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a Year, la Adranca.
"FOR GOD. FOR COUNTRY AND FOR TRUTH. 1
VOLX.VIII.
PLYMOUTH, N, .0.. FRIDAY, J A NUARY 244 I908.
NO. 34.
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151 IK M
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the
Recommendations to Extra Session of
The Legislature
RATE CASE C0MPRSM1SE
Governor Glenn Also Recommends
the Enactment of a State Prohibi
tion Law at this Special Session.
To the Honorable, the General
As-
sembly of North Carolina. ,
Gentlemen: Under no circumstan
ces fa it a. pleasant duty to convene
the General Assembly in extra ses
sion; stijl the Constitution, Article
III, section 9, provides that "The
Governor shall have power on extra
ordinary occasions, by and with the
advice of the Council of State, to
convene the General Assembly in ex
tra session by his proclamation, stat
ing therein the purpose or purposes
:for which they are thus convened."
To me it seems plain that such an
extraordinary occasion has arisen,and
so, by and with the consent of the
Council of State, I have felt it my
duty to call you together to consider
the question of an adjustment of the
passenger and freight rates charged
by the various railroads doing busi
ness as common carriers in the State.
In order that you may have
41 proper understanding of the
present conditions of affairs, it
will be necessary to revert
the past and give a; brief
to
his-
tory of all matters appertaining to
the rate controversy from the time
of your last session up to the terms
offered by me as Governor and ac
cepted by the railroads, subject, of
ourse, to your approval and ratifi
cation. In my message to your honorable
body at your regular session I used
the language: "I would urge upon
the General Assembly to carefully ex
amine the whole matter of railroads,
and, while doing everything the law
allows in protecting the people
against unjust discriminations, heavy
rates and unnecessary hardships, at
f- same time to treat the railroads
li perfect fairness and give them
cry .legal right which belongs to
them. Railroads are the great arter
ies of commerce, and have been the
means of building up our resurees as
no other factor, and, therefore, should
be looked upon, not as hostile, but
as one of the State's most helpful
agencies." I then recommended a
flat rate of 2 1-2 cents, per mile for
passenger fare and a mileage book of
"2 cents; also, that railroads be re
quired to remedy delays of their
trains have a limit set to hours of
service of their employees, keep their
road-beds in good condition and pay
their fair proportion of all taxes, and
then should be protected against in
justice, such as is often practiced on
them by trespassers and unjust liti
gation. With what suggestions I
couid offer, and with the? sworn re
port of the railroads before you,
after a full and able discussion of
the bill in both houses, no joint con
clusion could be reached, and a con
ference committee had to be ordered.
This committee reported a flat rate
of 2 1-4 cents per mile, which report
-was ratified and became' the law of
ihe State. After the law was enaoted
I tried to induce the railroads to
acquiesce until a fair test would de
monstrate' whether the new rate was
confiscatory, or, on account of in
creased travel, was . remunerative.
Some of the railroads at once agreed
to put the law into operation, but
others refused, and, prior to July 1,
1907, when the law became opora-!
