The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1902-04-08
SECRET FREIGHT RATES.

A we'll timed article on the present fight
for the abolition Of secret rates to favor
ed shippers appeared in late issue Of the
New York Times. That conservative met
ropoEtan newspaper voices the ideas long
entertained by many of the leading rail
road owners and managers of the Unit
ed States The article is so full of good
hard sense that T h Clio b e takes
pleasure in reproducing it in full, and
urges a careful reading of it upon all
who have given this most important sub
ject thought and attention:
The recent action of the courts in I'LL
noS on the initiative of the interstate
commerce commission is a substantial
contribution to the solution of the prob
lem of the abolition or restraint of secret
ratemaking-the one crying evil of the
railroad situation. 1t is very far from
solving the much broader problem of the
regulation of the roads, but it is in itself
good.
In effect, if the action of the courts is
carried to it's logical conclusion the rail-
road companies will be enjOined perma-
nently from making secret rates, and the
novel feature of the present movement
is that this action is accepted by the
roads. 1t is reported that the roads had
| become weary of the eXactiOns imposed
| on them by the more powerful shippers
and were willing that the courts should
Deprive them of the option to grant the
secret reductions to which they had been
more or less forced. Whether this be
true in whole or in part, it is plain that it
will be better for all legitimate interests
that the element of secrecy should be
taken away from the dealings of the
roads either with their customers or with
each other. That is the one thing that is
absolutely and permanently inconsistent
with justice, and, We believe, With the
real interests of the companies them
selves 1t works like poison in the
blood, of commerce and tends directly
toward all sorts of generalization and
corruption. The railroad problem, in
some of its phases, is at best cOmplicat-
ed and difficult, but the condition prece-
dent toward dealing with it in any effect
i've manner is getting rid Of the element
of secrecy that has prevailed so long
and to such an extent. Fortunately the
most intelligent and most successful rail-
road managers and owners recognize this
fact and are prepared to aid in the adop-
ton of a policy in accordance with it.
z Meanwhile the public is to be congrat-
ulated on the recent action Of the inter-
state commerce commission, and so, for
that matter is the commission itself,
since it is based on an Interpretation of
the powers and duties of the commission
which it has not hitherto entertained or
at least has not put into such practical
opera ton. A good deal OF the energy and
ingenuity of the members of that body
has in the past been devoted to an ear
nest effort to secure an extension of their
powers, while the function of intimate
and effective investigation has not been
so vigorously exercised as it might have
been. One Of the objects of the commits
sion has been to obtain the authority
practically to make rates for the roads
in cases where they decide that the ac-
tual rates are not responsible. But it ap-
pears clear that the enforcement of pub
lished rates and the prevention of dis
elimination and favoritism through Sc
cret rebates other forms of evasion of
the published rates is not only a great
service to the public and a valuable APP
plication of the interstate commerce law
but it is entirely free from the risks
which would inevitably attend the max
ing of rates by the commission For
such enforcement of published rates the
commission has shown by it's recent ac-
ton that it possesses substantial and eff
ficient powers, probably extensive enough
to secure their object. Whether these
powers are entirely adequate can only
be found out by the thorough use Of
them. If they prove adequate the law
will be justified in one important part
of it. And the way to further develop
ment Of the policy of the government will
be Sensibly clearer.