Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1889-05-11
NOT ALLTHINK. ALIKE.
Differing Views of New York Busi-
ness Men on the Subject of
THE COMPETING CANADIAN ROADS
And the Best Manner of Enabling American
Roads to Meet Them.
THE COMMITTEE ADJoURNs TILL JULY

| NEW YORK, May 10.-After listening to
| the views of railroad presidents for the past
| four days, the Senate committee, which is
Investigating the workings of the inter
/ State commerce law at the Fifth Avenue
Hotel, this morning, settled itself to hear
the opinions of some representative busi-
ness men of this city. The first witness
called was President Charles s. Smith, of
| the Chamber of Commerce. Mr.. Smith re-
ferred to the fact that railroad building in
India and around the Black Sea ports was
being pushed rapidly, and greatly feared
that under present conditions it would not
be long before America lost what little ex-
port trade 1t had. He even advocated the
carrying of occasional shipments of grain
by the railroads at less than the cost of car
rying when this might be necessary.
COMPETITION WITH STEAMERS.
In regard to competition with the En-
glish steamship lines, Mr.. Smith thought
there was but small hope of successful COM
petition, unless as the case with the En-.
glish, French and German lines, the Amer
lean lines receive subsidy from the Gov
eminent. 1--WE have done it for the rail-
roads, why should not we do it for the
steamship lines? We must look beyond the
railroads and toward the steamship lines,
unless we want to see our flag disappear al
together"
J. H. Herrick, Chairman of the Inter-
State Commerce Committee of the Produce
Exchange, succeeded Mr.. Smith. He
prefaced his testimony by saying that he
differed materially from the opinions held
by the previous witness. The interstate
law, he said, was
A GOOD ONE IN MANY RESPECTS,
and the position of the merchants under it
was better than while pooling" was in
vogue. One bad thing about the law, how
ever, was that the penalties for violation
were not severe enough. There was a tend
ency, too, to discriminate against seaboard
points in favor of foreign ports, as, for in
stance, recently, where the rate from Mil
waukee to Liverpool was 10 cents, while to
New York it was 80 cents without the
Erie rates would not be as regular as they
are; the canal acts as regulator, and in my
opinion we should not restrict the Canadian
roads for that same reason. We need them
as regulator, but they should be under the
same Government control as our own roads"
THE SUBJECT OF POOLING.
The committee then called upon John D.
Kiernan to give his views upon the subject
of pooling. He said: 81 do not think that
the time has arrived for change. Until
the interstate law has been longer in force,
and until the railroads obey it, and tbe peo-
pie have an opportunity te judge how it |
works, they are not ready for the question
oflegisIation. I am inclined to the belief !
that it would have been better to
have allowed the system of pooling |
to remain, under conditions which |
would prohibit unjust determinations !
and rates. Yet / do not contend that pool |
ing was by any means legal. As an in
stance-there is condensed milk factory |
at Middletown equally near to three rail- |
roads running into New York. When there
was competition between the roads the rate
per hundred on condensed milk in cans
from Middletown to New York was 6
cents When these roads combined the
freight rate was raised to 15 cents. The
road that did the carrying took 6 cents
and the remaining 9 cents was divided
among the three roads.
POOLING NOT THE REMEDY.
''The remedy against Canadian competi-
ton is not in pooling. Under the old system
the Canadian roads had nice way of kick
ing out of the traces whenever there was an
to cut rates, but when there was
plenty OF trade and rates were good they
were willing to remain in the pool. The
object of pool is to get good rates and
keep them. That seems all right, and the
roads should be allowed to make a fair
profit, and it seems to be the aim Of
the interstate law to give the roads
all the advantages of the pool without al
lowing any rebates and unfair discrimina-
tion. The people are not yet ready for the
question of any change or amendment in
our Interstate commerce laws, as regards
our own lines, but it Is only right that
Canadian roads doing business in this
country shall conform to our railroad
laws"
Att o'clock the committee adjourned
until July 8, when they will meet in
Boston.