tive, went before a Circuit Judge of
the United States for the Eastern
District of North Carolina and ob
tained a temporary injunction against
the Corporation Commission and Attorney-General,
forbidding them from
putting the law into .effect. At the
preliminary hearing, without finding
the rate confiscatory, and not heeding
the plea made to the jurisdiction of
the court, the Circuit Judge continu
ed the injunction to the final hearing,
and ordered the Standing Master to
take evidence and make a report as
to whether the rate fixed was confis
catory of the property of the rail
roads. On Jnly'l, 1907, certain railroads
refusing to recognize the rate fixed,
a ) Superior Court Judge instructed
life--grand jury to indict their agents
for selling tickets at a higher rate
than that fixed by the statute. Feel
ing it my sworn duty to uphold the
law passed by your honorable body,
regardless of the amount fixed, I ad
dressed a letter to all State Judges,
asking them "to properly charge the
grand' juries and to direct the Solici
tors to send bilis against the agent
and employees of the railroads, or
their higher officials, thus openly
acting in defiance of law.' In that
letter I recommended that only
enough indictments be made to test
the validity of the law in all phases,
'and not needlessly to harass the tail
roads. ,
Several railroad agents "were indict
"ed, convicted and sentenced, when
the United States Court, not waiting
for the defend ants: to 'appeal in the
orderly way to the higher ' courts,
again interfered, and by writ of ha
beas corpus discharged the defend
ants from the custody of the State's
officers. For a while a conflict be
tween the Federal and State authori
ties seemed imminent, but coolness
on both side?" was exercised, and it
was agreed that the railroads should
recognize and obey the law, pending
the test of its constitutionality, and
that the equity suit, indictment and
habeas corpus proceedings should be
prosecuted to a speedy conclusion. In
taking steps to uphold the law enact
ed by the General Assembly only one
motive actuated me, and that was,
while not wishing to mulct the rail
roads with costs oi' needlessly impris
on their agents, simply to compel
them, the creatures, to recognize that
the State, the creator, was sovereign
and supreme and its laws had to be
obeyed until some competent court
.declared that said law was unconsti
tutional and therefore void.
The equity suit and criminal pro
ceedings moved very slowly, and, fin
ally a crisis having come upon the
country, several efforts were made to
settle all disputes and produce har
mony, between the State and the rail
roads. Terms Offered.
Finally I suggested the following
terms - as an equitable adjustment of
the entire matter, subject, of course,
to your approval:
The changing of- the flat intrastate
rate ofi2 lr4 cents per mile to a flat
intrastate rate of 2 1-2 cents per
mile; fifteen cents to be charged extra
for persons boarding trains without
tickets when tickets could be obtain
ed in a reasonable time before de
parture of train, and the repealing of
the penalty and misdemeanor clauses
in the act of 1907; this, however, only
to be done when the railroads operat
ing in the State except those ex
empt by law agreed on their part to
a reduction of, the present interstate
rate of 3 and 3 1-4 cents per mile to
a 2 1-2-cent rate, thus making inter
state and intrastate rates uniform;
also, the railroads to issue a mileage
book of 2,000 miles for heads of firms
and employees, not exceeding five
persons, names to be entered at time
of purchase, said books to be inter
changeable on all solvent roads and
interstate and intrastate at 2 cents
per1 mile ; also, an individual mileage
book of 1,000 miles, interchangeable,
interstate and tntrastate, for 2 cents
per mile ; also,, a family mileage book
for heads of families and dependent
members of family, names to. be en
tered at time of purchese, intrastate,
and not interchangeable, for 2 cents
per mile also, the railroads to pay an
amount not exceeding $17,500 with
which to pay the State's costs in the
various suits.
The railroads agreed to these de
mands, except the payment of the
money and the 500-mileage book for
2 cents. They claimed it was impos
sible for them to operate with such a
mileage book, as it would practically
put the State on a 2-cent flat rate,
and that they should not be required
to furnish a book of 500 miles at as
low a rate as books of larger mileage.
Not being able, therefore, to get this
reduction, and seeing some force in
their contention, it was agreed that
the family mileage book should be
fixed at 2 1-4 cents per mile and that
the railroads would pay the State
$17,500, to be applied as the State
thought proper. The usual require
ments as to time of redeeming books
were to be observed and enforced. It
was also agreed that, if after a
reasonable time, to-wit, twelve
months, it should be ascertained that
the rate thus agreed upon was exces
sive on the one hand or confiscatory
on the other, upon application, the
Corporation Commission should have
the power, after a full and fair hear
ing, to raise or lower the rate fixed,
subject to an appeal to the courts.
