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Lethbridge Herald Newspaper Archives

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Lethbridge Herald, The (Newspaper) - November 11, 1910, Lethbridge, Alberta THE LETHBRIDGE DAILY HERALD t November 1010. MINORITY REPORT OF I A. t W. COlllISSION is, liable only in case of default by the the standard of the Crow's Nest Pass. (Coriuued from page 11) .traduce, promote and submit lor ratifi- cation, the next ensuing session of 'tie .legislature, legislation to incor- porate you'and your associates as a company to build and operate a rail- _Wy suitable foe the .requirements -if the country, in. accordance with the of the accompanying draft char- and to guarantee its bonds in ac- these" additions the figure vould run railway, and there may on that ac- [Railway between Lethbridge and count be considerable delay and some1 .expense in tiie bondholder obtaining [payment of the interest .upon the bond. Mr. Cross gives virtually tho- snuie explanation. Mr. Rutherford was the opinion I that it was more iu the interest of the fi- tha? as "the lowest figure that Mr. Clarke could hope to build a road on." be a good one .than that the rate should be .low, and tho intention was M rcoddard ofwhose integrity that the bonds should produce as near there'is absolutely no doubt and which par practicable, was Questioned by no one, says this estimate was "absolutely rock bot- tom." At the time of his examination as In January, 1909, Alberta Govern' Bient 4 per cent. 30 year bonds tp '.he amount of were sold for -I.e., a discount' amount- a witness Mr. Goddard gave an esti-jing to These bonds had Kooteuay Lake.. The reference there- fore to either was equivalent to a ref- erence to the other. It is quite, evi- dent that the reference to tue .latter instead ot to the fovmer was a mere accident. Dr. Waddell, on tho Com- pany's behalf. was: contending i'cr spec- ifications which, lie had prepared; the Officers of the Department of Public Works were contending for others. In setUemenl'pf was.' eel that the specifications, adopted in the case 01 the .C. !C; ii. should be adopted for this Company, a'nd ilr. was so instructed, ilrl D. D. The.. Length of Lint .Some criticism is ina'de, too, of 350 miles being fixed as the extent of line to be constructed. The object of fix- tween the Government and Mr. Clarke. In. my opinion the imputations thrown upon them have been disproved. Mr. Cornwall's evidence established iuy distance, and of fixing that to my satisfaction that while he was distance, was in order to issue and jat ono time interested in the Aihabas- sell tho bonds en bloc, instead sell- ;cu Railway, ho ceased to have that or ini.: blocks representing, ten mile sec- any interest therein by reason of an tions.--There was undoubtedly good jagreemem made between him and Mr. reaeon for this. Large blocks bring j Clarke. In July, 190S. This was evi- a better price than small blocks. Tho -denced by an agreement of the 20th money market is'fluctuating and un- 1'JOS. My express a certain. On this ground good finan- -doubt us to the candor of Mr. Cornwall ciers think it best to sell debentures jin_ lifs evidence regarding this agree- for an.under-taking in one block, await- (nie'nr. 1 have none, i think the sus- ing, of course, a good market; pro-jpicion aco.V.ired a place in their .minds vided the undertaking is to be proceed- by. reason of counsel for all parties ed with and completed promptly and carelessly treating the agreement as i Tllis hamless pveparaticu will di STOMACH DISTRESS SIMPLY VANISHES No Dyspepsia, Heartburn or Indigestion Five Minutes Later If you had some Diapepsin handy and would take a little now your stomach distress or Indigestion would feel fine. within a comparatively short of fan actual transfer of jgest anything you eat and overcome A Mann had furnished' the Government as was the intention here. I what it agreement to transfer '6Cmr" stomach before you with a copy the specifications on tenns of the ac- mate of the cost, of which the C N. R. Guarantee Act. The cost ing is a summary: durina ulu-h, and unul Januarj tn Had bPen cbmpanying Guarantee Edmonton terminals as men- tioned in the draft Act and-Mortgage not exceed Yom-s truly, (Sgd.) A. C. RUTHERFORD, 1..''4 Premier. Items" comprised in his report of Novembers, 1908, Estimated profit for uontrac- !the state of the money market was such that the discount would have !amo.unted to practically double that tor at 20 per cent. 