North and South Ciro
llna: Fair tn'hA
Tuesday. . -l
VOL. XXIV N0136V
JWIllNG7N;NQRW;CAR0Lt EVENING, MAY 27 1918.
Appears Before Joint Session,
Asking Them Meet Problem
TO ELIMINATE POLITICS
In Specific Terms He Gives
Distinct Warning Against
Any Lobbying
IS MUCH PROFITEERING
President Says New German
Drive Added to Solemnity,
of His Conception of
WRat Is Our Duty
Washington, May 27. President
Wilson Dersonally took charge of the
war tax legislation tangle today and,
apDearing unexpectedly before a joint
session of congress, declared .it was
necessary to proceed Immediately
with new war tax laws.
Plans which might have delayed the
work, but which involved a working
agreement between both parties hav
ing fallen through, the president told
the legislators there was nd ' way td
meet the problem of financing the war
but to have congress remain' in' ses
sion and go ahead at once.' -
The president called upon congress
to eliminate politics from the consid
eration. Politics, he said is "ad
journed." The principal increases in
taxation, the president said, would be
on incomes, war profits and 'luxuries.
It would be manifestly unfair, the
president said, to wait until 1919 be
fore determining what the new taxes
v.ou'd be. The president's address
was comparatively brief, ; taking less
than 15 minutes for delivery. '
In specific terms the president gave
a distinct warning against lobbying in
connection with the new bill.
There is indisputable evidence of
profiteering at present, the president
said, and he declared it must be
reached by the new- legislation.. ...
There needbeii-4iesitahfiitaic
iag thfereounry, ';the jwgsident 'told
congress, If it were taxed justly. He
appealed: to congress to. approach the
great task without, selfishness oiletcpi
of political consequences. "V
"An intense-;and pitiless light beats
upon every man and every action In
the tragic plot of war that is now
upon the stage," said the president,
The president concluded with an ap
peal to congress to do its work un
grudgingly, and said he could not
guarantee a proper" administration of
the treasury unless the question were
settled at once. -
When he had concluded his ad
dress the president unexpectedly made
a brief Extemporaneous statement in
which he said that ust as he was
leaving the white bouse for the cap
itol he had heard that the hew Ger
man drive apparently had just begun
and that it added to, the solemnity of
his conception . of the country's duty.
Majority Leader Kitchln, as chair
man of the house ways and means com
mittee, which will immediately- begin
plans for the revenue legislation, and
Chairman Simmons, of the ' senate
finance committee, held a conference
immediately after the,, president's
speech.
The president's address follows:
"Gentlemen of the Congress: It is
with unaffected reluctance that I come
to ask you to prolong your session
long enough to provide more adequate
resources for the treasury for the con
duct of the war. I have reason to ap
preciate as fully as you do how ardu
ous the session has been. Your labors
have been severe and protracted. You
have passed a long series of measures
which required the debate of many
doubtful questions of judgment and
many exceedingly difficult questions
Principle as well as of practice.
"The summer is upon us, in which
labor and counsel are twice arduous
and are constantly apt to be impaired
y lassitude -and fatigue. The elec
tions are at hand and wb ought as
soon as possible to go and render an
intimate account of our trusteeship to
the people who delegated us to act for
them in the weighty and anxious mat
ters that crowded upon us in' these
days of critical choice and action. But
we dare not go ..to 'the elections until
have done our duty to the full.
These are days when duty stands
stark and naked and even with closed
eyes we know it is there. Excuses are
unavailing. We have either done our
duty or we have not. The fact will be
s gross and plain as the, duty -itself.
!h such a case lassitude 'and fatigue
seem negligible enough. The facts are
tonic and suffice to freshen the labor.
