Newspaper Page Text
YOL. XLIX. WINNSBORO, S. C., WEDNESD^T, NOVEMBER 7, 1894. NO. 13. |j
NOT A 8UCCE88 IN ACTUAL PRACTICE
Th? Becultt Not by Any Means Eccourmjrlaff?A
BiUo ot Paternalism Hostile to
The interstate commerce commission
has been compiling for some time a
statement of the conditions under
which the railroads of the world are
operated. The subject was not suggested
by the recent testimony before
the commission meeting in Chicago.
The labor union men there hare testir
fled their belief that the solution of the
problem of employer and employed on
the railroad world was the government
control of railroads.
The facts and the figures which the
interstate commerce commission has
gathered together do not, says the Phil- j
adelphia Times, confirm their theory
by the experience of other nations.
4 Even in the United States the experiment
of railroads controlled by the
State has been tried in different sections
and has so far proved a distinct
There are only six countries In the
world in which the control of virtually
all the railroads is in the hands of
the state. They are Australasia, the
Ckpe of Good Hope, Egypt, Nicaragua
.^^^Mfifel^araguay ana reru?cwruuiuy uoi<
feuratriee after which the United States
Brid be very much tempted to patthere
are some great counmp
which the state is a part owner
^ railroads, and these include GerJnjw
many, France, Denmark, Aestrianfinagary,
Belgium, Brazil and Canada.
KS&eft Eleven countries, or one-half of these
Bn in which railroads are operated, have
K no Interest in the operation of the roada
I fcheyond a claim for money advanced! to
wome of them. In two countries railBoads
are owned by the government,
Krat are leased to private companies,
Kvhich operate them.
W In Nicaragua, Paraguay and Peru,
|Wwhere there was no inducement for
fir private capital to invest in railroads,
the governments were obliged to build
what few lines there are, and these are
J9 operated by the government and run
I by the government- employees. In Australasia,
with the exception of one or
p two short lines, the colonial govern
r meat have built toe roads with money
derived from loans negotiated by agents
t general. In Victoria and New South
r wales so many abuses grew out of toe
I partisan control of the roads that ten
yean ago they were placed under the
direct management of a non-partisan
commission, which net only directs
their operation, but has charge of toe
construction of new lines. In Egypt
? there are about ly25G miles of railroads
u c . belonging to the government and two
W short lines, which are under private
controL At toe Gape of Good Hope
H^all but about 180 miles of lins in Cape
iScIony is owned and controlled by the
IfcfcST GOVERNMENT CONTROL.
^charged on these out-of-toe*
a Mr tasis for toe
Vwhich are owned by private [
0 or individuals. Yet Joseph j
T Jr., the statistician, has lound
H iMB^KEeiLustraaanroads a strong arjraW
meit against government control. His
remarks (whtcn are net quoted by the
Interstate commission) are: "Construction
of railroads in Australia failed as
a private enterprise. Then each one of
the five colonies took the matter up
separately as governmental enterprises.
?\ Their construction has been a source of
<? grave charges of dishonesty, and their
management subject of popular complaint,
especially among tie farmers.
Freight charges are much higher on the
Australian railroads than on our Amt
- erican roads." Marshal M. Klrfrman
>. writes that the experience of Cape Colony
has been the same. "In order to
get the necessary votes in the assembly
2 ??V .-1? fkn nnnotw)/..
W pttSB Ik UU1 OUVUUIU>Ul(( UUO w/usw. uution
of meritorious lines, it has been
necessary to baild other lines, that were
) not required and will not pay it"
The condition of affairs finds a parallei
in the American congress in the
w matter of river and harbor improvements,
for the river and harbor bill Is
P notoriously a ''log-roll- d" measure.
The result of the construction or nonpaying
lines in English South Africa,
, Mr. Kirkman saps, is that high freight
rates axe charged oh the good lines to
b make up for losses on the poor lines,
p - and this has acted as a prohibition on
every industry except diamond and
gold mining, and sheep and ostrich
farming. Private railway lines are forbidden
in Cape Colony because their
WI11PCUUUU WtUI U10|VTCluiu?i?iuauu
^ would be fatal to the latter.
l Even In Germany the government
Jk _ found it necessary to buy up many
private roads because their competition
Wp was ruinous. Ninety per cent of the
W mileage in Germany is owned by the
W government, and under the law the
government is required to manage the
r roads as a single system in tbe interest
; of geoeral traffic. The government
may cause the construction and equipment
of roads and enforce uniform
traffic and polic regulations; and even
the few private railways are under the
control of state boards, and their maximum
rates are fixed in their charters.
Although Germany's government
[ methods are so admirable in many rel
spects the experience of the people of
r that. *nnntrrv with flwrammfint Control
[ of railroads has been encouraging. Instead
of operating the roads in the interest
of the people, the government
uses them as a source of revenue and
r power, and the rates charged are higher
than those which are charged in the
United States, while the rules of the
road are much store burdensome
TOO MUCH BED TAPE.
An oft-repeated story of Channcy
Depew illustrates the red tape of German
railroad management A party of
young Americans ran after a moving
train to board it. The official of the
platform called to them to stop. They
ran on and boarded the train. At the
next station at which the train stopped
they were taken from the car by a file
of soldiers, and Informed that as they
had dearly violated a law of the Empire
they had already been tried and
Mnttgyrf, without a Hearing, to uuny
k days imprisonment. Senator Cmllom,
L oo his return from a trip to Germany,
few years ago, said that there was
more fuss oyer the departure of one
In Germany than one would see
in a year's travel in America, and that
if our railroads had to pay the army of
officials which was needed to manage
the German roads, they would have to
charge twice the present rates.
