The Montgomery advertiser., 1902-12-28
HAS ENOUGH
 POWER NOW Hines AsSailS Commerce
 Commission. SAYS IT IS PREJUDIcED
Neither an Expert Nor an
 Impartial Tribunal.
At Present, He Says, the xistakee of the Railroads Can Be Correct-
 ed in the Courts of the
 Country.

Philadelphia, Dec. N.-tAt the second days session of the fifteenth annual meet ing of the American Economic Assoctar ton here today. walker D. Hines. First Vice President of the Louisville aud Nashville Railroad Company. made che principal speech. He sharply criticised the Interstate Commerce Commission and in referring to its recsnt plea to Con- gress for more power, he said 1t had power enough already. He said the Com mission was not impartial as the frequent overrulings of its decisions by the couxts showed.
 Extract of Speech.
 Following is an extract of his addxesss The agitation by the Interstate Com merce Commission for the rate making power began in 1897. when the Supreme Court decided the maximum rate casa In that case the commission had fixed rates. which. If enforced. would have materially reduced rates on practically all southhound business east of the Mis- sissippi River. The Supreme Court show cd clearly that Congress had not given the commission this necessarily unlimited and extremely important power, but it pointed out that the commission did have important functions designed to secure both reasonableness and equality of rates. The commission criticized the Suprema Court, denied the courts statements and has made the erroneous impression that 1t is now powerless and also that the rate making power would prevent secret rate cutting. The proposed power would necessarily be free from any substantial judicial review and would be a complete abandonment of the method of regulation provided by Congress. which despite all assertions to the contrary has never been proved insufiictent Any dissatisfaction is due to shortcomings of the commission rather than to defects in the law
 Commission is Partial.
 The Interstate Commerce. Commission Is neither an expert nor an impartial tribunal. as is proved by its decisions and the actions of the courts upon them. It is unnecessary, unwise and unjust to give such tribunal practically final power over the private capital invested in railroads. At present the mistakes of the railroads can be adequately corrected by the courts; under the proposed methods, the mistakes of the commission could not be corrected anywhere.
 The claim that low rates are due to the competition between markets and pro- ducts and to the fact that economical railroad management necessitates con stantly increasing the volume of trafic and these conditions are bound to eon- tinue.
 Reduction of Rates.
 Some members of the commission argue that the rates ought to be reduced but they have not exercised the authority they have to put that view into effect. However. despite the increase in volume of traffic and efficiency of machinery. railroad net earnings are diminishing and the cost per ton per mile is increasing. Although trafic conditions are not likely to permit increased returns. still as an abstract proposition the railroads un- doubtedly have the right to share in the general prosperity, when all other services and commodities increase in price.
 The railroads of this country are largely responsible for its industrial and com mercial supremacy Self-interests win undoubtedly prompt them to do every thing in their power to maintain that supremacy. Certainly the material well fare of the country has not depended in the past upon rate making by the com mission and 1t cannot be promoted there- by in the future.