"And the facts are these:. Addi
tional revenues must manifestly be
provided for. It would be .a most un
sound policy to rr,ise too large a pro
portion of them by loan, and it is evi
dent that the four billions now pro
vided for by taxation vrill not of them
selves sustain the greatly ' enlarged
budget to which we must immediately
took forward. We cannot in fairness
wait until the end of the fiscal -year
-s at hand to apprise our people of
the taxes they must pay on their
earnings of the present """"ndar year,
whose accountings an eriditures
will then be closed. Wt lot' get in
creased taxes until, the ry knows
what they are to be ani tices the
necessary economy to 5
them
deflnite-
available. Definiteness, ?i
ness. as to What it taslrA
to be Is
absolutely necessary for
uccess-
ful administration of th
ry; it
cannot frame fair anl wo!
regu
rame lations In haste; and it
Its regulations in haste if
ot to
know its exact task until t!
very eve
of its performance. The present tax
laws are marred, however, by inequi
ties which ought to be remedied. In
disputable facts, . ,every one ; and we
cannot alter or blink them. To state
them is argument enough.
And yet, perhaps you will Dermit
meto dwell for a moment upon the
situation they disclose. ' Enormous
loans freely spent in the stimulation
or Industry of - almost everv sort nro-
duce inflations and extravagance
which presently make the whole eco
nomic structure questionable and in
secure and the very basis of credit is
cut away. Only fair, equitably dis
tributed taxation, of the widest inci
denec and -drawing chiefly from the
sources which would be likely to de
moralize credit by their very abun
dance, can prevent inflation and keep
our "industrial system free of specula
tion and waste. We shall naturally
turn, . therefore, I suppose,' to war
profits and incomes and luxuries for
the additional taxes. By the cwar
profits and incomes upon which the
increased taxes will be levied will- be
the profits and incomes- of the calen
dar year 1918. It would be manifestly
unfair to wait until the early months
of 1919 to say what they are to be.
It might be difficult, I should imagine,
to run the mill with water that had
already gone over the wheel.
Moreover, taxes of that sort will
not be paid until the June "of next
yearfc and the treasury must anticipate
them. It must use the money they
are to produce before it is due. It
must sell short time certificates of
indebtedness. In the autumn a much
larger sale of long time bonds must
be effected than has yet beeniatteimst,
ed What a,re the'banScerSK W t
of. the; certificates , if they . do not cer
tainly know where the money Is
come from which is toJ takerthent -up?
And how are investors to approach the
purchase of bonds with any sort of
confidence or knowledge of their own
affairs if they do not know what
taxes they are to pay and what econ
omies and adjustments of their busi
ness they must effect? I cannot as
sure the country of a successful ad
ministration of the treasury in 1918
if the question of further taxation is
to be left undecided until 1919
"The consideration that dominates
every other now, ana makes every
other seem trivial and negligible, is
the winning of the war. We are not
only in the midst' of the war, we are
at the very peak and crisis of it
riunareas or tnousanas or our men
carrying our nearts wita tnem and
our fortunes, are in the field, and
ships are crowding faster and faster
to the ports of France and England
with regiment after regiment, and
thousand after thousand to join them
until the enemy shall be beaten and
brought to a reckoning with mankind.
There can be no pause of intermis
sion: The. great-enterprise must, on
the contrary, be pushed with greater
and greater energy. The volume of
our might must steadily and rapidly
be augmented until there can be no
question of resisting it. If that is to
be accomplished, gentlemen, money
must sustain it to the utmost. Our
financial program must no more be
left in doubt or suffer to lag than our
ordnance program or our ship program
or our munitions program or our pro
gram for making millions of men
ready. These others are not pro
grams, indeed, but mere plans upon
paper, unless there is to be an unques
tionable supply of money.
"That is the situation and it is the
situation which creates the duty, no
choice or preference of ours. There
is only one way to . meet that duty.