'sum. In: other words, at the time the irate of 5 per cent, was fixed as tbs on tbe company's bonds, the Gov- lernment's 4 per cent, bonds "would Sundry additional items not in- cluded in former report Track Legal expenses........... construclioa Clarke, Esq., Kansas City, Missouri, U. S. A." the reasons t have indicated, J the evidence satisfies me that as a j the meeting of the 14th No- j vember had such auth- from his Cabinet, including Mr! 'Equipment based on ngures ________ lhe facl in favor set fne Company's 750.00 ihzi were for 50 years, not 750.00 Cushing, as justified him in. giving tiucn a letter to Mr. Clarke. "7 Cuihing Responsible, He Says 1 say including Mr. Cushing, be- eiuse to repeat what 1 have said in Mr... James' figures for equipment appear to be excessive. Fifteen nun- words, if Mr." Cushing had the jdred dollars a mile seems about the t anri.wa thal is a of indigestion. Miles tainly knew, its effect when it was Ask wur for a 50-cent point of jdrawn, should during his cross-exami- commencement of work Thence to House River, 150 or miles, say Thence to Fort McMarray BrancK at Lac-la-Bicbe as soon as you can. There no sour risings, no belching Iag1priiteness of Mr. Cornwall I01 food mixed with stomach gas or .heartburn; future or heavy feeling in the stomach, Nan- 15 j nation accept transfer as its or i designation. I cannot see the inappro-j _ f. _ Sidings at least every .nine miles, additional sidings of s.uch length and number as rriay be necessary for'the traffic similar to the Crow's Nest Pass Kail-' way, and sidings at Fort Mc- Murray and divisional points. Dr. Waddell, who is the only one who estimates them, says they will amount 10 30 jhe executed ihis agreement as an evi- 40 idenee of his gocil faith. He handed jit to Mr. Clarke upon the latter mak- sea, Debilitating estea food 1 Keadaches, .Dizzi- This will will be no over in the stem- ;ing him the first payment on account ;or the purchase price. That was n quite satisfactory way of Mr. Clarke signifying Sis assent to the agreement. IN THE RESULT MY RINDING !S: j Pape's Dmpepsin .is certain curs for (1) THAT MR. CORNWALL HAD, out-of-order because it -Kmr there are several things which >on the other items as the additional of the Lieutenant Governor-m-Council....... adopt- Uost occasioned by the difference to I know of more than one company Tinon important to bear m mmd S bTTir RShSord's letter: (1) [grade, Taking the and de- 'which, in view of these or similar pro- the provisions or Sec 22 ot tftfr-Cpnv the Snount as being -there remains ;visions, placed its capital stock at a tobChlgh.- -With .regard to this amaunt JOO. Add 50 per .cent of'this, or mucl1 less tnan that which would ceeds of the bonds ''shall be paid to the Company from time to time up- j it is to be remembered, however, 'on the completion (except as to "the that the Company has, under the pre- ballast) of every section of 10 miles of rail-way to the satisfaction of the Lieutenant-Governor-in-Council. accord- ing to the said-specifications, and'.as certified upon the certificate of the said engineer so appointed by the Lie.utenant-Govemor-'in-Council. at the rate of ?20.000 a mile." In considering the effect this pro- PRiOR TO THE 20th OF JULY, 1908, OR THEREABOUTS, AN INTEREST THE ATHABASCA RAILWAY 330 jCOlfiPANY, WAS ON THAT iu... Railway Charter, were on the estimate {advantage of knowing the particulars (this Company on the face of its-char- i ter a rousing aeience 01 me sntisu vide accommodation-IQT ireignt and special amount of the proceeds of therGREAT WATERWAYS RAILWAY! Army against the recent-criticism-of passengers thereon." Now Mr. RntV'sale- of the bonds more money than COMPANY, OR IN THE MAKING OR of Colonel Gadke, during which he W erfora s explanation ot the criucus'l xenresenfcsd the nnmhpT- ,-if Woodman ready to .accept as .a-guarantee, namely, a mile, been engaged on actual based on. MrMVoodman's estimate of 1 road.lor some time. of several other estimates, and on the j (4) Then it is pointed out that this I Company is given, the right to bond are H't to a ac.tee oC a mile without hiv-; but their viewed the question. a mile of actual cost. Here again it is important to. note Mr. Cushing's knowledge. There is ho evidence that either Wlr. Rutherford or