The evening world. [volume] (New York, N.Y.) 1887-1931, 1894-10-17

turns on these securities. the managers
OF such companies have actually i'm
paired. IL not destroyed, investments
made on sound foundations in other
companies. AS consequence the
thoughtful investor has come to regard
railway securities with distrust To
this cause are to be attributed many Of
the financial failures in the large rail-
way system OF this country.
This condition OF affairs Is extremely
difficult to remedy by law. but 1t would
seem that laws could be enacted which
would prevent the issue of stock certifi-
Gates and bonds not representative of
actual value. In some States there are
such laws In existence, but they are
either not enforced as they should be
or are not sufficiently general in their
operation. and SO fail OF effect As a
practical measure, all such securities
as those alluded to should be cancelled
in reorganization, and the capital of the
new company reduced to the actual
value OF the property.
Nothing would probably to greater
degree insure such a restoration OF pub
than 10 have policy established under
which the more important railroads of
the United States would receive such
compensation for their service as would
enable them to make proper and reason
vested in them.
THE Government of the United States
having taken away from the railway
companies the power to enforce the
agreements made between themselvs in
regard to rates, has to that extent as
sumed the MANAGEMENT OF the roads.
1t Is thei efore the duty Of the Govern
ment to supplement this legislation by
such laws as will enable these properties
to be rightly manssed for their own
they now are under the operation OF the
Interstate Commerce law, they resemble
a ship stripped of its sails, helpless to
direct Its own course and at the mercy
1T seems, therefore, that n thoughtful
mind must conclude from the results OF
the Interstate Commerce law. In the
commercial activities have been cur.
tailed, that in the effort of Congress 10
take away from the transportation in
terests Of the country the means OF sus-
tanning fair and reasonable rates, a con
dillon OF affairs has been brought about
FAR more disastrous to the general pub
lie than could result from any reason.
able law that permitted these companies
TO make proper agreements to prevent
destructive competition.
Probably no matter is OF more i'm.
portance to the welfare of our country
than the enactment OF proper laws for
the regulation Of the great transportation
interests. In fact, l believe this stands
hardly second to the tariff problem
which has recently claimed SO much 1t.
tention and has agitated so deeply the
whole country. The laws which have
been enacted have been so hastily pre-.
pared and are so crude that the modifi.
cations that have been suggested have
not received the attention which the in.
terests involved would seem to demand
and 1t will not be until the public clearly
understands that the prosperity OF the
railroads is vital to the prosperity OF the
country that we can expect a thought fu
consider atlon Of the question and a proper
recognition OF the intimate relation be-
tween the shipper and. transporter. This
will be finally brought about. however
will then mutually share In the advan.
tages accrulng from such legislation"