Evening star., 1925-12-14
DAVIS CONCLUDES
RAIL D|RECTORSH|P
Resigns After Fine Record in
Closing War Administra-
ton Affairs.
BY the Associated Press.


James c. Davis, director general of
railroads. presented his resignation to
President Coolidge today, having com
pleted his work winding up the affairs
Of the office.
Secretary Mellon is expected to be
named to take over the records of the
office and the large quantity of rail
road securities which the Government
still owns as result of its operation.
Mr.. Davis will return to the private
practice of law at his home in Des
Moines..
The final report of Mr.. Davis accom-
pliShment went to the President some
time ago. and drew from Mr.. Coolidge
a letter in which the retiring officer
was named as "a public servant who
has performed particularly efficient,
able and difficult task"
Work Is Well Done.
Il am informed and believe that the
task of examining, determining and
liquidating the enormous mass of
claims that have grown out of the
war time relations between the Gov
ernment and the railroads was prob
ably the greatest of its sort in the
experience of this country, perhaps OF
recall that it was almost universally
prophesied that this work could not
be performed without developing n
maze of controversy and litigation, eX-
pensive to all parties and likely to
postpone final settlement for many
years. Under your direction all these
uncomfortable anticipations have been
dissipated. and you now approach the
completion of Your task with the re-
markable record Of having made these
settlements without any resort TO liti-
cation.
so remarkable a showing entities
YOU to the heartiest congratulation.
and in extending them to you | must
add a word of recognition for the at
titude which the railroad executives
have taken. To their liberal disposi-
ton is. of course. due a large measure
Of credit for this series of settlements.
I believe the accomplishment thus ef-
fected marks new epoch in relations
of the Government and the carriers.
Because 1 strongly feel that you have
contributed much to making this pos
sible, l extend my heartiest felicita.
tons
Summary of Work
The operation which drew this ex-
preston from Mr. Coolidge is best dis
| the railroad administra ton. Railroads,
when turned back TO private owner
| ship, presented claims to the Govern
ment for a total of S1,014, ,4o2 900 on
account of under maintenance, unpaid
/ compensation, depreciation and other
accounts. The Government had claims
against the railroads of 440, ,353 900
! based on expenditures for mainte-
| nance above standard during the con
| troll period.
! Mr.. Davis has now every account
settled. and the Government has ac
| tually paid out S4S,379 900, or less thar
! 5 per cent of the original total of the
claims which the Government faces.
! Finally, there was an immense mum
! ber of lawsuits started against the
! Government by users of railroads, fol
! loss. damage and overcharge claimed
during the control period. Practically
all of these have been closed out
! though one group of them, arising
! from Minnesota forest fires in 1918
which railroads We're adiudged to have
caused. cost the Government about
! SIS, 900 900. In spite of all the settle
ments, during recent years the rail
| road administration has been a con
! tinuous source of revenue to the
! Treasury, since S495, 5,705 900 of loans
made to the carriers during the contro
period have been repaid out of a tota
| of $685., ,241 900 advanced.