Mr. Cross was aware of fact the Syndicate were of opinion the-probable cost that, a guarantee of J13.DOO a mile would be sufficient to enable. them to finance the road, while, on the other hand, -there is direct evidence that Mr. pushing was aware of it: for Mr. Hawes says he mentioned that amount to him. There is no evidence that in the1 course of negotiations with Mr. Clarke 3Ir. Gushing recalled the earl- ier: propositions made to the Govern- ment. I fancy that they never occur- red to him, or possibly, if they did oc- cur! to him, that he thought they were of no consequence; because the Gov- ernment were dealing with man. who at that autumn of had satisfied the Government of his financial standing, of his intention to proceed at once with the building of the road, one which, opening up con- nection with the grea-t waterways to the north, the Government were pleas- ed, to see undertaken. I say the Gov- ernment had been satisfied of Mr. Not Their Wisdom but Motives !its road to extent OI" ;niile, and comoarison. is made in this Then Mr. Eiilnerford and-Mr. Cross nf respect a number of other com- incorporated at the same ses- as follows: "Upon each successive 50 miles of line being complete the.. Company sc'all'- pro- that the vision's of the Railway Act, power co build branch lines, not exceeding sin miles in -length. Furthermore, both P.ATP UM fc .ACQUIR- another branch line, the location ot" ED SY MR. CLARKE; (2) THAT WITH THE ABOVE EXCEPTION WITH'-RESPECT TO MR. CORN- NEITHER MR. RUTHEfi- vents fermentation and takes hold of your food and digests it just the same as if your stomach wasn't there. Relief in five minutes from all stom- ach misery is at any drug store wait- ing for you. These large 50-cent cases' cohtaia more than sufficient "to thoroughly cure almost any of Dyspt-psia, In- digestion or any-other stomach dis- turbance. which -was. not defined, as being in, CROSS NOR MR. CORN- contemplation.. [WALL AT ANY TIME UP THE The. members of the Government THE DATE OF -ffos INQUIRY IN- OF THE OWN R1FLES i ERESTED, EITHER DIRECTLY John French Makes Pleasina Re- may have been induced to agree to a total length of line, somewhat in ex- INDIRECTLY, BY HIMSELF OR cess of what was necessary, but thejTHROUQH ]N E excess %vas not great, and in any case cm-x, the Company as a matter of law and INCORPORATION OR ORGAN- iritention, not from the llZATION OF' THE ALBERTA !t ferencs at Mansion House Bar.- o.ust .ondoa- Nov. the Mansion House banquet, Sir. John French, af- er a rousing defence of. the British erford's explanation of tbe clause is this: It- was tne method or payment adopted in the agreement between the Canadian 'Northern Rail- way Company 'and the Government of Manitoba. It was in effect a conven- ient and. satisfactory mode of .payment.. It worked out in this way: the Com- .represented the actual number .of miles of construction at the rate 01 a mile. Minty Letters Some letters of Mr. Minty are -refer- ENTERING INTO OR CARRYING OUT A CERTAIN CONTRACT TWEEN THE GOVERNMENT BE- clared he would confidently and glad- ly rely" on them to meet forces more j numerous than themselves, referred OF to a -more "pleasant and congenial {THE PROVINCE AND THE ALBERTA ed to hy my colleagues and made the GEAT WATERWAYS COMPANY, basis of some grounds of suspicion. "ision of the Legislature, which were pauy of necessity have to ex- One purports to report a conversation restricted to-less sums. This bald fact'iPend very large sums'of money uefore Cornwall recounting a con- ing obtained independent expert infor- ;restricted to iess sums> Vhis bald fact IPend very large mauoa as to tne-probable cost. Per- a consideration of the charac-1 entering upon ac'tuar construction and haps they themselves open Qf the cwmt trough which these upon a large part of the line beyond point We are not, considering their in tjjejr neglecting to secure such Information, X.i i4. A bwHn4-NrAv 4 iw ig Olittls value> On any completed portion, and were oblig- ed to put each successive 50 miles in Dominion i condition to operate it and actually :Act of ISO'J, G. T. P. equip it for operation for passengers of importance to understand what m- Lines company authorizes that and freight. So "that even though the formation they had, and how to issue bosds in respect of cost" of the first'portion of the line Both Mr. Rutherford and Mr. Cross [its Manitoba, Saskatchewan and