, 1888-12-20
OUR RAILROADS.
Charles Francis Adams On the
Interstate Act.
BEFORE THE COMMERCIAL CLUB.
He sits Down Hard On the Dishonest
Methods OF the Rate
Cutters.

BosToN, Dec. 15.--Charles Francis
I Adams, president of the Union Pacific
Railway Company, addressed the CONNER.
cial club this evening on the subject of
the present condition and tendencies of
railroading in this country. He had been
asked particularly to express his views of
the einterstate commerce act and its prac-
tical working. He said in part: ''Since
the Interstate commerce act went into ef-
feet TWO years ago there has been what
might be called craze for railroad con.
struction. 1t was impossible to pool, and
the long haul regulated the short haul
The dishonest methods of rate-cuttinU and
other means TO influence the course of traf-
fic resorted to or devised during the past
two years, do not hesitate to say are un-
precedented in The whole bad record of the
past When asked, do not give infor.
nation and institute proceedings under
sure these things are done, cannot fur
nish legal proof II ia this absence of good
faith which has brought the railroad sys.
tenn to its present condition, and
threatens to carry it still lower.
To attribute BIT to the interstate
commerce act is an utter mistake. lf that
act we're totally repealed tomorrow it
would produce but temporary relief.
Our railroad system must heal itself. But
in saying what have said do not mean
to imply that in my judgment interstate
commerce is at all harmless much less
useful piece of legislation. On the con.
not. Its present effects and future results
are exactly those which its trainers never
contemplated The process of gravitation
and consolidation, 30 far as railroads are
concerned, was growing fast enough be-
fore. but the interstate commerce act has
given it new impetus. Under the opera
tions OF the act smaller local railroads
throughout the country are being ground
out of existence. 1t is the long
haul which brings in the profit.
Smaller independent roads cannot
have this; aud being forced, whether they
like it or not, into the maws of the few
great systems into which the railroads of
the country are rapidly crystalizing. Thus
the effects Of the act are being felt at the
smaller distributing points which are de-
prived of their market, for those who for.
merly bought of them can get the same
goods on better terms from larger and
distant centers. Contrary to every design
of those who framed the act, its provisions
have lent new impetus to just those
forces it was intended to hold in check.
The interstate commerce act, acting on the
tendency of natural forces, is rapidly driv-
ing us toward some grand consolidation or
railroad trust scheme. Even this, from
my point of view. cannot regard 1T as
thing to be dreaded. am verv sure great
consolidated corporations, or even trusts,
can be held to far stricter responsibility
than the numerous smaller and conflicting
corporations. A well-devised railroad
clearing-hou would prove in practice
whether. so intended or not, on IA direct
line of enforcement of the interstate COM
merce act in all it's better features. and it
has many such. If we're asked this
evening for concrete propositions would
say delay, at least for time, the pres.
ent too rapid tendency toward a crystali-
zation. of consolidating by the repeating
features of the interstate commerce act
which are precipitating events in that di-
rection.