St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1888-12-16
Charles Francis Adams Says
Railroad Morals Have Sunk
Very Low.
He lndorses the Indignant
Denunciation Uttered by
Chairman Cooley.
The Tendency Is Toward Some
Great System Of Con-
solidatiOn.
Trusts Can Be Held to Strict
Responsibility to the
Law.

the Commercial club, this evening, on
the subject Of the present condition
and tendencies of raiiroading in this
country. lie had been asked particu-
Iarly to express his views of the inter
state commerce act. and its practical
workings. Following are the passages
of his speech: Since the interstate
commerce act went into effect two
years ago, there has been what might be
called craze for railroad construction.
The interstate commerce act was in OPP
Grafton. 1t was impossible to pool, and
the long haul regulated the short haul.
Then followed a depth of railroad NOR
ais among freight agents lower than
had ever previously eXisted-and that is
saying much. The dishonest methods
of rate cutting, the secret systems
Of rebate, the indirect and hidden
payments made to influence the course
of traffic resorted to or devised during
the last two wears, | do not hesitate TO
say are unprecedented in the whole bad
record of the past. In this respect in
dorse every word of indignant denunci-
alton which Judge Cooley, of the inter
state commerce commission, recently
uttered. 1t will be asked why
the penalties of the Interstate COM
merce act are not enforced against
those who thus directly and indirectly
evade its provisions. The question
may be asked of me, why do you not
give information, and institute proceed
ings under the law? / merely say in
reply that apart from a prejudice
against being an informer, while l am
morally sure that these things are
done, !
CANNOT FURNISH LEGAL PROOF
of them. My information comes indi-
rectly, or at second hand, and, while l
have no doubt myself of its accuracy,
yet if | were brought to book as to time
and place and circumstances, / could
not give them. 1t is this absence of
good faith which brought the railroad
system to its present condition. and
threatens TO carry it still lower.
To attribute it to the interstate
commerce act is an utter mistake.
If that act were totally repealed to-
morrow it would produce but temper
arY and stock iObbing act. But in say
ing what have said do not mean to
imply that in my judgment the inter
state commerce act is harmless, much
less useful piece of legislation. On
the contrary, | am very sure that as
it stands it is not. 1t has been in
operation two years, and we now
begin to feel its effects, and to be
able to forecast its results, and both its
present and its future results are eX-
actly those which its trainers never con-
tempated, and from which, if they real
lied them as we do, they would recoil.
The process of gravitatiOn and CONSOLE
cation. SO far rs the railroads are con-
cerned, was going on fast enough be-
fore, but the interstate commerce has
given il Il new impetus. Under the OPP
Grafton of the act, the smaller local rail
roads throughout the country are being
GROUND OUT OF EXISTENCE.
1t is the long haul which brings in
the profit The smaller independent
railroads cannot have the long haul. and
are being forced, whether they like it
or not, INTO the maws of the few great
railroad systems into which the rail
roads of the country are rapidly crystal
lizing. The effect under the provisions
of the act must inevitably
seek the railroad having the
long haul to the most distant and
largest center. The operation of the
law in this respect is now beginning to
make itself felt upon the smaller dis
tributing points. They are deprived of
their markets, for those who formerly
bought OF them can get the same goods
on better terms from the larger and
more distant centerS. Contrary
to every design of those who
framed the act, its provisions
have lent new impetus to Just those
forces which it was intended to hold
in check. Under the circumstances it
may perhaps, be asked what my view of
the future is and what should now be
done. The railroads of this country are
moving rapidly toward some great
SYSTEM OF CONSOLIDATION.
INSTALLATION has gone on during
twenty years, so that, while then n rail-
road of 800 miles was considered lerge.
one of 5000 miles is now far from being
the largest. The next move will be in
the direction of railroad systems 10000
miles each, under one commercial
agent. The interstate act acting on the
tendency o. natural forces, is at this
moment rapidly driving us forward
toward some grand railroad trust
scheme. Even this, from my point of
view, cannot regard as a thing to be
dreaded. ! am very sure that great
consolidated corporation, or even trust,
can be held to n far Stricter respon-
Sibility to the law than numerous
smaller aud conflicting corporations.
Under the existing system no one can
be held to account Evasion is
always possible, and invariably it
is 1.-THE ether man" who is
responsible for the wickedne SIS
With one large corporation or trust it
would been otherwise. A we'll devised
railroad clearing house scheme would
prove in practice, whether so intended
or not, in the direct line of the enforce
ment of the interstate commerce act in
all its better features, and it
has many such. If l were
asked this evening for concrete
propositions, | would say, delay, at
least for time, the present too rapid
tendency toward disqualification or con-
solidation by repeating the features of
the Interstate commerce act which are
precipitaung events in that direction.
If the
ANTI-PooLING PROVISIONS
of the act may not be wholly repealed,
let them at least be 50 modified that con-
tracts made among railroads, subject to
the approval of the interstate commerce
commission, for the division of competi-
tive traffic at reasonable rates, may be
binding in law. Then encourage any
movement which will tend to
raise the standard of CONNER
cial morality in railroad circles.
Nothing will tend more immediately to
that result than the organization of the
railroads Ito some public and recog-
niZed clearinghouse system, through
which the traffic management of the
country can be taken out of the hands
of irresponsible Subordihates, who now
so yiley abuse it. and restored to those
who should irresponsible in fact as well
as in name.
Her Marriage Not Success.
Special to the Globe.