^ In France the original intention was
to have the railroads constructed at the
joint expense of the state, the localities
through which the lines were run and
private individuals; but eventually the
roads were to become the oroDertv of
the government. The first railroad law
wis passed in 1842, the plan outlined
being for the construction of lines to
diverse from the capital. The operatlog
companies contributed about one^
halt the cost of construction. The
roads were to belong to the government
(after thirty-six years. The panic of
1847 and the political changes which
followed altered the origlral plan a
great deal, and a new law was passed in
1859, by whlsh the state assumed super*
vision of railroad rates, and by this law
the roads were to beloog to the government
in about one hundred years. Under
a law passed in 1883 the government
virtually went out of railroad building,
but the private companies which construct
these roads are required to advance
the amount of money which the
state would have contributed to the
construction fund under the old law,
and this money is to be paid gradually
by the state within the time when private
ownership will cease and the roads
will revert to the state. By the middle
of the next century France will own all
of the French roads, unless a new system
is adopted In the meantime. Under
this government supervision and
half control passenger rates are almost
double those of the United States, and
freight rates are more than twice as
The conservatism of France in the
introduction of improvements is a
matter of comment among American
travelers. The same is true of other
countries where the government exercises
general or partial control. In
Belgium about four-fifths of the mileage
is owned by the State, and the remaining
one-fifth will revert to the
government after a period of years.
Railway affairs are administered by a
department of railways, post offices
and telegraphs. Bates are fixed by
law. Tne railroads are exempt from
taxation. The Belgian system was to
hava h?pp a modfil for thfi crovemmftnts
of the world, and at first it unquestionably
excellent Bat the disposition
of government departments to
stick to old methods,so well illustrated
in the departments at Washington,
where for the first time in a ceatnry
the red tape in the accounting offices
has been shortened recently by a congressional
commission, kept the Belgium
railroads at a standstill when all
the; world was constantly adcpting
new improvements and recent devices.
The Belgium roads, together, therefore,
are monuments to old-fogylsm. The
rates of passenger fare charged, however,
are very little higher than those
of the United States, and the freight
rates are only a little more than 50 per
In Russia about one-third of the
mileage is owned and operated by the
State, and some of the private lines
have received government aid. A
'tariff council" supervises rates for all
lines, and no rate can be changed without
the sanction of this council. In
Russia as in Japan (where two-thirds
of the mileage is owned by the gcvern
meat,; uio ouows uuaeruus.es w. any
whether a proposed private liae is
needed. In fact, there is no free right
of way in any country bat the U nited
States. In Austria-Hungary ona-half
of the railroads are owned by the government,
but all private charter ) expire
at a stipulated time, not exceeding
a period of ninety years, and at thattime
all lines, lands and buildings revert
to the State. The government
fixes the tariffs for its. own line# and
revises the tariffs of private lines every
three years, andean reduce rates if the
net earnings exceed IS per cent.
Transportation charges in Russia are
40 per pent, higher than in America.
In Austria the passeager rateti are
aboat- 60 per cent, higher than in
America, and the freight rates more
than donble as much. The passenger
rates in Spain and Portugal are about
whatthey are in IfctBsfecAa of the roads
In these countries are private property
but most of them have been aided by
the government on condition that they
become the property of the State within
ITALY FINDS IT A TAILT7RE.
In two countries?Holland and Italy
the government owns a part of the
mileage but leases its share to private
corporations. Italy has tried State
railroads and private railroads and almost
every relation between the State
and individuals in the management of
the roads which could be suggested.
The whole subject was investigated, by
a commission in 1878 and this commission
reported adversely to State management.
In leasing its lines in 1885
to private parties for a term of sixty
years, the Italian government summed
up the situation thus: It is a mistake
to expect lower rates and better facilities
from government than from private
mmnanifta. The actual rasults
are just the reverse. The State is more
apt to tax industry than to. foster it,
and when it attempts to tax industry
it is even less resposible than a private
company. State management is more
costly than private management.
Much capital is thus wasted. State
management is demoralizing both to
legitimate business and politics." Italy
had one unique experience during the
period of government control. One of
its provinces, Lombardy, found it necessary
to suspend freight service because
of lack of ability of those in
charge to handle it.
In Great Britain and Ireland, as in
the Uuited States, none of the roads
are owned by the government; but ia
the British Isles no lines may be constructed
without permission from par
liament, A law was passed in 1844
giving the government the right to
acquire railroads constructed after that
date at a computation value based on
profits; but a commission appointed in
1867 reported that it was inexpedient
"to subvert the policy which has hitherto
been adopted of leaving the construction
and management of railroads
to the free enterprise of the people, under
such conditions as parliament may
think best to impose for the general
welfare of the public." The board of
trade has supervision of the management
of the roads in certain respects,
and there is a law governing rates
anmafVi<n?lilra nnr Inforafrftte mmtllArM
I (A. lUVVUtU^ &AAV VViA ftuwt.VMVv
It is not generally remembered that
the United States has made experiments
in the State ownership of railroads.
Kirk mart, in his book on government
control, says: "Government
ownership has been tried in a limited
way in the United States. Fifty years
ago the State of Illinois constructed a
road at a cost of 31,000,000,bat disposed
of it later for 3100,000. Indiana had a
similar experience. Georgia owns a
railroad, bat has found it expedient to
lease it to private parties. Pennsylvania-constructed
a railroad from Philadelphia
to Colombia, but subsefuently
sold lt,for the reason that the commonwealth,
on reflection, believed that
transportation was to be regarded as a
private enterprise and not as a public
function. Massachusetts acquired the
Troy and Greenville line, but found it
expedient to part with it. Michigan,
in its early history, constructed and
operated railroads, but within a decade
found it advisable to dispose of tbem,
and the people of the State, by provision
of their construction, subsequently
forbade the State from participating
in such work."
The State committee on interstate
! commerce made a report on the uubject
of government control in 1886, admitting
the virtue of general control of
the railroads as one system, but saying
that the giving of additional power to
the government would always prove a
formidable barrier to the adoption of
the policy, and that "the committee
sees no necessity for considering its
advantages or disadvantages until
other methods of regulation more
American in spirit have at least been
given a trial and proved unsutisfacj
? . . i ;
SHAKING UP SHEEHAN.
A LIVELY DAY IN THE LEXOW COMMITTEE.
Counsel Gcfit and Commissioner Sheehan
Have the Klasr to Themselves? Tammany
mad the I/quor M?n-A Flat Kefasal.
Xew York, Oct. 31.?Commissioner
Sheeban was on the stand again today
hafnra t-Vio TiTAm oAmmittoa and So
UVJJLViVJ vuu JUOAVT VV I > liiiVWVV v*mv? ?
usual a good deal of hot talk passed
between the witness andL-. yer G-ofC.