We must meet it without selfishness
or fear Of consequences. Politics is
adourned. The elections will go to
those -who think least' of it; to those
who. go to the constituencies without
.explanations or excuses; with a plain
record of 'duy faithfully ana aismter
estedly performed. .1, for one, am al
ways confident that the. -pebple of this
country will give a ust verdict upon
the service 3 of the men who .act for
them when the facts are such that no
man can disguise or conceal them
There is no danger of deceit now. An
intense-and pitiless light .beats upon
every man and every action In this
tragic plot of war that is now upon
the stasre. If lobbyists hurry to wash
ingon to attempt to turn what you do
in the matter of taxation to neir pro
tection or advantoge, the light will
beat also upon them.
There is abundant fuel for the light
in the 'records of the treasury with
rezard to profits of every sort. The
profiteering that cannot be got at by
the restraints of conscience ana love
of country can be got at by taxation.
(Continued on Page Seven.)
1
ae
SON PUT THROUGH
T
$ays He Referred to Miss Tay-
I lor As "Lady Friend 111
. 7 , Ittj&cmond
Richmond, Va., May 27. Dr. Lemuel
j. Johnson, who has been on trial here
II days for alleged wife murder, re
sumed his testimony this morning, un
dergoing a rigid cross-examination as
to his conduct and remarks the week
before his bride, Mrs. Alice Knight
Johnson, died here as the result of
taking poison.
Asked what he meant by saying a
"lady friend was ill in Richmond', the
night he was engaged in a long dis
tance telephone conversation while
he was in Middlesex, N. C, he said
he referred to Miss Mildred Taylor.
He said he had been informed she
was ill prior to his wife's death and
that he was inquiring about her. Miss
Taylor was one of the important wit
nesses for the prosecution in the case.
Miss Taylor and the ride were em
ployed in an office in the Medical Col
lege of Virginia and were at the home
of Mrs. Benjamin Stutz the night of ,
the tragedy. Dr. Johnson aemea tnat
he made reference in Middlesex at the
time of the telephone conversation to
his wife's Illness In Richmond.
Prosecutor Wise endeavored to show
that Johnson knew of his wife's ill
ness the night of the tragedy. John
son, who seemed benefited by his Sun
day rest, answered all questions and
seemed eager to complete his ' testi
mony. .
Two or three witnesses are expectea
to offer rebuttal testimony this after
noon and arguments in the case, may
begin tomorrow morning.
- -
MO
RIGID
GRILLING
14 ymff iiuitjjiyL u
i rollll
Into
me
Nine or more persons, mostly chil-,
dren and youngr girls, were injured,
one seriously, aout' 10:30 o'clock this
morning when the third car, of a four
car Sunday school excursion trolley
train jumped the rails and. toppled
over Into Wrightsville pound, about 150
feet from the northern end of the -trestle,
carrying 65 or 70 persons into ten
inches, of water. Every person in the
car had been accounted for SO. mmutes
after the car crashed into the bed of
oyster shells, the uninjured removed
to safety and the injured housed in the
traction f company's sub-station on the
banks of the sound, . where . medical
treatment was given by Dr. John C.
Wessell and Dr .Moore. They were
then removed to the city In automo
biles. How many escaped'jteath is a
puzzle, and, in the opinion of those
who looked upon the wreckage the
hand of God was responsible for the
absence of fatalities.
Only one car left the trestle al
though the front trucks of the fourth
or last car were yanked clear of the
rails and left hanging in a precarious
position. The hapless car left the
rails almost after it had gotten on the
trestle, even before the fourth car had
left the mainland. After bumping over
the. cross ties for ten feet or more the
car jumped the left hand guard rail.