Al-1 might be less than it v-as prac- say, in effect, that after tile meeting instances of of J.cly, were taken to certain what guarantee had been giv-j' en to other roads by other Govern-! to ihe extent not possible that an. amount in The is. the Act oi ments, and that at the time th'ev incorporation and the Act of Guarau- agreed to they had toowl_ tee-was passed the session of W09, edge that the Manitoba Government !v'hlcl1 Prorogued on .the 25th of had a mile The contract and the line of the C, N. R. from The ot carrj'113 peg to Port Arthur, and that the into effect were not set- rea3on of the terms of-the contract- mortgage the ar- i HE GUARANTEEING BY THE PROVINCE OF THE SECURITIES versation with Mr. The OF THE SAID COMPANY, OR THE namely, 'how much the Army appreciated "Lhe presence of the Queen's Own. Rifles ai- tbe manoeu- vres, and he only repeated the heart- wish of soldier in express- modes of expression whether in speech or writing, of Mr. Cornwall and Mr. iSALE THEREOF.. OR IN THE PRO- CEEDS OF OR THE AMOUNT REAL- Miaty are as different as one can iia- IZED FROM THE DISPOSITION'OR agine. -Mr. Cornwall is brief, abrupt, sententious, using -short and popular words. Mr. Micty's' habit, at all events writing, is to 'use long words and long and ornate periods. The result of my observation, by way of contrast THE SALE OF THE SAID SECURU TIES, OR OTHERWISE HOWSOEV- ER IN CONNECTION WITH THE COMPANY. excess of actual expenditure should atlof tne two men and of their 'corres- jted_ any time be made. He stated -thai there was a great mass the C. N. R. might have had the same iof letters written, by Mr. All of when is respectfully submit- ing the such inter- change of troops might Ibecome more frequent. Regarding his visit of in- spection to Canada, words failed him to express how highly he esteemed the splendid energy and high Imperial spirit apparent everywhere in .tho Canadian, forces. Sheriff .Johnson, in proposing the imperial forces, also alluded in most cordial terms to the visit of the Queen's Own to the city. privilege, but they were indifferent, being satisfied with the other optional method df payment. Differs on Payment Provision v My colleagues are of opinion -iHat by minion. Government had guaranteed a mile for the first 50 miles, and a mile for the nex: 100 miles of the line of the Edmonton, (tied and executed until the autumn of that year. The provisions of both these docu- inients are criticized- What was at Yukon Pacific west of Edmonton 3aid hoid of as tbie most stanl" .Clarke's financial standing, because iaadthat t3le Ontario Government. of tLese was the sup- that payment is to be made on. com- that I have little confidence in Mr. Minty being a faithful interpreter of Mr. Cornwall. Mr. Rutherford denies j the correctness of Mr. Cornwall's ver- sion of his conversation with Mr. Rutli- erford as interpreted and reported by Mr. Minty; so does Mr. Cornwall. And j Mr, Minty admits himself that he mav pictioii of each ten miles without bal- drawn-inferences from what Mr Company could build the en- tire road without ballast, and obtain payment of the entire proceeds ot" Lhe bonds, and as there would be no been completion in their opinion .unless bal- indicating furthermore, that the Edmonton, YD- lasting were done, the provisions of Sec. 22 would under such circumslanc- persons of financial standing in Kan- tQJ1 Pacific. haa reason to expect jclusively lhat lfais is not a that ies be ineffective I differ from them City. Some of these-dated in cagh sufagidy from rhe Dominioll j these words, appearing as they .did in [OD the interpretation of the section in Afr- _ tlio rnrmci nf fMnna iiQcrl ir- I _.-_ produced Mr. (Government- vvhich there was no rea-: spepifications the most businesslike not at all so son to'-expect for this Company. Mr. i connection with the contracts of gnar- jthe construction or railways the bal- Rutherford's and Mr. Cross' explana-iantee J? favor of the G- T- p- Branch I lasting tbe road occupies several tions may not Indicate That they took'Lmes Company and the C. N. R.. were years after the ranntes of trains has but in 1he case of rne A- G' commenced. If completion means per- Ruthfirford was about to go east. Tinu an and eliminated, but in the jfect coinpletJon. ballasting'means Pressing, as the agreement be- tion as to suggest to my-mind Ol lhe other two Companies not fect ballasting, and