Half an hour before adjournment, Mr.
Sbeehan was excused for the present
and another witness took his place.
Solicitor GofE drew the commissioner
out in reference to his ideas of the duties
of the police board.
First and foremost, the witness
claimed the duty of the board was to
see that the $5,000,000 amual appropriation
was properly expended. The
board must also see that the officers on
the force did their duty.
Mr. (^off endeavored to make t? telling
point by getting the witness to
admit that the board considered the
proper enforcement of the rules among
the officers as secondary to the expenditure
of the ?5,000,000 appropriation.
The commissioner, however, would not
admit the truth of such an inference.
In the afternoon, Mr. Goff spent considerable
time questioning the witness
about the New York signal service.
The commissioner admitted that the
service was greatly inferior to that of
Chicago,Boston and several other large
cities, but he could not explain why
this was the case. At the conclusion
of Mr. Sbeeban's testimony tor tne aay,
Mr. Goff tola the witness to bring his
private and .'public bank book tomorrow.
This the witness positively refused
Some of the incidents of the day follow:
"What do you do, anyhow, for your
salary?" Mr. Goff asked.
"I work for my salary."
"I want a specific answer to my
"We have to see that the money appropriated
by the city is properly expended;
we have also to see that the
police force does its duty, and a thousand
and one things ?" ,
"What else?" i
"We must see that the laws of the
#?lfw nf Van? "Vftrt
"Have the police cemmlsstonefirseen
that the laws were "enforced?"
"Yes sir, the poHce commissioners
have given ths citizens of New York
the best protection they ever had, and
the people are satisfied with the police ?
force. There may be a few dishonora- |
l)le men on the force, but the remain- j
mg members should not be held re- ,
sponsible for their acts."
"1 have no doubt, Mr: Commission- ,
er," said Mr. Goff, sarcastically, "but <
that a certain percentage of the citizens
of 2Tew York have bad ample pro- j
Chairman Lexow then asked the wit- l
ness whether in the Cross trial he had ?
not said he would cot believe the evidence
of a woman who kept a disorderly
house. The witness said he was not
prepared to express any opinion on anytrial
unless it was before him. "I am t
not going to say whether I would be- <
lieve a witness or not," said he, "until ]
the entire e eidence is in." i
"Bat yoa took the evidence of pool 1
room keepers." ]
"There were many decent men among <
the pool room keepers. Tbey gave up i
the business when it was declared ille- i
Mr. Goff referred to the case of Capt. <
Price, who was tried for allowing dis- '
orderly houses to run in his precinct. <
"What was the verdict in Capt. Price's i
"He was fined five day's pay." 1
"Well, Capt. Martens was tried for j
the same offence and fitted thirty day's j
pay, while Capt. Doherty was dismiss- j
ed on the same charge. Explain how i
these different sentences came about i
for the same offence." 1
"Capt. Price was tried on the charge
of allowing a disorderly house to run j
in his precinct. This house had been ;
closed long before, but two aetectives
managed to bring women in the house, i
He was fiued for not being vigilant ]
enough. I was in favor of reprimanding
him, 93 I believed the house had <
"Why did you vote for hie conviction
"Well, in order to him vigilant,
if t wo detectives got into the house
oth*r people could also gut in. The
evidence showed Price did his best.',
"Why Wits he cenvicted.then?" asked
"Because, I suppose, he did not do
The case of Captains Westervelt and
Haughey were then referred to. They
were both fined for allowing disorderly
houses to run in their precincts.
"In the month of July, Captains
Cross, Devery and Doherty were dismissed
from the force for permitting
disorderly houses to run; while Cap<-a<na
Prima H"anfl>h6V and
I bdiug JL. 4AWV) MMkWVMvj ? ? ?D
Wester velt were only fined for the
same offense. Please explain the different
"The cases against Cross, Dotierty
and Devery were entirely different
from the others. The three captains
who were dismissed were also convicted
of taking money for protection from
the keepers of disorderly houses."
"Is it not a fact that those captains
who were lined belonged to what is
known as the Sheehan-Williams ring."
"I never heard of sach a ring."
"FTavfln'fc rartatn commissioners ta
ken pains to protect certain captains ?"
*1 have never heard of it."
Mr. GrofE read the presentment of the
grand jury on March, 1892, calling for
the suppression of vice and the weeding
out of corruption from the police
force. "That is a general indictment,*'
said the witness. "I believe it was
learned afterwards that it was based
on the report* of newspapers."
"Why, the superintendent himself
was before the grand jury."
"Oh, yes, I believe he was."
"Have you heard that Mr. Tabor, the
foreman of the grand jury, said in an
interview, that from 37,000,000 to 810,000.000
was paid annually to the police
force for protection ?"
"If Mr. Tabor made that slatement
"Do you mean to say that Mr. Tabor,
a respectable merchant, lied ?"
"I mean to say that If he made that
statement, he lied."
"Is that Menry M. Tabor?" asked the
"Yes sir," replied Mr. Goff.
"Did Mr. Tabor lie when he said
that the police department of this city
"He lied when he said the polce department
"That is not the question; did he lie
when he said the police department re
J *1 i it
ceivea Diacammi :
"Why, Mr. Goff, blackmail ha? been
paid the police for twenty years."
"What do you know about it?" said
the chairman sharply.
"Hearsay, like you."
"Now did Mr. Tabor lie, when ha
said the police received blackmail.
"He may have some specific evidence
to base his belief upon. ,He lied when
he said the police leved S10.e0O,OGO."
"I want to place you on record- Do
you mean to say that Mr. Tabor lied
only about the amount V
It took a long time to get tbe answer
but, at last, the witnees said: "Mr.
Tabor lied only as to the amount paid."
When the witness said it would be
impossible for the police to set $10,000,000
annually from this city without the
people rising up and crushing them.
"That is what they are doing now,"
quietly said Chairman Lexow.
After a recess, Commissioner Sbeehan
said be would like ta qualify the state
ment made about Mr. Tabor. "1 want
to say now," he said, "when Mr. Tabor
made that statement he was mistaken."