Some seem to object to the require
ment that the railroad pay the som
of $17,500, but I believe this objec
tion comes from the fact that the pro
position is not understood, and they
believe this amount is to help defray
the costs of convening the Legisla
ture. I demanded this money for
these reasons : I did not believe the
rate passed by your body was confis
catory. I felt a wrong was commit
ted by the railroads in bringing their
suits before giving the ,rate a fair
test. When the railroads got their
injunction they not only had the Cor
poration Commission, the Attorney
General and Assistant Attorney-General
enjoined, but Also the attorneys
employed by the Corporation Com
mission; hence, when the railroads re
fused t obey the law, not being able
to get the services of these attorneys.
I had to employ others, thus entailing
more cosJ;s, and, therefore, the rail
roads, by their suits and acts, having
put this extra cost on the State, I felt
in the settlement, they should pay it.
If, however, your honorable body
does . not . agree with me, and think
the State and-not the railroads should
pay this cost, it is for. you and not
for me to decide.
In order that "in the future both
the State and the railroads should
know their respective legal rights in
dealing with each other, and believ
ing that the Minnesota case and the
habeas corpus case from Asheville
now pending in the Supreme Court of
the United States would definitely
settle and define the respective rights
of all parties, it was agreed that, even
if your honorable body accepted and
approved 'the agreement, the case in
the Supreme Court should not be af
fected thereby, but should proceed to
final judgment.
Other States Agree.
The States of South Carolina,
Georgia, Alabama and Tennessee, and
probably Virginia, have agreed to the
same terms offered by North Carolina,
thus giving a uniform rate and mile
age books over the entire South.
I have given this matter a most
careful investigation, tried to protect
in every way the rights of the State,
and, in coming to the conclusion that
the settlement reached is both just
and equitable to the State and the
railroads, I have had the advice and
assitance ' of 'some of the State's
truest, ablest and best men. However.
I discharge my duty by obeying the
Constitution and laying the matter
before you, as you alone can enact
laws. I think it wise to settle the
matter. I befteve the terms are fair
to all, and, therefore, ask you, the
lawmakers of the State, if consistent
with your sense of right and duty, to
approve what has been done.
Rate Fixed Not Confiscatory.
The rate fixed by your body at its
last session, in may judgment, though
less than the amount recommended in
my message, was not confiscatory, but
was just and based on the report of
the railroads themselves, and, there
fore, was in no sense a wrong; and,
if the railroads had given the rate a
fair test, without having made the
people hostile to them, I firmly be
lieve, as shown by the evidence taken
in the pending equity suit that said
rate would not only have proved
both equitable and remunerative, but
in excess" of the previous earnings.
But times have changed since you
last met, and all business has suffer
ed by the stricture in the money
market. Disclosures made in the fin
ancial world fraud and corruption,
gambling on the stock market, the
withdrawal of money from circula
tion, thus bringing about unrest and
district, together with many other
causes, which have seriously affected
all securities, making stock values de
crease and credit hard to obtain, until
not on account of tho little reduction
of fares to 2 1-4 cents, but for the
reasons above stated &nd many oth
ers, railroads, like individuals and
other corporations, have been crip
pled in their operations, have had in
many ways to- curtail their expenses,
cannot borrow money to carry on
their business, and, therefore, need
all legitimate help that can be given
them, not inconsistent with the rights
of the people and the State. They
claim that, if all matters of differ
ence between them and the various
States can be adjusted, confidence
will be restored, their securities more
easily placed, and they be enabled to
continue their "contemplated impreve-i
ments.
No one but a demagogue would de
sire to injure railroads simply becase
it can be done, but should only wish
to require them to deal justly with
the people; and now that the rail
roads have recognized the soverignty
of the State and come forward, agree
ing to terms alike fair to the State
and themselves, it behooves the State,
through its lawmakers, to meet them
in the same spirit of equity and do all
it can to aid them, provided it in no
way destroys the rights of the people.
Again, I trust you- will solve thij
complex question by approving the
terms agreed upon, thus restoring
peace and harmony and puttir. all at
work once more for the upbuilding of
our beloved State.
Freight Rates.
