern
ment, they must answer to their con-
sciences. But I have said that ] be
lieved them to be both loyal and eff
cient. and that the remarkable results
they achieved in 1918 conclusiveiy
proved they were.
startling differences between the
present attempt to show the railroads
were in splendid condition when the
government acquired control and the
efforts of railroad executives TO obtain
| increased rates are disclosed by the
interstate commerce commission rec
ords" he continued, taking up the
claims for damages and under-main-
tenance presented by the railroads.
In view of the pathetic picture drawn
by these executives from 1910 to 1917,
before the commission. the least cyni-
i cal might be justified in questioning
the good faith of these who bolster up
a fictitious case against the federal
control by asserting their roads were
maintained in private hands to the
highest point of efficiency"
Quotes Erie President.
He quoted President Underwood of
the Erie lines as saying the roads we're
going to smash" in 1917, because Of
undernaintenance. and poor earnings.
The statements he added. constituted
'indisputable evidence Of the depleted
. and patched up condition Of the rail-
roads"
There was change in the standard
of maintenance during federal control.
but instead of being downward as
charged, it was upward" Mr.. MeAdoo
added.
NO further evidence than that from
the lips Of railroad executives is neces-
sary to demonstrate that the railroads
at the end of 1917 were in y eondi-
ton of disrepair, postponed improves
ments. neglected equipment, and de-
ferred maintenance The story has
been graphically told by them.
THE railroad administration adopt
! cd f7e only fEO rlOssih1e methods for