swervinfe ' to the right and making
kindling-1 wood of the top sill -on the
right side of the trestle. The Impact
nf thA tnir.ks aeainst'the sill, howfivw
airparently righted the car, and it con
tinued on for several feet further. : A
sunken pile r Support, a little further
on, giving the right rail a slight depres
sion, furnished an excellent skidding
place and it. was at this point that the
car left the trestle, plunging ten feet
or more into the mud and shells of the
sound. . - t
The trestle, was cut into kindling
wood at places, the guide sill being
carried down with the car. The rear
trucks of the car going off were
wrenched free of their fastenings, and
went overboard also,
j The low tide probably . prevented
death by drowning.. There was only
about ten inches of water at the point
the car went in, although it had barely
cleared the six foot channel .-when-it
went off the trestle. In-fact it only
remained on the track through an ap
parent miracle while the channel was
being crossed, for it was.at this1" point
that the trucks splintered the gu$,rd
Wm RESUME ;
DRIVE Fill
Strike Allied Line? Blow Be
tween Rheims ancTSofesons
-3
AFTER CHANNEL PORTS
British and FrenchfBbth Hold
ing Line Where Hun
I Makesr Attack
NORTHERLY SIDE OF LYS
Germans Extend Active Bab
tie Front to Rheims and
Take in (Sector; 'Quiet
Since Last Fall
Germany has resume 1 her dHve for
a decision on the western front after
a lapse of nearly four weks, striking
in the south between Rheims and Sois
sons and in Flanders, on the northerly
side of the Lys salient, .
. While it is too early for the true
German intention to be disclosed the
effort apparently is simultaneously to
push through to the channel ports- In
the north, thus breaking up the Brit
ish front and to strike for Paris In
the south, in an. effort aimed mainly
at the French. The main field of the
German -attack begun last March and
halted after the disastrous enemy re
verse in Flanders late In April the
Somme region in the direction q
Amiens has been neglected by the
German command in this new thrust.
The possibility exists, however, that
the fighting will be extended to this
area as the battle deveicpo.
The southerly blow which covers
front of some 40 miles and apparent
ly is by far the more important o:
the two, has come to a point which
had not been considered the most
probable field for a reewal of the Ger
man attempt. ' : ' ' ;
The fact that Doth British and
French troops are found holding this
front, however, gives indications that
General Foch, the allied commander-
in-chief, has hardly been-caught nap
ping and has large forces massed
there. It was, indeed, on this front,
r (Continued on Page Seven.)
THOSE INJURED.
Carl Perkins, small boy, seriously
injured.
Joseph Perkins, slightly older
brother of Master Carl, cut and
bruised about the, face.
Annie B. Faulks, slightly bruised
and cut.
Madge Womble, cut on the knee,
slightly. ' . ' V
R C . Andrews, nose injured.
Mrs. R. C. Andrews, slightly in
jured. R. E. Andrews, slightly cut and
bruised.
Pennie Rheuark, leg bruised.
Dave Arp, leg injured.
Florence Hewlett, eye injured
and wrist bruised.
-L. W. -Moore, back sprained.
sill and threatened to topple.
The car was practically demolished.
Its metal parts were twisted and warp
ed into queer and fantastic shapes and
the woodwork was splintered and torn
apart, but the car held together as a
whole in a fairly intact manner. It
did not turn over but .fell, with the
right side down. Luckily no one fell
through the windows, for had such oc
curred they would have been crushed
beneath the wreckage. The low rate
of- speed witBhich the car was mov
ing probably prevented the fourth or
last car from being drawn in after it
and had this occurred there would
have been a piling up of the two cars.
Absolutely no time was lost in re
moving those in the car to safety and
the children injured were carried back
to the substation of thv company in
the arms of the men as rapidly as they
were lifted from the car. The dam
aged car as she lay on her side in the
'mud 'and "water presented a strange
and ill appearing spectacle. Lunches
that had been carefully prepared by
adoring mothers in- order to insure a
delightful day on the beach for prec
ious children floated around in the
water inside the car and lunch bas
kets, wraps and other pieces of wear
ing apparel, forgotten and abandoned,
hung, in the car, giving a pathetic ap
pearance to the whole.