In regard to freight rates, I suggest
one amendment to section 1, chapter
217, Xaws i of 1907, by adding at the
end of the said section these words:
" Provided further, that tb:s act sixil
not apply to independently owned
and operated railroad companies in
North Carolina whose mileage of road
in said State is one hundred miles or
less." The reason for this recom
mendation is, that the amount of
freight shipped on one of these little
roads from one station on its own line
to another station on its line is not
over five or ten per cent of its ship
ments, while from a point on its line
to some point on the line of another
road its freights would amount to
from ninety to ninety-five per cent
of its shipments; while the shipments
of the large roads to points on their
own lines is from seventy to eighty
per cent of their shipments, while
their shipments to points in the State
on other roads would not exceed
twenty or twenty-five per cent, being
a discrimination so largely against
the. small roads as to most seriously
affect and injure them, and, there
fore, demands relief.
Discriminations.
One of the most serious complaints
now existing against railroads is the
discriminations made by them against
the cities and towns of North Caro
lina in favor of like cities and town3
in other States, notably Virginia, by
reason of which jobbers and whole
sale merchants in Virginia can under
sell the same class of merchants in
North Carolina. The cause of this
is the rate given by the Norfolk and
Western and Chesapeake and Ohio
railroads to Roanoke, Lynchburg and
Richmond, being the same rate given
to Norfolk, Va., on account of its
water-rate competition. To meet the
rate of the railroads above named,
the Southern, the Coast Line and Sea
board railroads had to give the same
rate, and so haul freight thi-ough
North Carolina to Virginia cities for
a less amount than they haul to the
cities of North Carolina;, and often
our shippers can better pay the
through freight to the Virginia point,
plus the local rate back to the North
Carolina point, than pay the through
rate in the first instance to the North
Carolina point. This'can and should
be corrected. The Corporation Com
mission 'has now instituted proceed
ings before the Interstate Commerce
Commission against the Norfolk and
Western Railroad for discriminating
in favor of Lynchburg and Roanoke,
Va., on its line, over Durham and
Winston, N. C, also on its line. There
can be no defense made for this un
just difference, and we feel assured
that the Interstate Commerce Com
mission will corrct the discrimination
as to these points in North Carolina.
When the Norfolk and Western is
thus forced to adjust the rates for
these two cities in North Carolina,
competition will compel the other
railroad systems to give the same rate
to these points, and then they will be
compelled to give them to otherNorth
Carolina cities, else there will be dis
crimination between points in North
Carolina, which is forbidden by law.
Hence, we. confidently believe that
this suit and similar ones will entire
ly correct any unjust discrimination
against North Carolina shippers, job
bers and merchants. This being an
interstate question, it can only be
reached through the Interstate Com
merce Commission ; and, in order that
these suits may be successfully push
ed to an early hearing and termina
tion. I respectfully ask that , sum
not exceeding $5,000 be appropriated
for carrying on an investigation
fraught with so much benefit to our
people. At the last sesion a bill mak
ing this appropriation passed one
house and two readings in the other,
but in some way failed to become a
law.
Other Important Matters.
When I called the extra session,
with the advice of the Council of
State, only one object was considered,
and that was the rate question. Oth
er purposes, however, than those
Avhich-I convened you to consider will
doubtless be brought before you; and
if, in your wisdom and after the most
mature and wise delibration, you de
cide to enact other legislation than
that embraced in my call, there arc
two matters, imperative in their na
ture, to wrhch I would most respect
fully call your, attention.
Better Court Facilities.
There is a deSect in the present ju
dicial system of the State. If a Judge
is sick or detained from his courts by
unavoidable accident, there is no pro
vision to remedy this omission, un
less some other Judge can find time
from his own courts to rido the cir
cuit of the sick or absent Judge. This
could easily be remidied by establish
ing two small additional districts,
consisting of a county each, so that
the Judges ridingjhese small districts
could, when not engaged with their
courts, bold special terras and take
the place of the sick Judges. The
Ninth Judicial District lost its entire
circuit this fall by the serious illness
of the Judge, thereby causing a loss
of thousands of dollars anl leaving
persons in jail who were entitled to
a speedy trial. Such instances have
happened before , and will happen
again, n-vl, tlmcT jre, should bi remedied.
