The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1899-08-13
LEADS ALL NORTH CAROLINA DALES I'M NEWS AND GRUL 0M.

control If it is asked why the criminal
remedies are not applied the answer IS
they have been and without success. The
business Of railroad transportation is car.
ried ON to a very large extent in cOnced-
ed violations of law. Men who in every
other respect are reputable citizens are
guilty of acts which if the statute law
of the land were enforced, would sub
ject them to fine or imprisonment"
THE REMEDY.
1t would SEEM that the remedy is easy
and simple. 1T is to give the Interstate
Commission power to reduce rates. When
a discrimination of this kind has proven
the current rate too high, it should be
made the duty of the Commission to re,
duce the rate to the general public per-
manently at that figure. "A ratchet and
pawl arrangement of that kind can alone
give the general public justice and stop
determinations.
The bulk of the receipts of railroads,
five-sevenths on an average or say one
thousand millions dollars I'M round mum
bers for the year ending 80 june. 1899,
came from the carriage of freights. L
have not the time or the knowledge to
point out, if indeed any one can, as yet,
the most serious defects in the freight
rates. So close is the calculation on
these points that it is said that rs of Il
cent per bushel on wheat between Chica-
90 and Liverpool, will determine its rate
and we know that 40 of a cent per ton
per mile added en- freight would tax
over 100 millions more annually out of
the people There should be no power
to add it except by the peoples consent
given through the Railroad Commissions.
UNRELIABLE RETURNS.
Our commissions have dome a great
work in securing improvements i'll the
classification of freights and the publicl-
ty of rates, and towards the accuracy of
returns though the reliability of the re-
turns made by railroads is, as yet am un-
known quantity On some systems they
can doubtless be relied upon and ON 9TH
ers not at all. Until uni
form and reliable system of returns
can be compelled, we shall be
more or less cropping in the dark IN our
search for that elusive but much desired
reasonable rate which the law allows.
When there is no suppression or inten-
tional misstatement in the returns, there
are sometimes such errors as charging
the rental of leased lines to operating ex
penscs-which is i'm effect making the
public pay the rentals for them-alld
sums spent for lobbying, subsidising
newspapers and such purposes are al
ways covered up in lump sum, usually
under the head of terminal expenses. The
traveller and the shipper has to pay for
debauching his own public servants.
1t is true that compared with foreign
countries. there has been a decided re-
duction in freight rates, and if there We're
no determinations, we might think we
had approached. in some sections of the
country, "a fair rate The introduction
of larger engines, labor-saving devices
and other economies, however enable the
railroads to haul very much cheaper
than formerly. BY the introduction Of
larger engines alone, the Union Pacific
Railroad saved S1,040,000, in 1894 over
the cost of doing the same volume Of
work i'll 1890.
EgXORBITANT FREIGHT RATES.
That we have not yet reached rea-
sonable and fair freight rate is shown
not only by the frequent reduction to
favored parties, but by the large guam
titles of freight carried from our eastern
and indeed our Lake States, over the
Canadian Pacific Railroad and thence
down to California points, instead of by
the natural and shorter routes through
our own States. Then while freight
rates in the greater part of the Northern
and Western States are more reasonable
tnan formerly, those South of the Poto-
mae and Ohio were adjudged excessive
Al,
sion in the case of the Freight Bureau
of Cincinnati vs. Cincinnati, New Or
leans and Texas Railroad" 167 q. S.
40, which was begun by the Freight
Bureau of Chicago and Cincinnati for
the purpose of reducing rates from those
two cities to eight Important cities in the
Southern States. No tribunal has ever
reversed this finding that these rates
were excessive. The United States Su-
preme Court merely held that the Inter
State Commerce commission had no pow
er TO reduce rates--the more is the pity
but it held that Congress could confer
that power upon the commission. The
statement of Mr.. Campbell, general
freight agent, proven. recently before the
Industrial Commission was to the effect
that freight rates in the Southern States
are eXorbitant Indeed it is Il matter of
common knowledge, and can be shown at
any time by a comparison of freight
charges ON the south side of the OHIO
with those ON the North.
GRIPPING THE SOUTH,
In fact the embargo laid on the devel-
opment of the Southern States by the eX-
tortionate charges for transportation is
the chief factor in retarding its growth.
If the members of Congress from those
States would unite in support of a bill
comforting upon the Inter-States Com
merce Commission the right to reduce
rates whenever in the opinion of that
able and conservative commission rates
are excessive, they would do more for
the progress and prosperity of that beau
tiful section than can be dome by any
other single measure in the ordinary
range of legislation. In some sections
of the South the charges are so high,
especially in the trucking business, that
the real owners of the soil are the Lon
dom and New York bankers who own
the principal railway systems Of the
South Their transportation charges
take all the porfits, leaving the nominal
owners of the soil a mere pittance. Their
situation is exactly like that of the pe0-
pie of Ireland. a fine country which is 5n