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HomeMy WebLinkAboutThe Clinton News Record, 1913-11-27, Page 6lnt to The Clink) (Contied. ) You mu understood :me. I meant ne„ "Who was the author of • their pro- by that remuneration for the work I curing these rights ?" have done,and for which I have not "I wasn't. yet received 'anything. I have a "Wasn't the expense ' of their in- right to feel very badly for the way corporation paid for by the rail- I have been treated in the matter." wy ?" Hydro Blamed For Cessation. "It wasn't," It was about the time the Hydro Work Before Incorporation, came into the Seaforth district, wit The construction company was in- corporated on Sept. 12th, 1,908, but work went on, witness added, before the incorporation. "By whose authority ?" Mr. Proud - foot insisted. ' "Authority was given ;to me to make the b''xpenditures, replied •Mr.' Moyes. {'•There was a provisional arrangement whereby work went on prior to the completionof the act- ual Contract." 'But on July 80th, 1908, you made" a statutory declaration that there was a contract for the construction of the railroad. Who negotiated with you as to the terms of that contract?" "I made various trips to Boston." As to thepeople 4here. interested in the Construction Company, Mr. Moy- es named a Mr. °Cutts, : an engineer. The agreement was drawn by Mr. Smoke. The details were worked out by Mr. Curtis and the Barrymore interests. But as to who signed the agreement, Mr. Moyes could not say. Municipality Guaranteed $40,000. "What was the Construction .Com- pany to get ?" "All the bonds, and a proportion of the stock." "Which amounted to $600,000. Now, what amount of stock as well ?" "I can't recall' that." "Were the bonds handed over ?" "They were, to the construction company. The municipalities guar- anteed $4i00,000. The contract also called upon the construction company . to hand over a completed road from Goderich to Kincardine. That has not been done yet, and this forms the basis of the municipalities' appeal to the railway, ness continued, that the railway feor- ed the; loss of their power in the Maitland River; and the railway's order ,to the Huron Construction Company to stop operations did not come until the situat.on bad been thoroughly discussed. "The breaking of the Hydro into that zone stopped us. We made up our minds that it was useless to go on with the construction of the rail- way until the power matter wasset- tled. We offered, when the Hydro first appeared, to lay down electric power in Seaforth ; at $10 less h. p. than the figures offered by the Hydro and when we lost that we Saw it ' would be useless to go on and deve' lop power from the Maitland River to run the railway alone." The, uselessness of proceeding with the examination of Mr. John W. Moyes without the production of the minute books of the Ontario West Shore Railway, and especially in view of the state of his memory with regard to the other papers which could throw light upon the fi- nancing and construction of that rail- road, was pointed out to the mem- bers of the Ontario Railway Board immediately the third session opened. "The most important point in this whole hearing," continued Mr. Proud - foot, who represented the municipali- ties along the shore of Lake Huron, "is to secure those papers. I got in touch with Mr. Grayson Smith last night. He is a member of the firm with which the late Mr. S. C. Smoke was connected. Mr. Moyes, you will remember„ informed you yesterday that he had handed all the papers connected with the railway over to Mr. Smoke at the time he resigned Ail Funds Exhausted, Grayson -Smith volunteered to have a Board. the presidency in June, 1913. Mr. The construction company, .it was search made through- their office to stated, exhausted all the funds from see if any of the papers .could be the guaranteed bonds, and stopped found, He has informed mo this construction •because of an order of morning that after 'several hours the railway, who began to fear they search none were located. Me. could not afford to develop their pow- Franklin Smoke, a brother of the er from ilia Maitland River, for the late S. C. Smoke, I am informed, has operation of their road •alone, on so- taken over the railway matters of count col the extcns'on of the Hy- Mr. S. C.' Smoke, but he is now in dro-Electric Owen Sound. In view of this it As to this gradual exhaustion of mems that there can only be another ilia funds, witness stated the bonds, delay." were handed over to the construction "In view of the memory of Mr. company, and they hypothicated them, Moyes," was , the reply of Chair- As to the present holders of the man McIntyre of the Railway Boatd, bonds, Mr. *Moyes believed he knew "we will have to get those papers." where some were. - Another Search for Papers. "I went to Mr. Proudfoot and of- "Mr. Grayson Smith has offered to fered to have thein turned back to melee a more extended, search," eon - the municipalities," witness added. tinned Mr. Proudfoot, The board "Provided you were reembursed, asked that this search be conducted. you should add," replied Mr. ;Proud- "Did you make another search foot, among those private papers last night, .1 Mr. Moyes ?" the chairman inquired. The reply of Mr. Moyes was that. he had gone through' his papers at his private house last night but was Inot able to find anything bearing materially upon the construction or financing of the enterprise. Mr. 'Proudfoot became slightly impatient at thg delay, pointing out that the only th'ng. left would' be to continue with the hearing of other witnesses, which proceeding' .Must necessarily break upon the sequence of the in= vestigation. Mr. Roberts, the en- gineer of the railway, he declared, was a very important witness, but he could not tell anything further than he has done up to the present until those missing papers were placed be- fore him. "It was a very unfortunate thing" he added, "that Mr. Moyes, having received the subpoena as long ago as the 7th, didnut let us know earlier that he did not have the papers in his possession. or that he did not ev en tell us that he resigned his posi tion as presidrnt of the road," ".When, I met the representatives of the municipalities up in Goderich they were told of the resignation," Mr. Moyes interupted. "I was present at the meeting up in Goderich," replied Mr. Proudfoot, to the board. "I certainly did not un- derstand that, Mr. Moyes had resign- ed, and the representatives also, say they did not understand anything of the kind." Mr• Maclwan's evidence. As the chairman of the board order- ed that the hearing proceed, Mr. Proudfoot introduced Mr, Hugh J. MacEwan, coal merchant of Goder- ich. Mr. MacEwan informed the hoard that he was interested, as secretary of the railway, prior to the appear- ance of Mr, Moyes. He had no pos- ition with the I3uron Construction `ompany, but the power of at- torney had been given him by Mr. Moyes to sign the railway cheeks for the payment of wages and material, during the absence of Mr. Moyes in 1909, and this arrangement was continued after the return of the president. As secretary of the West Shore Railway, Mr, MacEwan added that he , recieved his instructions from Mr. Moyes. Many meetings were held in the early part of h908, the first being at Goderich. Minutes in Legal Form. The minutes, he believed, were drawn up in legal form with addi- tions in• the office of Mr. S. C. Smoke. Messrs. R. S. Williams .and Hugh Sinclair, Goderich, were nam- ed by Mr. MacEwan as the two other necessary members of incorpo- ration, who were afterwards bought out by Mr. Moyes. They started out with ten shares each, while Mr. Moy- es had 120. This left' as the man- agement Messrs, Moyes, Smoke, and the witness." ' "Where is that minute hook ?,' was (Continued )