Mr. GofE called the witness' attention
to aa interviewin which the latter stated
that the police commissieners had never
tied the hands of the superintendent In
the execution of his duty.
He said there reached the commissioners
a rumor that saloon keepers
were paying the captains and that the
board concluded to transfer them.
"That was the cause of the big shake
up," said the commissioner.
"Did you investigate the rumor?"
"Yes, sir. I sent for several saloon
keepers, but could get no evidence."
"Name one saloon keeper for whom
you sent ?"
"I can't recollect now."
Witness then said that the transfer
of captains was caused by himself. "1
bellev?," Bald he, "if the captainst were
getting blackmail the transfer might
stop that practice."
' You belleye that they were getting
money from the saloon keepers ?"
"Yes, but I could get no proof."
Witness said he believed that since
the big shake up the liquor dealers had
not paid a cent to the police. Mr. GofE
read another portion of the interview,
in which the witness said that word had
hpon Sftnfctn t.h? ?#lnnn Voanonx t.hrrtnwh
the various liquor dealers' association
not to pay any more money to the
"Who sent the word ?"
"1 don't know."
"How did yon know 'word was sent?
"Is It not a fact that liquor dealers
paid the money into the Tammany
Hall instead of the police, after the
transfer of captains?"
"1 never heard of it."
Have you not heard that President
Mahan and Mr. Groker met at the Hoffman
House and agreed with the liquor
dealers delegation that the latter
3hould,psy"the money into Tammany
Hall for election purposes?"
"I may have read it, but I believe it
Will you swear the money was not
paid into Tammany HaJl ?"
"Not to my knowledge.''
Mr. Groff then said he would like Mr.
"iheehan to nrodnce his nrivate account
300k tomorrow. UL also ask you," said
ie, "to produce your public and private
bank book tomorrow."
"I refuse to produce my public or
private bauk book," said the commisiioner,
"You do. Well, I want to put it en
?ie record that the subpoena called for
;he production of all your books conlected
with your private accounts and
ilso with the police department."
The commissioner was then excused.
Hon Yviui, OUl. ?i- w ?
lie cotton exchange here and in otni&r
:ities are somewhat excited over the
proposition to form a gigantic trust of
ill the cotton raisers of the South,
tfhichis being advocated by John T.
Etoddey, a prominent broker of this
5ity. The exchanges are opposed to
;he scheme. If such a trust is formed
;he brokers say that their business
seill be ruined, so far as exercising any
xmtrol of the market is concerned,
rhe trust would be able to practically
ilctate the price of cotton in the open
market. Mr. Roddey's plan is fer every
fnwioi. nn mot-tor hrtor small til
i/UUOUU ICUiUOl) uv ujhvuv^ uv t( MMMvwMy ??
become a shareholder. When the crop
is gathered each member shall tarn
into the trust one bale oat of every
live or six bales raised by him, or If the
urop Is a small one, then ooe bale oat:
af every seven or eight shall go to the
trust. The amount of cotton thus
placed in the hands of the trust shall
be held by the latter as a sort of balance
wheel to the market. The farmer
will market his crop, less the amount
tamed over to the trust, as bes suits
bim. The trust supply will be held
until the market price shall be high
enough to warrant its Bale and the
return of a geod profit. Mr. Roddey
feels sure that the adoption of his plan
and the formation of a trust, as proposed,
will at once pat the price of cotton
up to about S cents from the present
price, which is about 5 cents. Thif
would be an immediate and material
benefit to the farmer, who would also
benefit by the dividends which it is expected
will accrue to him on his trust
m itr&tr&ata a
suaies. Jul. jlivhiuc;
lQ(? in New York at an early date of
representatives of all farmers' organizations
in the South, to consider the
matter. He has received a number of
letters from prominent cotton planters
and leading citizens of South Carolina
who heartily endorse the plaD. When
seen at his office,80 Broadway, Mr.:
Roddey said he expected active steps
towards organization would be taken
this week. j
Macon, Gan Oct. 31.?At a meeting
of representative cotton planters held
at the Dixie Interstate Fair today, the
following important resolutions were
The present ruinous price of cotton
affects injuriously not only the farmers
who produce it, but stagnates business
of every kind and paralyzes efforts
in all legitimate industries. Hence the
duty is imperative upon us to use all
honorable means to avert impending
disasters. Without attempting to
discuss the various political resolutions
assigned as the cause for the present
fearful depression we desire to resist
the results as we find them.
In the multitude of remedies suggested
we have seen none that so
strongly recommends itself as the
paper submitted by the president of
the Agricultural Society, Col. John 0.
Waddell, in his call. for the meeting.
That we endorse the salient points in
that call and commeud them to the
farmers of the cotton growing States
and request the delegates appointed
from Georgia to attend the Cotton
Growers Convention at Montgomery.
AIa? on November It, to urge the suggestion
as the proper and just solution
of this vital question.
That the delegation to Montgomery
fA Mrs oil fVtof fhotr pan tA
DC W uo (Ml U11UU uuuj WIM w
stop the shipments of cotton from the
farms thus reducing the heavy receipts
which have a tendency to create a
wrong impression about the amount of
the present crop.
Boycotting oar B??f.
Berlin, Oct. 30.?The prohibition
acainst the landing of American cattle
and American beef annoanced by a decree
of the Hamburg Senate Saturday
last,was extended today to every port of
Germany. The officiols of the interior
department say that the importation
of cattle from America suffering from
Texas fever has been clearly proved
and that the measures taken are purelj
of a preventive nature, such as eaeh
German state is entitled to exercise
through its police authority within its
?0 OUR FARMERS.
AN I*RGEN1FAPPEAL TO THEM TO
b PROTECT THEMSELVES.
Jttr, Jtoddy, oI N*ew York, Thinks That
theuParmers, to Avert KuId, Mast 0eE(?l
so and Ik lit for Themselves Against
Columbia, S. C.. Nov. 1.?The following
article from the pen of Mr.