The first advices received in the
city concerning jthe affair were phoned
in to the . general offices of the Tide
water Power co.mpany, from the sound
sub 'station and' officials of the com--pany
egan calling for nurses and doc
tors. The information vras" that the
.whole train had gone Into the sound
and officials feared that there had
Sound Today
Official Reports'
, . , BRITISH,
London, May 27. Strong Ger
man attacks developed . early this
morning against the . British and
French positions between .Rheims
and Soissons, the war office an
nounces. . -
' The attacks were preceded'by a
heavy bombardment.
The Gennahs also attacked this
morning in Flanders, between
Locre and Voormezeele, on the
northern side of -the salient.
.The : statement reads:
"Strong hostile" attacks preceded
.by, a bombardment of . great,, in
tensity early this morning on a
wide front against the British and
French troops on the line between
Rheims and Soissons and against
French troops between Locre and
Voormezeele.
"There was considerable hostile
artillery activity yesterday and
last night on the British front."
FRENCH
Paris, May 27. Over the front
between the forest of . Pinon and
Rheims the Germans . launched an
attack this morning, the war office
announced. The French and Brit
ish troops are resisting with their
habitual valiance.
After a long interval the Ger
mans again began to bombard
Paris with long range guns at
6:30 o'clock this morning. --v
DOLLARS CONTRIBUTED
Fifty-six thousand one hundredand
ninety-one dollars was given ;to the
Red Cross during the second war fund
drive that closed Saturday afternoon,
according to final reports made public
..at this afternoon's' luncheon at the Y.
M. C. A. at 1:10 o'clock. The. negroes
have until tonight to complete their
campaign and, while they are expect
ed to make a good showing, .- it is
doubtful if the final figure goes -be.
yond $57,000. Today's luncheon was
attended by all members of the can
vassing teams and neighborhood solid-
iation committees and all are. delight
ed with what has been accomplished
The city ancl'county was asked id give
$30,000 $50,199 , was given. '
been loss of life and serious injuries.
Motorman J. T. Watts, who was
pulling the train, declared that he had
no intimation of trouble until the car
left the trestle. During the 150 feet
of cross ties that the hapless car jolt
ed over he, on the platform of the lead
car, felt no jar. In fact he had a little
child standing on his stool by his side
and her equilibrium was not interfered
with. The train, which was being cun
with. The train was in charge
of Cdnductors J. F. Beard and
A. D. Murphy. Both conductors were
riding the car that left the trestle al
though neither were injured. They
practically assumed charge of the sit
uation for the time being, although
L. W.' Moore, despite his injuries, lent
viiuable aid in directing the removal
of Jthe women and children.
The derailment, in the opinion of
Tidewater officials, was caused by a
jamming of the trucks of the third car
as the switch leading onto the trestle
was in .perfect condition.
The injured were removed to the
mainland and the waiting room at the
sub station converted into a temporary
hospital. Here Drs. Wessell and
Moore worked heroically, rendering
medical attention to the unfortunates
as rapidly as they were brought in.
A squad of nurses were hurried down
from the James Walker Memorial hos
pital and every attention was shown
those injured, regardless of how slight
ly they had been "cut or bruised. The
Red Cross responded promptly, - the
women at the work rooms in the Mur
chison building dropping their work
and hurrying to the scene in cars. The
turnpike was literally jammed with
cars, for the news of the- disaster
spread rapidly. All speed regulations
were" forgotten and big high powered
cars, carrying physicians, nurses, city
and county officials, business men and
others literally burned the road as
they hurried there". "
Hugh MacRae, head' of the traction
company, and Mrs. MacRae were there
quickly and assisted in every way pos
sible. Absolutely no attention was
paid to the condition of the car over
board, very effort was centered upon
the removal of those imprisoned in the
car 'and every effort was made tode
' termine the whereabouts of every per
son that was riding car three.
Only a few of the hundreds that
swarmed to the scene were permitted
to venture past the fourth car of the
train, Sheriff Jackson placing himself
at the rear of the car and halting all
(Continued on Page Seven. JJ
mm THOositt
FIVECEIT5? i
wmmm lr 11111
. . .. , s&I ;1J.h!H-
FMINOF'f OMENS
CLUES MEET IN RALEIGE
Largest Session Held in Years
Elxpected During This
Week , :
(Special to The Dispatch.)
