The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1899-10-18
RAILWAYS AND TRUSTS.
of Inquiry by the Industrial
Commission.

WASHINGTON. L
commission today heard the testimony
of President NJ. Z. ingalls,, of the Big
Four and the Chesapeake and Ohio
Railway companies, on the transporta-
ton subject, and of William T. Graham
of Chicago, vice president of the Amer
lean Tin Plate company and director or
the Federal Steel company. and the
Steel Hoop company, as a part Of the
inquiry concerning trusts.
Mr.. ingalls, announced his confidence
in the interstate commerce commission
as useful to the railways. He said
he was willing to trust the commission
to a large extent in the regulation OF
rates. and would be willing that its de-
cision should regulate, unpassed upon
by United States court. He wanted
the government to aid the railroads in
the maintenance of rates. saying this
power should go with the power to reg
uIate the roads. There was less dis
elimination on the part of the roads
now than during dull times, but he
feared that with a change for the
worse in the general conditions there
would be a return to the old system OF
determinations to get freight business
in view of the fact that One-tenth OF
the population of the country is direct
1y dependent for a livelihood upon the
railways, he thought the commission
should give the question of protecting
the roads against one another IN the
matter Of rates, a great deal of atten-
ton. To this end contracts between
railroads should be legaIized and suits
in case of breach. To his mind there
was more danger in giving free rein to
the railway pariahs and ishmaelites
than in legislation Unrestricted com
petition was injurious to the railways.
the shippers and the public at large.
and he feared that without equitable
laws it would work the destruction Of
the greatest industry in the United
States. He wanted the anti-pooIing
feature of the interstate commerce law
abolished and would go farther and ask
for law enabling the railways to make
rate agreements, their maintenance to
be controlled by the courts
Mr.. ingalls, also advocated the en-
forced publication of all freight rates,
saying that he would be willing also
to submit to the inspection Of the books
of the railway companies as the books
of national banks are now inspected
He thought the criminal feature Of the
law should be abolished. He also fav-
ored the abolition of the pass system
and the ticket brokerage system. With
the proper laws for the regulation Of
rates, SO as to insure steady incomes
to the roads. Mr.. ingalls, said he would
favor a system of profit sharing. He
thought such system would insure
better service by employees and be more
equitable, but felt that 1t would not be
satisfactory in the absence Of a system
guaranteeing stability.
Mr.. Graham, the second witness Of
the day, said that capital stock Of the
American Tin Plate company was $50
000, 600, of which amount S1S,0O0, 600 was
preferred stock and the remainder com
mon. There were about 10 old cOmpa-
MES in the combination. When he went
into the consolidated company, he was
told that he could have only certain
amount of stock and he was given 500
worth of each kind Of stock for each
500 of the cash valuation of his old
plant. Since the consolidation had been
effected prices had advanced from $2l5
to 81. 50 per box, but this advance did
not more than cover the advance in the
prices of steel, pig tin and other in
gradients and the price Of labor. In
deed, the profits were not so large as
formerly. He said there was no re-
striction in contracts with buyers re-
quiring them to buy from the American
company only. No preferences were
given TO one jobber over another and
sales were made to retailers. Asked
concerning the effect of the tariff upon
the tin plate industry he said IT had
built it up and the abolition of the tariff
would xiii it absolutely.
Gould you have organized your COM
bination without the tariff ?" asked Col
Livingstone.
To this question the witness replied:
There would have been nothing to
organize He said that regular dfvf-
dends had been paid on the preferred
stock but that none had been paid on
the common stock. He thought how
ever. that the company was earning
sufficient money to pay dividends on
this stock The WOrkmen were paid
two or three times as much as the same
workmen were paid in Wales before
coming to this country
F s. Wheeler, treasurer of the Amer
| lean Tin Plate company, also made
| brief statement concerning that organ
| ization, corrobating Mr.. Graham's state
| nent- He said that the common stock
/ OF the company represented the price OF
| the good win of the different companies
/ which constitute the combination