Boddy, a New York broker," was published
in the State several days ago:
To the Editor of The State:
Many of your readers may perhaps
disagree with me, but I wish to write
n 4iA ik/% 4.Klr.U<MM
a lew wujlub WJ UIC IUIUMUI^ peupic
of the South and West. I verily believe
that if something is not done to
bring about a change, speculators,
capitalists, trusts and cliques will so
far depress the products of the farmers
and the laborlag men that anarchy
will be inevitable. When a clique of
capl&uists, with their power and Influence,
can combine and so depress
the prices of the products of the South
and West as to cost the growers of
these products millions of dollars each
year, and practically starve the laboring
class, and cripple the interests of
these sections, it is high time to stop
and think. Many who have a comfortable
living are satisfied to quietly
sit and say something is worng, but
we do not know what it is, and many
do inotcare, but you had better think
and act too, or your country can
never have any hope of prosperity and
peace. The capitalists or cliques practically
control the Liverpool, New
Yerk and New .Orleans exchanges, as
mAl 1 nn f Ka m> I oo r?/%
! rv ou. oo uic uuaiu vjl iiiauuy
add grind the money ont of any who
may oppose them, and yet they talk
of hard times and say poor business
Is the canse of the depression in
prices of the products, whereas the
very fact that they have depressed
these prices is the cause of poor business,
for as long as the farmer or producer
receives barely a living for his
labor and products how can business
be anything but poor. Some claim
the laborer is ignorant, has no education
and receives as much as he should
when in fact theae same people so far
depress his products as to place him in
actual want and to deprive him of the
advantage of buying newspapers,
books and literature, and of sending
his children to school for an education. .
How can he keep up with the times?
I see no hope for you as long as a clique
has the right legally to sell more cotton,
corn or wheat than you may
raise without owning or expecting to
own what they sell. It forces you to
sell your products at whatever prices
they may fix. These people depend al- 1
most entirely upon you for their food
and clotning and yet do not seem to
aa?a V* />ttt morttt onffnv Vitt f H flnraa a
WOIO UU If iUOUJ PUJICI. VJJ UUOU
ing prices of products.
Legitimate supply and demand control
prices, but a false supply Mils, to
an extent, the demand. For instance,
Mr. Ellison, who is considered authority
on cotton, estimated the demand for
American cotton at 8,200,000?the crop
proved to be 7,500,000?but did not the ,
clique continue to hammer the price,
not the demand have been greater;
Will Liverpool or New England mills
buy cotton freely when they expect ;
prices to be carried lower, or what prevents
Liverpool and Near England
buyers from joining in and helping to '
depress prices in order that they may
get your spot cotton cheaper? The
majority of you sell your crobassoon
as gathered at whatever price the exchanges
may fix and they know it.?
In other words you are absolutely
governed by the exchanges, even if the
price go to two cents.
? - ? i? n
X0U are Diesseu uy irruviueuce m
being la the only section that can raise
corn, cotton and wheat, and should 1
have something to say regarding the
price and yet you are powerless. Suppose
spinners had to send buyers to
you with instructions not based on exchange
prices, you might have soihethlng
to say as regards prices as they
have when you come to make your
purchases, but they compel you to lake
to so-called established price or they
buy from one who is forced to sell on
account of his poverty. You see by
the papers that exchange price are declining,
going lower and lover, and
knowing that you are in debt, possioly
for supplies and so forth, you rash
your cotton to market, peibaps, after
oelng notified of vour debt by t&e merchants,
at whatever price buyers may
dictate or allow you. Spot buyers anticipate
your sales on their purchases
and sell on exchanges thus depressing
prices and helping the bears. The ex
changes are a great benefit; to the spinners,
they never give themselves one
minute's uneasiness about getting their
supply?they know that aa long as the
exchanges fix a price, no matter how
low, you will have to take it under the
present conditions. There are probably
over a million bales sold and bought
by speculators for every thousand
bales of spot cotton delivered on contract
and yet some claim the exchanges
are necessary in order to get rid of
spot cotton; 1oes it look natural that
more than ten hundred thousand bales
of cotton should be traded in to decide
the price of a thousand bales actual
cotton? When any one with one
thousand dollars can sell the crop of
one huhdred planters, probably reprejnf/Nwnnf
b&UlilUg LLLD 1UW1COU ouu UiLL^wuJiu^ ?
thousand souls, to say the least, it Is
placing a small valuation on your
These speculations and capitalists
would not sell cotton so freely if they
had to risk buying'the actual cotton,
but the exchanges establish a price and
they know they need not fear of your
not selling at exchange prices. One
advantage the bears have is that if any
one have a contract for a certain
month, the bear or person who has
sold has the privilege of offering to
deliver to the purchaser the cotton
aboutjfive days previous to the month
traded in, or of not delivering until
the end of the month traded in, as he
chooses. In other words ii you want
the cotton he has sold you he has over
thirty days to deliver it and if you do
? w**-i flail An f ha nr.
UUb YYftLLt 10 JUU iuuov ocu vu uuu vachange
whatever It will bring. Another
advantage, the carrying charges
favor the bears about one cent per
year. With snch advantages Is It to be
wondered at that speculators depress
The Fanners' Alliance of the South
is supposed to be an organized body
' with intelligent leaders, but it appears
i that they have not as yet touched the
key note to the situation; they are discussing
the silver bill; the tariff and
other different measures, but they
should begin at home, see what Is the
i cause of the depression and why they
are kept down; find out how you may
' financially better your condition and
! reap the greatest benefits from your
labor; why your products are kept
down and vour condition not improv
. lug. You can raise absolutely everyi
thing, have nothing to buy, whereas
" your oppressors raise absolutely noth_
ing and have everything to buy. If
you were so organized that you could
11 simply say, we will not take less than
height to ten cents for our cotton and
stand to it, for three to five million
bales you would get ten cents at least.
If you can't sell leave tne other on your
plantations rather than sell at four to
five cents- Ten cents for one bale is
better than four cents for two or three
bales. If you were organized you could
command a price far your products,
but if you are going to rush your cotton
to market, regardless of price, the
professional bears know it, will help
you to ruin yourselves, or anticipating
this, ruin you before you sell it.
If a railroad had the exclusive privilege
of ruuniDg through a certain country,
do you suppose they wou'd allow
capitalists and corporations in a different
section to fix their rates, or even influence
them V It will be a hard tight
for you to organize thoroughly, but you
will have the advantage ot being able
to live without selling, while they must
buy your products. Now many will
say it is impossible for you to organize
so as to hold your cotton; that many
must and will sell regardless of promises
and pledges?Of course at first
some will sell their cotton, but when
they see that it would have been bstter
to have stood together, they will fall
in line and yon will gradually grow
stronger until you are one united body.
