Evening Republican, Volume 22, Number 54, Rensselaer, Jasper County, 5 March 1919 — RAILROADS MAY BE RETURNED TO PRIVATE OWNERSHIP [ARTICLE]

RAILROADS MAY BE RETURNED TO PRIVATE OWNERSHIP

Washington, March 4.—Adjournment of congress without appropriations of $750,000,000 for railways, left the railroad administration with practically empty coffers, about $381,000,000 back debts and no funds with which to finance the extensive program of improvements planned this year as a measure to take up slack in the materials and labor market. Immediate relinquishment of the roads to private management loomed as a possibility, 'but officials said this would be done only if it finally appeared not feasible fob the railroads to borrow privately the millions needed or to have the war finance corporation extend large loans to the companies. Director General Hines, after conferences tonight with Secretary Glass and Eugene Meyer, Jr., managing director of the war finance corporation, made this statement: “The railroad situation is so complicated by this recent development, and there are so many possibilities, that I cannot say at this time what may be done with the railroads. It will take a great deal of consideration before a conclusion is reached." Several treasury officials in close touch with financial conditions expressed belief that the railroads could obtain loans privately to tide them over the next few months, although perhaps at big interest rates. In this connection a conference of leading bankers with treasury and railroad administration officials was proposed.