Prohibition.
Theer is another matter that will
doubtless engage your most careful
consideration. I allude to the quss
tion of State prohibition. The people
of North Carolina are determined fo
make a trial of prohibition, and the
only thing to decide is when and now
this can best be brought about. The
curse and degradation of the liquor
traffic is fast becoming a stench in
the nostrils of decency, and there is
an imperative demand coming to you
from every section of the State to
drive out these places of vice and
wickedness, and Jo convert the money
thus wasted in riot and drunkenness
into channels of business, thrift and
industry. Every one in the State
knows my views on the liquor ques
tion, for, publicly and privately, I
have contended that, both from an
economic as well as a moral stand
point, the greatest blessing that could
possibly be given the State would be
the prohibiting of the manufacture
and sale of intoxicating liquors as a
beverage anywhere in its borders. So
firmly am I convinced of the sound
ness of my views on the subject of
liquor being a curse to the people of
the State, that, if the power to act
were vested in me, I would not
trouble '-your body to consider the
matter, but would at once free our
land from this monster evil that, ia
my opinion, is the source of a thou
sand woes and scarcely a single bless
ing.
When I issued the call for this
special session I did not know wheth
er the voice of the people could now
be heard, or whether it would have to
wait until the regular session; but
so "quickly has the demand for relief
crystallized throughout the entire
State that it would be utterly wrong
to deny the people a hearing upon a
matter so vital to their public and
privato life.
I would not put my judgment
against that of the one hundred and
seventy members 'who compose your
honorable body, all of whom are just
as patriotic and many far wiser than
I; still, after visiting the people in
every section and hearing and know
ing their views, as I do, I am thor
oughly satisfied that no act ever pass
ed by any legislative tiody in North
Carolina would give the joy or be
more generally endorsed than would
be the act of this General Assembly
in giving prohibition to the entire
State.
Under the Watts, Ward and other
similar bills, by legislative enactment
prohibition was given to all rural dis
tricts, until at least four-fifths of the
State's territory thus had prohibi
tory laws. These acts have produced
good, and not evil, and have been en
dorsed by the votes of the people in
three general elections. Also, under
the same laws, villages, twns and cit
ies throughout the State have declar
ed for temperance, until ninety per
cent of the entire territory of the
State now has prohibition. Thus we
know the will of the people, for they
have spoken by their votes in no un
certain sound, until all agree that it
-is inevitable that liquor must go. So,
why, then, entail needless expense
and engender bitterness by local
fights, when by your act, carrying out
the will of the majority of, the people,
you can settle this matter at this
session 1
Pass the law, let it go into effect
July 1, 1908, and before the general
election in November all agitation
will cease; for, as well said by one of
North Carolina's wisest statesmenl,
"A liquor dealer without his liquor i&
about as weak as Samson shorn of his
locks." Refuse at this session to dis
pose of it, it will enter info the next
campaign, be the issue in many coun
ties, and cause confusion and strife;
whereas by action now you may de
stroy the factor that would make this
agitation.
There is only one question for us
to ask, and that is, What is right
And when we know what is right, let
us have the courage to do the right;
and what is right will prove what is
both expedient and best, and will re
ceive the approval of all good citi
zens. If this Legislature, having seen its
its laws enforced and qbyed,
will at this session ratify an
act that will bring peace and
harmony amon all contending in
terests, and at the same tima
pass and act lifting the curse of
strong drink and bringing order, and
soberness into our borders, it will
have performed two acts that will
make its name immortal and be for
ever remembered as a blessing to the
State.
Wishing each of you a happy so
journ at our Capital City, and ex
tending to all a most cordial and
hearty welcome, I close my message
bv expressing the belief that, actuat
ed by high and patriotic motives, you
will do your full duty to the State
and pass such laws as to you seem
just and right. I bid you Godspeed
in your work and ask Heaven's bless
ing on all you do.