You have no opposition and could dictate
if organized. It looks like bad judgment
when .the South (13.000,000 people)
famish 75 per cent of the entire world
with a necessary part of their wearing
apparel, and then be deprived by speculators
of everthing except a bare living.
It you could not get a living price and
knew it be fore hand, you would not
raise cottor, but you raise, taking a
gambler's chance on whether or not
the speculators may advance the price
on the exchanges, but you are absolutely
in their hands; they know it and
you know it. Again do not the laws
of your States consider as a gambling
debt and not collectable, any loss you
may [sustain through future operations
on these exchanges ? You receive less
year after year in actual value for your
crop, no matter how Providence favors
yon. Within the past few years ten
cent was considered an average price.
Now you receive about five, and unless
some change should take place, you
may consider five cents an average price
in a short time.
I refer to my letter of April 18 of this
year, in which I said: "Aslong as it is
continued things must get worse and
I anticipate in a few years that cotton
will sell at five cents."?Cotton is now
below m cents; it was then eight cents.
Organize yourselves, get together, let
no class of speculators continue to
wreck you?to ruin your lives, your
homes.your children and your country.
John T. Roddey.
Washington, Oct 31.?Tbe Pre3iJ
ueuu ouuay iboucu lun luaunviug.
By the President of the United States
of America?A Proclamation.
The American people should gratefully
render thanksgiving and praise 1
to the Supreme Ruler of the universe,
who has watched over them with ;
kindness and fostering care during the '
year that has passed; they should .also 1
with humility and faith supplicate the 1
Father of all mercies for continued 1
blessings, according to their needs, and '
they should, by deeds of charity, seek '
the favor of the givar of every good
Therefore, X'Grrover creveiana,TriesIdent
of the United States, do hereby
appoint and set apart Thursday, the ]
29thday of November, inst., as a day '
of thanksgiving ahd prayer, to be kept
and observed by all the people of the
land. On that day let our ordinary
work and business be suspended, and
let us meet at oar accustomed places :
of worship and give thanks to Al- :
mighty God for our preservation as a
nation, for our immunity from disease
and pestilence, for the harvests that :
have rewarded our husbandry, for a
renewal of national prosperity, and for '
every advance in virtue and intelli- '
gence that have marked our growth 1
as a people.
And with our thanksgiving, let us 1
pray that these blessings may be multiplied
unto us, that our national conscience
may be quickened to a better
recognition of the power and goodhess
of God, and that in our national life
we may clearer see and closer follow
the ?ith of righteousness.
And in our places of worship and
praise, as well as in the happy reunions
of kindred aad friends on that
day, let us invoke Divine approval
by generously remembering tbe poor
and needy. Surely He who has given
us comfort and plenty will look upon
our relief of the destitute aud our ministrations
of charity as the work of
hearts truly grateful, and as proofs of
the 8in?erity of our thanksgiving.
Witness my hand and seal of the
United States, which I have caused to
be hereto affixed. Done in the city of
Washington on the first day of No
vember, in th9 year of our Lord
eighteen hundred and ninety-four, and
of the independence of the United
States the one hundred and nineteenth.
(Signed) Grover Cleveland.
By the President*.
W. Q. Gresham, Secretary of State.
May Catue a Death.
Hyattsville, Md., Nov. 1.?Edwin
Gott, Jr., son of the S3cretary of State,
is dangerously ill from the effects of
hazing, and a numoer of the students
at the Maryland State Agricultural
College are very much worried over His
condition. One evening last week the
students organized a moot court, tried
and convicted Gott of a heinous crime,
and proceeded to execute the sentence
of hanging. A rope was placed around
his chest, thrown over a transom and
the victim was hauled up and left
hanging some hours. Gott was very
much frightened but offered no resistance.
He appeared at breakfast on the
following morning apparently uninjured,
but later in the day became
violently ill. He has had several
spasms and becomes weaker after eacii
attack. It ie supposed that the fright
has shattered his nervous system and
the faculty have grave fears of his recovery.
Half a dozen of the students
are kept in close confinement awaiting
the result ot (icsi's id janes.
Stare Driver Killed.
jSTevada City, Cal., Oct. 30.?Arthur
Meyer, driver ot the stage coach running
between vhis place and North
Bloom field, V7as shot and instantly
killed by a hignwayman
this afternoon. At Rock Creek,
three miles north of here, the incoming
stage was stopped by a lone highwayman,
who commanded Meyer to get
down out of the bos. Meyer refused,
and the bandit ;.ired twice at him, witn
a revolver. The second shot passed
through the driver's body. C. H. Bovee,
of Sierra county, who was the only
passenger, jumped from the coanh and
ran into tne forest. After the robher
haii crone. Bovee came out of tbe
boshes cook charge of coach and
and horses, and bronaht the dead
stage driver to town. So far as known,
the robber secured no booty.
DArlington, S. C., Oct. 27.?McLendon,
the IStateXoDstable, charged with
starting the riot here in March last,
has been acquitted and is now a free
man. He was ably defended by Col.
Aldrich of Barnwell, and H. H. Bruni
son of Orangeburg.
THE FALL IS COTTONOPINION
OF A COTTON AUTHORITY
ON THE SUBJECT.
The Sontt'j Enormous Loss 01 Baying
Power Dae to theDecilde In the Pries
of ber Chiet Product.?Klag Cotton's
York, Nov. 1?The decline in
the price or cotton, going on now for
more than a year, but sharply accentuated
within tae last six weeks, ha3 been
watched with curious interest by many
people in this and foreign lands, and
with deep anxiety hy more. Despite
adverse conditions and the persistent
efforts to dethrone him, including four
years of ruinous and bloody war, King
Cotton still rules absolutely m nine
great States of this Union.
The question that confronts these
nine great agricultural States just now
is, How long can cotton be grown at 5
cents a DOnnd. the nrice it sells fnr in
the Southern interior towns today?
