New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1888-12-16
RAJLROAD CONSOLIDATION.
views OF THE PRESIDENT OF THE UNION
PACIFIC.

THE INTERSTATE COMMERCE. LAW DENOUNCED
LITTLE ROADS TO BE SWALLOWED
UP BY THE BIG ONES.
Roston Dec 15.-The Hon Charles Francis Adams,
President OF the Union Pacific Railway Company, ad-
dressed the Commercial Club this evening on inc
subject of the present condition ana tenaenoos y,
railroadlng In this country. lie had Oeeh aSAeu
parcularly to express his views of the Interstate
Commerce act and its practical WORKINGS foi'""'e
are the salient passages of his speech
Since the Interstate Commerce Act went into ehect
two wears ago. there has been what might be cailed
craze for railroad construction Great corpora.'on''
one after the other, have contracted the Madness
and have built hundreds OF miles OK Nad' ainioS'
parallelng each other. In many cases they nave
actually paralleled each other across wide tracts Oh
country in which human being lived ITO con
sructlon of all these miles OF railroad ior which
hardly any immediate demand existed, made re-
adjustment of traffic necessary. Inc Interstate
Commerce Act was in operation III was lmpos'ioio
to pool and the long haul regulated the snort maui
Then followed a depth of railroad morals among neght
agents lower fhan had even previously exlsteo-aho
that is saying much. The dishonest methods OF ra'o
cutting the secret systems Of rebate, the indrect
and idden payments made to influence inc COURSE
of traffic Iesorted devised during the last TWO
years do not hesitate to say are unprecedented III te
whole bad record Of the past In this respect L
indorse word of indignant dehuncia'ion "hi0n
Judge Cooley of the Interstate Commerce Commission,
IS reported to have recently uttered IL Will 90
aslcl wl the penalties of the Interstate Commerce
Act arc not enforced against those who thus directly
and indirectly evade its provisions. The queshoh
NAV be asked Of me, Why do you not give IN
formation and institute proceedings under the law!
7 merely say, in reply, that apart from preju-
dice against being informer, while am morally sure
that these things DONE cannot furnish legal PROOF
NJ them NV information indirectly or at
second hand and while 1 have no doubt myself OF It's
accuracy, yet If were brought to BOOK as 10 uihe
and place and cumsances, could not give them'
1t is this absence Of good faith which has brought inc
railroad system to its present condition. ana thfeaehs
TO carry It still lower To attribute 1t to the inter
state Commerce act is an utter mistake. IL tha'
act were totally repealed morrow, 1t would produce
but a Temporary apd stock jobbing relief For
few days things might be apparently pet8r' ou'
they would be suro drop heavily back again ih'o
their present La1 estate. unless the KNIFE oil elorhi
went deeper and cut at tho root oil the eV"S AaNo
referred to- The railroad system must heal Nsen'
no act of Congress. repeal oil ans act Oh Consress
will greatly help It.
But in saving what / have said, do not mean 10
imply that in NY judgment the Interstate Commerce
Act is harmless, much less useful piece OF legis-
laion. On the contrary, am very sure tha', d. IL
stands it is not II mas been in operation two years
and We now begin feel Its effect, and to Dc aole
and It's future results exactly those which us
trainers never contemplated and from which, If they
realized them as We do they would recoil The pro-
cess OF gravation and consolidation, SO FAR as tho
railroads are concerned, was going on fast enough DO
fore but the Interstate Commerce Act has gwen IL
new impetus Under the operation OF the act' inc
smaller local railroads throughout the country are pne
ground out Of existence 1t Is the long haul MN
bring, in the profit. The smaller independent rail-
roads cannot have the long haul, ana can oniS 10
operated proitaby In connection with The larger ias
munerative, and being forced whether they the e@
great systems into Which the railroads of the country
are rapidly crystallizng Just as the sha ~ nn,
railroads are crushed OUT OF Nants of distribution
and second class business centres hroushou. .n
eSort Ga pn clause SSnIo to Compete with the great
commercial Genres 1ralHc, under the provisions OF
the long haul to the most distant and largest centre
The operation of the law IN this respect Is now Tow
beginning TO make itself eit upon the 60 ' hn maS
kets for those who formerly bought Of them can
sgd ' more distant centres The old local system Of
distribution is broken in favor Of the centralized ID
those who framed the act its provisions have lent
new impetus to just those forces which IL was S
the local road and tho small distributing centre,
II is working the destruction OF both.
what nv view of the future is, and what should now
be done. The railroads OF this county are mo YIN
DO not know when or how 1t viii about;
IS II necessary now consider tits. Neither do
believe It will prove an evil, when It does come
Ncvcr heess, It Is matter of common notoriety that
such result Is viewed with grave. popular apprehen.
sion We have what the progress OF the last
twenty years has been In this respect Capitalization
gone during those years, so that, while then
"A railroad OF 200 300 miles was considered large,
one OF 5000 or 5000 miles Is now far from being the
largest. The next will De In the direction Of
railroad systems Of 10000 miles each, under one
common management The Interstate Commerce
Act acting the tendency Of natural forces l. az
IL nj rupitll
grand railroad trust scheme. Even this, nom my
point OF view, | cannot rgaru AS a thing 10 be
dreaded. | very sure now, a. have been for
the last twenty years. and a. long ago expressed
ny self thata great consolidated corporation, or even
trust can be held 10 far sric'er responsibility 10
the law than numerous smaller and conflicting corpor
atons. Under the existing system can be held
to account. Evasion Is always possible, and invariably
II is " the other man" who Is responsible for the
wlckedness. with one large corporation trust. 1
would otherwise. Roth law and popular opinion
could, and certainly would. he directed against II.
could not tho other DAY but regret the signs of public
disapprOva with which scheme for a railroad clearing
house In the West met. II was at once character
lied I'm tho papers vast trust"-ln these days
wary Ia demon need n conxpracy