Respectfully.
K. B. GLENN," Governor.
A PLOT DISCOVERED
Anarchists Plan to Blow Up
Americon Fleet
RIO POLICE WATCH MOVEMENTS
y i
Anarchistic Conspiracy, Having For
Its Object the Destruction of at t
Least a Part of the United States j
Warships Comprising the Pacific j
Fleet, Unearthed at Rio do Janerio.
Rio Janerio, By Cable The Brazil- j
ian police have discovered an anarch
istic plot here, having as its object
the destruction of part of the Ameri
can feet now lying in the harbor.
The conspiracy, while centering in
Rio Janerio and Petropolis, has ram
ifications in San Paulo and Minas
Garaes. An individual named Jean
Fedher, who resided in Petropolis,
was the chief conspirator here, al
though it is understood that foreign
anarchists are deeply involved in the
plot. Fedher is believed to have fired
to Sao Paulo, and the police who
know him, have been sent to that
place for the purpose of apprehend
ing him. One of the detectives, who
was well acquainted with Fadher,
having served on the police force at
Petroplis for some time, returned
from that place, after having made?
investigations there and had a long
conference with the chief of police
at Rio Janerio. The latter gave it to
be understood later that the Sao
Paulo police are on the track of the
arch-conspirator and expect to ar
rest him soon.
In an official note which the chief
of police sen to the correspondent of
tho Associated Press, he says:
' ' Some time before the arrival of
the American fleet at Rio Janiro, the
Brazilian government received from
Washington and Paris advices that
anarchists of different ' nationalties
intended to damage one or several of
the ships of the American fleet. The
names and addresses of the conspira
tors were indicated by information
which the police here had received
previously from France and Ger
many. The police of this district are
working with the police of Sao Paulo
and Minas Geraes and I am sure
every precaution will be exercised
and the most vigorous vigiliance ob
served both on land ami at sea to
prevent any injury being done."
The chief of police, after having
made this official statement, said thai
he did not feel he should go. into any
further details wiUi , regard - to the,
conspiracy, but he authorized the
statement that the plot was organized
by Fedher and he added that the peo
ple of tho United States could "rest
easy as all of the conspirators had
taken refuge in the interior.
As yet the people of Brazil are
ignorant of the details of the plot to
do injury to the visitors, although
there has been some slight inkling of
the matter. The impression which
the exposure of this plot will create
here will be a profound one, becausa
H is the first anarchistic conspiracy
that has ever been known in Brazil.
The police at Sao Paulo have sent
word that they are on the track of
the malefactor, who they declare will
not be able to come to Rio Janeiro.
Want White Postmaster.
Washington, Special. Senator
Tillman, conferred with Postmaster
General Meyer regarding the case of
Joshua E. Wilson, a negro who has
been postmaster of Florence, S. Cp.
for twenty years. Florence has now
20,000 inhanbitants and citizens of
that city, through Tillman, are seek
ing to have a white postmaster ap
pointed. No action has yet been
taken.
Entombed Forty-Six Days. .
Ely, Nevada. Special. After bar
ing been entombed forty-six days, one
thousand feet below the surface in
the Alpha shaft of the Giroux mine,
A. D. Bailey, P. J. Strow and Fred
McDonald, wero rescued Sunday
night. Whistles all over the camp
blew loudly while crowds cheered in
the streets of Ely to the ringing of
bells.
Four Children Drowned.
Indinan, Pa., Special, Four child
ren were drowned at noon Sunday
while skating on the reservoir at the
Wharton Coal and Coke Company's
ovens at Coral, near here.
The dead are:
Sadie Kinley, 12 rears.
Kenie Kinley, 11 years. I.
Charlotte Kinley, 8 years. .
Roy ' Stokes, -13 year. . 'j
The children were with fiVR com
panions in the. dam when tSey cut
their way through the snow ta a part
of the rrservoir near one of the
feeder.