there is no Mr- aDd .Morgans dishonest motive. Rate of Interest (2) Another point of critic-ism is the rate of interest. I am free to say .Cross. Furthermore. Mr. Rutherford says that Mr. Clarke satisfied him that- he had good grounds to believe that the Morgans would finance the IMr. Rutherford made some reference to this in introducing the legislation, and subsequent events ibow that Mr. Rutherford's apprecia- tion of Mr. Clarke's ability to obtain lhe Morgans' assistance was correct No Ground for Suspicion I say, therefore, that there is no just ground for a suspicion against Jlr. Cushing by reason of his noc re- verting to the earlier propositions oC the Athabasca Syndicate, and there-'should have been, he would have-so S panics mentioned. I question. In the ordinary melhods of Cornwall said to him which are not' justified. I Mr. Minty's letter of the 32th Sep- j tember. 130-9, to Mr. "Woods has been greau'y criticized. It is in substance a memorandum showing what had act- ually been done towards bringing lhe whole arrangement r.o a i and what remained 10 he done. The f latter represented a good of work, i much of which it was Mr. Woods" fluty to do on behalf of the Government. Mr. and therefore are to be found until perfect ballasting. But in their specifications only. The Specifications Then the specifications as a whole words must be interpreted in their popular rather than their exact sense, jtlac omission of Mr. Mirny's pleasan- Doubtless you have heard sound-repro- ducing you have had it in mind to buy you arc uncertain which make to have you heard fhe called for the delivery of the Bonds in by the 1st November. With and having regard to the obvious pur- that I -think that placing' the rate, at were criticized, but on investigation of the statute or contract in which a rate-higher than 4 per cent-was not lit appears that they are, as a matter they .appear, 10 the context and to all 'expression "the plan of cam- i a slight difference in the] modes of expression in one or in- i sm I M. -at jAjy M. ancier'been consulted, as.I think contracts with Lhe other two or contract. Having this in none for suspicion against Mr. Rutherford or Mr. Cross. Then the a mile guarantee Is contrasted -with Dr. "Waddell's con- fidential estimate to Mr. Clarke of good-Business for tbe Province, and -of law, of fact, and oi intention, iden- the surrounding circumstances and staTlces' the letter wou.'d have furnish- j I-am .-satisfied that had an expert fim'tical with those used forming part ot'conditions existing at the date of the ecl no whatever for commeai. The comment, whatever it may be, is jmicd, in my opinion the word comple- to not to Mr. Rutner- ibe statute means completion sense which I think the very I have dealt with, I -think, all. iho what were their reasons? There were jment guaranteed bonds, were to .be terms of the contract recognize as a important points of criticism advised. But, again, it is not ques- j The lines of the G. T. P, and the C. jtion i tion of wisdom; uut of intent. NowjjST, R, in respect of which the more than.those indicated in my "to a general standard proper sense of the word, namely, Rutherford and Mr. Cross. I leagues' report. First, they said they! not inferior to the standard of the without and cer- reierred to the explanations which a mile. Now Dr. Waddell may j thought that this being a pioneer main line of the Canadian Northern tainly a road is in a popular sense they have given of such of these juat- the bonds would not sell as well aa 'Railway between Winnipeg.and Ed- completed when trains may be safely as, it was suggested, raised sus- i be open to severe criticsim in some respects, but the bald reference' 1.0 a mile is not a fair one. He states .that it was not made on the ba- of the specifications agreed to in y'ss'pect of the grade; that it was made on the expectation that a grade of 1 1-2 per cent, would be accepted, where- as the specifications call for a grade of 1 per cent. He states, too, that his item for. water supply was too low, as he had overlooked the increased ex- pense, in this country on account of the'severe cold, and had supposed that could be procurred practically along the line, which, he those on a road through a settled nionton. and to the satisfaction of the slowly run over is cus- jpicicns against them. These expkiua- territory, or prairie country, or as. Chairman