Evening Post. SATURDAY, APRIL 7, 1894. THE MANAWATU RAILWAY COMPANY.

Evening Post, Volume XLVII, Issue 82, 7 April 1894, Page 2

Evening Post. SATURDAY, APRIL 7, 1894. THE MANAWATU RAILWAY COMPANY.

Tub annual meeting of the WellingtonManawatu Railway Company is justly regarded as one of the principal business fixtures of tho year. It is impossible to overrate the importance of the work this company has done for Wellington, or the influence it has on tho progress and prosperity of the city. Had it not been for tho enterprise and energy of tlioso who, in the faco of enormous difficulties, conceived and successfully carried omt the project for establishing railway communication with the Manawata district, thereby affording the West and East Coast lines of the Government access to our port, Wellington would not to-day have held tho foremost position in tho colony. This Manawatu Kail way has more than anything else, except the harbour, been tho cause ot Wellington's I advancement. The community therefore has a deep concorn in all that affects the Company, and the annual meeting has an interest extending far boyond the circle of the company's shareholders. The story of snocessive years, as told at the annual meetings, has been one of Bteady progress, although in a pecuniary senso the results for eeveral yeara must have been disappointing to the shareholders. They had tho satisfaction of knowing that they were public benefactors, and had done a great service to Wellington and to the colony, but virfne was its own reward in their case, for thore were no dividends. They were patient and tru-tful, however, and threo years ago a small dividend inspired fresh hope A still better dividend in the succeeding year gore greater encouragement, and now this year the Chairman, Mr. T. G. Macauthv, in his admirably lucid tipeech explanatory of the position of the Company, was abl« not only to announce a fair dividend, but to afford ground for believing that a similar return can be maintained in years to como. 'lhis ia very satisfactory. Not so, however, is the record of tho troatmeut tho Company has experienced at the hands of successive Ministries and Parliaments. That is a record of broken promises, grasping greed, unjust taxation, and oppressive legislation, which should make those responsible for it all blush for shame at tho manner in which thoy have acted. The matter is not ono of politics or Party. Kach Colonial Treasurer, each Native Minister, as he lias come into office, has regarded and treated the Company as a financial orange to be squeezed — a corporation with which no faith need be kept, as it was committed beyond recall to the enterprise in which it was engaged. In vain has the Company protested, and demanded that the promises on faith of whioh it was induood to enter on the work should be loyally kept. Ministers have ignored its representations. Parliament has been appealed to and has recognised the justice of the claims urged, but Ministers have paid no more attention to the reports of select committees than they did to the claims of the petitioners when preferred direct. For twelve or thirteen years the Company has tried in vain to obtain possession of a portion of the land grant due to it under agreement ratified by Act of Parliament. Fulfilment of this obligation has been evaded under pretexts and quibbles which, if resorted to by any private individual to escape fulfilrm-nt of juat obligations, would oxcludo him for over from the circle of honourable men and cluss him with sharpers. Year after year unjust and cruel taxation has been pressed npon the Company, not only its shareholders, but those who have lent it money suffering from the State exactions. Gaily have successive Treasurers raked into the publio chest the taxation unfairly wrung from the enterprise and publio spirit of the shareholders in the Company, and as its efforts have extended the settlement of the country the effect has been to call into existence innumerable local bodies, each empowered and eager to use the power of still fnrther mulcting the Railway Company. It has been put up to bo the prey of the tax-gatherer on all sides. Although the greatest colonising agency in New Zealand, the Manawatu Sailway Company has been bled moat unmercifully in general and local taxation. The figures so ably put by Mr. Macarthy are actually startling. The tax-gatherer has taken toll on the earnings of the Company to tho extent of £43,073. while the shareholders have only had divided amongst them,

as a return for their capital and enterprise, the <mm of .£22,950. Nearly half the earnings of tho Company have gone in taxation. 1 lie taxation paid has amounted to 24? por cent on the share capital, while the shareholders have only received 13J per cent., equal to j6l 2s 4d per cent, per annum. It in a scandalous state of affairs, and the experience of the Company must be a deterrent to any enterprise of a similar character being entered on elsewhere in the colony. It is a short-sighted policy svhich, for tho Bake of a little present profit, so effeotually discourages the investment of private capital in enterprises calculated to promote the settlement of the country and the development of its resources. There is also anothor anpeot from which the question may be equitably viewed. The General Government has levied and received by taxation on this railway, ench as, of course, does not apply to the State-owned lines, no less a bum than .£27,527. '1 his money has been in reality nnfairly ext'acted from the pockets of the comparatively small section of the population of the colony which uses this line. It has been a special tax levied on the industry of the people of the district served by the railway. The unfairness and impolicy of such taxation must be apparent to all It is eminently calculated to discourage to a considerable extent tho advance of settlement which should attend the company' 3 operations. The Government railways pay nearly 3 per cent, on their cost, and no taxation, general or local. It must be marvellous good management which has brought the Company into a position to earn and pay G per cent, to its shareholders in addition to the crushing taxation it has to bear, and taking into account the other difficulties place 1 in its way. What great things the Company could do to assist the progress and development o£ i.he cotintry ifc servea if it were relieved from taxation— 'placed iv this respect on an equality with the Government lines, as it is compulsorily placed on an equality with them in the matter of fares and freights — and had faith kopt with it by the Government in other respects ! Tbe Company is indeed fortunate in its management and its offioers, and one of the great features of its annual meetings is the admirably oleur and able manner in which the Chairman (Mr. Macauthy) always places the position of the Company beforo its proprietors and the public.