Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1922-02-02
Raps Rail Executives
in Giving Account of
His Stewardsh hip
During 1918 Over
Billion in Improve
mcnts During Period

Washington. Eel. 1.-The railroads
condition at the end Of the period of
Federal control than they had been
vlcn aiken over during the war, Will
lam g. McAdoo, former secretary Of
o.. treasury and war time director
general OF railroads. today told the
senate interstate commerce commit
toe IN giving an accounting of his
rardi1 nship of the properties dur
Ir. 1918 The committee which is
Inducing an inquiry into recent
Nlroad conditions was unable to hear
ai 81 Mr.. McAdoo's testimony today
-ri no viii continue his statement
rn7lrow.
Mr. McAdoo contendcd railroad la
Dor nd been loyal. remaining at its
iust when morc lucrative employ
mert was offered in other industries
i0t mat wage Increases made while
Ie was director general were not ex-
q. ssiyc. but subsequently were further
creased.
Tho railroads when turned back to
0.r owners. he declared. with zoos
,tore locomotives. 2s.sl5 more freight
,prs and 1851 more passenger cars
'nan they had possessed at tbe begin
% ne ~ federal control. were in con-
Ition To meet the heaviest rafsc de-
hands IN their history"
The credit OF the railroads was de-
otto, I'd before the war" Mr.. McAdoo
tpld the committee, quoting state
ments by railroad executives on the
subject. Thcraiiroad 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
continue for four months after federal
control was established with little in
reference in the way OF manage
mont. aid Mr. McAdoo. but the re-
llonal reorganization he contended
vas necessary in MAY 1918. when he
.'fi bftlf tDllN lUfti tldt tic
vents OF the railroads by the railroad
Operations could not produce desir-
a. results"
Indication OF tho railroads. The for
MGR director continued sl1S.00G.C00 in
,ucrating expenses in 1918. Through
Dat federal control experienced rail-
road executives were in charge OF the
rropcrtics under his direction. he said.
Hrr,tnE 1.-THE deliberate attempts
made IN create the impression that
o'sdo immediate drastic changes IN
tho manag,ment Of the railroads and.
d.srccarding the experience and abil-
81, of tho able railroad men OF the
uiutrv. ATTEMPTED to run the rail-
,o,ds upon new and untricd theories
~ my own"
Uenlyinr to a question by Senator
Tcrnald. Republican. Maine. Mr.. Nc
kdoo declared he did not advocate
rool,nc Of business by the railroads
under nrivate control. but favored
A .ssisting the roads in competing LOT
n ta1ir
n the railroads were in deplorabie
condition when returned TO the cor
prrauons March 1920, and II their
Equipment was in the worst conol-
tom ever known" Mr.. McAdoo asked,
low was il possible that in that year
,s stated in the testimony OF their
,.ccuiivcs they handled the "lars-
csf volume OF traffic" in their history.
"pcrformance OF this greatest
,7sh" he added, was possible because
during the period Of federal con-
tol. Sl.1.1.SiO,eo1 was expended IN
improvements. additions. betterments
and equipments which made the
i.Ilroad properties and infinitely bet
tor transportation machine than on
January /. 1918. when the govern
mont took possession.
considerable time was given py
NJ McAdoo during the afternoon
session 90 discussion OF railroad
wage conditions. He said that IN MS
opinion railroad labor was grossly
undcrpaid at the time the govern
ment took control and that there
were many grave abuses in the mat
,cr Of working conditions. 1t was
necessary. he contended, to fix rates
~ nav for railroad employees that
would enable the railroads to COM
nand their share OF the country
lsnor so that this basic necessity OF
Tho war could function at the re-