Raleigh, May 27. The . North Caro
lina federation of ; , women's . clubs,
meeting in Raleigh this -week,1 and for
the first time . assembling in the
handsomest and largest ; of all build
ings owned exclusively by the women,
will open the convention tomorrow
night and run through Friday.
The largest of all.th. federations
will be this session. The homes of
Raleigh will entertain nearly all the
delegates and advance reports show
that everybody entitled '-to come will
start. Two of the most noted women
of the country, Mrs. Josiah Evans
Cowles and Mrs. Antoinette Funk, will
speak.
Mr. Cowles is president of the gen
eral federation and Mrs. Funk is a
member of the woman's council of na
tional defense. Mrs. Cowles is a Cali
fomian, but her husband is a State s
ville man and known to many western
North Carolina people..
Mrs.. Funk, If possible, is held in
still higher esteem, for she played a
tremendous part in the election of
President Wilson, She was not a
member of the million ; dollar; special
which cost the country to Mr. Hughes.
She is a lawyer;, who knows; how to
organize and it -was this.: that gave
her such prestige when she undertook
to get the Illinois; and other women
together for work. . She is a member
.pf the congressional union and has
stumped the country for suffrage.
Mrs. Clarence A. Johnson of Ral
eigh is president . of the federation
and will preside over the meetings.
As hostess to the federation,- - Mrs.
LGeoige W. Lay, of Raleigh, president
of the club here, will have the biggost
individual 'lob. Governor Bickett has
been .asked to make his. famous speech
on- the double standard of morals and
t is "understood - that.- MiJBrxeax's
sented on the 'screen. Th6 women are
going to undertake a program that
.relates intimately' to the war.
IS
E BY
Attack Is Directed Against
Ground Taken by French
Troops May 20
With the British Army in France.
May 27.7-The latest reports show
that the Germans have made some
small progress in places.
The attack of the Germans in the
sector northwest of Kemrrel ap
peared to be directed against the
ground Captured by the French on
May 20. n
Belgian?, troops have recorded fresh
victories over the Germans. On Sat
urday night they repulsed Teuton at
tacks or . big raids on three sectors
of their front.
WOOD WILL NOT
GO OVERSEAS
Washington, May 27. Major Gen
eral Leonard Wood will not accom
pany his division at Camp Funston,
Kans., when it finally moves overseas,
but, it was said today, will go to com
mand the department of the west,
with headquarters at San Francisco.
To Check I. W. W.
Washington, May 27. A naval patrol
of the Alaskan coast has been estab
lished to forestall agitation by lead
ers of the industrial workers of the
world.
AGAIN LATE.
Owing to trouble somewhere in
the local gas plant, The Dispatch Is
late in getting out this afternoon.
Soon after the trolley car disaster
at the sound this morning, and just
as The Dispatch was preparing to
issue an "extra," giving an account
Of the wreck, the gas supply failed,
forcing a suspension of work on
the - linotype machines until after
2 o'clock this afternoon. However,
after overcoming numerous difficul
ties the wreck "extra- was Issued
shortly "after 1 o'clock, and was
used as the mail edition. By 2:30
the flow of gas had become strong
enough to enable the machines to
operate, butthe time that had been
lost was enough to throw the
home edition late by something
like an hour. This is the setond
time recently that The Dispatch
has'been delayed for the same reason.
Si
PROGRESS
n
MAD
INS
McAdoo Takes Action -tf
Meet Railway Increase
WILL ADD $900,000,
I
" P.l xti j
Order Wipes Out All Intra-'
state Lower Rates on rVi
Either Traffic !
TO AFFECT BQAT LILIES!