The drop in the price of cotton has already
cost the South, taking the difference
between values a year ago and
what they are today, on the estimated
crop of 9,000.000 bales, the tidy little
sum of 890,000,000 in round numbers. If
the crop turns out 10,000,00? bales, as
many believe, the shrinkage and loss
will measure up to $100,000,003.
The views of some leading cotton
merchants of this city are given below
ou the serious situation that confronts
the South in this enormous loss of buying
power. As the South manufactures
but little as yetand her merchants
draw their supplies almost entirely from
the North, their deprivation and poverty
will b8 felt severely above the Ohio
and Potomac as well, especially in this
city, which sells annually -goods worth
many millions of dollars to the South.
Alfred B. Shepperson, editor of (Jotton
Facts and secretary of the sub-committee
on cotton of the United States,
is regarded as about as well posted on
cotton culture and manufacture as anybody
in the country. Mr. Shepperson
had charge of the Government's cotton
exhibit in Chicago. Of the prevailing
demoralization of cotton he said:
"There are very few men in the cotton
trade who have seen cotton as low
as it is today, for in this counrry it has
not touched Drice3 as low as at present
since 1848, when middling upland cotton
sold In New lork for 5 cents a
pound, while such low prices as now
rule In Liverpool have never been
known in that market. In October,
1848, under the influence of political
disturbances on the continent and financial
panic in England, the price of
middling upland cotton in Liverpool
was forced to Z% pence. That was the
lowest qiotation m the Liverpool
market until now, when the prlc9 is
down to 3 7-32 p2nce.
"The greatest piv3/ious depression in
recent ye?-s was in the season of 189192,
when the commercial crop exceeded
9,C3C,003 bales, and was the largest
aver marketed. This immense crop
mcceet'ed one almost a3 large, and under
the great supply of cotton and oth
er unfavorable inn nances trie price in
Marcb, 1892, declined, to 611-16 cents in
New York and 3 9 16 pence in Liver York
nose at 513:I¢als*
cent lower tban in 1892. and 2% cents
lower than this time last year. At
these prices cotton culture not only
sease3 to be a remunerative industry in
this country, but except under the mo3t
extraordinary and exceptionally favorable
conditions, the cotton planter could
not possibly get back the actual cost of
"From gome recent investigation for
a committee of the United States Saniteit
was made evident to ma that under
tne most favorable circum3tancas
only a very small portion of the crop
could be produced for as litf'e as 5 cents
per pound delivered at the nearest
shipping point to the plantation.
Wnere the soil is poor and fertilize;.:
have to be used, the cost of production
bc ^ms to range from 6 to 7 cents a
pound, when proper facilities are employed,
while the cost to farmers no,
possessing such advantages is higher
and sometimes very much higher.
??r*n aopfinnr. nf f,?7A VflTV low DriC83 in i
1892 the acieage which wa3 planted In
cotton in the spring of 18S2 was estimated
by the department of. agriculture
as fully par cant le3sthan the
previous year. It was the crreatest
curtailment of acreage of which we
t ive any official record. \s at the!
present price3 the average cotton
grower ctnnot get back a new dollar
for an old one expended in cotton cultivation,
it seems to me inevitable that
the acreage of the next cotton crop will
be reduced in even a greater proportion
than in 1892, unless a very material ad
vance in prices should occur before the
time to prepare for planting. I? the
price of cotton does not promise a fair
remuneration for their efforts the cotton
planters will most assuredly give
more attention to other products and
cultivate Jess cotton.
"The low prices now ruling are not
due to an excessive presert supply of
cotton, for the stock in both Europe
and American markets is somewhat
les3 than a year ago, and over half a
million bales less than in these combined
markets two years ago. The chief
depressing influence at present is the
general expectation that the crop now
being marketed will be very large, and
that that the weight .of receipts during
the next two months will, on account
of the dulness of trade and notable
lack of outside speculation carry prices
still lower. I do not suppose that any
thinking man can wish that cotton
should go lower, and men who talk
flippantly of middling cotton declining
to 5 cents in New 5Tork do not realize
what an immense loss this would be to
the South, and how it would, by its reflex
action, injure about every mercantile
and manufacturing industry of the
North, and what a serious derangement
it would cause in our foreign ex
"The average price in New York last
seasoon was 1% cents, while for the
previous season it was 8^ cents. When
preparations were made for the present
crop middling cotton was worth 8
cents in New York, and the farmers
doubtless expected to get about that
price, and the expectation was not unreasonable,
because the average pries
had not been as low as that for over
forty years. Few people estimate the
crop" at less than 9,000,000 bales. Every
cent a pound reduction in the price of
a crop of that size means a curtailment
of the resources ..of the country:
(for the South * is happily a
part of it now) to the extent of $45,000,
000. An average price for the crop on
the basis of 6 cents in New York would
therefore, amount to a loss of 899,000,
COO from the anticipated resources,
while 45 cent cotton in 2sew York/
which some people so glibly talk about
would mean a curtailment of the
country's resources to the enormous
extent of S135,000,C30.
"As 70 per cent of the last cotton
crop was exported a great reduction in
the value of exports of cotton would
require large shipments of gold from
this country to fill the gap caused bj
the shrinkage in the value of exchange
based upon the exports of cotton. So
. gieat a drain upon our slender supplj
- - - i
of gold would beyond a doubt cause serious
financial trouble. The low price
of cotton is a very grave matter, and
should the decline proceed much further
and the reduced range of valnes
be continued there can be no doubt that
Very serious results will follow, which
will injuriously effect the interests of
"Jb or many millions of the human
race cotton cloth is indispensable for
shirts for the living and shrouds for
the dead. The South will not yield
its control of the production of cotton,
but the effect of the present depression
will serve to teach it anew the wisdom
ot following the advice of its best men N
?to give hereafter greater attention to a
food crops and to make cotton a surplus
or money crop.
"I do not care to go into the question ~>i.
of the probable siza of the present crop, -v
but I received yesterday a letter from
the acting Secretary of Agriculture
saying that after a careful investigation
since February 1 ofthe question of
cotton acreage the conclusion had been
reached that the acreage of the crop of
1893 94 was 19,525,000 acres. In June
the department estimated the acreage
wi wm wv^ ux jwr?M luvjnr '"'Ti. '"J.
as six-tenths of Iper seal; more than
the previous crop. This would make
the acreage of the present crop 19,642,000
acres. Ihe New Tort Chronicle's
estimate of this crop's acreage Is 20,107,
000 acres, and some estimates are higher.
