THE MIDLAND RAILWAY.

West Coast Times, Issue 6625, 1 November 1887, Page 2

THE MIDLAND RAILWAY.

[Br Teiegbaph— Own Cohresponbent.J Wellington, October 3J. Tne question of difficulties in connection with the Midland Bailway is occupying a great deal of attention in the lobbies, and the position is being considerably discussed. The New Zealand Times in an evidently inspired article on the question this morning states that the chief po ; nts in dispute between Government and the company ore two, as follows :— ln the flrst place, directors claim that having conceded to Government; unlimited right of taking from area of land Bet a v ide iar company all that may be required for mining purposes, the company ought to be scoured equitable consideration for any land thus taken, so tbat if in conaequeuoa of waervations for mining purposes the balance of lands granted to tbe company abould fail to realise in the aggregate tbe sum of £125,000 any loss on this head should be made up to them by such further grant of land as may be needed. In tne second plac 3 , the directors plead tbat it is greatly d'sadvantageous to them to be obliged to b giu both at tbe Nelsan and Springfield ends of line, and if tbey do co for tbe benefit of the colony t'ley are entitled to Eotne concessions in return. What they ask is this :— (1.) That £60,000 woith of land which will become due on account respectively of Belgrove-Rcefton and FpringfieldBruDnerton contracts shall be placed in the bands of trustees directly the contract 13 signed instead of at their completion. (2) That to obviate the necessity of the company incurring the needless expenses of having a complete establishment and staff of their own at each end to work the finished but detached portion pending completion of the entire line, the Govern*

Jnent, having already establishments of their own at each end, shall work those portions of the line for the company, as that could be done at very small expenso by simply running one train each way daily in continuation of existing services between Nelson and Belgrove and between Christclmrcb and Springfield respectively. The terms (50 per cent of receipts to be handed to the company ss well ns 10 per cent of traffic furnisbed by the company to Government lines) being an irnpoitint detail which will have to be dealt with on its own merits.

Commenting on the subject the Times says, "The directors agree with much plausibility that their agreement was that they ihould be placed in possession of 1 md to the value of £125,000 ; if land actually granted does not realise the specified sum when sold then manifestly its value is not such sum, but a smaller sum, and to make up the stipulated value Government ought to grant such extra lands as vnny be needed. So urge the directors, but the Agent-General replies that this contention ignores the fundamental condition of tbe existing contract, which is that ' none of tbe land shall be deemed to be of less value than 10a per acre.' That seems a complete answer to the contention set up. If the company entered iuto the contract on those terms that is thur own look out, and any variation of such agreement must be matter of grace and not of right." There is a general belief that if Parliament refuses to agree to the new proposals of the company the work will not be stopped, but it would proceed very slowly till the directors are able to finance satisfactorily; at present there seems to be very strong opposition to the new proposals, especially on the part of Auckland and Ofcago members, largely on the ground that the stipulation as to compensation in cost of lanc^ being taken for mining or other specified value, not being realised at sale involve lack of finality which migbt land the colony in almost indefinite responsibilities. There is a rumor afloat to the effect that the Midland party in the House are endeavoring to form a compact with tke Auckland-Taranaki members, who desire the decision of 1884 with reference to the route of the North Island Trunk line to be reversed in favor of Stratford route. The Midland party agree to support this change if the others vote for conceeding the Midland Company's stipulations.