New .Freight Charges Gov I&pi
Effect June 25 -Increases"'
in Passenger Fares Is fej- (
fective June 10 j J
Washington, May 27 To meet wage
increases just announced ahdfhlghr
costs of coal and other supplies this
year, Director General McAdoo today
ordered railroad freight rates in the
United States raised 25 per cent and
passenger fares increased to three
cents a mile from the present basis
of about 2 1-2 cents.
It is estimated that the program
will bring between $800,000,000 and
$900,000,000 more revenues to the rail
roads within the next year. It repre
sents by far the biggest rate increase
in the history ol raih-oads.
Tjhe new freight charges which
cover both class and commodity Tates,
become effective June 25, and the pas-
senger increase will go Into effect !
June 10 . v . !
- Issued under authority granted by
the, railroad act to- President Wilson,
acting through-the directorf general,
the order wipes out all inirastate low
er rates effective on either freight' Or
rates effective on either, freight-or
Travelers in standard 4leeping--and i
parlor cars are required to pay 3. 1-3
cents a mile, in addition to PuJUnxaiXi
fares, and in tourist sleeping gear's
3 1-4 cents Pullman rates remaii) tho "
same. ,.,vl
Commutation and" "other suburba3Jr
rates on railroafis are incr-eosed lO-per
eent.; 'ares'eieiavinrtttbao.
tion, ana-tourist rates wat a lew ex-.
ceptions, are discontinued, privileges
as stop yers'and ree -side trips ar
abolished, and excess baggagecharges
are increased.
Both freight and passenger rates on
boat lines .operated on the lakes, riv
ers or coastwise -railroads aire, to be
raised proportionately with the gener
al increase. Export and Import freight
rates are ordered cancelled,' and the -higher
domestic rates will apply to
and from ports.
A number of flat increases, instead
of percentage additions, are oraerea
for cotton, coal, coke, lumber, ore,
stone, grain, livestock, meats, sugar,
bullions and other commodities.-
Existing differentials and rate rela
tionships between various localities ,
are to be preserved as far as possible, j
but many readjustments will have - to
be made later. All rates are "subject
to review and correction by the inter
state commerce commission.
In announcing that the rate In,
creases are required by public interest.
Director General McAdoo referred to
the $300,000,000 or more added to-the j
pay rolls of railroad labor under an.
order published today, to the' rapidly,
rising cost of coal, which he estlmatod
this year alone at $160,000,000 more,
than last year, and to higher-cost of.
every other material entering. Into.;
railroad transportation. Operating- ex-,
penses, he estimated, would be be-,
tween $830,000,000 and $869,000,000
greater than the $2,852,000,00? figure
of last year.
No part of the increased rates is on
account of the program of nearly a bil- :
lion dollars of improvements, addition
and new equipment this year, he ex- ,
plained.
"It is earnestly hoped," said the : -director
general .that all citizens af
fected directly or indirectly by this In
crease of rates will support the gen-,
eral principle of such increase as an
unavoidable war measure and accept
the additional burden in the same splr- :
It of self-sacrifice in which they have .
accepted -other inconveniences, and.
burdens and grievous personal lowea
which are part of the price that the -,
nation Is patriotically paying for world
liberty." x x, , - '
Mr. McAdoo called attention to the
fact that "there 's no way in whicn
the. present increases will inure to pri
vate profit" , 4.
"11 they tnrn out to be more than tre
needed to meet the grave public ex
igency," he addej, they will promptly
be readjusted so as to prevent . any un
necessary burden upon the public: but
pending such readjustment, the excess.
if any, will be for the benefit of the
people of the United States as a whole
and not for the benefit of the private ;
railroad owners of any of them. ; ,
"To the extent that savings can be .
effected and to the extent that reduced
nrices for the things the railroads J
must buy can be realized it will" be jthe j
purpose of the director 'general to,,
make from time to time appropriate
reductions' , !
The provision that Intrastate rate ).
shall be abolished wherever substitute.
(Continued on Page Seven).
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