Some time ago the statistician of
agriculture wrote to Europe that he
wa3 satisfied that the area under cotton
in 1893 was somewhat over 20,009,000 -acres.
It will be seen, therefore, that
the result of the investigation by the \ )
department baa been to make the acre- V
age, 500,000 acres less than thejstatis- \
tlclan's views oefore its completion,
and the department's figures of acreage
of present crop are about 500.000 acres
less than most estimates. The yield
per acre of 1893 94, the department
stated, was .384 of a bale per acre. The
general expectation is that the yield
will be greater this season. Assuming
it to be four-tenths of a bale per acre
the deducation from current estimates
based upon an acreage, of twenty million
acres would equal 200,000 bales."
SUN'S COTTON REVIEW. .
Tt.e Amertein Staple Considered the But
and Cheapest in the World*
New York, Nov. l.?The Sun's cotton
report says: Cotton declined 1 to 2
points, but recovered this and advanced
4 to 5 points, closing steady at a rise of * v ^
3 to 4 points. Tne sales were 90,030
bales. Cotton goods sold a little more
freely. Manufacturers of linings are
working overtime to catch up with or- v
ders. Russian Mills have begun paying
dividends of 20 per cent, and over,
and making a profit in some cases of
50 per cent. Garman and French
manufacturers have been carrying very
small stocks of raw cotton. American
cotton, its friends contend, is the cheapest
in the world, and not only that, it
crive3 the De3t results. Some of the
private cables from Liverpool were
bearish. Fatman & Schwartz sold,
supposed to b9 for continental account.
The bears are as a rule timid about selling.
Most of them are waiting, li'-a
Mtcawber, for "something to turn up."
JChfl-?te&e-atJS"e w Orleans is said to ba
somewhat A pound" or yarn fflacw J?
from American cotton is worth 40 per
csst more than a pouad of yarn from
Ei3t India. E?t India supplies are J
comparatively smalL Egyptian ia relatively
higher than American: Exports
Pmrv> t-Kia rtiinntrff mnlinno lcircfA T/U
11UUU UU10 WS/UUUi. J WUWMMV _ -
day they were 42,232 to Great .Britain, J
12,190 to France and 21,186 to the can- -i
tinent, total 75,658 bales or 25.033 more
than today's receipts at the ports.
Bombay receipts for the week are 2.003
against 8,033 for the same week last
year; total since January 1, 1,578,003,
against 1,536,033 for tii9 same tlm3
last year. Bombay shipments since
i January 1,47,003 to Great Britain and
44,0X for tbe same time last year while
co tne continent they ware 751,030,
against 752,003 for a like period last
year. Ne?v York stock in licensed
warehouses is 63,809 bales, against 116,709
a year a?o aud 255,300 at this time
in 1892. Port receipts are 50,3M,
agamsc 61,713 this day last week and
36,447 for the same time la3t" year; total .
CD.US rar mis wees, nave ueeu eabuuabcu
as high as 425,033. S3me chink these
figures will not oe reached. Port Royal
reports a shipment of 6,505 bales to \ _>
Liverpool. Exports from the ports
season to last nignt are 1,089,621! against
889,038 for the same time last year.
The short interest ia this country part- ..-.a
ly against sales to Europe and mlliiag
interests of the United States is ballev- . 1
ed to be very large. Some expect large A
receipts at the ports next wees. New
Orleans receipts tomorrow are estimated
at 12,030 to 14,030.
Oae firm said: "A let np in th9
movement is necessary to sustain
prices, but no material decline is looked
for. A large demand for actual
cotton will no doubt be felt when the
idea becomes general that prices are at
the bottom. E ast ;rn mills continue to
buy freely and we are adv.'sed from- ? 4
Boston that they have purchased
enoc^h to i*st till the 1st of February.
It must tk remembered that they always
carry a few months' supply."
A telegram from New Orleans this
a nnrroa i^nHant. thflM
says that reports from every where tell
of an enormous movement, and that
next we3k promises to bs nearly as
large as this.
The Great Oil Trout. -JgS
New York, Nov. 1.?The annual
meeting of the American Cotton OH
Company was held at Gattenburg, N. "i
J., today. The report for the year ended
August 31, 1894, shows a sirplu3 of
$46,617 aga;n3l $507,751 ia 1893 and
$1 ?33,011 iu 1892. Profits for the year '
1894 were $1,428,152 against $1,800,040
lasi year, the administration expenses
$191,866* again81 $220,992; debenture In*
terest, $201,374, against $84,728; sink*
ing fund nothing, against $25,000; pre- ?I
' 3 j? j art* aaa
, miam uuuus reucouiuu ?4i,uw, wa-uou
$20,504 aad other expenses in 1894,
$30,234, total expenses, $731,S55,
against $652,932; net profits, *$o96,296,
( iisrainst $1,147,107, depreciation, $25,;
832, agairfst $23,182; dividend on preferred,
$611,916, against 611,916; other . ?'
dividends, 1,931, against $4,258 and total
' so-pla?, $5,982,959, against $5,926,342
1 iq 1893. The number of stockholders
is 1,864, asatost 1,760 last year and 1,.
320 in 1892. The company added
' in the year a tank stiamerof4,200tons,
' real estate, docks, etc., at a cost of $773,497.
Oae third of this amount was for
tha Holland compahy. There were
spent for improvements in the year,
$432,987. The company has 120 plants
cf various kinds in sixteen States and 49
out of 72 crude oil mills are in operation,
five are dormant and 18 are dismantled.
Ths comnaav has one tank steamer 355
1 tan cil cars, 230 bos cars and one bai. ,1
car. The cash and bills receivable exceed
the cnrrent liabilities by .$925,255 - i
and tue marketable goods are worth $4,1
069.312, & total working capacity ot $4,
994,568, The company *J1 pay the
) ;icome tax so that dividends to stockholders
will be net and no. subject to j