of the Executive Council.'1 j ternary after proper construction of j tions fully satisfied me tr-at, though in j chose issued by established rail-; This Company's line -was to be con- way company, notwithstanding the Isiructed "in an equally substantial I guarantee of the Government! There'manner and of ihe general character; partially ballasted. Again, it' there island intentions were honest. Counsel roadbed and the proper laying of some instances the wisdom of their rails, bur before the road is even 'course may be doubtful, their motives play aia Amberol Record? You can do this at the store of any Edi- son dealer. When you go, note the longer playing time of Amberol Hecords (play- ing twice as long 05 the Standard Edison note the Amberol selections, not found on any other record of any kind; note also the reproducing point of the Edison Phonograph that never wears out and never needs changing; the motor, W4 PI that runs as silently and as evenly as an electric device, and the special horn, so shaped that it gathers every note or spoken word and brings it out with start- ling fidelity. It is these exclusive features, vital to perfect work, that should claim jSg your attention. gS is some truth in this which is hot'indi- !of that of the Crow's Nest Pass cated in my colleagues' report. Mr. i way between Lethbridge and Koote- iana inconsistency between the statute tue Commissioners had the fullest contract, the contract m.ust [Opportunity of which they availed Rutherford says he formed this opin-inay Lake the whole ro be executed interpreted in the light of the over- themselves, of examining ali ion by reason of the fact that in the'the entire satisfaction of the purpose and intent of the sta- early history of Manitoba 5 per of the Executive Council." In jtute. Whether the correct interpre- bonds issued, and by rea- other respects the "wording of the spec- j tat ion of the statute is ihat of my col- son of information acquired by con- if i cations for the G. T. P. and C. N. R. leagues or that of myseli is, after ail, Cross. Mr. Cornwall the Company. ferences with financial men in Eng-'on the one hand, and this Company of little moment. The only import- ai- documents in any of -Joe Depart- sent from or received at each or the telegraph offices in Edmonton, the bank accounts of Mr. Rutherford. Mr. ]and. He says that he had learned on the other, are identical with two jatlt Cuestion is, was there a deliberate of the Government, and the cor- that. strange to say as he thought, (T> the former two com-i1I3'teni- on part of Mr. Rutherford of all parries concerned. subsequently found was not the case, j way bonds guaranteed by a govern-. pauies are expressly allowed to Cress by means of the mode Rutherford, Sir. Cross nr.d Mr. There arc Edison den to thf nearest and llii Eriisnn Phonograph pay boil) IZdsson dard and Edison AirJwrftl Uccnrris. Get eoniplrto catalogs from your dealer or from us. Edison Phonographs. Sis.50 Edison SLar.o'ard Records, 4Cc. EOiMvn Ambcrol Reo ord.s (pJay twice as O, Kd ison Cr.iTid Oivira. Records, S5C. 10 also states that this figure was ment do not sell as well as the govern- last, with "prairie this Com- icade 03 the "Mr. Clarke doing .this 'work himself, -letting the contract to station men, and'not having a geti- contractor, in between, who make to a mile out ment's own bonds. Mr. Bennett, who pany is not; (2) to the specifications no do.ubt knows .a good deal about such for this XJorapany is added a clause matters, admitted that this --svas so. which is of no legal and is oi payment adopted to make nuga- Corn wall submitted to the fullest.cross-1 tory the obvious purpose of the slat- 'examination by counsel for the Com-j provision, a provision for the and by Bennett, K.C.. i ion of which they were Mr. Paries, on behalf of a number NATIONAL PHONOGRAPH COMPANY 100 Lakeside ATC., Orange, NJ., U.5.A- The reason no doubt is that in the no importance from any point of view, siblc. There is absolutely not. the ot the Members of the Legislature. E33SON ANT> RECORDS case of a guaranteed bond the govern- ;The main line of r.he-C. N. R. between (Slightest gromnl for any such suspic- They any interest in or iv. coiv T i'-5 it." He states further ..that withlment is only secondarily 'liable: that anc: Edmonton was built to lon- ncciist >'ith arransoroout bo- J. Cir. BobCFtSOH Co. 32 Fifth St. Third Ave. ;